CXApp
shares of CXApp (CXAI) are trading 150% higher today after the company announced a new partnership with AI giant Alphabet (GOOGL).
If you haven’t heard of CXAI before today, you’re probably not alone. This company uses their proprietary technology platform to combine customer experience (CX) and artificial intelligence (AI), thus their ticker symbol “CXAI”.
The company deploys their technology to enhance workplace technology – maintaining schedules, meetings, scheduling meeting rooms (just think Microsoft Teams) – but I’m sure that’s likely to expand over the next year.
We’re likely to see a lot more activity like this over the next year or two as the AI technology companies now start to focus on the service application of the new technology.
For now, I treat CXAI as a sort of “new issue” and trade according to the technical levels.
That said, we’re likely to see the stock test $5 as some profit taking pulls the stock lower, then followed by another move to $7.
Micron
Micron (MU) shares are on the move again after taking a short post-earnings break.
The stock surged higher last week after the company handily beat earnings expectations, but more important was their outlook.
Micron announced progress with their HBM3E which they are currently ramping up production.
The HBM3E chip will be a component of NVDA's H200 Tensor Core GPU. The chips are used for using less power than other memory chips used in GPUs.
Micron boasts a forward price-to-earnings (P/E) ratio of 15X compared to Nvidia (NVDA)’s PE of 38X, which may give you an idea of the potential value play at-hand for this chip manufacturer.
The breakout at $10 takes MU shares to new all-time high territory with a likely target of $150.
Reddit (RDDT) shares appear to have lost all their IPO excitement as the stock is now trading below the price of its first trades on March 21.
The stock has lost 40% from its high price of $75 logged just four trading days ago. With few headlines and only one analyst providing a view on the stock, you have to mark this up to simple profit-taking and post-IPO jitters.
Many investors have seen their IPO purchases become ravaged over the last few years, meaning we may see some short-sighted interest in Reddit shares as they try to post a bottom over the next week.
$45 will act as a short-term critical level as this is near the initial trade of the stock. After that, a decline to $34 is very possible, as this is where the stock priced the night before its first trade.
This is the price that the market will rely on as a “book value” with the absence of fundamental, revenue and earnings data to consider.
The stock is too short in its lifespan for me to either make a technical read or price projection. This is truly a speculator’s stock.
Act accordingly.
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.