In this article, we discuss the 5 trending stocks on Tuesday. If you want to check out some other trending stocks on the list, go directly to 10 Trending Stocks on Tuesday.
5. Walmart Inc. (NYSE:WMT)
Number of Hedge Fund Holders: 67
Walmart Inc. (NYSE:WMT) shares jumped more than seven percent this morning after smashing financial expectations for its fiscal third quarter.
The retail giant reported adjusted earnings of $1.50 per share, easily beating estimates of $1.32 per share. Revenue for the quarter rose 8.7 percent versus last year to $152.8 billion, while analysts expected Walmart Inc. (NYSE:WMT) to generate revenue of $147.7 billion. Same-store sales also rose 8.2 percent on a year-over-year basis, topping expectations of 4.3 percent.
Looking forward, Walmart Inc. (NYSE:WMT) improved its operating income guidance for the full year. The company expects its adjusted earnings to drop in the range of 6 – 7 percent versus its previous outlook calling for a decline between 9 – 11 percent.
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4. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Number of Hedge Fund Holders: 72
Shares of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) jumped nearly 13 percent in pre-market trading Tuesday. The surge followed the news that Berkshire Hathaway has acquired about $4 billion worth of stock in TSM.
Berkshire Hathaway, run by billionaire investor Warren Buffett, made the purchases during the third quarter, according to a recent filing. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) shares have lost about 40 percent so far in 2022. However, the latest disclosure by Berkshire has sent the stock to a nearly two-month high.
Separately, investment management firm Baron Funds also briefly talked about Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its third-quarter 2022 investor letter. Here’s what the firm said:
“Semiconductor giant Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) detracted from performance due to the global macroeconomic slowdown and softening demand for consumer electronics. We retain conviction that Taiwan Semi’s technological leadership, pricing power, and exposure to secular growth markets, including high-performance computing, automotive, and IoT, will allow the company to deliver strong revenue growth over the next several years.”
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3. The Home Depot, Inc. (NYSE:HD)
Number of Hedge Fund Holders: 80
The Home Depot, Inc. (NYSE:HD) came into the limelight today after releasing financial results for its fiscal third quarter. The home improvement retailer reported earnings of $4.24 per share, up from $3.92 per share in the same period last year.
Revenue came in at $38.9 billion, representing a rise of 5.6 percent over the year-ago period. Analysts expected The Home Depot, Inc. (NYSE:HD) to earn $4.12 per share on revenue of $38 billion. Meanwhile, same-store sales increased 4.3 percent, above expectations of 3.1 percent.
The Home Depot, Inc. (NYSE:HD) also reiterated its financial outlook for 2022. It continues to expect comparable sales growth of about 3 percent and EPS growth in the mid-single digits.
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2. Netflix, Inc. (NASDAQ:NFLX)
Number of Hedge Fund Holders: 95
Shares of Netflix, Inc. (NASDAQ:NFLX) rose nearly three percent after the opening bell on Tuesday after receiving an upgrade from BofA. The research firm issued a “Buy” rating for the video-streaming giant with a price target of $370 per share.
BofA analyst Jessica Reif Ehrlich believes Netflix, Inc. (NASDAQ:NFLX) holds a dominant position in the video-streaming market and has a strong potential to grow its subscriber base in overseas markets. In addition, Ehrlich acknowledged the company’s efforts to enhance monetization through a value-oriented ad-supported tier and policy changes surrounding password sharing.
Earlier this month, Netflix, Inc. (NASDAQ:NFLX) rolled out its basic ad-supported plan that carries a price tag of $6.99 a month. The latest tier includes 4 – 5 minutes of advertisements per hour.
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1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 95
Shares of Amazon.com, Inc. (NASDAQ:AMZN) slightly moved up this morning after receiving an upgrade from MoffettNathanson. The research firm issued an “Outperform” rating for the e-commerce giant and a price target of $118 per share.
MoffettNathanson analyst Michael Morton expressed optimism around e-commerce penetration growth. He thinks giants like Amazon.com, Inc. (NASDAQ:AMZN) will continue to capture market share, given their convenience and price options.
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Follow Amazon Com Inc (NASDAQ:AMZN)
Separately, multiple reports suggest that Amazon.com, Inc. (NASDAQ:AMZN) is planning to cut 10,000 jobs, primarily across corporate and technology units, due to macro uncertainty. The reports came just days after social media giant Meta Platforms decided to trim 11,000 employees to save costs.
You can also take a peek at Top 10 High Dividend Stocks To Buy Now and 12 Best Consumer Staple Stocks.
