The U.S. home market is now one where buyers are in a strong position to make demands due to a combination of growing inventory and high mortgage loan rates. Aarthi Swaminathan described actions sellers might take to attract buyers and revealed startling Redfin data.
However, there is a bright side to this market that a specific demographic of homebuyers might benefit from.
More: For the first time in more than two years, home values in the top 20 markets are falling. This is where they are most likely to fall.
Some support for bulls in the stock market
There will always be bear warnings and bull cheerleading in whatever market condition. The bulls who persevered through the initial wave of tariff pronouncements from President Donald Trump this year have been rewarded. The S&P 500 SPX was down 15% for 2025 as of April 8. However, the large-cap U.S. benchmark index had sufficiently rebounded by Thursday to record a 1.1% annual gain. In this article, reinvested dividends are included in all investment returns.
Investors who were patient enough not to sell into the collapsing market may now be wondering if it’s time to act, given the uncertainty surrounding U.S. trade policy and the White House’s nearly daily policy announcements.
Observations and suggestions on what traders and investors should do or not do are included in the daily Need to Know piece. To receive the NTK email in your inbox every morning, you can sign up. John Paulsen provided an example this week when he listed five pillars of support for future stock market advances.
As a cheap stock, Nvidia
Through Thursday, shares of Nvidia Corp. (NVDA) were up almost 4% for 2025; but, through April 4, the price had down as much as 30% for the year. What can we say about the company that has been dominating the market for graphics processing units (GPU) that support the development of artificial intelligence technology this year, putting aside all the worries about tariffs and U.S. restrictions on technology exports to China?
When Nvidia released its fiscal 2026 first quarter numbers on Wednesday, it surpassed analysts’ forecasts for both revenue and profitability. However, the company’s own forecast of $49 billion in sales for the fiscal second quarter fell slightly short of the $45.9 billion that experts surveyed by FactSet predicted would be made.
When all things were taken into account, Laila Maidan showed why Nvidia’s sales outlook was actually solid by examining the stock’s price in relation to expected earnings.
Even though Nvidia’s stock has returned 21% over the last year, you can see how the company’s forward price-to-earnings ratio has decreased in the above figure. According to FactSet’s poll of analysts, this is the ratio of the share price to rolling 12-month consensus earnings-per-share expectations.
By contrast, the weighted forward P/E of the S&P 500 is 21.4. Nvidia can seem like a pricey investment by those standards. But based on anticipated growth rates, one could argue that Nvidia’s stock is cheap. FactSet corrects for businesses like Nvidia whose fiscal years don’t coincide with the calendar so that projections may be compared consistently. Based on this, analysts predict that between 2024 and 2026, Nvidia’s yearly revenue will expand at a compound annual growth rate (CAGR) of 40.9%. The projected revenue CAGR for the S&P 500 is 5.5% between 2024 and 2026.
Although Nvidia’s projected yearly sales growth rate through 2026 is extremely strong, it would be a deceleration from some of the company’s most impressive recent two-year sales figures. Companies usually compare their performance to those from previous quarters of the year when they release their findings. Here, we display Nvidia’s sales increases both year over year and sequentially, starting with the fiscal quarter that concluded in January 2023:
