The S&P 500 reached new records, driven by a tech rally, but major tech stocks like Snowflake and Salesforce are struggling. Snowflake's stock has increased by 2.6% over the past three months but is down 37% from its November peak. Salesforce has seen a 10% decline in the same period and is down 36% from its high last year.
Analysts remain cautiously optimistic, with 46 out of 53 covering Snowflake rating it as a buy or overweight, while 40 out of 55 analysts rate Salesforce similarly. Both companies are set to report earnings soon, with implied volatility for Salesforce at around 8% and for Snowflake at 12%. Other companies reporting include Abercrombie & Fitch and Manchester United, with varying stock performances.
The airline sector is also highlighted, with Delta and American Airlines showing significant gains recently. Additionally, FedEx is preparing for the spinoff of FedEx Freight, which could impact the less-than-truckload shipping market. Overall, these developments indicate a mixed outlook for key sectors and companies, which investors should monitor closely