Archive

2026-07-04 10:05 • The Motley Fool Negative Axe Cap view: Selective SPCX

SpaceX stock is trading around $162 per share following its IPO at $135, but research firm Morningstar values the company at only $63 per share—a 169% overvaluation. While Morningstar acknowledges SpaceX as an attractive business with a claimed $28.5 trillion total addressable market, the firm argues the stock price doesn't align with realistic financial projections. Even in Morningstar's most optimistic scenario assuming successful execution of major engineering initiatives like reusable Starship rockets and space-based data centers, the company would be worth only $154 per share, still below current trading levels.

Axe note: SpaceX’s IPO price outpaces realistic valuations, cautioning against chasing rocket-high tech bets.

2026-07-04 10:05 • The Motley Fool Positive Axe Cap view: Selective GEV NVT VRT NVDA

AI data center demand is straining power infrastructure, creating opportunities for industrial stocks. GE Vernova and nVent Electric are benefiting from surging orders for power solutions and cooling equipment, with both companies recently raising 2026 earnings guidance despite elevated valuations.

Axe note: South African investors should consider industrial demand themes amid rising AI-driven power infrastructure needs and a firmer rand outlook.

2026-07-04 10:01 • The Motley Fool Positive Axe Cap view: Selective MU

Micron Technology has surged 755% in the past year driven by AI-driven memory chip demand. The company is pursuing Strategic Customer Agreements (SCAs) worth $100 billion in cumulative revenue through 2030 to reduce pricing volatility and stabilize earnings. While management expects tight supply conditions through 2027, investors should monitor capacity expansion by competitors and margin trends to assess whether this cycle truly differs from past boom-and-bust patterns.

Axe note: Micron's AI-driven surge and long-term contracts could signal steadier growth, but local investors need to weigh cyclical risks and currency impacts.

2026-07-04 09:10 • The Motley Fool Positive Axe Cap view: Selective VKTX LLY NVO

Viking Therapeutics, a $4.3B biotech company, is developing VK2735, a weight loss drug candidate in late-stage trials. Bulls cite the massive $100B obesity drug market opportunity, potential acquisition interest, and positive historical stock reactions to data releases. Bears highlight competition from pharma giants Eli Lilly and Novo Nordisk, pipeline risk, and the stock's 40% year-over-year gain. The analyst believes the bull case outweighs the bear case, suggesting Viking could reach $50 if upcoming data proves positive.

Axe note: Bulls see Viking Therapeutics scaling towards $50 on obesity drug promise, but South African investors should stay cautious amid fierce pharma competition and pipeline risks.

2026-07-04 08:54 • Investing.com Positive Axe Cap view: Selective AMZN AAPL

The article presents 12 enduring investment principles from legendary trader Jesse Livermore, emphasizing behavioral discipline, technical analysis, and market psychology. Key lessons include avoiding emotional decisions, buying breakouts after consolidation, never averaging losses, focusing on leading stocks, and recognizing sector rotation. While Livermore's trading record was mixed (he died broke), his insights on investor behavior remain relevant in modern markets.

Axe note: Jesse Livermore’s trading rules still resonate, especially for those focused on disciplined, trend-driven investing on the JSE.

2026-07-04 08:06 • The Motley Fool Neutral Axe Cap view: Selective SPCX

President Trump's handpicked Fed Chair Kevin Warsh has taken over the Federal Reserve, but the two are on a collision course over interest rates. While Trump pushes for aggressive rate cuts to stimulate the economy and reduce debt servicing costs, Warsh is focused on price stability amid inflation spikes caused by Trump's tariffs and the Iran war. Warsh's hawkish voting record and commitment to fighting inflation suggest rate hikes may come, creating uncertainty for an already expensive stock market.

Axe note: Fed hawkishness amid political pressure may push USD/ZAR higher, pressuring SA rate-sensitive sectors.

2026-07-04 08:02 • The Motley Fool Positive Axe Cap view: Selective BIIB JNJ MRNA LLY

Biogen announced a $1 billion acquisition of RayThera, a company with anti-inflammatory assets targeting immune-mediated conditions. This strategic move strengthens Biogen's immunology portfolio following its earlier acquisition of Apellis Pharmaceuticals. The company is successfully transitioning from its declining MS drug business to growth areas like Alzheimer's and rare diseases, with early signs of business stabilization and revenue growth.

Axe note: Biogen’s bold acquisition underlines a shift to immunology that South African investors can parallel in local pharma and biotech exposures.

2026-07-04 07:30 • The Motley Fool Mixed Axe Cap view: Selective AAPL GOOG GOOGL GOOGM GOOGN MSFT TSLA META AMZN NVDA SPHQ

With the AI boom showing signs of exhaustion and the Magnificent Seven stocks underperforming, investors should pivot toward quality stocks with strong balance sheets and cash flow. The Invesco S&P 500 Quality ETF (SPHQ) is recommended as a defensive portfolio strategy that provides diversification across tech, industrials, financials, and consumer staples while protecting against market downturns.

Axe note: With the AI rally cooling and the Magnificent Seven faltering, South African investors must lean into quality stocks and solid balance sheets.