Ringing Up a Great December
Shares of Costco (COST) are higher on Friday morning, as the retailer reported stronger than expected sales for the month of December. I’m not shocked, I know I spent more than expected at my Costco store this year.
The stronger results have analysts upgrading the stock and their 2024 price target forecasts. Costco remains in a strong short- and long-term bullish trend, meaning traders will be buying the recent dip with some strength. This stock is heading to new highs next week.
Another Day, Another Recall
Tesla (TSLA)’s stock has been trading in a range since November while the rest of the market has been partying. One reason may be that the company has been the target of numerous recalls.
The stock is in what I call a “Technical Danger Zone,” as it currently hovers just above its 50- and 200-day moving averages. A break below these trendlines will trigger a wave of technical selling that will target a $200 price.
Analyst Trash Talks Old School AI
International Business Machines (IBM) has emerged as an AI stock over the last year, and why not? This is the company that invented AI with its Watson computer more than 30 years ago.
Analysts at Societe Generale don’t see it that way, though, as they downgraded the stock to a “sell” this morning with a price target of $143. Shares have been trading sideways for the last few weeks as the stock takes a rest from its year-end 20% rally.
Support for IBM sits at $155 for investors looking to buy the dip on Big Blue.
By submitting your email address, you will receive a free subscription to Money Morning and occasional special offers from us and our affiliates. You can unsubscribe at any time and we encourage you to read more about our Privacy Policy.
About the Author
Chris Johnson (“CJ”), a seasoned equity and options analyst with nearly 30 years of experience, is celebrated for his quantitative expertise in quantifying investors’ sentiment to navigate Wall Street with a deeply rooted technical and contrarian trading style.