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What’s behind Tesla’s share price fade? Our Chief Equity Strategist and Economist, John Blank, says it all boils down to earnings fundamentals.

1. John you say this can best be understood within the context of the “Magnificent Seven” stocks. How so?

2. So are these fundamentals showing intense price competition ramping up in the global Electric Vehicle (EV)markets?

3. What about other obstacles Tesla faces…this month’s delivery miss and layoffs just to mention a couple?

4. Speaking of earnings, the Q1 2024 earnings season is well underway. Investors are counting on a rise in S&P500 quarterly earnings. Overall will they get an increase or will they be disappointed?

5. Will robust corporate profits this year support rising stock valuations going forward, especially among the tech sector companies which just reported?

6. Meantime, the market is still keeping an eye on whether the Fed will hold off from cutting interest rates at all this year. The new consensus in the market for easing is seen as September as a start date. How likely is that?

7. What would that do to stocks if that doesn’t happen?

8. European Central Bank rate cuts are predicted to start in June. Do recently released European bank earnings support that timing?

9. Zacks Strong Buy stocks this month include Prosus PROSY, Wells Fargo WFC and Uber Technologies UBER.

Our Chief Equity Strategist and Economist, John Blank, on rate cuts and Q1 2024 earnings. With John, I’m Terry Ruffolo.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.