- Deutsche Bank analyst Gianmarco Conti states that the next wave of the artificial intelligence buildout will focus on connectivity rather than compute.
- Conti gave buy ratings to eight hardware stocks, naming Coherent and Lumentum as his highest conviction picks due to strong demand and supply constraints.
- Other companies receiving buy ratings include Arista Networks, Cisco Systems, and Hewlett Packard Enterprise, which benefit from crucial networking and cooling technologies.
- Benzinga's options activity scanner tracked abnormal whale transactions in 10 Information Technology stocks during the session.
- Notable examples include a bullish put option for BMNR valued at $44.0K and a bullish call option for MU valued at $100.8K.
- Other tracked assets such as NBIS, DELL, HPE, INFY, SNDK, CRWV, CBRS, and AMAT exhibited varying put and call option activities with sentiments ranging from bearish to neutral.
- Jim Cramer reported that August marked a strong comeback for heavily battered stocks as improving fundamentals helped challenge negative bearish narratives.
- Moderna led the S&P 500 with a remarkable rebound driven by promising melanoma vaccine results, while enterprise software firms like Palantir and Salesforce recovered after an aggressive short-selling hedge fund was forced to unwind.
- Other notable winners included Super Micro Computer and Sandisk on AI memory demand, alongside Coinbase as cryptocurrencies rallied amid macro concerns.