These stocks to buy on Nasdaq are firing on all cylinders after explosive quarterly results
The market has been in retreat in recent weeks and now is the time to take action. Although it hit a new high earlier this year, Nasdaq The rebound was seen following the inflation report and the latest Fed meeting. Additionally, we are in the middle of earnings season, so earnings results will have an impact on market movements. The Nasdaq fell for the third consecutive week, but some of the top companies did not see major declines. There are some solid Nasdaq stocks to buy whenever prices plummet.
These stocks are some of the best in the industry and are ideal from a long-term perspective. As long as the economy remains resilient, the market will be healthy, but if these 7 stocks to buy on the Nasdaq drop, it means it’s time to beef up your investment strategy.
Nvidia (NVDA)
Source: Piotr Swat / Shutterstock.com
This month it has fallen 5%, Nvidia (NASDAQ:NVDA) has fallen from a high of $974 and is currently trading at $858. The company is currently wearing the AI ​​crown, and unprecedented demand for AI chips has pushed the company’s valuation to over $2 trillion.
Nvidia has reported strong quarterly results in the past, which led to higher stock prices. As the company prepares to announce its earnings results on May 22nd, it needs to prepare for further gains. It may be a smart move to buy stocks before earnings are announced.
The recent decline in the stock price is not due to reasons related to the company, but rather to the opinion that the AI ​​sector is cooling down. Therefore, the decline may be temporary and the stock could gain momentum in the coming weeks.
Chip Champion recently announced a new chip called Blackwell, which is expected to be released in November or December. As the AI ​​industry expands rapidly, Nvidia is set to benefit, and you’ll never regret owning this stock.
Netflix (NFLX)
Source: izzuanroslan / Shutterstock.com
After rising 20% ​​since the beginning of the year. Netflix (NASDAQ:NFLX) stock is down 10% this month, and it’s one of the stocks you should buy more of every time the price drops sharply. Currently trading at $565, ​​the stock isn’t cheap, but it has strong upside potential.
Netflix is ​​the only profitable streaming company right now, and the numbers show its strength. Despite reporting impressive financials, the company’s stock price fell due to management’s decision not to disclose membership numbers starting next year. However, if a milestone is achieved, management will share the numbers.
Looking at the bigger picture, Netflix is ​​growing strongly. Revenue reached $9.37 billion, an increase of 15% year over year, and EPS was $5.28. The company ended the quarter with 269.6 million subscribers, up 16% year over year.
Management raised its operating margin outlook to 25%, demonstrating its ability to achieve higher profits. Netflix’s growth could accelerate and its stock price rise over the next five years.
Amazon (AMZN)
Source: Tada Image/Shutterstock.com
e-commerce giant Amazon (NASDAQ:AMZN) is one of the best Nasdaq stocks to add to your portfolio. The stock, one of the Magnificent Seven, has soared and is currently trading at $184.
The stock is up 23% year-to-date, with recent quarterly results pushing the stock higher. Amazon beat profit expectations and showed solid advertising growth. Sales were $143.3 billion, and operating income was $15.3 billion, an increase of 200%.
Cloud segment revenue rose 17% to $25 billion, while its most important segment, advertising revenue, rose 24% to $11.8 billion. Management is looking to establish the right momentum for the year and aim for a similar second quarter.
Amazon is a great stock with diversified businesses that ensure steady revenue growth. Amazon’s best days are just beginning, and I think there’s a lot more to come. A decline in stock prices is a buying opportunity.
Microsoft (MSFT)
Source: The Art of Photography / Shutterstock.com
tech giant microsoft (NASDAQ:MSFT) are also stocks to buy and hold for the long term. The company is growing due to his AI capabilities, and the fundamentals show that his AI investments are paying off.
In its most recent quarterly results, Microsoft’s revenue increased 17% to $61.9 billion, and its net income increased 20% to $21.9 billion. Cloud revenue increased 24% and personal computing revenue increased 17%.
Microsoft is one of the world’s best tech giants and one of the stocks that will make you rich for many years. The stock is trading at $397, up 7% year-to-date and 30% over the past 12 months.
The company is expanding its AI capabilities with the establishment of an AI hub in London, and is investing $2.9 billion in cloud and AI infrastructure development in Japan and a further $2.2 billion in Malaysia. His double-digit growth across multiple business segments speaks to Microsoft’s strength.
Metaplatform (META)
Source: Rapha Press / Shutterstock.com
meta platform (NASDAQ:meta) has always been in the spotlight, and its quarterly results increased the excitement surrounding the stock. Although the company beat expectations and reported strong financials, management’s decision to invest in AI projects disappointed many investors who were wondering whether to buy or sell the stock. This caused the stock price to fall by 16%.
However, I think META stock should be bought on every dip given its rich history and ability to grow as the economy improves. The company reported EPS of $4.71 and revenue of $36.46 billion. Sales increased 27% year-on-year, and EPS doubled year-on-year. Fundamentally, Meta is in a strong position, reporting its fastest sales growth since 2021.
Market skepticism has pushed the stock down 12% during the month to $441, making it a solid opportunity to buy a high-growth stock. This is a rare opportunity for investors.
Advanced Micro Devices (AMD)
Source: Pamela Marciano/Shutterstock.com
there are big bets Advanced Micro Devices (NASDAQ:AMD) will be the next Nvidia. The company is making great leaps forward to achieve higher market share in his AI field. The quarterly results beat expectations, and management is aiming to sell $4 billion in chips in 2024.
Sales reached $5.47 billion and EPS reached $0.62. The company reported net income of $123 million, up from a net loss reported in the year-ago period. The company’s data center division showed 80% year-over-year growth, and management said it is working on developing new AI chips and successors for the current generation.
The Personal Computing segment also saw improved earnings. AMD is in a great position to expand, and buying the stock below $150 could be a solid trade. The stock is trading at $146, down 19% during the month. This is one of the best Nasdaq stocks to buy on a downturn.
Alphabet (GOOG, GOOGL)
Source: IgorGolovniov / Shutterstock.com
Clear winners of earnings season, alphabet (NASDAQ:GoogleNasdaq:google) is definitely the one to buy when prices plummet. The company’s business is firing on all cylinders and shows there are no limits. Compared to the same period last year, profits increased by 57%, operating profit increased by 46%, and sales increased by 15%.
This was also the highest growth rate since 2022. One of his biggest revenue drivers, YouTube, saw a 21% increase in revenue and a significant increase in overall revenue.
Online advertising is back, and it shows that Google is back on its feet. Marketers are currently pouring money into advertising, and we will see steady improvement in this area over the next few quarters.
Management also said it is integrating AI into its products and services. The company announced a dividend payment of $0.20 per share and a $70 billion share buyback program. The company has been on a roll this year, making GOOG stock a buy.
On the date of publication, Vandita Jadeja did not have (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer and are influenced by InvestorPlace.com. Publishing guidelines.
