1. Nvidia's Blackwell Ultra Revamp
Morning Report: Nvidia's Stocks Decrease Despite Launch of New Chip Line
In a bold move at its GPU Technology Conference (GTC 2025), Nvidia (NVDA -3.31%) unveiled its groundbreaking Blackwell Ultra chip, set for release later this year. The tech giant also introduced the GB300 device, a powerhouse that combines two Blackwell Ultras and a CPU, targeted at behemoths like Microsoft (MSFT -1.33%) and Meta (META -3.73%), aiming to transform the hyperscaler landscape.
- "The era of AI supremacy": CEO Jensen Huang demonstrated two AI personal supercomputers, the DGX Spark and DGX Station, showcasing Nvidia's next-gen Vera Rubin GPU chips, due for release in 2026.
- Muted response: Nvidia faced a 4% post-event dip, as the keynote speech revealed fewer surprises, following leaks of the new chips and their release timelines.
2. AI Transformation - In Action!
As Huang sees it, AI agents are the future: "The way they run, the enterprises driving them, and how we operate them will drastically change." Nvidia positions itself at the epicenter of this shift from AI model training to real-world application.
- "The age of tangible AI arrives": Collaborating with Disney (DIS) and Alphabet (GOOG -2.32%), Nvidia is developing AI models focused on humanoid robotics.
- AI-driven fast food: Following successful pilot projects with voice AI ordering at Taco Bell outlets, Yum! Brands (YUM 0.13%), in partnership with Nvidia, plans to roll out AI ordering to 500 restaurants, including Pizza Hut and KFC, starting Q2 2025.
3. Wednesday's Watchlist
While the world waits for the Federal Reserve's verdict today, markets will also be looking for economic insights from General Mills (GIS -0.77%)’s third-quarter report before the opening bell. The food maker reported a 5% drop in third-quarter sales to $4.8 billion, with adjusted earnings per share (EPS) plummeting 15% to $1.00. The company grappled with inventory issues in North American markets, anticipating a 1.5%-2% sales decline for the full year. Shares dipped around 3.5% in pre-market trading.
- S&P 500 expansion: Williams-Sonoma (WSM -1.63%), set to join the S&P 500 next week, will report its Q4 results this morning. Analysts predict Q4 EPS to drop 46% year-over-year, while revenue is projected to surge by 3%. TMF CIO Andy Cross noted, "Williams-Sonoma has managed to diversify its supply chain outside of China (now less than 25% of goods). And they generate a significant portion of their sales in the U.S. That team has proven adept at managing their inventories and margins."
- The spotlight shifts: Five Below (FIVE -0.69%), moved to 'Hold' in Rule Breakers last summer, will share a Q4 update post-market. Investors should keep an eye out for cost management strategies as margins face pressure.
4. Market Movers - Biotech & Beyond
- Biotech leap: Following rival Sarepta Therapeutics (SRPT -27.44%)’s report of a Duchenne muscular dystrophy (DMD) mortality case linked to their product Elevidys, Regenexbio (RGNX 11.43%)**, currently conducting a DMD trial for its RGX-202, enjoyed a 11.4% boost.
- Activist battle: The Wall Street Journal reports that investor Starboard Value is gearing up for a fight against Autodesk (ADSK -0.24%), which they believe has been underperforming. Starboard holds a $500 million stake in the design software specialist, and plans to nominate director candidates prior to Autodesk's AGM.
- International expansion: Following a Q4 revenue beat, Brazilian fintech company StoneCo (STNE -3.14%) soared by 10% on data throughput enhancements and enhanced compute and memory capabilities, showing promise for international growth. Andy Cross recently commented, "International prospects now appear to be a better bet than domestic expansions."
5. Foolish Fun
Ahead of a certain college basketball tournament this month, Sportradar (SRAD -1.42%), the platform powering many sports betting platforms, will release earnings before market open. With real-time scores and statistics at its core, Sportradar is set to capture the excitement among basketball fans across the nation.
- "In 2026, Nvidia aims to invest in the finance sector, planning to release its next-gen Vera Rubin GPU chips for semiconductor applications."
- "As part of its AI transformation initiatives, Nvidia is looking to invest money in collaborative projects with Disney and Alphabet, focusing on humanoid robotics research."
- "Investors interested in the biotech sector might consider Regenexbio, as it has experienced a boost due to a competitor's DMD mortality case, providing an opportunity for investing."
- "In the future, Aussiedlerbote might consider investing in Brazilian fintech company StoneCo, following its Q4 revenue beat and international expansion prospects."
- "For those enthusiastic about college basketball, investing in Sportradar could be an excellent choice, given its central role in powering sports betting platforms."
