Palantir (PLTR) shares jumped more than 13% on Monday after News that the AI service company would be added to the S&P 500.
Palantir has now matched the one-year performance of the hottest stock in AI, NVIDIA (NVDA), with both stocks trading just shy of 130% gains over the last 12 months.
There is one huge difference between the two stocks that is likely to catapult Palantir’s gains well above NVIDIA’s over the next three months.
Current Wall Street analyst recommendations for Palantir show less than 50% “Buy” recommendations while 93% of analysts’ recommendations on NVIDIA are in the “Buy” category.
Investors should expect analysts to start upgrading Palantir to catch up with the stock’s performance.
From a chart perspective, today’s move higher jumps above $32.50, a price that has been acting as short-term resistance for Palantir shares. That move puts the $45 price in the stock’s crosshairs, which would represent a move to new all-time high territory for Palantir.
Palantir’s long-term outlook remains bullish with a $45 target.
Dell Technologies (DELL) added almost 4% to its stock value today after it was announced that the S&P 500 would be swapping the company out for Etsy.
Shares of Dell replace in two weeks Etsy on September 23rd, meaning that investors can expect the popular computer manufacturer to benefit from “index buying” in the days leading up to the transition.
Dell shares have spent the last two weeks trading in a range between $100 and $110 after the company beat earnings expectations.
The better-than-expected earnings results were muted by management’s outlook. The company softened their outlook for the next quarter but reaffirmed their outlook for the fiscal year 2025. This has been a popular combination for many technology companies as they prepare for what may be a bumpier landing than the Fed expects with the economy.
Shares of Dell are battling with their 200-day moving average and a bearishly biased 50-day trendline. The stock will need to break above $120 to close above the current resistance provided by these heavily watched indicators.
Shares of Dell remain in a long-term bull market trend with a target of $150.
Shares of Alphabet (GOOGL) continued their slide below the critical 200-day moving average today. The stock suffered its first close below that critical trend line since March on Friday.
Investors spent the day reacting to news that today was the first day of Alphabets antitrust trial.
Shares saw short-term traders come in to support them as the stock touched $150 – a round number worth watching – but more downside volatility is likely due to a combination of technical events last week.
As mentioned, Alphabet stock dropped below their 200-day moving average, but they did so on a day that also saw the stock break below its bottom Bollinger Band.
A Bollinger band is an indicator used to gauge volatility or potential volatility for a stock. Breaking below or above the Bollinger band can cause additional trading volume and increased volatility.
That, combined with the break below the 200-day moving average, is likely to draw more selling pressure for Alphabet shares.
Investors should maintain a watch on the $150 price. This price represented a sharp top for the stock in February and then acted as support for shares in March. That type of price action builds “muscle memory” into the stock.
A clear break below $150 will increase selling and target $130.
Alphabet shares remain in a long-term bullish trend, but that trend will be in jeopardy if the shares break below their 20-month trendline at $135.
