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$Salesforce(CRM.US)

Context: Salesforce shares are surging in after-hours trading after the software giant delivered the kind of earnings report investors wanted to see. Stronger profitability, an upbeat outlook, and encouraging progress from its AI products gave the market more confidence that Salesforce can turn heavy AI investments into meaningful growth. The fiscal second-quarter figures offered several reasons for that enthusiasm, starting with adjusted earnings of $5.90 per share versus the $3.27 consensus estimate. Revenue rose 11% year-over-year to $11.35 billion, slightly above Wall Street's $11.32 billion forecast, while adjusted operating income increased 10% to $3.87 billion and topped expectations of $3.81 billion. Agentforce and Data 360 annual recurring revenue reached nearly $3.9 billion during the period, climbing more than 210% from a year earlier.

My Trade: I'm staying put with my current stance - Salesforce is recovering, but whether this renewed investors' confidence can sustain remains to be seen. Not much incentive for me to sell at current price after holding for months, but also not much room to average down.

Takeaway: Salesforce's earnings came as a slight positive surprise with their adjusted earnings beat, with Agentforce still being the major driver in their recovery. Better forward guidance for next quarters could be the key as well to watch whether they can indeed match or even surpass their own standards. @Captain's Treasure

$NIO Inc(NIO.US) The post-Q1 sell-off in NIO increasingly looks like a buy-the-dip setup. Since its Q1 earnings report in May 2026, the Shanghai-based electric vehicle (EV) maker's ADR has fallen from about $5.59 to $4.53, down nearly 19%. Yet Q1 itself was not the problem. The initial reaction was positive, with revenue beating expectations, vehicle margin reaching 18.8% vs. 10.2% a year ago, and adjusted operating profit near breakeven. A key focus of the upcoming earnings report will be whether the company can post non-GAAP profitability for a third consecutive quarter. Nio recorded adjusted operating profit of 66.8 million yuan in the first quarter, while revenue surged 112.2% year-on-year to 25.53 billion yuan. Its overall gross margin expanded to 19.0%, the highest in 4 years. However, second-quarter deliveries were somewhat weaker than expected. Nio delivered 107,658 vehicles during the quarter, below the lower end of its guidance range of 110,000 to 115,000 units. Even so, the figure represented a 49.4% increase year-on-year. Nio had previously guided for second-quarter revenue of between 32.78 billion yuan and 34.44 billion yuan. Investors will also be watching management's guidance for third-quarter deliveries and revenue, as well as its comments on the full-year profitability target. And I have been buying the dips, though more dips came after each one. I believe in the management that if strategies work well, they can continue to raise profit margins. I'm holding back for now to see the earnings next week. @Captain's Treasure

$Salesforce(CRM.US) Salesforce CEO Marc Benioff agrees that AI will have a big impact on his company, but he thinks it'll be for the positive. That's why he had the company take on a huge amount of debt to buy the beaten-down stock. The $25 billion in accelerated repurchases, combined with normal repurchases funded by cash flow, brought the total to a record $27 billion in buybacks during the first quarter. Debt isn't exactly cheap right now. The bonds Salesforce issued have interest rates ranging from 4.5% to 6.7%. But Salesforce's stock is arguably even cheaper, or at least, Salesforce's management would say so. To justify issuing debt at a 6.7% rate, management must estimate that the cost of equity is well above that level. Salesforce is now trading at a historically low valuation of just 14 times forward earnings. At that level, the market is already pricing in years of sluggish revenue growth before a potential sales contraction. Meanwhile, management is guiding for revenue acceleration in the back half of this year, fueled by its artificial intelligence services: Agentforce and Data 360. Combined annualized recurring revenue for Agentforce and Data 360 doubled year over year last quarter, and continues to show strong momentum. As Agentforce and Data 360 continue to scale and management focuses on keeping overhead low, this should push the business toward its long-term goal of an adjusted operating margin of around 40% by fiscal 2030, up from about 34% today. Given the cheap cost of equity, front-loading its $50 billion of share repurchases seemed like a smart move. However, Saleforce has been lagging its peers when it comes to recovering. Therefore I'm staying patient and waiting for more data to back up the view that Salesforce can and will recover by continuing to adopt AI usage. I will only add if the statistics back themselves up. @Captain's Treasure

$Meta Platforms(META.US) Meta is facing mounting pressure as a landmark trial over alleged harm to children sends its stock lower, prompting sharply critical comments from Jim Cramer. The decline came as a federal trial began in Oakland, California, where four states—California, Colorado, Kentucky and New Jersey—are leading a broader case involving 29 states that accuse Meta of deliberately designing Facebook and Instagram to encourage addictive use among young people. The states allege Meta prioritized engagement and profits despite knowing about potential risks to children’s mental health. Cramer said on X that the trial is being held in a district he considers particularly unfavorable to corporate defendants, arguing that this is contributing to the stock’s decline. Cramer wrote "although the case could be strong enough to succeed, it might not survive a Supreme Court review." The states’ case focuses on product design, including features such as infinite scrolling, personalized recommendations and social feedback mechanisms, rather than simply holding Meta responsible for content posted by users. The states have discussed damages potentially reaching hundreds of billions of dollars, while Meta has highlighted a maximum calculation of roughly $1.4 trillion, though realistically the penalties will be significantly lesser than that. History has proved that these tech giants can and will survive hefty fines, and the stock will recover even stronger than before. I am looking to add more in the $530 range, though I think that current prices are also an undervaluation of Meta. @Captain's Treasure

$Netflix(NFLX.US) Netflix shares sit 7% above their 20-day moving average of $73.72 and 5.6% above their 50-day average of $74.66, a sign the stock’s near-term trend has improved since its low in July. On the other hand, Netflix remains 5.5% below its 100-day moving average of $83.39 and 11.3% below its 200-day average of $88.88. Netflix will need to push back above key longer-term averages before the rebound can be considered a genuine trend change rather than a bounce within a larger downtrend. Despite that longer-term overhang, Netflix shares have climbed close to 15% over the past month, adding to the case that buyers have started stepping back in since the summer low and suggesting the bottom could be in. A move above the longer-term moving averages would help the case for bulls. Billionaire investor Bill Ackman disclosed last week that Pershing Square Capital Management has built a fresh 3.15 million-share stake in Netflix, now equal to 4.9% of the firm’s portfolio. It’s a notable about-face for Ackman, whose firm poured more than $1 billion into Netflix back in 2022 only to walk away with a loss north of $400 million after subscriber growth stalled out for the first time in years. I personally started buying after their stock split before the continued downwards pressure, and hence is still under water. However, I believe that long term Netflix will still remain one of the key leaders in the industry and patience is crucial. @Captain's Treasure