While Facebook parent Meta Platforms has already reported, Nvidia and Shockwave Medical join seven other stocks on IBD Leaderboard or related watchlists on tap to release earnings in May.
MercadoLibre and HubSpot — profiled in the IBD New America column last week — both report on Wednesday, followed by Floor & Decor on Thursday. Shockwave Medical is due May 8 as SWAV stock sets up a potential breakout. Popular Swiss shoemaker On Holding, which collaborates with recently retired tennis star Roger Federer, laces up to report on May 16.
Nvidia stock, just highlighted as the IBD Stock Of The Day, continues an impressive rebound off its October lows. The leader in self-driving car technology, artificial intelligence, the metaverse, gaming graphics and more reports May 24. Nvidia jumped over 4% in strong volume Monday to kick off the new week.
After gapping up in huge volume on an earnings beat on April 26, fellow metaverse play META stock has held and added to those gains.
SWAV, Nvidia Stock Highlight High-Powered Ratings
Each of these nine stocks to watch with earnings due sports a stellar Composite Rating. HubSpot, Shockwave Medical and others earn the highest-possible 99 rating, meaning they're outpacing 99% of all stocks in terms of key stock-picking traits. NVDA, CRM and FND sport a strong 98 Composite Rating,
Plus, each of these nine stocks shows strong institutional buying, as evidenced by a B- or better Accumulation/Distribution Rating. This metric tracks large-lot buying and selling by mutual funds and other large investors over the past 13 weeks. For example, A- or higher ratings for On Holding, Shockwave Medical, ELF Beauty and Nvidia stock indicate heavy buying during that period.
| Company | Symbol | EPS Due Date | EPS Est Cur Qtr % | Comp Rating | EPS Rating | RS Rating | SMR Rating | A/D Rating |
|---|---|---|---|---|---|---|---|---|
| HubSpot | HUBS | 3-May | 54 | 99 | 99 | 94 | B | B- |
| MercadoLibre | MELI | 3-May | 116 | 99 | 76 | 94 | A | B |
| Floor & Decor | FND | 4-May | 0 | 98 | 97 | 93 | A | B |
| Shockwave Medical | SWAV | 8-May | 85 | 99 | 80 | 97 | A | A- |
| On Holding | ONON | 16-May | 91 | 99 | 79 | 97 | A | A |
| Skyline Champion | SKY | 23-May | -38 | 99 | 98 | 94 | A | B |
| Nvidia | NVDA | 24-May | -52 | 98 | 63 | 98 | B | A- |
| ELF Beauty | ELF | 25-May | 47 | 99 | 94 | 99 | A | A- |
| Salesforce | CRM | 30-May | 553 | 98 | 96 | 91 | B | B |
Nvidia Leads Crop Of Bases, Breakouts Ahead Of Earnings
Earnings season always offers a mix of potential reward — and risk. The prospect for how a company will report, as well as how Wall Street will react, creates uncertainty that investors can best manage with a clear set of rules for both how to buy stocks and when to sell stocks.
Nvidia stock has just cleared a 281.20 buy point in a four-weeks tight pattern. The pioneer and long-term leader in computer graphics processors (GPUs) has also made inroads in the virtualization, data center, AI, supercomputing and autonomous vehicle technology markets. Further expansion of the metaverse is also on the horizon.
Analysts forecast a 52% slowdown in earnings when the company reports later this month. While Wall Streets sees flat earnings growth for the current fiscal year 2024, analysts see a rebound to 47% EPS growth in fiscal 2025.
Floor & Decor continues to test a buy zone from a first-stage cup with handle showing a 99.47 buy point. HubSpot is also in buy range after testing a 418.49 entry. Both HUBS and FND stock have shown resilience, successfully finding support at their 50-day moving averages after breaking out.
Shockwave Regroups, Sets Up Cup Pattern
After a failed breakout in October, Shockwave Medical has regrouped to set up a cup pattern with a 320.64 buy point. SWAV stock undercut the low in its prior pattern to reset the base count. That creates a new first-stage pattern, offering a higher likelihood of success.
Lululemon Athletica, which reports on June 1, is also in buy range. LULU stock gapped up to a nearly 13% one-day gain on earnings March 29. The yoga-inspired apparel leader held those gains, stretching further into the buy zone a month ahead of its next report.
Please note that, as these top-rated stocks to watch build on these moves, ELF, ONON, CRM and META stock are extended beyond buy ranges from their most recent breakouts.
Follow Matthew Galgani on Twitter at @IBD_MGalgani.
