| | Good Afternoon! | Hey, everyone. It's Adam from Elite Trade Club. Here’s what moved the market today. |
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| | | | Markets 📈 | The US stock market selloff extended on Friday after fresh data showed that US consumer spending recovered less than expected last month. Meanwhile, investors are also worried about rising inflation expectations. | DJIA [-1.69%] S&P 500 [-1.97%] |
| Nasdaq [-2.70%] Russell 2K [-2.22%] |
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| | Market-Moving News 📈 | Manufacturing | Wolfspeed Faces Operational Crossroads as U.S. Subsidies Hang in Balance | | Wolfspeed Inc. (NYSE: WOLF) has named a new chief executive as part of a broader effort to navigate operational and funding challenges. The announcement follows a sharp market reaction, with the company’s shares dropping more than 45% to their lowest level in over two decades. | Leadership changes come as the chipmaker adjusts operations in response to declining demand in the automotive segment. The company previously shut down its Durham, North Carolina, fabrication plant and announced workforce reductions affecting roughly one-fifth of its employees. | Efforts to secure federal support under the CHIPS Act remain unresolved. Wolfspeed awaits a decision on its application for up to $750 million in funding to bolster domestic semiconductor production. The grant remains one of the largest unallocated awards tied to the legislation. | The U.S. government's debate over the CHIPS Act’s future has raised questions for several semiconductor manufacturers. Recent statements from federal leadership suggest funding priorities could shift, introducing new uncertainty around pending allocations. | Wolfspeed continues to focus on expanding silicon carbide chip production, which is critical in electric vehicles and power systems. Transitioning leadership signals an internal commitment to repositioning for long-term efficiency and execution. | As Wolfspeed refines its strategy, additional announcements regarding plant operations, hiring, or CHIPS Act developments are expected in the coming months. |
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| | | | Consumer Technology | Alphabet Resolves Long-Standing Ad Dispute With $100 Million Settlement | | Alphabet Inc. (NASDAQ: GOOGL) has agreed to pay $100 million to resolve a class action lawsuit over alleged overcharges in its Google Ads program. The preliminary settlement was filed in federal court in San Jose and awaits judicial approval. | Advertisers claimed that Google failed to deliver promised ad discounts and improperly charged them for clicks outside their targeted geographic zones. The case centered on the company’s Smart Pricing formula and the delivery of ads outside designated areas, which plaintiffs argued violated contract terms and state competition laws. | The class action covers advertisers who used Google’s AdWords program between January 2004 and December 2012. Plaintiffs alleged that changes during this period harmed advertisers financially, while Google denied any wrongdoing in agreeing to the settlement. | Settlement discussions involved exchanging over 910,000 pages of internal documents and several terabytes of clickstream data. Mediation efforts spanned multiple years and included six sessions with four different mediators. | Legal representatives for the plaintiffs may seek attorney fees up to one-third of the settlement amount, plus several million in expenses. Pending court approval, the agreed payment will go to the impacted advertisers. | Alphabet noted that the practices at issue predate current ad systems and policies. While this concludes one legal matter, the company faces regulatory and legal scrutiny across various markets. |
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| | | How to Get Rich in a Market Crash | | How to Get Rich in a Market Crash |
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| | Next-Gen Display Tech (Sponsored) | | | Remember when OLED's IPO at $6 soared to $252.69, a 4,090% gain? | A pioneering company has the potential to deliver the next generation of MicroLED displays, a sector projected to reach $21 billion by 2027. | Learn about the low float company leading this charge. | *Examples that we provide of share price increases pertaining to a particular Issuer from one referenced date to another represent an arbitrarily chosen time period and are no indication whatsoever of future stock prices for that Issuer and are of no predictive value. Our stock profiles are intended to highlight certain companies for YOUR further investigation; they are NOT stock recommendations or constitute an offer or sale of the referenced securities. |
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| | Retail | Amazon Under Fire in India Over Product Certification Violations | | Amazon (NASDAQ: AMZN) is under regulatory pressure in India following a series of warehouse inspections by the country's Bureau of Indian Standards (BIS). Authorities carried out raids at several warehouse locations in Delhi, targeting products that lacked mandatory quality certifications. | Inspectors seized household appliances such as food mixers and water heaters from Amazon-operated facilities. According to officials, these products either displayed fake certification marks or lacked them entirely, violating India's consumer protection rules. | Regulators launched a similar enforcement operation earlier this month in Tamil Nadu. During that operation, Amazon and other e-commerce platforms were found to be selling non-compliant goods. In response, Amazon India stated it is working with relevant authorities and intends to comply with local laws and regulations. | India has become a key market for Amazon's international growth strategy. The country's e-commerce sector is projected to exceed $160 billion by 2028, making regulatory compliance increasingly critical for foreign retailers. | BIS also targeted Flipkart during the same series of inspections. Officials seized sports shoes that failed to meet certification guidelines. Both companies have faced scrutiny from Indian regulators over preferential treatment and antitrust issues. | Amazon continues to face complex legal and regulatory challenges in the Indian market. Authorities remain focused on ensuring imported and domestic goods meet established quality and safety standards. |
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| | Top Winners and Losers 🔥 | | Portage Biotech Inc [PRTG] $9.60 (+103.82%) | Portage Biotech saw its stock more than double on Friday. The company shared new research showing its experimental drug slowed tumor growth in a cancer called mesothelioma. | Dbv Technologies ADR [DBVT] $6.20 (+53.09%) | Dbv Technologies, a French biotech firm, surged after securing over $300 million in financing to fund the potential FDA approval and launch of its skin patch for peanut allergies on the US markets. | Argan Inc [AGX] $138.16 (+19.90%) | Power project builder Argan, a $1.8 billion company, turned bullish after posting robust financials for the last quarter of fiscal year 2025. |
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| | | | Zspace Inc [ZSPC] $8.19 (-19.63%) | Zspace, a tech company providing AR and VR solutions for K-12 schools, was one of the worst performers after releasing disappointing Q4 and annual results for 2024. | VirTra Systems Inc [VTSI] $4.27 (-17.33%) | Law enforcement training provider VirTra Systems is another company hit by lower-than-expected financial results, as its Q4 revenue was only 50% compared to the same period in 2023. | AAR Corp [AIR] $57.15 (-16.39%) | Aviation services company AAR Corp plunged after missing Q3 estimates by over $20 million, failing to hit the expected $700 million mark. The stock price fell to its lowest since mid-2023. |
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| | | | That's it for today! Please, write us back, and let us know what you think of the Closing Bell Roundup. We're always eager to hear feedback! | Thanks for reading. I'll see you at the next open! | Best Regards, — Adam G. Elite Trade Club |
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