Revolve Gr Stock (NYSE:RVLV), Trade Ideas

Revolve Gr

The Revolve Group is an emerging e-commerce retailer, selling women's dresses, handbags, shoes, beauty products, and incidentals across its marketplace properties, Revolve and FWRD. The platform is built to suit the "next-generation customer," emphasizing mobile commerce, influencer marketing, and occupying an aspirational but attainable luxury niche. With $1.1 billion in 2023 net sales, the firm sits just outside the top 30 apparel retailers (by sales) in the U.S., but has consistently generated robust top-line growth as the industry continues to favor digital channels. Revolve generates approximately 20% of sales from private-label offerings, while focusing on building an inventory of unique products from emerging fashion brands with less than $10 million in annual sales.

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Shares of  Bumble Inc. (NASDAQ: BMBL) fell sharply during Wednesday’s session following weak quarterly results.

Why Bumble Shares Are Trading Lower By 12%? Here Are Other Stocks Moving In Wednesday&#39;s Mid-Day Session

U.S. stocks were lower, with the Dow Jones index falling around 100 points on Wednesday.

Advance Auto Parts Reports Q4 Results, Joins B&amp;G Foods, Vipshop, ADT And Other Big Stocks Moving Higher On Wednesday

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Price Target

Analyst Ratings

Revolve Group, Inc.  (NYSE: RVLV) reported upbeat results for its fourth quarter on Tuesday.

These Analysts Boost Their Forecasts On Revolve Group After Q4 Earnings

Revolve Group Inc

Macro Economic Events

Econ #s

Economics

S&P Global/CIPS U.K. Services Purchasing Managers Index Preliminary 54.9 Vs. 53.0 Est.; 53.1 Prior

S&P Global/CIPS U.K. Manufacturing Purchasing Managers Index Preliminary 48.7 Vs. 50.3 Est.; 50.3 Prior

S&P Global/CIPS U.K. Composite Purchasing Managers' Index Preliminary 54.0 Vs. 52.8 Prior

Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) has been moving sideways ever since the<a href="https://www.benzinga.com/markets/cryptocurrency/24/04/38345043/bitcoin-shrugs-off-fourth-halving-miner-rewards-halved-price-holds-strong"> halving event that took place late Friday,</a> and Cathie Wood&#8217;s Ark Invest on Monday weighed in on the potential impact of the event.
What Happened: The growth in Bitcoin supply fell from 1.8% to 0.9% at an annual rate, said Yassine Elmandjra, Director of Digital Assets, at Ark. The crypto&#8217;s supply growth, therefore fell below the supply of gold, which is estimated to be 1.7% in 2023, he said.
Explaining the process of halving, the analyst noted that due to Bitcoin&#8217;s &#8220;mathematically metered supply growth,&#8221; the reward for mining a block halves every 210,000 blocks, and this takes place roughly every four years. The first halving that occurred in November 2012, reduced the reward from 50 to 25 bitcoins per block and Friday's halving reduced the block reward from 6.25 to 3.125 bitcoins per block, he added.
&#8220;The halving is critical to Bitcoin's design, highlighting its predictable monetary policy and Bitcoin's role as a scarce asset,&#8221; the analyst said.
&#8220;By reducing miner rewards by 50% every four years, Bitcoin lowers the supply growth &#8230; on a predetermined schedule, guaranteeing that the total number of bitcoins outstanding will never exceed 21 million, its predetermined cap.&#8221;
See Also: <a href="https://www.benzinga.com/money/top-10-cryptocurrencies">10 Best Cryptocurrencies</a>
On the contrary, sovereign or government-backed currencies&#8217; supply growth can be adjusted at will by central bank policymakers, Elmandjra said.
Bitcoin&#8217;s circulation currently stood at about 19.7 million, which is only 6.5% below the 21 million at which it is capped, he said.
The analyst also flagged the possibility of an imminent rally. &#8220;Since its inception 15 years ago, Bitcoin's halving has taken place in the context of extended bull market runs,&#8221; he said. In the 12 months following the three previous halvings, Bitcoin&#8217;s price appreciation has ranged from about 285% to about 8,478.2%, with an average gain of around 3,108%, he said.
Why It&#8217;s Important: Bitcoin rallied hard in the run-up to the halving event but has seen lackluster sentiment since then. The crypto peaked at $73,750.07 on March 14, with the optimism that lingered after the launch of the spot Bitcoin ETFs contributing to the strength.
After coming off the level and breaking below the $70,000 barrier, the crypto resumed its uptrend ahead of the halving. Come April along with the risky bets, Bitcoin came under pressure due to fears that the Federal Reserve may not cut rates this year amid stubbornly high inflation.
The Fed may have to reverse its rate hikes some time down the line, which could reignite a rally in all risky bets. 
While Ark&#8217;s comparison with gold supply suggests Bitcoin is becoming less inflationary than the yellow metal, <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/03/38015516/is-bitcoin-digital-gold-peter-schiff-says-perhaps-it-never-will-make-a-new-high-pri">Peter Schiff has always shunned branding it as</a> a form of digital gold. 
At last check, Bitcoin was little changed at $66,145.63, according to <a href="https://benzinga.grsm.io/lxquj26b2sag">Benzinga Pro data</a>.
Read Next: <a href="https://www.benzinga.com/markets/cryptocurrency/24/04/38369340/bitcoin-to-more-than-double-in-value-to-150k-by-year-end-says-standard-chartered-analyst-w">Bitcoin To More Than Double In Value To $150K By Year-End, Says Standard Chartered Analyst: &#8216;We Can Push Higher Again&#8217;</a>

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Coverage of Bitcoin, Etherum, Ripple and all the latest digital currencies.

Cryptocurrency

$BTC

Cathie Wood's Ark Invest Says Bitcoin Could Be Priming For Over 3,000% Rally Over Next 12 Months As King Crypto Becomes Less Inflationary Than Gold After Halving

President Joe Biden held a meeting with U.S. Rep. Alexandria Ocasio-Cortez (D &#8211; N.Y.) and other liberal lawmakers on Monday, as internal disagreements within the Democratic party over his support for Israel&#8217;s response to the Hamas attack continue to escalate.
What Happened: On Tuesday, President Biden had a meeting with Ocasio-Cortez, Sens. Bernie Sanders (I-V.T.) and Ed Markey (D &#8211; Mass.) all of whom have openly criticized Israeli Prime Minister Benjamin Netanyahu&#8217;s Gaza bombing campaign, Reuters reported. The meeting took place after Biden&#8217;s return from an Earth Day event in Virginia.
These lawmakers have previously voiced their opposition to Israel&#8217;s policies, with Ocasio-Cortez likening the humanitarian situation in Gaza to &#8220;an unfolding genocide.&#8221; Despite these disagreements, Ocasio-Cortez has supported Biden&#8217;s reelection, emphasizing the need to safeguard democracy both at home and abroad.
See Also: <a href="https://www.benzinga.com/news/24/04/38348258/marjorie-taylor-greene-takes-step-back-in-effort-to-remove-speaker-mike-johnson-but-blasts-him-as-a?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Marjorie Taylor Greene Takes Step Back In Effort To Remove Speaker Mike Johnson But Blasts Him As &#8216;A Lame Duck&#8217;</a>
Why It Matters: This meeting occurs as Biden&#8217;s endorsement of <a href="https://www.benzinga.com/news/24/04/38350131/biden-reaffirms-ironclad-support-for-israel-amid-passover-hamas-conflict">Israel&#8217;s response to the Oct. 7 Hamas attack</a> has created divisions within the Democratic party, potentially influencing Biden&#8217;s voter base ahead of the November presidential election. The White House and the lawmakers have not disclosed the topics discussed during the meeting.
Biden&#8217;s administration has maintained its backing for Israel, while increasingly highlighting the Palestinian humanitarian crisis. This follows Israel&#8217;s military offensive in response to the Hamas attack, which, as reported by Gaza&#8217;s health ministry, has led to the death of 34,000 Palestinians.
The meeting also comes in the wake of the <a href="https://www.benzinga.com/news/24/04/38353867/israeli-military-intel-chief-resigns-over-hamas-attack-failures-i-have-carried-that-black-day-with-m">resignation of Major General Aharon Haliva</a>, the head of Israeli military intelligence, who took responsibility for the intelligence failures that led to a devastating Hamas-led attack on Israel in 2023.
Earlier in April, an <a href="https://www.benzinga.com/news/24/04/38196069/israeli-strike-in-gaza-strip-kills-three-sons-four-grandchildren-of-hamas-leader-report">Israeli airstrike in Gaza</a> reportedly claimed the lives of three sons of Hamas leader Ismail Haniyeh, further escalating the conflict.
Read Next: <a href="https://www.benzinga.com/news/24/04/38348277/trump-vs-biden-nationwide-poll-shows-key-issue-decidedly-tilts-equation-in-favor-of-one-candidate" target="_blank" rel="noreferrer noopener">Trump vs. Biden: Nationwide Poll Shows Key Issue Decidedly Tilts Equation In Favor Of One Candidate</a>
Image via Shutterstock
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Politics

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Biden Holds Meeting With AOC, Bernie Sanders And Other Lawmakers Amid Israel Policy Disputes

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The European Commission Has Approved AstraZeneca's Voydeya (Danicopan) As An Add-on To Ravulizumab Or Eculizumab For Paroxysmal Nocturnal Hemoglobinuria Patients Who Have Residual Hemolytic Anemia

Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) has opened up the Quest operating system that powers its <a href="https://www.benzinga.com/topic/meta-quest">mixed reality devices</a> to third-party hardware manufacturers, taking a leaf out of Alphabet Inc.'s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) Google playbook.
What Happened: Meta will collaborate with other hardware manufacturers to help them power their mixed reality headsets with its Quest operating system. This move is the result of Meta's investments in mixed reality, starting with Oculus in 2014 for $2 billion.
The company is collaborating with leading global technology firms to create a new ecosystem of mixed-reality devices. This will provide developers with a broader range of hardware to run their apps, similar to the PC and smartphone markets.
Subscribe to the&nbsp;<a href="https://bztechtrends.beehiiv.com/subscribe" target="_blank" rel="noreferrer noopener">Benzinga Tech Trends newsletter</a>&nbsp;to get all the latest tech developments delivered to your inbox.
The new hardware ecosystem will be powered by Meta Horizon OS, the mixed-reality operating system that drives the Meta Quest headsets. This OS combines core technologies that power today&#8217;s mixed reality experiences with features that prioritize social presence.
See Also: <a href="https://www.benzinga.com/markets/equities/24/04/38330972/metas-ai-assistant-now-integrates-real-time-google-search-bing-results-expert-calls-it-the-smart">Meta&#8217;s AI Assistant Now Integrates Real-Time Google Search, Bing Results: Expert Calls It &#8216;The Smart Route'</a>
Meta will also leverage its partnership with Qualcomm Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>), to help manufacturers hop onto the Quest platform.
Meta is also making it easier for developers to reach their audiences by removing barriers between the Meta Horizon Store and App Lab, a platform that allows any developer who meets basic technical and content requirements to release software.
Why It Matters: Meta's decision to open up the Quest operating system adopts the strategy that Google used with Android. Smartphone makers like Samsung Electronics Co Ltd., Xiaomi, OnePlus, and others use Android, while Google does most of its core development.
Earlier, Meta also <a href="https://www.benzinga.com/news/24/04/38358203/mark-zuckerberg-wont-just-open-source-instagrams-code-but-would-he-do-it-for-a-10b-ai-model-he-says">open-sourced</a> its latest AI model, Llama 3, while CEO Mark Zuckerberg underscored the company's philosophy on open-sourcing technology.
Broadly, it follows the same path as Google took with Android – it standardizes the ecosystem, and several players, including Google itself, benefit from the economies of scale it results in.
Meta also recently <a href="https://www.benzinga.com/general/gaming/24/04/38364762/microsoft-meta-reveal-limited-edition-meta-quest-vr-headset-with-game-pass-bundle">collaborated with Microsoft</a> to produce a limited edition Meta Quest VR headset inspired by Xbox. It also <a href="https://www.benzinga.com/general/gaming/24/04/38342816/meta-quest-2-price-permanently-cut-in-half-concerns-linger-about-long-term-support">permanently slashed the price</a> of its Meta Quest 2 virtual reality headset to $199.
Price Action: Meta's stock closed 0.14% up at $481.73 on Monday, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a>.
Check out more of Benzinga's Consumer Tech coverage by&nbsp;<a href="https://www.benzinga.com/topic/consumer-tech" target="_blank" rel="noreferrer noopener">following this link</a>.
Read Next: <a href="https://www.benzinga.com/news/24/04/38357333/elon-musk-reacts-to-tucker-carlson-saying-theres-ton-of-evidence-that-aliens-live-among-us-with-6000?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Elon Musk Reacts To Tucker Carlson Saying There&#8217;s &#8216;Ton Of Evidence&#8217; That Aliens Live Among Us</a>
Disclaimer: This content was partially produced with the help of&nbsp;<a href="https://www.benzinga.com/author/benzinga-neuro" target="_blank" rel="noreferrer noopener">Benzinga Neuro</a>&nbsp;and was reviewed and published by Benzinga editors.
Photo courtesy: Meta Platforms

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Meta Takes A Leaf Out Of Google's Playbook, Aims To Make Quest OS The Android Of Mixed Reality

NJDCY

Nidec Q4 EPS ¥(35.66) Up From ¥(102.89) YoY, Sales ¥593.51B Up From ¥543.08B YoY

Policy analyst Ed Mills from Raymond James anticipates that the popular social media platform TikTok may cease operations in the U.S. next year.
What Happened: On Monday, Mills expressed his views on the future of TikTok in the U.S. during CNBC&#8217;s &#8220;Last Call.&#8221;
He stated, "Once this was added on to the bills last week, this [became] inevitable," ahead of the Senate vote on the TikTok crackdown bill. 
Mills explained that the bill aims to prevent TikTok from seeking a favorable judge, instead placing the case in the DC Circuit Court of Appeal, a court likely to side with Congress and the President. This would allow the forced divestiture to proceed.
"In my opinion, come next year TikTok as we know it will not operate here in the U.S,&#8221; Mills added.
His comments come in the wake of the U.S. House of Representatives passing a bill that could significantly impact TikTok&#8217;s future in the U.S. The legislation proposes that TikTok must be sold within a year or face a ban from U.S. app stores.
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">"Once this was added on to the bills last week, this [became] inevitable," says <a href="https://twitter.com/RaymondJames?ref_src=twsrc%5Etfw">@RaymondJames</a> policy analyst Ed Mills ahead of the Senate vote on the TikTok crackdown bill. "In my opinion, come next year TikTok as we know it will not operate here in the U.S.&quot; <a href="https://t.co/OyHmGjPgMK">pic.twitter.com/OyHmGjPgMK</a>
&mdash; Last Call (@LastCallCNBC) <a href="https://twitter.com/LastCallCNBC/status/1782558046289268920?ref_src=twsrc%5Etfw">April 22, 2024</a></blockquote>
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See Also: <a href="https://www.benzinga.com/news/24/04/38346954/trump-in-hot-seat-in-hush-money-case-prosecutors-seek-deep-dive-into-ex-presidents-alleged-misconduc?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Trump In Hot Seat In Hush-Money Case, Prosecutors Seek Deep Dive Into Ex-President&#8217;s Alleged Misconduct And Manipulation</a>
Why It Matters: The bill<a href="https://www.benzinga.com/news/24/04/38348328/tiktok-sale-or-ban-social-media-giants-future-hangs-in-balance-as-house-passes-controversial-bill">, part of a larger package </a>aimed at providing aid and bolstering national security measures in support of Ukraine, Israel, and Taiwan, has sparked controversy. <a href="https://www.benzinga.com/news/24/04/38353060/us-tiktok-ban-bill-would-trample-on-free-speech-rights-of-170m-americans-says-social-media-giant">TikTok has voiced concerns</a> about the potential infringement on the free speech rights of American users. The social media giant, owned by Chinese company ByteDance, has been given a year to sell its stake or face the ban.
Notable figures such as <a href="https://www.benzinga.com/news/24/04/38368326/edward-snowden-joins-elon-musk-in-opposing-tiktok-ban-censors-speech-police-book-burners">Edward Snowden and Elon Musk</a> have also expressed their opposition to the proposed TikTok ban. Snowden, a former computer security consultant for the National Security Agency, supported Musk&#8217;s stance, stating that censors, speech police, and book burners were symbols of an un-free society.
Read Next: <a href="https://www.benzinga.com/news/24/04/38348277/trump-vs-biden-nationwide-poll-shows-key-issue-decidedly-tilts-equation-in-favor-of-one-candidate?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Trump vs. Biden: Nationwide Poll Shows Key Issue Decidedly Tilts Equation In Favor Of One Candidate</a>
Photo by XanderSt on Shutterstock
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 Engineered by Benzinga Neuro, Edited by 
 <a href="https://www.benzinga.com/topic/Pooja-Rajkumari" target="_blank" rel="noopener" style="color: #225aa9;text-decoration: none">Pooja Rajkumari</a> 
 
 
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 The GPT-4-based Benzinga Neuro content generation system exploits the extensive Benzinga Ecosystem, including native data, APIs, and more to create comprehensive and timely stories for you. 
 <a href="https://www.benzinga.com/author/benzinga-neuro" target="_blank" rel="noopener" style="color: #225aa9;text-decoration: none">Learn more.</a>
 
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Analyst Predicts TikTok Shutdown In US By Next Year Ahead Of Senate Vote: 'Will Not Operate Here...'

Eurozone Services Purchasing Managers Index Preliminary For April 52.9 Vs. 51.8 Est.; 51.5 Prior

HCOB Eurozone Composite Purchasing Managers Index Preliminary For April 51.4 Vs. 50.8 Est.; 50.3 Prior

Eurozone Manufacturing Purchasing Managers Index Preliminary For April 45.6 Vs. 46.5 Est.; 46.1 Prior

Phoenix Motor Partners With Cennatic For Commercial EV Battery Solutions

Cohen &amp; Steers, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CNS#NYSE">CNS</a>) has offered and sold 1,007,057 shares of its common stock (the &quot;Shares&quot;) through its &quot;at-the-market&quot; equity offering program (the &quot;ATM Program&quot;). The Shares were offered and sold through BofA Securities, as sales agent, at an average price per share of $69.60. The expected net proceeds to Cohen &amp; Steers, after deducting commissions and estimated offering expenses, are approximately $68.4 million.

Reported Earlier, Cohen & Steers Raises $70M In Gross Proceeds From At-The-Market Equity Offering

A popular asset allocation strategy promoted by hedge funds, including&nbsp;Bridgewater Associates&#8216;&nbsp;<a target="_blank" href="https://www.benzinga.com/topic/ray-dalio" rel="noreferrer noopener">Ray Dalio</a>, is reportedly facing investor redemptions after underperforming promises.
What Happened:&nbsp;Bridgewater and other hedge funds promised superior returns with their &#8220;risk-parity portfolios,&#8221; but after half a decade of subpar performance, investors are pulling their money out, Bloomberg&nbsp;<a target="_blank" href="https://news.bloomberglaw.com/capital-markets/ray-dalios-famous-trade-is-sputtering-and-investors-are-bailing" rel="noreferrer noopener">reported</a>.&nbsp;
Large investors, including public pension funds in New Mexico, Oregon, and Ohio, have withdrawn their investments, leading to a $70 billion decline in these funds from their peak three years ago. This comes despite reassurances from hedge funds that things could improve in the next decade.
Risk parity was successful only during the Great Financial Crisis of 2008-09 and &#8220;that was really its heyday,&#8221; said Eileen Neill, as per the report, whose firm advises New Mexico&#8217;s $17 billion worth of public employee pension.
Since 2019, risk-parity funds have consistently underperformed the standard 60/40 global stock-bond mix, according to a broad industry index, as per the report. This lackluster performance has led to a significant investor exodus, with Verus estimates compiled from eVestment data showing a drop in risk-parity fund assets from a peak of $160 billion in 2021 to roughly $90 billion by the end of 2023.
What Is Risk-Parity?&nbsp;A&nbsp;<a target="_blank" href="https://www.benzinga.com/news/22/09/29068486/2022-made-sure-even-risk-parity-strategies-dont-work-this-etf-lost-over-28-this-year" rel="noreferrer noopener">risk-parity portfolio</a>, according to a University of Massachusetts Amherst paper, &#8220;defines a well-diversified portfolio as one where all asset classes have the same marginal contribution to the total risk of the portfolio.&#8221; This approach prioritizes risk management over chasing high returns and involves portfolio rebalancing and leverage.
Unlike traditional 60/40 stock-to-bond portfolios, risk-parity focuses on risk distribution rather than dollar amounts invested in each asset class.
The risk-parity portfolio was first launched in 1996 to manage Dalio&#8217;s trust assets, as per Bloomberg, and was lauded as a way to &#8220;use deep economic research to craft the best possible portfolio, instead of trying to call the next big thing.&#8221;
Instead of taking on high risk in a bid to chase superior returns, the approach propounded diversification across an array of assets such as commodities and bonds, with each as an equal driver of the portfolio&#8217;s volatility.
See Also:<a target="_blank" href="https://www.benzinga.com/yield-investments" rel="noreferrer noopener">&nbsp;Best High-Yield Investments To Earn</a>
Defenders Of The Strategy:&nbsp;Proponents of the strategy argue that exiting now, with stocks at record highs, is a &#8220;classic investor error.&#8221; Bridgewater claims its &#8220;All Weather&#8221; fund that targets 10% volatility may be underperforming currently, but believes risk-parity remains superior for long-term investing, especially with potential stagnation in stock gains.
The &#8220;All Weather&#8221; iteration fell 22% in 2022, with&nbsp;Michael Markov&nbsp;of Markov Processes<a target="_blank" href="https://www.benzinga.com/news/22/09/29068486/2022-made-sure-even-risk-parity-strategies-dont-work-this-etf-lost-over-28-this-year" rel="noreferrer noopener">&nbsp;blaming the underperformance</a>&nbsp;on it being less reactive to short-term market swings and correlation changes.
Risk-parity funds also face stiff competition from private credit funds and top hedge funds with consistent returns. 
Michael Shackelford, chief investment officer at the Public Employees Retirement Association of New Mexico, reportedly said, &#8220;If I'm going to have 6% or 8% of my portfolio in something else, I'd rather that something else be a bucket of really good performing hedge funds.&#8221;
Investors should focus on future performance, argued&nbsp;Jordan Brooks&nbsp;of&nbsp;AQR Capital Management, whose firm manages $13.7 billion in risk-parity investments. &#8220;It's investors' job at the end of the day not to look backward but forward to what's the best portfolio to navigate the next decade,&#8221; he said.
The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>), an exchange-traded fund that mirrors the S&amp;P 500 Index, ended Monday&#8217;s session up 0.92% at $499.72, according to <a href="https://benzinga.grsm.io/lxquj26b2sag" target="_blank" rel="noreferrer noopener">Benzinga Pro</a> data. The RPAR Risk Parity ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RPAR#NYSE">RPAR</a>) closed the previous session 0.16% lower at $18.63 and is down over 5% over the past year.
Read Next: <a href="https://www.benzinga.com/news/24/01/36647975/2024-win-for-president-joe-biden-or-donald-trump-would-be-threatening-for-markets-ray-dalio-says">2024 Win For President Joe Biden Or Donald Trump Would Be &#8216;Threatening&#8217; For Markets, Ray Dalio Says</a>

Hedge Funds

Media

RPAR

Ray Dalio's Way Loses Shine As Investors Yank Out Billions From Risk-Parity Funds After Disappointing Returns: But Is It A 'Classic Investment Error?'

Germany Services Purchasing Managers Index Preliminary For April 53.3 Vs. 50.6 Est.; 50.1 Prior

Germany Manufacturing Purchasing Managers Index Preliminary For April 42.2 Vs. 42.8 Est.; 41.9 Prior

Sasol's Nine Months Ended March 31, 2024 Mining Productivity +4% YoY, Gas Production +8% YoY, SO Production Volumes +3% YoY, And Total Chemicals Sales Volumes + 4% YoY

Honda Motor Europe Renews And Expands IT Partnership with Kyndryl Via Multiyear Managed Infrastructure Services Agreement

France Services Purchasing Managers Index Preliminary For April 50.5 Vs. 48.9 Est.; 48.3 Prior

Revolve Group (RVLV – Research Report), the Consumer Cyclical sector company, was revisited by a Wall Street analyst today. Analyst Oliver Chen fro...

Revolve Group: A Strong Buy on Growth, Profitability, and Strategic Initiatives

Revolve Group rises after TD Cowen upgrades to Outperform

Revolve Group rises after TDCowen upgrades to Outperform

Revolve Group Inc (RVLV) receives a strong  valuation ranking of 72 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. RVLV has a better value than 72% of stocks based on these valuation analytics

Revolve Group Inc (RVLV) Stock: How Does it Score on Fundamental Metrics?

2023 was a rough year for large luxury e-commerce retailers. Two were acquired in distressed buyouts, and another was listed as a discontinued oper...

Luxury E-Commerce Player Revolve Group (NYSE:RVLV) Showing Green Shoots

Revolve Group Inc (RVLV) stock is higher by 1.36% over the past week and gets a Bullish rating from InvestorsObserver Sentiment Indicator. Revolve Group Inc has a Bullish sentiment reading. Find out what this means for you and get the rest of the rankings on RVLV!See Full RVLV ReportWhat is Stock Sentiment?Sentiment uses s

Should You Buy Revolve Group Inc (RVLV) Stock on Monday?

Shein and Temu: Disruptors of Fast-Fashion and E-Commerce

BTIG analyst Janine Stichter maintained a Buy rating on Revolve Group (RVLV – Research Report) yesterday and set a price target of $24.00. The comp...

BTIG Keeps Their Buy Rating on Revolve Group (RVLV)

WW and RENT among Consumer Discretionary movers

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You may have heard about GPT-4 Turbo, Gemini, Llama or X&rsquo;s (formerly Twitter) Grok. However, there is a new contender outside of these Big Tech models in town. It&rsquo;s called Claude, created by Anthropic. The company recently <a href="https://www.anthropic.com/news/claude-3-family">released Claude 3 models</a> and claims its premium &ldquo;Opus&rdquo; model is smarter than all other AI bots. Many people have touted it as the most intelligent AI available right now. Moreover, it has access to events up to August 2023, making it more up-to-date than other models.



Could Claude&rsquo;s stock screening capabilities and human intuition help you realize significant returns? Let&rsquo;s put it to the test and ask it to list seven stocks that it thinks will &ldquo;mint millionaires.&rdquo; Note that some highly unprofitable and dilutive companies and big-cap picks unlikely to deliver &ldquo;millionaire-making&rdquo; gains have been left out of the AI stock picks for obvious reasons.



<h2>Paycom Software (PAYC)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/PAYC1600-300x169.jpg" alt=""><div>Source: STEFANY LUNA DE LINZY / Shutterstock.com</div></div>Claude: &ldquo;Paycom Software (NYSE:<a href="https://investorplace.com/stock-quotes/payc-stock-quote/">PAYC</a>) is a leading provider of cloud-based payroll and human resource management software for small to medium-sized businesses. The company&rsquo;s platform offers a range of tools for managing payroll, time and attendance, talent acquisition, and HR compliance. Paycom&rsquo;s user-friendly interface, strong customer support, and focus on innovation have helped it gain a loyal customer base and maintain high retention rates. The increasing demand for cloud-based payroll and HR solutions, driven by the need for businesses to streamline their processes and ensure compliance with evolving regulations, supports Paycom&rsquo;s growth prospects. Additionally, the ongoing shift towards digital transformation and the increasing technology adoption by small and medium-sized businesses are key megatrends that benefit Paycom.&rdquo;



Claude has hit the nail on the head regarding the trends driving long-term growth for Paycom&rsquo;s business. There is not much to add except looking at the metrics. Most cloud-based software companies are trading at significant premiums right now. Still, I cannot say the same for PAYC, trading 63% off its 2021 peak despite generating solid profits and paying a small dividend. However, I believe times will change as companies accelerate efforts to automate their workforce. Analysts expect continued EPS and revenue growth in <a href="https://seekingalpha.com/symbol/PAYC/earnings/estimates">low double-digits</a> going forward, which are relatively muted expectations the company can beat. I agree that outsized returns are definitely possible here from these depressed levels.



<h2>Vicor (VICR)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/defense1600d-300x169.jpg" alt="8 Stellar Small-Cap Stocks to Buy That Are in Major Industries"><div>Source: Shutterstock</div></div>Claude: &ldquo;Vicor (NASDAQ:<a href="https://investorplace.com/stock-quotes/vicr-stock-quote/">VICR</a>) is a leading high-performance power conversion and management solutions provider. The company&rsquo;s innovative products are used in various industries, including automotive, aerospace, defense and data centers. Vicor&rsquo;s patented technology enables efficient, high-density power delivery, crucial for the growing demand for electrification and high-performance computing. The company&rsquo;s strong market position, expanding customer base and exposure to key megatrends such as electric vehicles and data center growth make it a compelling investment opportunity.&rdquo;



This power modules company is another beaten-down bet that can deliver significant returns. I agree with Claude that the risk-return setup here is favorable for investors. However, I am not as optimistic as AI on the near-term prospects. Analysts expect EPS to recover from $0.32 to $1.26 in one year, along with 33% revenue growth. However, the revenue of $92.7 million in Q4 was down ~12% sequentially and on a YOY basis. The company missed consensus revenue estimates by a whopping $14.4 million while book-to-bill remained below 1. These are concerning metrics for the near term, but I cannot complain much about the long-term prospects with shares at bargain-basement levels.



<h2>Enphase Energy (ENPH)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/07/enph1600-300x169.png" alt="Smartphone with logo of American company company Enphase Energy Inc. (ENPH) on screen in front of business website. Focus on left of phone display. Unmodified photo."><div>Source: T. Schneider / Shutterstock.com</div></div>Claude: &ldquo;Enphase Energy (NASDAQ:<a href="https://investorplace.com/stock-quotes/enph-stock-quote/">ENPH</a>) is a global leader in microinverter-based solar-plus-storage systems. The company&rsquo;s innovative technology enables more efficient and reliable solar energy generation and storage, making it a key player in the growing renewable energy market. Enphase&rsquo;s strong brand, expanding global presence and partnerships with leading solar installers position it well for future growth. The increasing adoption of solar energy, the need for energy storage solutions and the global push towards renewable energy are significant megatrends that support Enphase&rsquo;s long-term prospects.&rdquo;



Speaking of bargain-basement pricing, Enphase Energy certainly has you covered there. The entire solar sector went through a bearish wave in the past few months, but that seems to be subsiding with many <a href="https://investorplace.com/industries/energy/renewable-energy/solar/">solar stocks</a> recovering from their troughs. Enphase has recovered significantly but is still down 64% from its peak. I believe these cheap prices have significant upside potential as rate cuts take effect. The company has $1.7 billion in cash and huge growth ahead, with residential installations only comprising over 20% of the overall capacity installed in the U.S. Analysts expect EPS to rise from $3.3 in 2024 to $11.4 in 2029 alongside revenue growing from $1.6 billion to $4.4 billion during the same period. It&rsquo;s definitely one of the best AI stock picks here.



<h2>Revolve Group (RVLV)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2020/06/revolve-rvlv-stock-300x169.jpg" alt="The Revolve (RVLV) group logo is seen on a display."><div>Source: nikkimeel / Shutterstock.com</div></div>Claude: &ldquo;Revolve Group (NYSE:<a href="https://investorplace.com/stock-quotes/rvlv-stock-quote/">RVLV</a>) is an online fashion retailer that targets Millennial and Gen Z consumers. The company&rsquo;s data-driven approach, influencer-driven marketing and curated product offerings have helped it build a loyal customer base and differentiate itself in the competitive e-commerce market. Revolve&rsquo;s agile supply chain, strong brand partnerships and focus on customer experience position it well for continued growth. The increasing shift towards online shopping, the growing influence of social media on consumer behavior and the rising spending power of younger generations are key megatrends that support Revolve&rsquo;s growth prospects.&rdquo;



This is another beaten-down stock among the AI stock picks that I think can perform relatively well in the years ahead. However, I again would not be very optimistic here in the near term, given retail spending is still down and high interest rates have dampened discretionary purchases. However, I would still say this deserves a buy rating because the balance sheet is quite clean, with only $41 million in debt and $245 million in cash. The growth potential cannot be ignored, as analysts expect EPS to jump from $0.48 to $6.3 from 2024 to 2033 and revenue nearly quadrupling in that timeframe. In the long run, I have a lot of conviction that you can squeeze out significant upside from this stock from the current depressed levels.



<h2>IDEXX Laboratories (IDXX)</h2>



<a href="https://investorplace.com/wp-content/uploads/2016/07/IDEXX-01.png"><img width="280" height="280" src="https://investorplace.com/wp-content/uploads/2016/07/IDEXX-01.png" alt=""></a>Claude: &ldquo;IDEXX Laboratories (NASDAQ:<a href="https://investorplace.com/stock-quotes/idxx-stock-quote/">IDXX</a>) is a global leader in veterinary diagnostics, software and water microbiology testing. The company&rsquo;s innovative products and services help veterinarians deliver high-quality care and enable early detection and treatment of pet diseases. IDEXX&rsquo;s strong competitive position, global presence and innovation focus position it well for continued growth. The increasing humanization of pets, the growing demand for veterinary care and the rising awareness of early disease detection&rsquo;s importance are key megatrends supporting IDEXX&rsquo;s long-term prospects.&rdquo;



You could include this company in your core portfolio without hesitation. Still, I do not think this is the sort of stock you would necessarily chase if you are looking for millionaire-making returns. Regardless, you could still make some juicy gains if you hold this long enough. It is a quality company, but I disagree with Claude that it can generate the multibagger returns I am targeting in the next few years.



<h2>Tactile Systems Technology (TCMD)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/04/medical-device-stocks-hospital-stocks-healthcare-stocks-300x169.jpg" alt="An image of two medical professionals performing a procedure on a patient"><div>Source: Roman Zaiets / Shutterstock.com</div></div>Claude: &ldquo;Tactile Systems Technology (NASDAQ:<a href="https://investorplace.com/stock-quotes/tcmd-stock-quote/">TCMD</a>) is a medical technology company that develops and provides innovative medical devices for treating chronic diseases at home. The company&rsquo;s flagship product, the Flexitouch system, treats lymphedema and chronic venous insufficiency. Tactile Systems&rsquo; focus on improving patient outcomes, reducing healthcare costs and enabling at-home treatment positions it well for future growth. The increasing prevalence of chronic diseases, the growing demand for home-based healthcare solutions and the ongoing shift toward value-based care are key megatrends that support Tactile Systems&rsquo; growth prospects.&rdquo;



This is certainly one of the AI stock picks that could deliver the oversized returns I discussed. <a href="https://seekingalpha.com/symbol/TCMD/earnings/estimates">EPS is expected </a>to double in the next two years nearly, and revenue is growing in the lower double digits. The valuation and margins are very appealing here, and the 3-year FCF growth rate of 281% makes it better than 99.7% of its industry peers. It is a quality company with a clean balance sheet. Still, the potential upside is a bit muted, and I do not expect TCMD stock to break $50 anytime soon.



<h2>Simulations Plus (SLP)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/07/healthcare-1600-300x169.jpg" alt="Nurse holding a tablet with icons representing different aspects of healthcare and healthcare data representing CANO stock. Healthcare Tech Stocks"><div>Source: metamorworks / Shutterstock</div></div>Claude: &ldquo;Simulations Plus (NASDAQ:<a href="https://investorplace.com/stock-quotes/slp-stock-quote/">SLP</a>) is a leading modeling and simulation software provider for drug discovery and development. The company&rsquo;s innovative software platform helps pharmaceutical and biotechnology companies accelerate the drug development process, reduce costs and improve success rates. Simulations Plus&rsquo; strong market position, expanding customer base and focus on innovation position are good for continued growth. The increasing complexity of drug discovery, the growing demand for efficient drug development processes and the rising adoption of computer-aided drug design are key megatrends that support Simulations Plus&rsquo; long-term prospects.&rdquo;



This is another stock in the healthcare industry sort of in the same boat as TCMD. Do not expect massive returns, but the possible gains are significant enough to include in a high-risk, high-reward basket of stocks. The company beat top-line estimates by nearly 6% in the recent quarter and has some of the best margin and cash positions, with negligible debt and $108 million in cash. Revenue growth is expected to be around 15% annually and 20-30% EPS growth going forward. However, you are paying a hefty premium for this stock, so I do not think life-changing returns are possible. However, it is still one of the AI stock picks worth buying for potential double-digit returns.



On the date of publication, Omor Ibne Ehsan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com&nbsp;<a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/" target="_blank">Publishing Guidelines.</a>
<div>Omor Ibne Ehsan is a writer at InvestorPlace. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on <a href="https://www.linkedin.com/in/omor-ibne-ehsan-56068022b/">LinkedIn</a>.</div><h3>More From InvestorPlace</h3>
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The post <a href="https://investorplace.com/2024/04/new-ai-bot-predicts-these-7-stocks-will-mint-millionaires/">New AI Bot Predicts These 7 Stocks Will Mint Millionaires</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.

New AI Bot Predicts These 7 Stocks Will Mint Millionaires

AMZN

DOGZ

ECDA

ENPH

ETSY

FIVE

IDXX

LVLU

PAYC

RENT

ROST

TCMD

UCAR

VICR

ZOOZ

Press Releases

Revolve Group, Inc. to Present at Upcoming Raymond James and Morgan Stanley Investor Conferences

REVOLVE GROUP ANNOUNCES REVOLVE + FWRD ACTIVATIONS IN ASPEN FOR WINTER 2023 / 2024

REVOLVE Reappoints Jennifer Baxter Moser to its Board of Directors

Revolve Group, Inc. to Announce Fourth Quarter and Full Year 2023 Financial Results on February 27, 2024

Revolve Group, Inc. to Present at the Raymond James Annual Institutional Investors Conference on Tuesday, March 5

REVOLVE APPOINTS MARIANNA HEWITT AS CREATIVE DIRECTOR OF EXCLUSIVE LABEL, L'ACADEMIE

Revolve Group Announces Fourth Quarter and Full Year 2023 Financial Results

Entertainment

REVOLVE ANNOUNCES THE SEVENTH ANNUAL FASHION, MUSIC AND LIFESTYLE EVENT REVOLVE FESTIVAL

REVOLVE PRESENTS WORLD-RENOWNED REVOLVE FESTIVAL

Revolve Group, Inc. to Announce First Quarter 2024 Financial Results on May 7, 2024

American Eagle Outfitters, Inc. Common Stock

American Eagle Outfitters

Abercrombie & Fitch

Buckle

Boot Barn Holdings

Burlington Stores

Caleres

Citi Trends

Torrid Holdings

Designer Brands Inc. Class A Common Stock

Designer Brands

Destination XL Group, Inc. - Common Stock

Destination XL Group

Foot Locker

Genesco

Guess

J.Jill

Lands' End

MYT Netherlands Parent B.V. American Depositary Shares, each representing one Ordinary Share