DELL's BLOWOUT EPS KEEPS THE AI RALLY GOING. EARNINGS DRIVE MASSIVE GAINS IN MAY

Añadido: 2026-05-31

[00:00:02]Hello investors, this is Todd Thomas, associate portfolio manager with River Asset Management. Today is Friday, May 29th. The time is 4:55 p.m. Coming to you from Boca Raton, Florida, bringing you the River Roundup daily market insight video.

[00:00:19]Well, pretty decent day today. But before we start, I would like to ask you to please like, share, and subscribe and comment to our videos via YouTuber X. We really appreciate uh all the support. We provide more uh free information than any firm out there and we would love for the algorithms to continue to get to the people that can help uh benefit from what we provide. So, please take the time to just check the like button and share our video. Current state of the market, four coveted up green arrows continues. Today, Dell reports a blowout uh earnings report last night. Guidance also just unbelievable. Uh the theme of today is software which just dominated uh pretty much everything. Going through our index proxies, the 21 over 21 was up 2.04% 04% with 10 up and 11 uh down on the day. Turbo 12 up86% with seven up and five down. Mag 7 down 23%. The river growth 8 composite was up 26%.

[00:01:32]Our new river AI 100 still up.96%.

[00:01:37]There was some weakness today in the optical sector and some profit taking but overall the river AI 100 still putting in a decent performance today S&P up 22 RSP up 28 Q's up.37 equal weight outperforming up8 Dow up 72 midcaps up.17 Russell down 0.59 6040.14 Grotction up4 and turbo flat down 01%.

[00:02:11]All right, getting into our inner asset correlation.

[00:02:14]S&P 500 a little bit of a stalling uh action today, not terrible by any means, just you know, slight up open and then just sideways trade for the day. But closing out the week on a positive note.

[00:02:28]New highs pretty much uh every day except for yesterday. Month, big month overall. We are at the end of the month up 5.15% on the S&P. So very nice overall strong earnings driven uh performance across the board. RSP up 28% also made a new high today. The Q's also made new high again a little bit of a you know gap slight gap today in sideways trade. Not much end of the month and for the the month on the Q's overall up 10.57% very strong uh Q equal weights up 08 at new highs Dow really the strongest of the indexes and you can see this relative strength has been quite weak on the Dow but we are now breaking through the highs from back here pretty much traded tight there from Friday on of last week on and then broke through today. So up 72% on the Dow. On the month, the Dow was up 2.7%. So not as good as the other indexes. Midcaps, actually let's bring this up. This does not come up properly on market surge.

[00:03:48]S&P Midcaps flat up.17%.

[00:03:52]Russell down today, but inside yesterday's bar up down 0.59%.

[00:03:58]VIX continuing lower uh down to 15.32%.

[00:04:03]So volatility contracting uh getting back into uh January's levels. Now dollar also down slightly today.

[00:04:14]Gold uh up 1.05% one of the stronger sectors today. Gold miners up 2.6% 6% uh still below that 21-day moving average sandwiched between the 200 uh right on the 21 and below the 50-day.

[00:04:32]Silver, not much to say there, just uh trading quietly. Not much action at all on silver. Bitcoin uh broke that 200 day moving average, but up slightly today.

[00:04:44]Bonds were uh again up a little bit in price. The TLT also up a little bit right under that 200 day I'm sorry 50-day moving average. 30-year Treasury yields uh up slightly up 1.6 basis points at 4.993 and the 10-year Treasury note just very very flat today 4.45%.

[00:05:13]mags down um after attempting to break through that high of 7116 here this week. Just couldn't do it. Backed off.

[00:05:23]And that is it for the inner asset correlation. Let's go to the tail of the tape.

[00:05:29]Currently in an uptrend. Uh couple stochastics flattening out on the day.

[00:05:35]Um couple also on the RG8 flattening out. Nasi up dollar still in a sideways trend. bonds going sideways and as you can see here the percentage of stocks neutral above the 5day moving average 55% on the S&P 52% on the NASDAQ 100 VIX down 3% today at 15.32 fear and greed just in that greed territory u talked about these AI numbers as well as the uh NAM numbers which came out yesterday currently operating under that bull case where we've initiated rally and are trending above that 21-day moving average which has taken place since April 8th. Today Dell reported a blowout earnings quarter. Software dominated uh overall very strong day for software which uh we had some earnings there which we'll go over. Today's keys were coming into today were the S&P versus the eight and alltime highs continuing there. Same with the Q's and uh same with the Russell 2000 day count. Uh up actually this should be that is not correct.

[00:06:50]Uh we should be up we should be up seven from up six. Uh 7 days above the eight and 37 days now above the 21day moving average. So overall pretty s pretty flat day. We opened higher and just really traded sideways on the major indexes. Um overall, bond prices is up. IGV, which is software, was up substantially today.

[00:07:16]Cloud was up. Solar, gold, and miners and gold were up down. Uh bond yields, fiber, and optic stocks were really the weakest of the leaders. Retail, oil, XLE were down. Otherwise, it was a pretty decent moderate down day for most of the sectors. Um, grow today coming uh out of the day with a 1.5 revere risk adjusted beta 6.92 balance at risk offensive sell on data dog which we'll look at and been very strong stock and also bought Intel in a high tight flag formation. trimmed be on underperformance and sold a AOI for a loss. Uh Turbo came in uh closed the day at a 1.93 rever risk adjusted beta minus 6.87 balance at risk. Offensive sold Dell closed out that position on a 30% gap up this morning. Uh bought Digital Ocean and sold Corning Glass and Firefly.

[00:08:27]So bottom line, uh, new all-time highs for the Dow, S&P, and NASDAQ with software rotation.

[00:08:36]So, let's go into Monday's keys. Same thing. Uh, S&P versus the eight all-time highs. Same with the Q's and same with the Russell 2000.

[00:08:49]So, let's just take a look at some of the the trades today and the changes.

[00:09:03]Let's take a look at Dell here.

[00:09:06]Huge gap today. Just a blowout beat on earnings and revenue for the current quarter. Massive upguide for next quarter. Uh revenues up 87%.

[00:09:20]Unbelievable.

[00:09:22]Sesuana raised their price target to $700.

[00:09:26]Gapped up up over 40% in the aftermarket, closed up 32% on huge volume. On the month, Dell up 101%.

[00:09:37]Uh, unbelievable. So, Turbo just closing that position out for a very successful trade. Uh, we all wish we had more of it, but overall quite strong.

[00:09:49]data dog on the growction portfolio. Don taking an offensive sell on this up over 9% today and this pretty much was a theme across software just extremely strong today. Talked about data dog on our podcast. It did break through those highs from 2021.

[00:10:07]Huge month up 87%. We saw a lot of these big gains this month. So quite impressive. Rotction took a position in Intel today. Uh definitely closed a little bit weak here. Uh broke the 8day moving average, but this is really a big high tight flag formation. Definitely some rebalancing at month end here as you can see going into the close today.

[00:10:30]And uh you know some funny things can happen going into the end of the month.

[00:10:35]And it looks like really Intel was holding up pretty well in just those last 15 minutes of the day. Took a little bit of a hit. Um Digital Ocean today. Uh new position by Turboction here. Just trading tight post earnings gap here. Uh you know, just trading right along that 21day. Broke it, reclaimed it. So Turbo took a position there. Uh let's see what else. Corning glass. A lot of weakness in fiber stocks today. This did end up fighting back toward the end of the day. Looking at that inday, you know, chart. Pretty weak all day and then a little push at the end of the day. And finally, um, let's see here. Let me go back and take a look at turbos.

[00:11:24]That's about it. Overall, uh, let's get into the 21 over 21 list and go through our names here on our key 21 over 21 list.

[00:11:38]Looking at the biggest gain, we already talked about Dell on the day here.

[00:11:49]It's got a little bit of a problem here.

[00:11:52]Bear with me.

[00:12:04]All right, here we go. Data dog talked about that as well. second biggest gainer after Dell in the 21 over 21 FT&T in the uh security software up 6% just huge uh base breakout here and we've seen a lot of this here in this area so extremely strong micron also made new highs today oh sorry for the uh the slowness during my internet connection all All right, just continued new highs in Micron up 5% on the day. Twill uh nice bounce off this 21-day moving average after this earnings gap. Uh very constructive, nice pocket pivot. Pocket pivot is the biggest volume uh on an up day coming through a key average over the last 10 trading days. That's a buy signal. Digital Ocean uh again talked about that in the turbo buys. Nebius, a nice hold of that 8day moving average here and also a big spike into the close here on a rebalance. So Cisco systems getting very tight up here. Uh ants forming post earnings gap held that 8day moving average first touch of that and looking extremely tight.

[00:13:30]XBI Biotech in this nice consolidation.

[00:13:34]Marll uh just trading tight here still holding that 8day moving average.

[00:13:40]Generrack growction holding a little bit of a reversal today down a half a percent.

[00:13:47]Caterpillar just trading along that 21-day moving average. End phase a little bit of a reversal here. 39% move uh fast from that breakout. Talked about this today in our podcast. Big month for uh Nphase up 107% on big volume here. So quite impressive here. Maybe a little time for digestion. Again, this is in the solid state transformer area. That is still about a year away before actual commercial production.

[00:14:23]These may or may not be ahead of themselves, but that's a pretty big month overall. WGMI and the Bitcoin mining still holding that 8day moving average. Bloom Energy a little bit of test of the uh 21-day moving average today. This has been a little bit choppy here, but still really kind of in this flag formation. Eli Liy first test yesterday of this uh breakout. Very common for him to back off. A little bit of a shakeddown below yesterday's lows, but closed inside.

[00:14:54]and Pterodine uh just really holding that 8day moving average after this earnings spin out here in line. You know, it was a beat and a slight raise, but not hot enough for the street. Sold off, broke that 50-day moving average, reclaimed it, came back down, made a higher low, and uh pushing back here.

[00:15:14]So, we'll see how that goes.

[00:15:17]Uh, Quantis Services break of the 21-day moving average today again, but still holding this earnings gap back here.

[00:15:25]Guardian Health uh just a beautiful base on base breakout relative strength making new highs on this name. This is a growing down 2.6% today. But you can see on this weekly just a very nice clean breakout of this base on base and just uh really talked about this on the podcast today, but you had this big gap up here back in October of last year and really this is just a big consolidation from that gap up. So very nice chart pattern here and Nokia slight break of that 8day moving average here. Again, a lot of these stocks in this particular arena did have a bit of a tough day, but that held the gap up here from last week.

[00:16:07]Uh, Rocket Lab undercut of the eight reclaimed today. Nothing wrong with this. Down 3% and back to Dell. Let's go through the Turbo 12, which uh had a pretty nice uh h not as good as a 21 over 21 today.

[00:16:25]Let's take a look at the Turbo 12.

[00:16:30]Jrog again continuing with that software theme. Jrog really had a massive uh breakout here this week up 9% on the day. Looking at that uh nice weekly formation and the month up 71% huge month really and uh coming up into those 2021 highs. So enterprise software just really strong today. Crowd Strike, another security stock which has been on a tear, big gain up 8.94%.

[00:17:03]Uh, you know, data finally kicking out of this uh post earnings gap formation where it, you know, again, a lot of times these things, especially when they're coming down below from the 200 day moving average, need a little time.

[00:17:17]This backed off, chopped around that 21day and nice move today on a pocket pivot.

[00:17:24]ARM just a continuation monster move here up 5%.

[00:17:29]And Aami uh reclaiming the 8day moving average here after this earnings gap.

[00:17:34]So, it's another name that's uh pulled back a little bit post earnings. Very common. Solar Edge, a little bit of a reversal today. Closed toward the lower end of the range, but still up 4%. solar just extremely strong and Vavi uh after a shakeout really to the 10-week moving average here basically um really two weeks and not quite a twoe tight because it's below the one and a half% on the downside but you know these stocks need digestion so this is one of the better looking names in the optical arena uh Corning still hanging in there Firefly uh shake back down to the 21day after a big breakout attempt still a volatile name and AAOI breaking down through the 21-day moving average down 6%.

[00:18:24]Uh Navatas uh coming back to the 8day a potential add-on opportunity and TM Tower Semiconductor another optical related semi-quipment stock held the 21-day moving average but still a down day of about 7%.

[00:18:44]and Jrog. We talked about couple other things to note today. Um, Snowflake uh with big earnings today, big earnings reaction yesterday rather. And looking at that monthly chart, up 87% on the month on the biggest monthly volume it's ever traded. This stock really has never been able to get going from its IPO. was extremely highly valued but definitely uh you know becoming much more profitable so very strong there. Another name um today standing out with pings is let's see here let me get my list endtap in the data storage area with a big gap up 22% sold off a little bit but uh looking at this weekly chart you see a big move through all-time highs. So, really liking the AI uh enterprise storage business there.

[00:19:56]Next tracker made an acquisition today acquiring Prevalon Energy which is broadening their uh business out from solar tracking to a energy infrastructure battery storage. Uh they just made an acquisition at the beginning of May of Zygor which is a power conversion company. So these solars are becoming quite active and potentially moving toward uh power management as we've seen with Nphase Solar Edge and now next power with a nice breakout and tan of course uh really showing a nice move here and um getting into that profit zone. So let's see if there's anything else today to mention. Octa was another name driving the software sector with a big earnings uh reaction overall a beat uh inline guidance pretty much but very strong reaction up 30% the stock a lot of these software stocks have tended to do this where they've had these gap ups and unable to get going but this is really coming up against these highs from 2025 here so uh we'll see how that handles it but these could all be new moves and again Big volume there on the weekly.

[00:21:09]Let's see if there's anything else to talk about here today. Um, you know, just big moves. Oracle coming back. OCL coming back nicely here through the 200 day moving average on a big pocket pivot. Microsoft uh coming to life also in software breaking through this uh initial move through the 50-day moving average here uh consolidation and again coming up into this declining 200 day moving average. So let's see that's about it today. Uh CLS Celesteica pocket pivot up through and off the 50-day moving average. So again, still some nice rotation software positive developments, strong week, extremely strong month. And that is it for tonight's uh River roundup. Again, if you have any questions, please email at toddreverasset.com.

[00:22:08]My Twitter handle is at Todd70. If you'd like to become a client, give us a call at 855 Realwalth. That's 855-732-5932.

[00:22:17]as to speak to Dan Stewart or Don Vannon. Have a great weekend everyone and please join me tomorrow morning for the weekend review where we look at all the leading stocks, new names as well as how the market performed for the month.