Three semiconductor companies were among the most actively traded stocks in Wednesday’s after-hours sessions, with two of these at the heart of the artificial intelligence (AI) revolution that is taking hold.
U.S. stocks ended Wednesday’s session on a mixed note as a hawkish tone from the Federal Reserve and worries concerning the central bank’s independence dented sentiment. With the Fed decision in the rearview mirror, the focus shifts back to growth and inflation.
Notwithstanding the modest weakness seen in the past two sessions, the S&P 500 Index and the tech-heavy Nasdaq Composite Index are trading just shy of their peaks, suggesting the broader trend has been toward the upside.
Three semiconductor companies were among the most actively traded stocks in Wednesday’s after-hours sessions, with two of these at the heart of the artificial intelligence (AI) revolution that is taking hold.
The following stocks saw brisk trading volume in Wednesday’s after-hours:
Broadcom, Inc. (AVGO)
After-hours move: +1.31%
Trading volume: 10.07 million
Broadcom stock fell sharply (down 3.84%) on Wednesday before making a strong comeback in the after-hours. Wall Street analysts have become increasingly bullish on Broadcom and its AI opportunity. After Mizuho analyst Vijay Rakesh raised the price target for Broadcom last Friday, Macquarie initiated coverage of the stock with an ‘Outperform’ rating and a $420 price target on Monday.
The stock has gained 50% this year, and is the second-best-performing semiconductor stock of the S&P 500 Index, after Micron (MU).
Stocktwits users do not share traders’ optimism, with the retail sentiment toward the stock worsening to ‘bearish’ (40/100) by late Wednesday from ‘normal’ a day ago. The message volume stayed at ‘low’ levels.
Nvidia Corp. (NVDA)
After-hours move: +0.62%
Trading volume: 7.61 million
Nvidia’s China curse continued as the stock declined 2.60% on Wednesday, after a Financial Times report said China has imposed a sweeping prohibition on domestic tech companies buying the Jensen Huang-led company’s AI chips.
The stock has now declined for three consecutive sessions and has moved further below its all-time high of $184.48.
Sentiment toward Nvidia’s stock, which is up 26.5% YTD, has improved to ‘neutral’ (45/100) from ‘bearish a day ago. The message volume, however, stayed at ‘low’ levels.
Nu Holdings Ltd. (NU)
After-hours move: +0.06%
Trading volume: 5.30 million
Brazilian digital banking platform company Nu, which also offers its solutions in Mexico, Colombia, the Cayman Islands, and the U.S. through its Nubank, has seen its stock jump 54% this year. The stock took a strong leg up in mid-August following a period of consolidation, as traders reacted to its second-quarter earnings report.
Nu stock, however, elicited ‘bearish’ sentiment from among the Stocktwits users, with the sour mood accompanied by ‘low’ message volume.
Intel Corp. (INTC)
After-hours move: +0.44%
Trading volume: 5.19 million
Like its chip peers, Intel stock also reversed course in the extended session after declining nearly 1.5% on Wednesday amid the Fed decision.
KeyBanc analysts recently noted that Intel’s server processor deployments on cloud platforms increased at a steady pace in August, thanks to its latest-generation Rapids processor.
Intel stock has risen 24% YTD as the struggling chipmaker has restructured operations and received an investment from the U.S. government.
On Stocktwits, retail sentiment on the stock remained ‘bearish,’ and the message volume on the Intel stream stayed ‘low.’
VICI Properties, Inc. (VICI)
After-hours move: +0.49%
Trading volume: 4.82 million
Vici, a REIT that owns hospitality and leisure properties such as Caesars Palace Las Vegas, MGM Grand, and the Venetian Resort Las Vegas, has received some love from Wall Street recently. On Monday, Ecercore ISI raised its price target for the stock to $38 from $37, as the research firm rolled forward the multiples to its 2027 adjusted funds from operations (AFFO) estimates, according to The Fly.
Earlier this month, the company announced a 4% dividend hike.
VICI stock elicited a ‘neutral’ mood from among retailers on Stocktwits, down from ‘bullish’ a day ago, while the message volume picked up pace to ‘high’ levels.
The stock has increased by over 16% so far this year.
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