Carnival Corporation (CCL)
Entry: Unlock
Price target: 22.00-22.50
Second PT: 25.00-25.50
Analysis done on hourly timeframe. The travel bug has taken hold in the U.S. post-pandemic, and companies like Carnival are thriving as a result. In its latest earnings report, Carnival posted record-breaking revenue, driven by strong bookings and high demand.
While the company slightly lowered its Q4 projections, it raised its outlook for 2025, anticipating another record-breaking year to surpass 2024’s performance. This is especially notable, as Carnival has achieved double-digit quarterly growth throughout 2024—a testament to its robust recovery and strategic positioning in the market.
In 2023, Carnival reported full-year revenue of $21.6 billion, and this year’s revenue is projected to exceed that, reflecting the company's resilience and ability to capitalize on the travel rebound. Given Carnival's current $22.3 billion valuation, the stock appears attractively priced, particularly when considering its solid financial position. With interest rates now on the decline, companies like Carnival are poised to benefit from both increased consumer demand and lower borrowing costs, which should further enhance their financial performance in the coming year.
Please note that this may take beyond this week to come around to price targets.
Edward LifeSciences (EW)
Entry: Unlock
Price target: 71.00-72.00
Second PT: 75.00-78.00
Analysis done on daily timeframe.Edwards Lifesciences Corporation earned a spot on our watchlist this week due to its strong fundamentals and impressive track record within the medical device industry. The company recently experienced a sharp sell-off following its latest earnings report, which revealed a decline in revenue. However, this dip has presented a potentially attractive entry point in a market rife with inflated valuations, positioning EW as a possibly undervalued opportunity.
One noteworthy aspect of EW is its high level of institutional ownership, with insiders holding 85% of the company’s shares. This level of insider commitment suggests that the leadership strongly believes in the company’s mission and underscores their dedication to making sound decisions for its future.
Despite last quarter’s revenue decline, Edwards Lifesciences has consistently delivered robust overall performance. The company has achieved steady year-over-year revenue growth and maintains a solid balance sheet, boasting $10 billion in assets against just $2.6 billion in liabilities. Additionally, free cash flow is on the rise, approaching $4 billion—a key indicator of financial health.
With earnings scheduled for later this month, Edwards Lifesciences could begin to attract renewed investor interest at these lower levels. If the company posts strong results, we anticipate a potential recovery in the stock's performance.
Please note that this may take beyond this week to come around to price targets.
Russell 2000 ETF (IWM)
Entry: Unlock
Price target: 229.00-231.00
Second PT: 234.00-236.00
Analysis done on hourly timeframe. The Russell 2000 (IWM) stands out as one of the few major indices that has yet to reach a new all-time high this year, largely due to ongoing uncertainties surrounding interest rates. However, the recent interest rate cut by the Federal Reserve has injected optimism into the small-cap market, as this policy shift is particularly beneficial for the smaller companies represented in the index.
High-interest rate environments pose significant challenges for small-cap stocks, as many of these companies are in growth stages and rely heavily on access to affordable capital. Elevated borrowing costs can stifle expansion efforts, making it difficult for these businesses to secure the funding necessary for development. With rates now on the decline, we can anticipate a rotation of capital back into small-cap stocks, as reduced interest expenses and improved borrowing conditions provide a more favorable environment for growth.
As investors seek opportunities outside of the larger, overvalued sectors, small caps may become an increasingly attractive option, fueling renewed interest in the Russell 2000. This shift could potentially drive the index back toward previous highs, as improved access to capital enables these companies to pursue expansion initiatives more aggressively. Furthermore, with small caps typically more sensitive to economic shifts, the outlook for the Russell 2000 could strengthen if the broader economy stabilizes, enhancing prospects for both profitability and stock price appreciation.
Please note that this may take beyond this week to come around to price targets.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
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The stocks posted above are the preliminary stocks and set ups we’ll be watching this week. All price points are subject to change based on market performance and sector health. Please do your own research and analysis on these companies/charts before taking on any set ups. Trade at your own risk and as always, good luck! Let’s have a fantastic week.