Last week was one marked by high-profile earnings, with two of our holdings delivering strong results. As for our measure of markets, the Domestic Fund Composite (DFC) added 0.85%. We remain well above the 39-week moving average and firmly in “Buy” status, observes Jim Woods, editor of Successful Investing.
Walmart Inc. (WMT) shares spiked after the company reported better-than-expected earnings that included a rise in same-store sales of some 5.3% versus estimates for just a 3.75% rise. Interestingly, WMT sales grew as more value-conscious shoppers walked into the store, spent more money on essentials such as groceries, etc., and bought online, taking advantage of WMT’s value pricing and improved online strategy.
(Editor’s Note: Jim Woods is speaking at the 2025 MoneyShow Las Vegas, which runs Feb. 17-19. Click HERE to register)
Then, there was Artificial Intelligence (AI) bellwether Nvidia Corp. (NVDA), which reported a strong quarter that bested expectations. The only problem is that Wall Street has set such a high bar for this stellar stock that shares were basically little changed in response to the earnings news.
Hey, we love NVDA, and we are up big in the shares, with a gain of nearly 280%! Will there be more upside here for NVDA? I definitely think so, but we will likely have to wait a bit longer for the next big upside catalyst.
As for my International Fund Composite (IFC), we are on the cusp of a potential “Sell” signal, as the IFC is just 0.50% above its 39-week moving average. However, our confirming indicator, the Dow Jones World Index, remains 5.39% above its 39-week moving average. That means we are still more than 5% away from a “Sell” signal.
Finally, it’s a short week due to the Thanksgiving holiday, but don’t sleep on the markets. A lot of “stuff” is happening right now, including cabinet appointments, ramped up war between Russia and Ukraine, more key earnings, and more economic data that can/will influence Federal Reserve policy.
So yes, enjoy a well-deserved break. But always keep your mind on your money and your money on your mind.
