• Cathie Wood’s ARK purchased 140,000 shares of eToro worth $9.38 million
• eToro’s IPO priced at $52 per share, above the expected $46-$50 range
• Shares opened at $69.69 and closed at $67 on debut day, up 29%
• eToro’s market cap reached $5.5 billion based on closing price
• Company reported 3.5 million funded accounts and 1,161% surge in net income to $192 million in 2024

eToro Group Ltd (ETOR) made a splashy entrance into public markets on Wednesday, catching the eye of star investor Cathie Wood. Her investment firm ARK scooped up 140,000 shares of the trading platform on its first day of trading.

The purchase was made through ARK’s Fintech ETF. The investment is valued at $9.38 million based on Wednesday’s closing price.

eToro priced its initial public offering at $52 per share. This was above the expected range of $46 to $50 that the company had set earlier.

Cathie Wood's ARK Invest snapped up $9.4M worth of eToro $ETOR shares yesterday

After hitting a high of $74 on it's Nasdaq debut, the stock is currently trading at $64 📉 pic.twitter.com/cggeGPmPWw

— Trader Edge (@Pro_Trader_Edge) May 15, 2025

When trading began, investor enthusiasm pushed the opening price to $69.69. By the end of the day, shares settled at $67, marking a 29% gain from the IPO price.

The company also increased the size of its offering. eToro upsized from the originally planned 10 million shares to 11.9 million shares.

Market Response and Valuation

The strong first-day performance gave eToro a market capitalization of $5.5 billion. This valuation reflects investor confidence in the company’s growth potential.

For Wood’s ARK Invest, this move fits with its existing portfolio strategy. ARK already holds positions in eToro’s main competitors.

Both Robinhood Markets Inc (NASDAQ:HOOD) and Coinbase Global Inc (NASDAQ:COIN) are major holdings in ARK’s Fintech ETF. They currently rank as the second and third largest positions in the fund.

This latest purchase shows Wood’s continued interest in trading platforms and cryptocurrency-related businesses.

Company Performance

eToro has shown impressive growth in recent periods. The company ended 2024 with 3.5 million funded accounts across 75 countries.

Its financial results have been eye-catching. Net income jumped by 1,161% last year, reaching $192 million.

The platform offers a range of investment options. Users can trade stocks and options through the service.

eToro was also an early entrant in cryptocurrency trading. This position has helped it capture market share as digital assets gained mainstream attention.

The successful IPO comes during a period of renewed interest in trading platforms. Retail investor participation has remained strong following the surge that began during the pandemic.

eToro’s public debut follows years of private growth. The company has built its brand around social trading features that let users follow and copy other investors’ strategies.

The increased offering size suggests strong demand from institutional investors during the IPO process. Underwriters saw enough interest to expand the number of shares available.

ARK’s quick move to acquire shares indicates Wood’s team had been watching eToro closely. The purchase was executed on the very first day of public trading.

The stock closed slightly lower on Thursday at $66.85, representing a minor decrease of 0.22% from its first-day closing price.

The post eToro (ETOR) Stock: Cathie Wood’s ARK Invests $9.4 Million in Red-Hot Trading Platform IPO appeared first on CoinCentral.

• QUBT shares rose 11.8% in premarket trading after reporting Q1 earnings
• Company posted $0.11 EPS, beating analyst expectations of a $0.07 loss
• Q1 revenue was $39,000, missing analyst estimates of $100,000
• Net income reached $17 million compared to a $6.4 million loss in Q1 2024
• QUBT completed construction of its Quantum photonic chip foundry in Tempe, Arizona

Quantum Computing Inc. shares jumped nearly 12% in premarket trading following the company’s first-quarter earnings report that delivered unexpected profits despite revenue shortfalls.

Quantum Computing Inc. (QUBT) saw its stock price climb sharply on Friday after the quantum technology company reported a surprise profit for the first quarter of 2025.

The company’s shares rose 11.8% to $10.33 in premarket trading after releasing financial results that beat earnings expectations despite falling short on revenue targets.

Quantum Computing reported first-quarter earnings of 11 cents per share, significantly outperforming analyst estimates that had projected a loss of seven cents per share.

This marks a major turnaround from the same period last year when the company posted a net loss of $6.4 million.

Revenue for the quarter came in at $39,000, which represents growth from the $27,000 reported in Q1 2024.

However, this figure missed analyst expectations of $100,000 according to data from Benzinga Pro.

Financial Position Strengthens

The company’s balance sheet showed substantial improvement during the quarter.  Total assets increased to $242.5 million as of March 31, 2025, up from $153.6 million at the end of 2024.

Cash and cash equivalents saw a dramatic boost, increasing by $87.5 million to reach $166.4 million by the end of the quarter.  This improved liquidity position gives the company more runway to fund its quantum computing initiatives.

Total liabilities decreased by approximately $25 million compared to year-end 2024, now standing at $21.7 million.  Meanwhile, stockholders’ equity rose to $220.8 million, reflecting the company’s strengthened financial position.

The gross margin decreased to 33% from 41% in Q1 2024, showing some variability at current revenue levels. Operating expenses increased to $8.3 million from $6.3 million in the same quarter last year, primarily due to higher employee-related costs.

Operational Milestones

Quantum Computing achieved several key operational milestones during the quarter that may have contributed to investor optimism.

The company completed construction of its Quantum photonic chip foundry in Tempe, Arizona, marking an important step in its manufacturing capabilities.

This facility is expected to play a crucial role in the company’s future production plans.

QUBT also secured its fifth purchase order for foundry services from a leading Canadian research institute, suggesting growing international demand for its quantum computing capabilities.

The company announced a new collaboration with the Sanders Tri-Institutional Therapeutics Discovery Institute.  This partnership will leverage QUBT’s Dirac-3 quantum optimization machine for advanced research applications.

Building on previous work with NASA, Quantum Computing secured a new subcontract with NASA’s Langley Research Center.

This agreement will apply the company’s Dirac-3 quantum machine to space agency research projects.  The company also strengthened its leadership team by adding Eric Schwartz to its Board of Directors.

Schwartz brings over 20 years of experience in financing, mergers and acquisitions, and corporate strategy.  Despite these positive developments, the company acknowledged it remains in the early stages of customer discovery and product validation.

This process takes time and could delay significant revenue growth in the near term.  The latest quarterly results show Quantum Computing’s net income reached $17 million or $0.13 per basic share, compared to its $6.4 million loss in the first quarter of 2024.

The post Quantum Computing Inc (QUBT) Stock: Shares Rally On Surprise Q1 Earnings Beat appeared first on CoinCentral.

• Citi raised Microsoft’s price target from $480 to $540, maintaining a Buy rating
• Microsoft announced a 3% workforce reduction expected to save over $1 billion
• Microsoft and OpenAI are resetting their partnership, potentially reducing Microsoft’s equity stake for extended technology access
• Microsoft stock has gained 18.9% in the past month despite broader economic challenges
• The company expects continued growth in Azure cloud services and maintains strong capital expenditure plans

Microsoft’s stock received a boost this week as Citi analysts raised their price target to $540 from $480 while maintaining a Buy rating on the tech giant’s shares. This adjustment follows Microsoft’s recent workforce reduction announcement and strong fiscal third-quarter 2025 results.

The company, currently valued at $3.37 trillion, has seen 24 analysts revise their earnings estimates upward for the upcoming period. Price targets now range from $429.86 to $650, reflecting widespread optimism about Microsoft’s prospects.

Microsoft recently announced a 3% reduction in its workforce. This move is expected to generate over $1 billion in net savings into fiscal year 2026, helping to offset increasing costs from depreciation and capital expenditures.

The tech giant’s management has expressed confidence in the current demand environment and investment cycle. They’ve confirmed expectations of capital expenditure growth for both the fourth fiscal quarter of 2025 and the full fiscal year 2026.

Citi’s optimistic outlook is reflected in their raised growth projections for Azure, Microsoft’s cloud computing service. They now anticipate 35% year-over-year constant currency growth in the fourth fiscal quarter and expect to maintain growth rates in the 30s percentage range for fiscal year 2026.

Partnership Evolution

In other significant news, Microsoft and OpenAI are working to reset their partnership. This development represents the latest chapter in a relationship that has been building between the two companies for the past six years.

The partnership initially began in 2019 with a $1 billion investment from Microsoft. Over time, that investment grew to over $13 billion, giving Microsoft access to OpenAI’s ChatGPT generative AI program. During this period, Microsoft built its network of AI agents (Copilots) that run on top of ChatGPT.

This strategic alliance has helped vault Microsoft to the forefront of the AI race. Shareholders have benefited tremendously, with MSFT stock delivering a total return of over 140% in the last five years.

However, the relationship has faced challenges since 2023. Tensions surfaced with OpenAI’s decision to fire Sam Altman in December 2022, raising questions about the partnership’s future direction.

By January 2025, the companies appeared to be heading for a potential breakup when Microsoft confirmed it would no longer be OpenAI’s sole cloud provider. However, OpenAI made a “new, large commitment” to Microsoft’s AI cloud computing platform, Azure.

Financial Implications

The reset partnership may involve Microsoft reducing its equity stake in OpenAI in exchange for access to new technology developed by OpenAI beyond the previously established 2030 cutoff. This would represent a key concession from OpenAI and provides another reason for long-term investors to remain bullish on MSFT stock.

Microsoft’s stock has demonstrated resilience, rising about 3% during a week when bulls returned to Wall Street. While this is below the returns of other technology stocks like NVIDIA and Apple, Microsoft had less ground to recover. Over the past month, MSFT stock has gained an impressive 18.9%.

Analysts view Microsoft as largely “tariff-proof.” While the company will have some exposure through its Xbox system, its software products remain largely immune to tariff concerns.

At 36x earnings, MSFT stock is trading at a slight premium to its historical averages and near the top of its 52-week range. The stock is currently trading at $453.13, up 0.04% as of the most recent close.

Citi has reiterated its Buy rating for Microsoft, basing the raised price target of $540 on a 44x multiple of the 2026 estimated enterprise value to free cash flow and a 36x price-to-earnings multiple.

The company is also making progress on regulatory fronts. Microsoft’s proposal to adjust the pricing of its Office product with and without the Teams app is reportedly set to be accepted by European Union antitrust regulators, potentially resolving a long-standing case following a complaint from Slack.

Microsoft stock continues to show strength despite recent workforce reductions, with the company’s leading position in generative artificial intelligence and cloud computing driving investor confidence.

The post Microsoft (MSFT) Stock: Why Analysts Are Getting Even More Bullish on the Tech Giant appeared first on CoinCentral.

• Stephen Hemsley returns as UnitedHealth CEO with a $61M pay package, mostly in stock options vesting after three years
• UNH shares have fallen 59% from their peak six months ago
• The company suspended its 2025 earnings outlook on May 13 and announced immediate CEO transition
• Higher-than-expected healthcare utilization rates are squeezing profit margins
• Despite current struggles, the company’s dividend yield has risen to 3.3% at recent prices

UnitedHealth Group’s board has turned to a familiar face to guide the healthcare giant through turbulent waters. Stephen Hemsley, who previously led the company for more than a decade until 2017, has returned as CEO, replacing Andrew Witty who departed on May 13.

Hemsley, 72, takes the helm during a challenging period. UnitedHealth has seen its stock price plummet by more than half in the past month following disappointing first-quarter results and reduced earnings projections.

The returning CEO will receive a pay package worth $61 million, consisting primarily of stock options valued at $60 million that vest after three years, plus a $1 million annual salary. Notably, his compensation package doesn’t include an annual bonus, an unusual arrangement for a CEO of such a large company.

The stock options will vest all at once after three years without performance criteria that have become standard in modern executive compensation plans. This structure suggests Hemsley’s appointment is expected to last at least three years.

His compensation agreement includes provisions that would allow him to keep the stock options in most circumstances if he leaves before the three-year mark. If removed from his position after the first year, the options would continue to vest for two years while he would be barred from working for competitors.

What Went Wrong

UnitedHealth’s current problems stem from healthcare expenses outpacing the monthly premiums it collects. The company has been particularly poor at anticipating this trend compared to its competitors.

On April 17, UnitedHealth adjusted its 2025 earnings outlook downward, from a range of $28.15-$28.65 per share to $24.65-$25.25 per share. Less than a month later, on May 13, the company took the unusual step of suspending its guidance altogether.

During a May 13 conference call, UnitedHealth President and CFO John Rex identified two key issues affecting profit margins. First, new members’ health status isn’t as robust as anticipated. Second, utilization within the Medicare Advantage program has accelerated beyond previous projections, with the trend spreading to other areas.

The situation has been so uncertain that on May 15, UNH shares fell to a level 59% below their peak from six months earlier. The stock now trades at approximately 10.7 times trailing earnings, an ultra-low valuation for the healthcare giant.

Recovery Prospects

Despite current challenges, there are reasons for optimism about UnitedHealth’s long-term prospects. While the company mispriced premiums for 2025, it can adjust pricing for 2026. Management is already incorporating higher costs into Medicare Advantage bids due in June.

UnitedHealth maintains structural advantages over competitors. Its integrated-care strategy can offer savings that smaller, less-integrated competitors can’t match. Through Optum Health, it employs around 10% of America’s physicians, likely making it the country’s largest physician employer.

The company also operates Optum RX, one of the three largest pharmacy benefits management businesses, giving it strong negotiating power. This integrated approach has historically helped UnitedHealth deliver consistent earnings growth.

For income-focused investors, the stock’s beaten-down price has pushed its dividend yield to 3.3%. Over the past decade, UnitedHealth increased its dividend by 320%. While dividend growth may slow in the near term, the current payout of $8.40 per share annually appears sustainable even if 2025 earnings decline substantially.

Though management has suspended specific guidance for 2025, they maintain confidence in generating double-digit percentage earnings growth over the long run. Even with more modest growth, the current valuation could provide opportunities for patient investors.

Hemsley helped transform UnitedHealth from an insurance company into a $400 billion conglomerate during his previous tenure. Shareholders are hoping his return signals a path back to the steady earnings growth that characterized his earlier leadership.

The most pressing task for the returning CEO will be addressing the utilization trends that have thrown the company’s forecasting off track. How quickly Hemsley can right the ship will determine whether UnitedHealth can return to its position as a healthcare industry stalwart.

The post UnitedHealth Group (UNH) Stock: CEO Stephen Hemsley Returns with $61M Pay Package as Stock Struggles appeared first on CoinCentral.

• Alibaba stock fell 7.6% after missing Q4 earnings and revenue expectations
• Cloud revenue grew impressively at 18% year-over-year with AI products showing triple-digit growth
• Taobao and Tmall Group revenue increased 9%, ahead of expectations
• The company bought back nearly $12 billion in shares and announced a two-part dividend
• Analysts maintain Buy ratings with average price targets suggesting 34% upside potential

Alibaba Group Holding reported disappointing fiscal fourth-quarter results on Thursday, sending its American depositary shares down 7.6% to $124.17. Despite the setback, many analysts remain optimistic about the Chinese e-commerce and cloud computing giant’s future prospects.

The company reported net income of 12.38 billion Chinese yuan ($1.71 billion) for the quarter ended March 31. Revenue climbed 7% from a year ago to $32.58 billion.

These figures fell short of analyst expectations. Wall Street had projected net income of $2.93 billion and revenue of $33.28 billion, according to FactSet.

The stock drop comes after Alibaba shares had surged approximately 60% since the start of the year. This strong performance may have set the bar too high for the quarterly report.

Cloud Computing and AI Drive Growth

Despite the headline miss, there were several bright spots in the report. Alibaba’s cloud business showed particularly strong momentum, with revenue increasing 18% year-over-year to RMB30.1 billion.

AI-related product sales have been a standout performer. These products have now delivered triple-digit growth for seven consecutive quarters.

The company’s open-source AI model series, Qwen3, is also gaining traction in the market. This progress in AI capabilities is a key factor in analysts’ continued optimism.

Morgan Stanley analyst Gary Yu noted that Alibaba’s cloud performance met expectations. He sees the cloud division as central to the company’s growth strategy, especially as AI adoption accelerates across China.

Core retail operations also showed resilience. Revenue from the Taobao and Tmall Group grew 9% year over year, exceeding expectations according to Benchmark Equity Research analyst Fawne Jiang.

The company’s international digital commerce segment grew more than 20% in the quarter. Its digital media and entertainment segments also saw growth exceeding 20%.

Shareholder Returns and Valuation

Alibaba has been actively returning cash to shareholders. The company repurchased nearly $12 billion worth of shares in fiscal 2025, reducing its share count by more than 5%.

A two-part dividend totaling $4.6 billion is expected to be paid out in July. This package includes both the regular payout and a special dividend.

From a valuation perspective, Alibaba trades at a forward price-to-earnings ratio of 13 times. This represents just over half of its five-year average, suggesting the stock may be undervalued despite its strong run-up earlier this year.

Consensus estimates call for earnings per share to climb 10% this fiscal year to $10. Analysts project further growth of more than 12% in the following fiscal year.

The stock currently has 16 unanimous Buy ratings from analysts tracked by TipRanks. The average price target stands at $167.13, implying nearly 35% upside potential from current levels.

UBS analyst Kenneth Fong maintained a Buy rating with a $180 price target. He pointed to steady trends in Alibaba’s core commerce business and narrowing losses in non-core areas.

Citi analyst Alicia Yap also keeps a Buy rating with a $169 price target. Benchmark’s Jiang has set an even more optimistic target of $190.

While challenges remain, including concerns about the Chinese economy and ongoing trade tensions, many of the catalysts for Alibaba’s growth—including the AI revolution and the Chinese government’s efforts to support economic growth—remain intact.

The recent earnings miss appears to be a bump in the road rather than a sign of deeper problems. For investors with a longer-term horizon, the current pullback could represent a buying opportunity.

The post Alibaba Group (BABA) Stock: Why Analysts See 34% Upside Despite Q4 Stumble appeared first on CoinCentral.

• Apple stock slightly down after Trump criticized CEO Tim Cook for manufacturing in India instead of the US
• Trump wants Apple to build iPhones in America, continuing his “Made in USA” iPhone push
• Apple plans to source most US-bound iPhones from India by 2026 to avoid tariffs
• Analysts estimate US-made iPhones would cost $3,500 vs. $1,000 today
• Apple has committed to $500 billion investment and 20,000 new jobs in the US

Apple shares fell slightly yesterday after President Donald Trump publicly criticized CEO Tim Cook for the company’s manufacturing strategy in India. Speaking in Qatar, Trump made it clear he wants Apple to build products in the United States, not overseas.

“I had a little problem with Tim Cook yesterday. I said to him, Tim, you’re my friend. I treated you very good. You’re coming here with $500 billion but now here you are building all over India,” Trump said during his Qatar speech.

The President didn’t mince words about his expectations. “We’re not interested in you building in India. India can take care of themselves. They’re doing very well. We want you to build here,” he stated.

Apple stock dipped 0.9% in early trading, slightly underperforming the broader market.

The criticism targets Apple’s core strategy to avoid the worst impacts of Trump’s trade policies. The tech giant plans to ship most US-bound iPhones from India rather than China by the end of 2026.

This approach would allow Apple to claim India as the “country of origin” when iPhones enter the United States.

The Tariff Tango

The manufacturing shift comes as Trump has taken an aggressive stance on trade. While he recently reduced Chinese tariffs from 145% to 30% under a 90-day agreement, Indian imports still face a proposed 26% tariff.

These tariffs are currently paused until July to allow for negotiations.

For Apple, the math is clear. Moving production to India provides more tariff stability compared to China.

Apple has already told analysts that shipping devices from India and Vietnam instead of China will add about $900 million to the company’s costs for the current quarter.

The Made-in-America Dream

Trump’s push for American-made iPhones isn’t new. It’s been a consistent theme throughout his presidency.

However, analysts question whether US iPhone manufacturing makes financial sense. Wedbush analyst Daniel Ives estimates a US-made iPhone would retail for $3,500 compared to today’s $1,000 price tag.

Some Apple suppliers are expanding their US presence. Chip manufacturer Taiwan Semiconductor Manufacturing (TSM) has increased American operations.

But key manufacturing partner Foxconn has scaled back its planned $10 billion Wisconsin plant that was announced in 2017.

Apple has committed to substantial US investment. The company pledged to invest more than $500 billion and hire approximately 20,000 people in the United States over the next four years.

However, these jobs focus more on engineering, software development, and artificial intelligence rather than manufacturing.

Apple has made some moves toward US production. The company announced plans to build artificial-intelligence servers in Texas.

Reports suggest Apple is considering ways to bring iPhone production to the US, but the process could take years according to The Wall Street Journal.

The company didn’t immediately respond to requests for comment on Trump’s criticism.

Apple’s manufacturing strategy highlights the complex reality of global supply chains. While moving some production to avoid tariffs, complete reshoring to the US remains financially challenging.

For now, Apple investors seem to be taking Trump’s comments in stride. The stock’s minimal movement suggests shareholders aren’t overly concerned about immediate impacts on Apple’s business strategy.

The tech giant continues to navigate the complex landscape of international trade relations as it makes decisions about its global manufacturing footprint.

The post Apple (AAPL) Stock: Trump Criticizes Cook’s India Manufacturing Plan as Shares Dip appeared first on CoinCentral.

• Berkshire Hathaway reduced holdings in Bank of America and Capital One, completely sold Citigroup stock in Q1 2025
• The company doubled its stakes in Pool Corp and Constellation Brands
• Berkshire maintained its Apple position for a second consecutive quarter, valued at $66.6 billion
• Cash and Treasury bills reached a record $333 billion
• Warren Buffett will step down as CEO at the end of 2025, with Greg Abel taking over on January 1

Warren Buffett’s Berkshire Hathaway made several changes to its stock portfolio in the first quarter of 2025, continuing to trim financial holdings while boosting certain consumer brands.

The Omaha-based conglomerate was a net seller of stocks, buying $3.2 billion in equities while selling about $4.7 billion during the quarter.

Berkshire cut its Bank of America stake by 7.2%, representing 48.6 million shares. The company now holds 631 million shares of the banking giant.

Capital One Financial saw a more modest reduction, with Berkshire selling 4% of its position, or about 300,000 shares. This leaves the company with approximately 7.15 million shares.

Most notably, Berkshire completely exited its Citigroup position, selling all remaining 14.6 million shares. This follows previous reductions in late 2024.

Beverage and Pool Investments Grow

In contrast to these financial sales, Berkshire doubled its holdings in Constellation Brands, the distributor of popular beer brands Modelo and Corona. The stake now stands at 12 million shares.

Berkshire also doubled its position in Pool Corp, adding 865,000 shares to reach approximately 1.5 million shares total.

The company maintained its position in Apple for a second consecutive quarter after selling much of the stake earlier last year. The Apple investment remains Berkshire’s largest stockholding, valued at $66.6 billion as of March 31.

At Berkshire’s annual meeting on May 2, Buffett praised Apple CEO Tim Cook’s leadership.

Another intriguing detail emerged from the regulatory filing. Berkshire requested confidential treatment from the SEC for one or more holdings that were omitted from its public Form 13F.

Based on information in Berkshire’s 10-Q report, Barron’s estimated this new confidential holding is likely worth between $1-2 billion. Berkshire has previously requested similar confidentiality when accumulating its stake in Chubb.

Berkshire also completely eliminated its investment in Nu Holdings, which operates the Brazilian digital bank Nubank, selling all 40 million shares during the quarter.

The company reduced its stake in Liberty Formula One by approximately 50%, now holding 3.5 million shares.

Leadership Transition and Cash Position

Berkshire’s cash and Treasury bills reached a record $333 billion after accounting for payables for purchasing short-term government debt. Market observers have been watching to see when Buffett will deploy this massive cash pile.

The investing world received surprising news at Berkshire’s annual meeting when Buffett announced he would step down as chief executive at the end of the year. At 94 years old, the legendary investor told The Wall Street Journal in a recent interview that he is “finally feeling his age.”

Berkshire’s board has approved Greg Abel, who currently oversees the company’s non-insurance subsidiaries, to become president and chief executive effective January 1, 2026. Buffett will continue to serve as chairman of Berkshire’s board.

The stock movements occurred before President Trump announced sweeping tariff plans that temporarily unsettled the market. When asked at the annual meeting if the resulting volatility presented investment opportunities, Buffett downplayed the episode.

“This has not been a dramatic bear market or anything of the sort,” he said.

Berkshire’s Class B shares have performed well in 2025, rallying 12% year-to-date, significantly outpacing the S&P 500’s modest 0.6% gain during the same period.

Many of Berkshire’s smaller equity holdings—those under $2-3 billion—are managed by investment managers Todd Combs and Ted Weschler, who together handle about 10% of the equity portfolio. Buffett manages the rest, with all three generally operating independently of each other.

Berkshire sold its last Citigroup shares during the first quarter of 2025.

The post Berkshire Hathaway (BRK.B) Stock: Buffett Dumps Banks, Drinks More Beer in Q1 Shake-up appeared first on CoinCentral.

• Pinterest reported strong Q1 results with revenue up 16% to $855 million and adjusted EPS up 35% to $0.23
• CEO Bill Ready’s transformation strategy focuses on making the platform shoppable and leveraging AI for better user experience
• Monthly active users increased 11% to 570 million, with international markets showing strongest growth
• Wolfe analyst Shweta Khajuria upgraded PINS to Buy with a $40 price target (24% upside)
• Performance+ advertising suite is driving revenue acceleration with estimated 2-3 percentage point growth lift

Pinterest’s recent quarter showed impressive results across all key metrics. The company reported revenue of $855 million, representing a 16% year-over-year increase that surpassed analyst expectations of $847 million.

This growth was driven by improvements in both user numbers and monetization. Monthly active users climbed 11% to reach 570 million globally.

The company’s strategy under CEO Bill Ready appears to be bearing fruit. Since taking the helm nearly three years ago, Ready has focused on transforming Pinterest into a more shoppable platform.

Pinterest has been investing heavily in artificial intelligence to enhance the user experience. Their multimodal AI model, trained on both image and text data, aims to better interpret user input and provide more personalized recommendations.

These improvements have led to greater user engagement and more effective ad placements. The company’s average revenue per user increased 5% year-over-year to $1.52.

Regional Performance Shows Promise

The strongest user growth came from international markets. “Rest of world” users increased 14% to 320 million, while U.S. and Canada users grew 4% to 102 million, and European users increased 5% to 148 million.

Revenue growth followed a similar pattern. U.S. and Canada revenue increased 12% to $663 million, European revenue climbed 24% to $147 million, and “rest of world” revenue surged 49% to $45 million.

The company has been successfully exporting its shopping playbook to markets outside North America. International monetization represents a major growth opportunity for Pinterest.

On the profitability front, Pinterest saw its adjusted EBITDA jump 36% year-over-year to $172 million. Adjusted earnings per share rose by 35% to $0.23.

For Q2, Pinterest forecasts revenue between $960 million and $980 million, representing 12% to 15% growth. This guidance exceeded analyst expectations of $966 million.

Analyst Upgrade Reflects Growing Confidence

Wolfe analyst Shweta Khajuria recently upgraded Pinterest stock to Buy from Hold, maintaining a $40 price target. This implies more than 24% upside from current levels.

Khajuria cited a “more muted” macroeconomic overhang, helped by developments like the U.S.-China trade agreement. The recent strong quarterly results serve as “proof points” of improving fundamentals.

A key driver behind the analyst’s optimism is Pinterest’s Performance+ advertising suite. This tool is becoming central to revenue acceleration, with estimates suggesting it contributes 2-3 percentage points of growth lift.

Field tests revealed a 27.7% boost in impressions and 22.5% lower cost-per-clicks compared to campaigns not using the tool. This improved efficiency is helping Pinterest gain share in the digital advertising market.

Pinterest’s growing third-party ad business, including its partnership with Amazon, represents another long-term catalyst that could unlock further monetization potential.

Despite the stock’s recent rally following earnings, shares still trade at a forward P/E ratio of about 18 based on 2025 analyst estimates. This represents a discount to advertising peers like Snap and The Trade Desk.

Pinterest shares have gained 12% year-to-date, outperforming Snap (down 20%) and The Trade Desk (down 34%). However, the stock remains down about 21% over the past 12 months.

Wall Street overall is bullish on Pinterest stock, with a Strong Buy consensus rating based on 25 Buys and seven Hold recommendations. The average price target stands at $39.83, suggesting 23.54% upside potential.

The company continues to face some challenges, noting that tariffs have impacted spending from Asia-based e-commerce retailers in the U.S. However, these advertisers have shifted spending to Europe and other regions in response.

Pinterest stock has shown rally-like behavior before, only for gains to eventually fade. The question for investors is whether this latest surge has more staying power given the company’s improving fundamentals.

The post Pinterest (PINS) Stock: Q1 Revenue Growth and Analyst Upgrade Point to Strong Outlook appeared first on CoinCentral.

• Netflix shares have surged 25% since April, outperforming the S&P 500’s 4.1% gain
• The company is approaching a $500 billion market cap, with shares trading at $1,173.25
• Netflix’s ad-supported tier now has 94 million monthly active users, up from 70 million in November
• Analysts remain bullish with price targets up to $1,230, citing ad revenue growth potential
• Despite high valuation at 43 times future earnings, Netflix’s expected earnings growth may justify the premium

Netflix continues its impressive run in 2025, emerging as a standout performer in a challenging market. The streaming giant’s stock has jumped 25% since early April, when President Trump’s tariff plans triggered market-wide selling. Now, Netflix is on the verge of reaching a $500 billion market cap for the first time.

The company has proven to be largely immune to trade tensions. Netflix imports content rather than physical goods, shielding it from the impact of tariffs.

Even when Trump threatened 100% import duties on foreign movies, the stock dipped only 2%.

Investors recognize that Netflix could offset potential impacts by shifting production to the US or adjusting subscription prices.

The streaming service has historically performed well during economic uncertainty. It delivered double-digit gains during the COVID-19 pandemic as lockdowns drove viewership of hit shows.

Ad Business Gaining Momentum

Netflix’s ad-supported tier is showing strong growth. The company recently revealed it now has 94 million monthly active users for its ad tier.

This represents an increase of more than 20 million users since November and more than double the 40 million reported in May 2024.

The ad-supported plan is priced at $7.99, significantly lower than the cheapest ad-free plan at $17.99.

Netflix executives project that ad revenue will double this year. Advertising president Amy Reinhard stated that ad-supported tiers added 24 million users over the past six months.

The company plans to leverage artificial intelligence to enhance ad targeting and profitability.

Netflix will roll out its Ad Suite in EMEA next week and launch AI-powered ad formats in 2026, creating what BMO Capital analyst Brian Pitz calls “a multi-year catalyst for ad revenue growth.”

Wall Street analysts have responded positively to these developments. Evercore’s Mark Mahaney maintains a Buy rating with a $1,150 price target.

BMO Capital’s Brian Pitz reaffirmed a Buy rating with a $1,200 target. Seaport Research’s David Joyce raised his price target to $1,230 from $1,060.

Growth Beyond Streaming

The valuation question looms large for potential investors. At 43 times future earnings, Netflix trades at a premium to both the S&P 500 (21 times) and the “Magnificent Seven” tech giants (27 times).

However, the company has averaged a price-to-earnings ratio of 52 over the past five years. From this perspective, the current valuation isn’t unusual.

Baillie Gifford strategist Ben James believes Netflix’s operating margins could nearly double from the current 27% by the end of 2030.

The company has built what James calls a “flywheel” of growth, where more subscribers enable more content investment, which attracts even more users.

Netflix executives reportedly target a $1 trillion market cap by the end of 2030, according to The Wall Street Journal.

The company is also expanding beyond streaming. February saw the opening of its first restaurant, Netflix Bites in Las Vegas, featuring dishes inspired by its shows and films.

Netflix plans to launch experiential venues called Netflix Houses later this year.

Live sports programming represents another growth avenue, potentially helping the company reach new market segments.

Despite having 301.6 million global subscribers, Netflix still has room to grow. CFO Spencer Neumann previously estimated a total addressable market of 700 million to 1 billion homes.

Analysts expect Netflix’s earnings before interest, taxes, depreciation, and amortization to rise 26% this year, 20% in 2026, and 18% in 2027.

Netflix stock has rallied 32% so far in 2025, with Wall Street maintaining a Strong Buy consensus based on 28 Buy and eight Hold recommendations.

The post Netflix (NFLX) Stock: The Streaming Giant That Just Won’t Stop Growing appeared first on CoinCentral.

• Meta’s Behemoth AI model release delayed from June to fall 2025 or later due to capability issues
• META stock fell 2.4% Thursday but stabilized Friday, still up 10% for 2025 as top Magnificent Seven performer
• Meta increased 2025 capital expenditure forecast to $64-72 billion for AI development
• COO Javier Olivan sold 608 shares at $631.25, continuing a pattern of regular sales
• Meta beat Q1 earnings estimates with $6.43 EPS vs $5.33 expected and $42.31 billion revenue

Meta Platforms is facing challenges with its artificial intelligence ambitions. The Facebook parent company has pushed back the release of its Behemoth large-language model, initially planned for April, then June, and now delayed until fall 2025 or later.

Engineers are struggling to improve the model’s capabilities. Some staff have questioned whether Behemoth offers enough improvements over previous versions to justify a public release.

This delay comes as Meta pours billions into AI development. The company recently increased its 2025 capital expenditure forecast to between $64 billion and $72 billion, up from the previous range of $60-65 billion.

Despite the setback, Meta’s stock has shown resilience. After falling 2.4% on Thursday following The Wall Street Journal’s report on the delay, shares stabilized in Friday’s premarket trading.

META remains the top performer among the Magnificent Seven tech stocks in 2025, up 10% year-to-date through Thursday’s close.

Executive Movements and Insider Trading

Meanwhile, Meta’s Chief Operating Officer Javier Olivan continues a pattern of regular stock sales. He sold 608 shares at $631.25 per share on May 12, netting $383,800.

This transaction reduced Olivan’s position by 19.06%, leaving him with 2,582 shares valued at approximately $1.63 million.

The sale follows similar weekly transactions by Olivan. He has consistently sold 608 shares every Monday since early March, with selling prices ranging from $488.18 to $673.96 per share.

These routine sales appear to follow a predetermined trading plan rather than reflecting any immediate concerns about the company’s prospects.

Meta shares have traded between $442.65 and $740.91 over the past 52 weeks. The stock closed at $659.36 on Wednesday, with heavy trading volume of over 12.3 million shares.

Financial Performance Remains Strong

Despite the AI delays and insider selling, Meta’s financial performance continues to impress investors.

In its latest quarterly report released on April 30, Meta posted earnings per share of $6.43, surpassing analysts’ consensus estimates of $5.33 by a substantial margin.

Revenue reached $42.31 billion for the quarter, exceeding expectations of $41.45 billion and representing a 16.1% increase year-over-year.

The company maintains a healthy balance sheet with a debt-to-equity ratio of just 0.16. Meta’s current ratio stands at 2.98, indicating strong short-term liquidity.

Meta also rewards shareholders with a quarterly dividend of $0.525 per share, representing an annual yield of 0.32%. The company recently increased this dividend from its previous $0.50 quarterly payment.

Wall Street remains largely bullish on Meta’s prospects. Of the analysts covering the stock, 37 rate it a “buy,” 2 give it a “strong buy,” 4 maintain a “hold,” and only 1 recommends “sell.”

The average price target stands at $696.45, suggesting potential upside from current levels.

Meta’s market capitalization stands at approximately $1.67 trillion, with a price-to-earnings ratio of 27.57.

In other company news, Meta asked a federal judge on Thursday to dismiss the Federal Trade Commission’s antitrust case alleging it operates an illegal social media monopoly. The trial, which concerns Meta’s acquisitions of WhatsApp and Instagram, began last month.

As Meta navigates these challenges, investors appear to be taking a measured approach, focusing on the company’s strong financial fundamentals rather than the temporary AI development delays.

The post Meta Platforms (META) Stock: AI Model Delay and Insider Selling Impact Tech Giant’s Momentum appeared first on CoinCentral.