Nu Holdings stock is tumbling today, October 26, as investors react to the surprise outcome of Brazil’s presidential election, in which incumbent Luiz Inácio Lula da Silva defeated Flávio Bolsonaro. The shares have plunged more than 25% and hit their lowest level since June 3. Even so, the company’s fundamentals remain strong, which suggests the selloff may be an overreaction.

Nu Holdings stock drops after Lula win

Nu Holdings and other Brazilian stocks plunged today after Luiz Inácio Lula da Silva won the runoff election, catching most people offguard. The decline is mostly because markets were hoping that Bolsonaro would win and usher in a period of friendly regulations.

Still, there is a positive side for Nu Holdings. Stocks often overreact to major events such as elections, and the initial move frequently reverses. A good example is the 2016 US presidential election. Futures plunged overnight when Donald Trump won, but markets rebounded quickly, and the benchmark indices went on to hit several all-time highs.

Most notably, Lula’s win means that the policies he advocated in the last term will continue this time. And Nu Holdings has thrived under him, with the stock soaring to a record high of $18.96 a few months ago. 

Nu Holdings’ business is doing well

The other bullish aspect for Nu Holdings is that its business is firing on all cylinders. Its last earnings report suggested that its growth is accelerating across the board. Its customers jumped to 139 million from 65 million in the same period last year. This growth will likely continue as the company expands its business in other countries. 

Nu Holdings’ revenue growth is accelerating. Its gross revenue jumped to $5.9 billion in the quarter from $1.2 billion in the same period last year. Also, its net income soared to $1.06 billion from a $30 million loss a year earlier.

Analysts are optimistic about the company. The average estimate is that its third-quarter revenue jumped by 43% to $5.98 billion, with the most optimistic target being at $6.2 billion. It is expected to then make $5.98 billion in the fourth quarter, bringing the annual figure to $22 billion. Nu will likely report better number than these estimates. 

The company is also on a path to domination in Latin America. It has already gained market share in Mexico, where it has become the biggest digital bank. It is also using a low-cost approach to enter the United States. These metrics explain why analysts have maintained a bullish outlook, with the average target being $18, much higher than where it is today.

Nu Holdings stock technical analysis

Nu stock chart | Source: TradingView

The daily chart shows that the Nu stock price gapped downwards on Monday, reaching its lowest level in months. It dropped below the 50-day and 100-day moving averages, while the Supertrend turned green. 

The stock also moved below the Major S/R pivot point of the Murrey Math Lines tool. Therefore, the most likely scenario is where it bounces back, possibly to the Ultimate Resistance level of $15. 

The post Nu Holdings stock slumps after Lula win: a golden opportunity to buy? appeared first on Invezz

Meta Platforms META shares fell in early trading on Monday before recovering, as the company announced a $35 billion equity raise to fund its artificial intelligence ambitions amid persistent investor concerns about its spending plans.

Shares of Meta fell close to 2% in early trading but gained roughly 0.2% around 11:20 AM EST following last week’s sharp sell-off.

Meta also outlined plans for a separate at-the-market offering programme of up to $60 billion once its newly introduced non-voting Class C shares begin trading, which is expected in the first quarter of 2027.

The fundraising comes days after Meta reported strong third-quarter results, although the earnings report also underscored the mounting cost of its AI investments.

Meta turns to equity markets to finance AI expansion

Meta’s latest capital-raising plans come as investors weigh the company’s ability to sustain heavy spending on AI infrastructure while protecting profitability and shareholder returns.

The company’s third-quarter revenue rose 26% year over year to $64.6 billion, beating analyst estimates. Advertising sales, its main source of income, also increased 26% to about $63.1 billion.

Adjusted earnings per share came in at $7.40, excluding a roughly $9.9 billion legal charge related to a child-safety settlement. Meta also projected fourth-quarter revenue of $73 billion to $76 billion, ahead of the previous consensus estimate.

Despite the strong operating performance, investors remain concerned about the cost of expanding Meta’s AI capabilities.

The company raised its capital expenditure outlook for the year to between $135 billion and $145 billion, while reporting negative free cash flow of about $2.1 billion for the quarter.

Meta has also signalled spending commitments of around $825 billion connected to data centres, computing capacity and related agreements, adding to concerns over how much capital it will need to support its AI push.

Share sale draws analyst support

While the concerns around financing continue to weigh heavily on investors’ minds, Piper Sandler sees the recent equity offering plans as a positive step.

Alongside future revenue hopes from Meta’s much-hyped AI agent Muse, a largely bullish long-term tone from analysts keeps helping the stock.

Piper Sandler analyst Thomas Champion said Meta’s $35 billion equity offering and plans for a further $60 billion at-the-market programme could help ease some of those concerns.

The firm views the announcement positively, arguing that it removes an overhang on the stock, is less dilutive than investors had feared, indicates strong demand from key AI players and gives Meta additional funding to continue investing in AI.

Piper Sandler maintains an Overweight rating on Meta, with a price target of $850.

Bank of America also raised its price target on Meta to $845 from $810, while reaffirming its Buy rating and continuing to identify the company as one of its top AI investment ideas.

The post Meta shares fell in early trading but bounced back soon: here's why appeared first on Invezz

Nvidia NVDA shares climbed on Monday as enthusiasm surrounding artificial intelligence stocks returned following Anthropic’s public IPO filing.

At 1:20 PM EST, Nvidia was trading at $216.5, up 2.63% from Friday’s close.

The broader technology sector also advanced, with the Nasdaq Composite gaining 1.16% and the Philadelphia Semiconductor Index moving 3.68% higher.

The gains come after a difficult stretch for chipmakers, as investors increasingly question how AI infrastructure spending will be financed and whether the returns will justify the enormous investments.

Through Friday, Nvidia had recorded gains on only three trading days since October 7.

Anthropic IPO filing lifts AI stocks

Anthropic publicly filed its S-1 registration statement on Monday, offering investors a closer look at the financial performance of the company behind the Claude family of AI models ahead of its much-anticipated initial public offering.

The company is expected to trade under the ticker symbol ANT.

Investors appear to be viewing the listing as a positive development for the broader AI ecosystem, with the prospect of a major AI company entering public markets drawing renewed attention to the infrastructure supporting the sector.

Nvidia remains one of the biggest beneficiaries of the AI boom, supplying the graphics processing units that power AI models and data centres.

Strong demand for its chips has driven its business, even as questions over financing costs and returns have weighed on investor sentiment in recent weeks.

SpaceX deal and Cadence partnership add support

Another development supporting sentiment was Elon Musk’s announcement that SpaceX had struck a $40 billion master finance lease to purchase Nvidia GPUs.

The arrangement is intended to support its subsidiary xAI and related data centre projects.

Musk said the financing, which is primarily callable, would fund Nvidia graphics processors expected to arrive in the first half of 2027.

The agreement highlights continued demand for Nvidia’s hardware, even as investors scrutinise the ability of AI infrastructure companies to finance their expansion.

Cadence Design Systems also announced an expanded partnership with Nvidia, unveiling a portfolio of AI models designed to assist computer-chip development.

The new suite, called Cadence Maestro, was introduced on Monday and was built partly on Nvidia’s open-weight Nemotron model.

The companies said it also uses Nvidia’s OpenShell safety technology.

Analysts remain bullish, but financing risks persist

Analyst sentiment toward Nvidia remains broadly positive.

MarketBeat data show that 54 of the 55 analysts covering the stock have either a Buy or Strong Buy rating.

However, the bullish outlook has not eliminated concerns about the financial risks surrounding the AI infrastructure boom.

Jay Goldberg, an analyst at Seaport Research Partners, has identified four potential obstacles for Nvidia: constraints on data centre construction, financial commitments, circular financing and tensions involving smaller cloud infrastructure providers.

Goldberg has also raised concerns about Nvidia investing in and lending money to suppliers and customers, highlighting the interconnected financial relationships developing across the AI ecosystem.

Those concerns have become particularly relevant as Nvidia is set to participate as a cornerstone investor in Meta Platforms’ equity fundraising plans to accelerate its AI infrastructure expansion.

The post Why Nvidia shares are rising on Monday? appeared first on Invezz

Galaxy Digital stock has slumped sharply in recent months and is now hovering at its lowest level since April last year. It dropped to $14.68, more than 68% below its 2025 peak, erasing billions of dollars in market value. The decline may continue in the near term as crypto prices fall and AI jitters intensify.

Galaxy Digital stock technicals points to more downside

The daily chart shows that GLXY stock has come under pressure in the past few months, moving from a high of $36.11 in June to the current $14.68. 

A closer look shows that the stock has dropped below the important support level of $16.67, its lowest level in February and April, respectively. The stock formed a death cross pattern, which happens when the 50-day and 200-day moving averages cross each other. 

Galaxy Digital remains below the Supertrend indicator, a sign that bears are in control. Also, the Average Directional Index (ADX) has soared to 28.2, its highest level since May 18 this year. The rising ADX is a sign that the downward trend is gaining momentum. Therefore, the stock will likely continue falling, potentially to the important support level of $10. 

GLXY stock chart | Source: TradingView

Galaxy Digital is facing crypto and AI headwinds

GLXY faces twin headwinds, which explains its continued downward trend. One of the risks is the ongoing crypto market retreat that has affected Bitcoin and other altcoins.

The most recent results showed that its revenue dropped by 15% to $8.71 billion as the crypto winter continued. Its net loss came in at over $85 million, and this trend will likely continue as long as the crypto market is wavering. 

Galaxy Digital is also falling because of the ongoing fears about the artificial intelligence industry. This is important because the company is spending millions of dollars building data centers, with CoreWeave, the embattled neocloud being its biggest client. CoreWeave, despite its $104 billion backlog, is facing substantial risks, pushing its bond yields to 15%.

The next important catalyst for Galaxy Digital will be its upcoming earnings report, which will provide more color on its business. The average estimate among analysts is that its third quarter revenue will be $12.1 billion, down by 70% from a year earlier. For the year, analysts expect its revenue will be $52.5 billion, down by 37% from last year. 

Still, the options market suggests that the stock will rebound after earnings. It has a put/call ratio of 0.26, with most of the call options being concentrated at $16, up by 10% from the current level. 

Another positive is that some analysts believe that the stock will rebound in the near term. Maxim Group sees the stock rising to $36, while Piper Sandler expects it to jump to $25. Citigroup and Morgan Stanley is expected to hit $28 and $43, respectively. 

The post Galaxy Digital stock is crashing: will its earnings turn the tide? appeared first on Invezz

Lenovo Group stock has reversed sharply over the past few months, falling from HK$37.78 in September to the current H$21.78. The retreat has coincided with ongoing weakness among most companies in the artificial intelligence industry. So, is this drop a good buying opportunity for Lenovo shares?

Lenovo Group has fallen despite strong performance

The ongoing Lenovo Group retreat has coincided with the weakness of other similar companies. Dell Technologies, its closest competitor, has dropped by 23% from its highest point this year. HP Enterprise dropped from $73 to the current $56.6, while Super Micro Computer has fallen to $32.94.

The retreat has also coincided with that of other companies in the artificial intelligence industry, including popular names like Nvidia, Micron, and SanDisk. Investors are simply worried that the AI boom that fueled these companies’ growth is starting to fade. Ken Griffin and Ray Dalio have all sounded an alarm about the potential AI bubble. 

Fundamentally, Lenovo Group’s business is doing well, with its revenue and profits accelerating. Its recent results showed that the company’s revenue soared by 43% in the June quarter to $26.9 billion, driven by its AI servers business. Its adjusted net income jumped by 176% to $1.075 billion. Its net profit soared to over $538 million.

Analysts and the management team expects that Lenovo’s growth will accelerate in the coming months as demand remains unprecedented. Most of this demand is coming from hyperscalers and neocloud companies.

Lenovo faces some risks ahead

Lenovo Group faces some major risks ahead. One of them is that its business will see a significant deceleration when the ongoing data center investments start slowing down. While this slowdown will not happen any time soon, history suggests that it will happen eventually.

Further, history shows that its servers business goes through boom and bust cycles. This is a situation where periods of booms are followed by inventory build up and revenue slowdown. Such a move will lead to a slowdown of its business. 

Further, the stock is highly overvalued. Seeking Alpha data shows that the company has a forward price-to-earnings ratio of 45, much higher than its top competitors. Dell has a multiple of 17, while HP Enterprise has 14.8. 

Lenovo Group stock technical analysis

Lenovo Group shares | Source: TradingView

On the charts, we see that the Lenovo Group share price has slumped in the past few months. This retreat started when it peaked at $37.78, the Ultimate Resistance of the Murrey Math Lines tool. 

The stock has now slipped below the 50% Fibonacci Retracement level and the Major S/R pivot point of the Murrey Math Lines tool. It has also moved below the Point of Control of the fixed range volume profile.

Therefore, the stock may attempt to bounce back now that it has slipped to the 200-day moving average. If this happens, it will hit the Major S/R pivot point of $25 and then resume the downward trend. 

The post Lenovo Group stock has slumped amid the AI bubble fears: buy the dip? appeared first on Invezz

Strive stock extended its recent rally as Bitcoin regained momentum. ASST climbed to $30.8, its highest level since October 2nd and a gain of 335% from its lowest point this year. Bitcoin, meanwhile, jumped to $84,360, up 45% from its year-to-date low.

Strive stock jumps amid Bitcoin rally

Strive, a company associated with Vivek Ramaswamy, has slowly become one of the biggest Bitcoin holders in the world. Data shows that the company now holds 36,818 coins valued at over $3.1 billion. This growth has made it the fourth-biggest Bitcoin holder after Strategy, Metaplanet, and Twenty One Capital.

The company has more Bitcoin it can buy because of its outstanding shares. Most notably, the company launched an IPO for its SATS preferred asset that gave it enough cash to buy 7,328 coins. The goal is to use these funds to buy Bitcoin. 

Bitcoin has jumped to $84,360, and this trend may continue in the long term as JPMorgan Asset Management predicts. In a report released this week, the bank said that Bitcoin will likely outperform top assets like gold, stocks, and bonds. It predicts that the coin will have annualized growth of 10% in the long term. 

American investors have taken notice and are continuing to accumulate Bitcoin ETFs. Data shows that spot Bitcoin ETFs added $23 million on Tuesday after adding $526 million on Monday. In total, these funds added $172 million in assets in July, followed by $3.52 billion in August and $2.65 billion in September.

Bitcoin price technical analysis points to more gains

BTC price chart | Source: TradingView

Technicals suggest that Bitcoin may be on the cusp of a bullish breakout. Bitcoin bottomed at $57,672 in July and then peaked at $87,254. It then pulled back to a low of $79,872. 

A closer look shows that the coin has moved above the upper side of the falling wedge pattern. Falling wedge is made up of two descending and converging trendlines, with a breakout happening when the lines are nearing their confluence. 

Bitcoin has moved above the important resistance level of $82,703, its highest point in May this year. Moving above that level has confirmed a bullish breakout. It has also remained above the Supertrend indicator. 

Therefore, Bitcoin may continue rising, potentially to the resistance level of $87,254. A move above that level will point to more gains, potentially to the psychological level of $100,000. Such a jump will bring the value of its Bitcoin assets to $3.6 billion.

Strive stock price analysis

ASST stock chart | Source: TradingView

The daily chart shows that Strive bottomed at $7.10 in February and then started a slow comeback, reaching a high of $31.87. It then pulled back to a low of $22.51 on October 15.

Strive has remained above the Supertrend indicator, while the Relative Strength Index (RSI) has moved to 63, its highest level since October 6. Therefore, a move above the resistance level of $31.87 will point to more gains, potentially to the resistance level of $35. 

The post Strive stock eyes a bullish breakout as Bitcoin recovery gains steam: what next? appeared first on Invezz