The Nasdaq 100 index plunged 13% from its all-time highs set on Feb. 18, 2025, and now sits 4% below its 200-day moving average, a critical technical threshold that has historically <a href="https://www.benzinga.com/markets">signaled major buying opportunities.</a>



The sharp sell-off in big tech stocks has been fueled by mounting concerns over higher tariffs, slowing economic growth and sticky inflation, a combination that has spooked investors and led to aggressive de-risking.



<h1 class="wp-block-heading">Why Is The Nasdaq 100 Falling?</h1>



The Atlanta Fed's GDPNow model is forecasting a 2.4% economic contraction in the first quarter of 2025, a sharp reversal from its 2.3% growth estimate in mid-February.



Meanwhile, Goldman Sachs recently cut its 2025 U.S. GDP forecast from 2.4% to 1.7%, citing <a href="https://www.benzinga.com/25/03/44250477/goldman-sachs-slashes-2025-us-growth-forecast-as-tariff-risks-become-considerably-more-adverse">expectations of significantly higher tariffs.</a>



Ed Yardeni, president of Yardeni Research, says the market may have already entered a deeper downturn. 



"We can&#8217;t rule out that a bear market started on February 20. The risk now is that if the sell-off continues, the negative wealth effect will increase the odds of a recession, which would widen the federal budget deficit and increase the debt-to-GDP ratio," he said.



Not all analysts are pessimistic. Larry Tantarelli, chief technical strategist for Blue Chip Daily Trend Report, sees the potential for a sharp rebound. 



"This remains a very news-driven and highly volatile market. If there are any positive news catalysts, especially with regards to tariffs, then (NDX) could stage a sharp reversal," he said.



<h1 class="wp-block-heading">Nasdaq 100 Breaks Below 200-Day Moving Average</h1>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="458" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68-1024x458.png" alt="" class="wp-image-819093" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68-1024x458.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68-300x134.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68-768x343.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68-1536x686.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11113716/image-68.png 1884w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Chart: <a href="https://www.benzinga.com/pro/?utm_source=BZprocontent&amp;t=be2bearmibe3na1">Benzinga Pro</a>



<h1 class="wp-block-heading">Why The 200-Day Moving Average Matters</h1>



The 200-day moving average is one of the most widely followed technical indicators in financial markets. 



It represents the average closing price over the last 200 trading days and is often viewed as a dividing line between long-term bullish and bearish trends. 



Legendary investor Paul Tudor Jones once said, "My metric for everything I look at is the 200-day moving average of closing prices. I've seen too many things go to zero, stocks and commodities. The whole trick in investing is: ‘How do I keep from losing everything?' If you use the 200-day moving average rule, then you get out. You play defense, and you get out."



When the Nasdaq 100, which is tracked by Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), falls below this level it signals weakness, but historically, it has also provided strong buying opportunities.



<h1 class="wp-block-heading">What Happens After The Nasdaq 100 Breaks Below Its 200-Day Moving Average?</h1>



Historically, the Nasdaq 100 has bounced back strongly after falling below its 200-day moving average. 



In four of the last five instances, the index posted double-digit gains over the following months. 



The average three-month return across these instances is 11%, while the one-year return averages 29.4%, indicating that investors who bought during these breakdowns were often rewarded over time.



The exception was in 2022, when macroeconomic uncertainty and aggressive Fed tightening led to further losses, marking a prolonged bear market in tech stocks.



<figure class="wp-block-table is-style-stripes"><table style="overflow:auto; height: 90px; display: block;"><thead><tr><th>Date</th><th>1-Month Forward</th><th>3-Month Forward</th><th>6-Month Forward</th><th>1-Year Forward</th></tr></thead><tbody><tr><td>March 10, 2023</td><td>+10.1%</td><td>+22.3%</td><td>+29.9%</td><td>+51.9%</td></tr><tr><td>Jan. 22, 2022</td><td>-6.4%</td><td>-6.0%</td><td>-17.8%</td><td>-22.2%</td></tr><tr><td>March 9, 2020</td><td>+5.7%</td><td>+24.4%</td><td>+39.3%</td><td>+61.1%</td></tr><tr><td>June 3, 2019</td><td>+12.8%</td><td>+8.4%</td><td>+19.2%</td><td>+35.0%</td></tr><tr><td>March 7, 2019</td><td>+8.4%</td><td>+10.9%</td><td>+8.1%</td><td>+21.3%</td></tr></tbody><tfoot><tr><td>Average</td><td>+6.1%</td><td>+11.0%</td><td>+15.7%</td><td>+29.4%</td></tr></tfoot></table><figcaption class="wp-element-caption">Source: TradingView</figcaption></figure>



<h1 class="wp-block-heading">Should Investors Buy The Dip?</h1>



The Nasdaq 100's decline below its 200-day moving average could mark a major buying opportunity, but investors should carefully assess the broader macroeconomic picture.



On one hand, history suggests market rebounds following similar declines have been strong, with double-digit returns in most cases.



On the other hand, risks remain elevated, including escalating tariffs, slowing economic growth, and uncertainty over the Federal Reserve's rate path.



For now, the next major catalyst will be<a href="https://www.benzinga.com/25/03/44246635/traders-brace-for-pivotal-february-inflation-data-as-stagflation-fears-weigh-on-wall-street-what-to-expect"> February&#8217;s inflation report.</a>



If upcoming Consumer Price Index numbers come in softer than expected, it could fuel optimism about potential rate cuts, sparking a relief rally. But if inflation remains stubbornly high, the market's downward trend could deepen.



Read now: 



<ul>
<li><a href="https://www.benzinga.com/25/03/44249926/stock-of-the-day-where-will-the-tesla-selloff-end">Stock Of The Day – Where Will The Tesla Selloff End?</a></li>
</ul>



Photo: iQoncept via Shutterstock

Equities

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Nasdaq 100 Trades Below Its 200-Day Moving Average: History Says You Should Buy The Dip Now

President Donald Trump announced plans Tuesday morning to impose an additional 25% tariff on steel and aluminum imports from Canada, bringing the total levy to 50%.



What To Know: Trump made the statement on his <a href="https://truthsocial.com/@realDonaldTrump/114144217763824399">Truth Social platform</a>, accusing Canada of being one of the most protectionist economies in the world. The new tariffs are set to take effect on Wednesday.



Trump also warned that if Canada does not remove its <a href="https://www.benzinga.com/news/25/03/44213871/canadas-next-pm-mark-carney-vows-to-win-trade-war-with-trump-says-americans-should-make-no-mistake">existing tariffs</a>, he will significantly raise duties on cars imported from the country, a move he claims would cripple Canada's automotive sector.



Read Also: <a href="https://www.benzinga.com/markets/cryptocurrency/25/03/44249696/anthony-scaramucci-says-bitcoin-is-digital-store-of-value-and-the-us-should-own-it">Anthony Scaramucci Says Bitcoin Is &#8216;Digital Store Of Value&#8217; And &#8216;The US Should Own It&#8217;</a>



US industries that rely on Canadian steel and aluminum—such as automotive, construction and aerospace—could face rising production costs, which may be passed on to consumers in the form of higher prices for cars, appliances, and infrastructure projects. 



Supply chain disruptions could also increase volatility in commodity markets, further straining businesses that depend on stable material costs.



What Else: Wall Street is anxiously awaiting <a href="https://www.benzinga.com/25/03/44246635/traders-brace-for-pivotal-february-inflation-data-as-stagflation-fears-weigh-on-wall-street-what-to-expect">Wednesday's inflation report</a>, hoping for signs of cooling price pressures amid mounting recession fears and a sharp market sell-off, with the Nasdaq 100 plunging 13% in just three weeks.



Read Also: <a href="https://www.benzinga.com/25/03/44249926/stock-of-the-day-where-will-the-tesla-selloff-end">Stock Of The Day – Where Will The Tesla Selloff End?</a>



Economists expect headline inflation to ease slightly to 2.9%, but persistent cost increases in key areas like car insurance and airfare may keep the Federal Reserve from cutting rates too soon. Meanwhile, the Atlanta Fed now predicts a 2.4% GDP contraction for first-quarter 2025, as trade imbalances widen and tech stocks continue their sharp decline. 



Analysts <a href="https://www.benzinga.com/25/03/44246635/traders-brace-for-pivotal-february-inflation-data-as-stagflation-fears-weigh-on-wall-street-what-to-expect">warn</a> that proposed tariff hikes could further disrupt supply chains and fuel inflation, potentially offsetting disinflationary trends. Businesses may have already accelerated imports in anticipation of these tariffs, contributing to the recent economic slowdown.



Read now:



<ul>
<li><a href="https://www.benzinga.com/news/large-cap/25/03/44237691/magnificent-7-sheds-over-750-billion-in-market-cap-in-one-day-is-big-techs-honeymoon-over" target="_blank" rel="noreferrer noopener">Magnificent 7 Sheds Over $750 Billion In Market Cap In One Day: Is Big Tech's Honeymoon Over?</a></li>
</ul>



Photo: Shutterstock

News

Trump Slaps 50% Tariff On Canadian Steel & Aluminum, Threatens Auto Industry

Following Monday&#8217;s dramatic selloff of more than 15%, shares of Tesla, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) are staging a small rebound Tuesday. The stock has been getting pummeled along with the rest of the market. It is down more than 50% since December 17.



It found a bottom around the $222.00 level. This was not a coincidence and it&#8217;s also why Tesla is Stock of the Day.



In the stock market, there can be price levels that are more important than others. Large amounts of volume typically trade at these levels. Trends can pause or reverse when they reach them.



These are called support and resistance levels.



If a stock is heading lower, it's because there aren't enough buy orders to absorb all of the sell orders. Sellers are forced to undercut each other and this can cause a downtrend to form.



When a stock drops to a support level the selloff pauses or ends. There is more than enough demand to absorb all of the supply. Traders can sell all they wish to without pushing the price lower.



Read Also: <a href="https://www.benzinga.com/markets/equities/25/03/44246100/trump-makes-false-claim-about-tesla-boycotts-musk-blames-soros-and-linkedin-co-founder-for-backing-protests">Trump Makes False Claim About Tesla Boycotts, Musk Blames Soros And LinkedIn Co-Founder For Backing Protests</a>



If a stock is heading higher, it's because there aren't enough sell orders to fill all of the buy orders. Traders are forced to outbid each other and this can cause an uptrend to form.



When a stock reaches a resistance level the rally pauses or ends. There is more than enough supply to fill all of the demand. Traders can buy all the shares they want to without pushing the price higher.



An interesting and often overlooked market dynamic is that price levels that were support can convert into resistance and price levels that were resistance can convert into support.



As you can see on the chart, the $222.00 level was resistance for Tesla in October. This is where the selloff ended.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="526" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart-1024x526.png" alt="" class="wp-image-818954" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart-1024x526.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart-300x154.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart-768x395.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart-1536x789.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/03/11102414/Tesla-chart.png 1588w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Many who sold shares at $222.00 then regretted doing so when the resistance broke and the stock ripped higher. Some vowed to buy their shares back if they could get them for the same price they were sold at.



Yesterday when the stock dropped to this level, these remorseful sellers placed buy orders. This large concentration of buyers formed support and put a floor under the price.



Sometimes stocks rally after they reach support. Tesla may be about to move higher.



Read <a href="Next: Billionaire Investor Ron Baron Reacts To Nasdaq, S&amp;P Selloff: 'The Stock Prices...Can't Believe How Cheap They Are'">Next: Billionaire Investor Ron Baron Reacts To Nasdaq, S&amp;P Selloff: &#8216;The Stock Prices&#8230;Can&#8217;t Believe How Cheap They Are&#8217;</a>



Photo: Shutterstock

Technicals

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TSLA

Stock Of The Day – Where Will The Tesla Selloff End?

Wall Street is on edge ahead of a pivotal inflation report this Wednesday, as traders hope for signs that price pressures are finally cooling after <a href="https://www.benzinga.com/markets">weeks of market turmoil.</a>



The tech-heavy Nasdaq 100 – as tracked by the Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) – has tumbled 13% in just three weeks, with March on track for becoming the worst month since December 2022, while recession fears are mounting amid a sharp downgrade in U.S. growth forecasts.



With the Federal Reserve's next move in question, all eyes are on the latest Consumer Price Index data, slated for release at 8:30 a.m. ET on Wednesday. 



<h3 class="wp-block-heading">February Inflation Preview: What Are Economists Expecting?</h3>



The median economist consensus, tracked by TradingEconomics, sees annual headline inflation easing to 2.9% from January's 3% reading, which would snap a four-month streak of accelerating inflation. 



On a monthly basis, price growth is expected to slow to 0.3% from 0.5%. 



Core inflation, which excludes food and energy, is seen moderating to 3.2% from 3.3%, with the monthly pace cooling to 0.3% from 0.4%.



While a softer CPI print could boost expectations for rate cuts, Bank of America economist Stephen Juneau said that inflation is still running &#8220;well above levels consistent with the Fed&#8217;s 2% target." 



That means the Federal Reserve may not rush to ease monetary policy despite growing economic risks.



Goldman Sachs economist Jessica Rindels expects pockets of inflationary pressure to persist in key categories. "We expect used car prices to increase 0.6%, reflecting an increase in auction prices, and we expect new car prices to increase 0.3%, reflecting a decline in dealer incentives," she said. 



Car insurance is another pain point, with a projected 1% jump due to rising premiums. Airfares could also surge 2.5%, while communication services may see a 0.3% uptick due to seasonal distortions.



Despite near-term inflationary pressures, Goldman Sachs sees disinflation ahead, predicting core CPI will fall to 3.2% by December 2025, with core Personal Consumption Expenditures inflation—the Fed's preferred gauge—easing to 2.9%.



However, the firm warned that tariff hikes could offset some of the cooling effects from a rebalancing in auto, housing rental, and labor markets.



<h3 class="wp-block-heading">Market Sell-Off Intensifies Ahead Of Inflation Data</h3>



The stakes for Wednesday's inflation report are high. Markets have been hammered in recent weeks, with investors fleeing risk assets amid fears of slowing economic growth.



The Atlanta Fed's GDPNow model now forecasts a 2.4% contraction for the U.S. economy for the first quarter of 2025, a sharp reversal from its 2.3% growth projection in mid-February.



"Looking into the details, we see that most of that is being driven by imports a lot higher than exports," economist Ayesha Tariq said.



That suggests U.S. businesses may have accelerated imports in anticipation of President Donald Trump's proposed tariff hikes, leading to wider trade imbalances.



The market sell-off in recent weeks reflects deep losses in the Magnificent Seven tech stocks, all of which have entered correction territory.



Six of the seven are down at least 18% from their recent highs, with Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) plunging 53.9% and Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) sliding 30.1%.



For now, the market downturn may be seen as a long-overdue correction rather than a crisis. "The sell-off looks like an overdue correction which could reset some overvalued stocks and restore some sanity to the market," said David Morrison, senior market analyst at Trade Nation.



<figure class="wp-block-table is-style-stripes"><table style="overflow:auto; height: 90px; display: block;"><thead><tr><th>Magnificent Seven</th><th>Drawdown from peak (as of Mar. 10)</th></tr></thead><tbody><tr><td>Tesla Inc. </td><td>-53.9%</td></tr><tr><td>Nvidia Corp.</td><td>-30.1%</td></tr><tr><td>Alphabet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>)</td><td>-19.5%</td></tr><tr><td>Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>)</td><td>-19.5%</td></tr><tr><td>Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>)</td><td>-18.9%</td></tr><tr><td>Microsoft Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>)</td><td>-18.8%</td></tr><tr><td>Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>)</td><td>-12.4%</td></tr></tbody></table></figure>



<h3 class="wp-block-heading">Will The Fed Cut Rates?</h3>



Traders have ramped up bets that the Federal Reserve will step in to cushion the economic slowdown. Market-implied probabilities now suggest an 80% chance of four rate cuts by December 2025.



Fed Chair Jerome Powell struck a dovish tone during last week's congressional testimony, saying the central bank is waiting for more confidence that inflation is "moving sustainably at 2%." 



He added, "When we do get that confidence, and we're not far from it, it'll be appropriate to begin to dial back the level of restriction."



However, not all analysts are convinced that the Fed should act aggressively. 



"The Fed should be wary of tripping that wire by lowering interest rates too soon," Ed Yardeni said in a note Tuesday.



A cooler CPI reading could spark a relief rally, while a hotter-than-expected report might extend the sell-off and intensify stagflation concerns.



Either way, Wall Street is at a crossroads, and Wednesday's numbers will set the tone for the coming months.



Read now: 



<ul>
<li><a href="https://www.benzinga.com/news/large-cap/25/03/44237691/magnificent-7-sheds-over-750-billion-in-market-cap-in-one-day-is-big-techs-honeymoon-over">Magnificent 7 Sheds Over $750 Billion In Market Cap In One Day: Is Big Tech&#8217;s Honeymoon Over? (CORRECTED)</a></li>
</ul>



Image created using artificial intelligence via Midjourney.

Federal Reserve

AAPL

AMZN

GOOGL

MSFT

NVDA

Traders Await Pivotal February Inflation Data As Stagflation Fears Weigh On Wall Street: What To Expect

Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) is a very valuable long-term strategic asset that the United States should hold <a href="https://www.benzinga.com/25/03/44183572/trump-establishes-strategic-bitcoin-reserve-funded-by-forfeited-assets-i-made-the-promise">in its reserves</a>, according to Anthony Scaramucci, founder and managing partner of SkyBridge Capital.



What Happened: In an <a href="https://www.youtube.com/watch?v=7NV7ERKvHmE">interview</a> with CNBC on Monday, Scaramucci praised the Trump administration's efforts to establish a Bitcoin reserve, arguing that it positions the cryptocurrency as a critical component of the nation's financial future, akin to digital gold.



With Bitcoin trading around $80,750—down down about 26% from its all time high of $108,786, Scaramucci emphasized its role in maintaining dollar stability and urged bipartisan support for the initiative, despite skepticism from some quarters.



Scaramucci highlighted the strategic vision behind the reserve, crediting David Sacks, a key figure in the administration, for fostering a bipartisan approach to digital assets.



"It's a very valuable long-term strategic asset and I believe the U.S. should own it," he said, highlighting his belief that Bitcoin's value transcends short-term market fluctuations. 



He pointed to the administration's plan to acquire Bitcoin through revenue-neutral means—such as converting forfeited assets—rather than relying on taxpayer funds, a move he sees as both pragmatic and politically savvy.



The SkyBridge founder drew parallels between Bitcoin and traditional reserve assets like gold and oil, which enjoy broad congressional support. 



He argued that Bitcoin's inclusion in the strategic reserve could bolster the dollar's supremacy over the next decade or more. 



Also Read: <a href="https://www.benzinga.com/markets/cryptocurrency/25/03/44244951/bitcoins-heading-to-73000-without-a-fresh-narrative-10x-research">Bitcoin&#8217;s Heading To $73,000 Without A Fresh Narrative: 10x Research</a>



"If you believe what I believe, that this is a digital store of value and it's equivalent to digital gold… the United States is going to want to have this as a reserve asset," Scaramucci said. 



He dismissed comparisons to failed government investments like Solyndra, insisting that Bitcoin represents a foundational technology, not a speculative venture.



Why It Matters: Scaramucci also addressed the choppy trading environment, attributing it to dashed expectations among Bitcoin enthusiasts who anticipated an immediate boom following the Trump administration's arrival. Instead, he praised Sacks for taking a measured approach.



"I think what David Sacks has done, frankly, is brilliant because he's trying to create a bipartisan commitment and a bipartisan understanding to digital assets," he noted. 



Looking ahead, Scaramucci predicted increased institutional buying over the next three to six months, spurred by the U.S. reserve initiative, which could prompt other nations to follow suit.



Despite skepticism from some conservative and older demographics—evidenced by his encounters at a recent Yale event—Scaramucci urged critics to study Bitcoin's potential. 



As a five-year holder himself, he remains steadfast in his conviction that it is a hedge against currency risk and a vital asset for the future.



Read Next: 



<ul>
<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/03/44243448/why-did-trumps-strategic-crypto-reserve-not-include-xrp">Why Did Trump&#8217;s Strategic Crypto Reserve Not Include XRP?</a></li>
</ul>



Image: Shutterstock

Cryptocurrency

$BTC

Anthony Scaramucci Says Bitcoin Is 'Digital Store Of Value' And 'The US Should Own It'

Kohl&#8217;s Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KSS#NYSE">KSS</a>) shares are <a target="_blank" href="https://www.benzinga.com/premarket" rel="noreferrer noopener">plunging in premarket </a>on Tuesday after the fourth-quarter FY24 earnings results.



The company reported a fourth-quarter sales decline of 9.4% year-on-year to $5.175 billion, beating the <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/b44242740/kohls-reports-fourth-quarter-and-full-year-fiscal-2024-financial-results" rel="noreferrer noopener">analyst consensus estimate of $5.145 billion.</a>



Comparable sales for the quarter decreased 6.7%. Gross margin for the quarter expanded by 49 basis points to 32.9%.



Operating income for the quarter was $126 million versus $299 million last year. The operating margin compressed 270 basis points to 2.3%.



Selling, general and administrative expenses decreased 4.5% Y/Y to $1.5 billion. Adjusted EPS of $0.95 beat the <a target="_blank" href="https://www.benzinga.com/earnings" rel="noreferrer noopener">consensus estimate of $0.73.</a>



Also Read: <a target="_blank" href="https://www.benzinga.com/25/03/44189744/retailer-wayfair-restructures-technology-team-cuts-340-jobs" rel="noreferrer noopener">Retailer Wayfair Restructures Technology Team, Cuts 340 Jobs</a>



Kohl&#8217;s held $134 million in cash and equivalents as of February 1, 2025. Operating cash flow was $596 million in the quarter. Inventory at the end of the quarter was $2.9 billion, a 2% increase Y/Y.



Kohl&#8217;s Board of Directors declared a quarterly cash dividend on the company&#8217;s common stock of $0.125 per share. The dividend is payable on April 2 to shareholders of record at the close of business on March 21.



The quarterly dividend is <a target="_blank" href="https://www.benzinga.com/pressreleases/24/11/b41954674/kohls-declares-quarterly-dividend" rel="noreferrer noopener">being lowered from $0.50</a> paid last quarter.



Outlook: Kohl&#8217;s expects FY25 sales decline of 5% – 7%. It expects FY25 EPS of $0.10 – $0.60 versus the Street view of $1.25.



Kohl&#8217;s anticipates FY25 comparable sales to decrease 4% &#8211; 6%. Kohl&#8217;s expects an FY25 operating margin of <a href="https://www.benzinga.com/calendars/guidance">2.2% – 2.6% and capital expenditures of about $400 million &#8211; $425 million.</a>



Price Action: KSS shares trading lower by 16.2% at $10.10 in premarket at last check Tuesday.



Read Next:



<ul>
<li><a href="https://www.benzinga.com/markets/equities/25/03/44244752/on-semiconductor-launches-advanced-depth-sensors-for-industrial-robotics-and-automation" target="_blank" rel="noreferrer noopener">ON Semiconductor Launches Advanced Depth Sensors For Industrial Robotics And Automation</a></li>
</ul>



Photo: Sundry Photos via Shutterstock.

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Guidance

Dividends

Movers

General

Kohl's Anticipates Sales And Profit Dip In 2025, Slashes Dividend By 75%, Stock Tanks

Elon Musk is experiencing challenges managing his various businesses while working with the Trump administration for the Department of Government Efficiency (DOGE).



What Happened: Musk, in an interview <a href="https://www.foxbusiness.com/video/6369857710112">with</a> Fox Business&#8217;s Larry Kudlow, said he is running his businesses "with great difficulty" while working with the Donald Trump administration. This comes amid a huge decline in TSLA stock on Monday.



The company's stock price declined over 15% to $222.15, resulting in a $130 billion loss in market capitalisation.



This decline contributed to a 4% drop in the Nasdaq index, driven by fears of a potential recession due to the Trump administration&#8217;s tariffs.



The market value loss on Monday surpassed the combined stock market value of Ford Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>) and General Motors Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>). The recent downturn erased the gains from a previous rally that nearly doubled Tesla&#8217;s stock following the election of U.S. President Trump.



Investors are worried that Musk&#8217;s involvement with the Department of Government Efficiency is detracting from his focus on his companies, including SpaceX, X, and xAI.



Protests against Tesla have emerged in the U.S. and Europe, with demonstrators criticising Musk&#8217;s political activities. Tesla&#8217;s European sales dropped 45% in January, contrasting with a 37% rise in overall EV sales, according to the European Automobile Manufacturers Association.



Why It Matters: The decline in Tesla&#8216;s stock is part of a broader trend that has seen the company&#8217;s market cap drop significantly since the beginning of 2025.



According to Benzinga Pro data, Tesla&#8217;s stock has<a href="https://www.benzinga.com/25/03/44208979/tesla-stock-crashes-about-40-since-trump-took-office-in-january-2025-brand-takes-a-hit-and-musk-faces-criticism-top-analyst-says-dark-times-for-bulls-but-not-enough-to-head-for-the-hills"> crashed</a> about 40% since President Trump took office, with the brand taking a substantial hit. Despite this downturn, some analysts, like Dan Ives from Wedbush, see it as a &#8220;generational opportunity&#8221; and predict a potential rebound.



Moreover, Tesla&#8217;s brand image has reportedly been declining, <a href="https://www.benzinga.com/markets/equities/25/03/44216493/tsla-stock-drops-over-3-in-monday-pre-market-amid-lower-deliveries-declining-brand-image">partly due to Musk&#8217;s political involvement </a>and his role in the Department of Government Efficiency. This has led to a decrease in deliveries and a further drop in stock value.



In an effort to support Musk, President Trump<a href="https://www.benzinga.com/markets/25/03/44240714/trump-says-he-will-buy-a-brand-new-tesla-to-support-elon-musk-as-stock-falls-over-53-erasing-nearly-800-billion-in-investor-wealth-since-december-peak"> expressed</a> his intention to purchase a Tesla vehicle. Trump accused the &#8220;Radical Left Lunatics&#8221; of trying to boycott Tesla and harm Musk, highlighting the political tensions surrounding the company.



Check out more of Benzinga&#8217;s Future Of Mobility coverage by <a href="https://www.benzinga.com/topic/mobility">following this link.</a>



Read Next:



<a href="https://www.benzinga.com/markets/equities/25/03/44239714/teslas-101x-valuation-raises-alarm-as-gordon-johnson-warns-of-sales-slump-dan-ives-sees-ai-upside-despite-elon-musks-doge-distractions">Tesla&#8217;s 101x Valuation Raises Alarm As Gordon Johnson Warns Of Sales Slump, Dan Ives Sees AI Upside Despite Elon Musk&#8217;s DOGE Distractions</a>



Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Photo courtesy: Shutterstock

Government

Markets

Elon Musk Admits Juggling Between Tesla, DOGE Is Difficult, Says Running Businesses 'With Great Difficulty' As TSLA Stock Plunges 50% In 3 Months

U.S. stock futures rose on Tuesday following Monday&#8217;s heavy selloff. Futures of all four benchmark indices surged in premarket trading.



On Monday, the Nasdaq 100 index fell 12.56%, while the S&amp;P 500 dropped 8.67% from its previous high. While Nasdaq 100 had entered the correction zone last week, S&amp;P 500 was nearing the territory.



The selloff followed President Donald Trump&#8216;s comments from Sunday, where he didn&#8217;t rule out the possibility of a recession. He also said that the economy was undergoing "a period of transition,&#8221; as his tariff battle against major trading partners continued.



Meanwhile, the 10-year Treasury yield stood at 4.20%, while the two-year yield was at 3.89%. According to the CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>, there is a 95% chance that the Federal Reserve will keep interest rates unchanged for the March meeting.



<figure class="wp-block-table is-style-stripes"><table style="overflow:auto; height: 90px; display: block;"><tbody><tr><td>Futures</td><td>Change (+/-)</td></tr><tr><td>Nasdaq 100</td><td>0.41%</td></tr><tr><td>S&amp;P 500</td><td>0.27%</td></tr><tr><td>Dow Jones</td><td>0.20%</td></tr><tr><td>Russell 2000</td><td>0.93%</td></tr></tbody></table></figure>



The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which track the S&amp;P 500 index and Nasdaq 100 index, respectively, rose in premarket on Tuesday. The SPY was up 0.37% to $562.63, and the QQQ also advanced 0.57% to $475.42, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.



Cues From The Last Session



On Monday, U.S. stock market saw significant losses, particularly in consumer discretionary, information technology, and communication services sectors.



In contrast, utilities and energy sectors saw gains. This sector-driven decline contributed to the Dow dipping 890 points.



Overall market weakness followed a tough week, with the S&amp;P 500 down 3.1%. Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) and Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) shares also experienced notable drops.



<figure class="wp-block-table is-style-stripes"><table style="overflow:auto; height: 90px; display: block;"><tbody><tr><td>Index</td><td>Performance (+/-)</td><td>Value</td></tr><tr><td>Nasdaq Composite</td><td>-4.00%</td><td>17,468.32</td></tr><tr><td>S&amp;P 500</td><td>-2.70%</td><td>5,614.56</td></tr><tr><td>Dow Jones</td><td>-2.08%</td><td>41,911.71 </td></tr><tr><td>Russell 2000</td><td>-2.72%</td><td>2,019.07</td></tr></tbody></table></figure>



Insights From Analysts



After entering correction territory last week, the Nasdaq 100 fell 3.81% on Monday, confirming a key trend highlighted by Jason Goepfert.



Historically, a 3.5%+ drop following a correction and a 200-day average breach has led to a bear market, according to Goepfert.



Goepfert reaffirmed his assumptions and said that a "bad scenario," had been triggered and it was "Not the best sign for bulls."



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Already triggered the bad scenario. Not the best sign for bulls. <a href="https://t.co/GMm8bv3sUr">https://t.co/GMm8bv3sUr</a>&mdash; Jason Goepfert (@jasongoepfert) <a href="https://twitter.com/jasongoepfert/status/1899201625107153288?ref_src=twsrc%5Etfw">March 10, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



However, not all analysts believed that the indices are headed toward a bear market.



Mona Mahajan, the investment strategist at Edward Jones, calmed the investors after Monday&#8217;s selloff and said that pullbacks are normal and the possibility of a bear market was not confirmed.



&#8220;Investors are understandably nervous – the economy seems to be softening as tariffs and government policy uncertainty remain elevated. But keep in mind that in any given year, one to three pullbacks are normal, in the 5% to 15% range, and historically these have led to buying opportunities. Especially because we don&#8217;t yet see a recession, the likelihood of a deep or prolonged bear market is not as high.&#8221;



Sentimentrader&#8217;s Jay Kaeppel said that the U.S. stock market is only &#8220;sorta, kinda&#8221; oversold, citing the McClellan Oscillator&#8217;s data for the S&amp;P 500.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">BTW, the U.S. stock market is only "sorta, kinda" oversold. Corrections tend to play out until an actual "washout" occurs. Sorry, I don't make the rules. <a href="https://twitter.com/sentimentrader?ref_src=twsrc%5Etfw">@sentimentrader</a> <a href="https://t.co/kg4bPq7Dvf">pic.twitter.com/kg4bPq7Dvf</a>&mdash; Jay Kaeppel (@jaykaeppel) <a href="https://twitter.com/jaykaeppel/status/1899064152980591037?ref_src=twsrc%5Etfw">March 10, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Charlie Bilello of Creative Planning shared a list of past S&amp;P 500 drops, noting each event &#8220;seemed like the end of the world&#8221; at the time.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">The S&amp;P 500 has now fallen over 9% from its peak on February 19, the biggest pullback since last August. This is the 30th correction &gt;5% off of a high since the March 2009 low. They all seemed like the end of the world at the time. <a href="https://twitter.com/search?q=%24SPX&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$SPX</a> Video: <a href="https://t.co/bp8qymBdHZ">https://t.co/bp8qymBdHZ</a> <a href="https://t.co/gnv4F6E5li">pic.twitter.com/gnv4F6E5li</a>&mdash; Charlie Bilello (@charliebilello) <a href="https://twitter.com/charliebilello/status/1899251053658247484?ref_src=twsrc%5Etfw">March 11, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



See Also: <a href="https://www.benzinga.com/money/how-to-trade-futures">How to Trade Futures </a>



Upcoming Economic Data



Here&#8217;s what investors will keep on Tuesday:



<ul>
<li>On Tuesday, February&#8217;s NFIB optimism index data will be released at 6:00 a.m., ET.</li>
</ul>



<ul>
<li>January&#8217;s job openings data will be out by 10:00 a.m., ET.</li>
</ul>



Stocks In Focus:



<ul>
<li>DICK&#8217;S Sporting Goods Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DKS#NYSE">DKS</a>) was up 0.94% in premarket on Tuesday ahead of its earnings, which will be released before the opening bell. Analysts expect it to report earnings of $3.53 per share on revenue of $3.78 billion.</li>
</ul>



<ul>
<li>Ciena Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CIEN#NYSE">CIEN</a>) dropped 1.23% as Wall Street expects it to report quarterly earnings of 41 cents per share on revenue of $1.05 billion before the opening bell.</li>
</ul>



<ul>
<li>Kohl&#8217;s Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KSS#NYSE">KSS</a>) slipped 2.07% ahead of its earnings, which will be released before the opening bell. Analysts expect it to report earnings of 73 cents per share on revenue of $5.14 billion.</li>
</ul>



<ul>
<li>United Natural Foods Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNFI#NYSE">UNFI</a>) advanced 0.07% as Wall Street expects it to report quarterly earnings of 19 cents per share on revenue of $7.96 billion before the opening bell.</li>
</ul>



<ul>
<li>Oracle Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>) was 1.08% lower after reporting third-quarter revenue of $14.13 billion, missing the consensus estimate of $14.39 billion. Also, adjusted earnings of $1.47 per share, missing analyst estimates of $1.49 per share.</li>
</ul>



<ul>
<li>2Seventy Bio Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSVT#NASDAQ">TSVT</a>) surged 76.07% as Bristol-Myers Squibb Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BMY#NYSE">BMY</a>) said that it will acquire the company for $5.00 per share in an all-cash deal, an 88% premium, valuing the company at $286 million.</li>
</ul>



<ul>
<li>Tenon Medical Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TNON#NASDAQ">TNON</a>) zoomed 60% after it secured two European patents for its Catamaran SI Joint Fixation Device, strengthening its global portfolio and highlighting its innovation in SIJ disorder treatment.</li>
</ul>



<ul>
<li>NET Power Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NPWR#NYSE">NPWR</a>) slumped 35.79% after reporting wider-than-expected fourth quarter loss.</li>
</ul>



<ul>
<li>Asana Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ASAN#NYSE">ASAN</a>) plummeted 27.34% after CEO Dustin Moskovitz announced retirement.</li>
</ul>



<ul>
<li>LifeMD Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LFMD#NASDAQ">LFMD</a>) rose 23.65% after reporting better than expected revenue and EPS in the fourth quarter.</li>
</ul>



<ul>
<li>Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) jumped 3.09% after dropping over 41.43% on a year-to-date basis in 2025 as Trump reaffirmed his support for Elon Musk on Monday, praising him for &#8220;putting it on the line&#8221; for the nation. On Truth Social, Trump accused &#8220;left lunatics&#8221; of illegally colluding to boycott Tesla.</li>
</ul>



Commodities, Gold And Global Equity Markets:



Crude oil futures were trading higher in the early New York session by 0.73% to hover around $66.51 per barrel.



The gold spot index was up by 0.74% to $2,910.70 per ounce. Its last record high was at $2,956.37 per ounce. The Dollar Index was down 0.44% at the 103.444 level.



Asian markets closed mostly lower on Tuesday as Australia's ASX 200, Japan's Nikkei 225, South Korea's Kospi, and Hong Kong's Hang Seng index declined. Whereas India's S&amp;P BSE Sensex, China's CSI 300 advanced. European markets were mostly higher in trade.



Read Next:



<ul>
<li><a href="https://www.benzinga.com/25/03/44240968/history-repeats-market-enters-correction-zone-in-the-same-week-when-dot-com-bubble-burst-25-years-ago-heres-what-experts-are-saying">History Repeats? Market Enters Correction Zone In The Same Week When Dot-Com Bubble Burst 25 Years Ago: Here&#8217;s What Experts Are Saying</a></li>
</ul>



Photo courtesy: Shutterstock

Market Summary

Futures

Treasuries

Pre-Market Outlook

Analyst Ratings

ASAN

CIEN

LFMD

NPWR

ORCL

TNON

TSVT

UNFI

US Stocks Likely To Open Higher After Monday's Selloff: TSLA Stock Rebounds From Its Worst Fall In 5 Years After Trump Backs Musk, Analyst Says 'Pullbacks Are Normal'

The ongoing cryptocurrency downturn has left investors reeling, wiping away a major chunk of their gains since Donald Trump emerged victorious in the 2024 presidential elections.&nbsp;



Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>), the world's largest cryptocurrency by valuation, sank below $77,000 for the first time in four months and, trading <a href="https://www.benzinga.com/government/regulations/25/01/43085323/trump-sworn-in-as-47th-president-declares-golden-age-of-america-begins-right-now">down 21%</a> since Trump was sworn in as president.



While Bitcoin did not get off to the best start under Trump&#8217;s presidency, it is worth remembering that the apex cryptocurrency had a fantastic run during his previous tenure.



What happened: Trump won the 2016 elections, with his tenure beginning on Jan. 20, 2017, and lasting till Jan. 20, 2021.



During this time, Bitcoin soared from $898.17 to $36050.11, marking a whopping 3913.73% surge.&nbsp;



The fascinating bit was that there was no support from Trump whatsoever. In fact, back in 2019, <a href="https://www.benzinga.com/markets/cryptocurrency/24/09/41096120/if-you-invested-1-000-in-bitcoin-when-donald-trump-said-he-wasnt-a-fan-heres-how-much-youd">he famously said</a> he wasn't a "fan" of Bitcoin and that the value of cryptocurrencies was "based on thin air."



<figure class="wp-block-table"><table style="overflow:auto; height: 90px; display: block;"><tbody><tr><td>Tenure</td><td>BItcoin Gains +/-</td><td>Bitcoin Value If Gains Repeated In Trump&#8217;s Second Presidency (2025-2029)</td></tr><tr><td>Donald Trump (2017-21)</td><td>+3913.73%</td><td>$3.13 Million</td></tr><tr><td>Joe Biden (2021-25)</td><td>+202.67%</td><td>$162,330</td></tr></tbody></table></figure>



See Also:<a href="https://www.benzinga.com/24/12/42735744/pharma-bro-martin-shkreli-predicts-doom-for-michael-saylors-microstrategy-as-stock-dips-below-300-in-after-hours-trading"> </a><a href="https://www.benzinga.com/25/03/44240497/dogecoin-millionaire-deems-ongoing-crypto-meltdown-as-final-shakeout-but-heres-what-these-analysts-think-about-doges-potential">Dogecoin &#8216;Millionaire&#8217; Labels Ongoing Crypto Meltdown A &#8216;Final Shakeout,&#8217; But Here&#8217;s What These Analysts Think About DOGE&#8217;s Potential</a>



Trump was succeeded by Joe Biden, who won the 2020 presidential election.&nbsp;



Biden&#8217;s tenure, which lasted from January 20, 2021 to January 20, 2025, witnessed two bull cycles for Bitcoin. The first occurred in the fall of 2021, when BTC reached $69,000, and the second was an all-time high of $109,000 set just before his departure.



The second bull run had less to do with Biden and more with the <a href="https://www.benzinga.com/markets/cryptocurrency/25/01/43079668/bitcoin-hits-record-109000-ahead-of-trumps-inauguration-sparks-market-rally">sky-high expectations</a> from Trump's upcoming presidency. The GOP nominee had promised a <a href="https://www.benzinga.com/25/03/44183572/trump-establishes-strategic-bitcoin-reserve-funded-by-forfeited-assets-i-made-the-promise">Bitcoin strategic reserve</a> during his election campaign, which he subsequently delivered on, a pivot from his earlier skepticism.



As of this writing, one Bitcoin traded at $80,095.82. So, if, from here, it rises the same as Trump's first presidency, it would surge to a whopping $3.13 million.



On the other hand, if it matches gains made during the Biden presidency, it would grow to $162,330.



Image via Shutterstock



Read Next:&nbsp;



<ul>
<li><a href="https://www.benzinga.com/25/03/44240035/ethereum-shrinks-over-30-since-eric-trumps-great-time-to-add-eth-suggestion">Eric Trump&#8217;s &#8216;Great Time&#8217; To Buy ETH Backfires? Ethereum Plunges 30% Since His Buy Call</a></li>
</ul>

Bitcoin Déjà Vu? If Trump's Second Term Is Anything Like His First, BTC Could Touch This Eye-Popping Level

Leading cryptocurrencies extended losses Monday, mirroring the stock rout, as investors get jittery over recession concerns.



<figure class="wp-block-table"><table style="overflow:auto; height: 90px; display: block;"><tbody><tr><td>Cryptocurrency</td><td>Gains +/-</td><td>Price (Recorded at 8:30 p.m. ET)</td></tr><tr><td>Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>)</td><td>-4.54%</td><td>$76,982.36</td></tr><tr><td>Ethereum (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/eth/usd">ETH</a>) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-9.88%</td><td>$1,821.41</td></tr><tr><td>Dogecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-11.00%</td><td>$0.1478</td></tr></tbody></table></figure>



What Happened: Bitcoin sank below $77,000 to hit a four-month low. The leading cryptocurrency was down 29% from its all-time high, wiping away nearly all of the gains since <a href="https://www.benzinga.com/opinion/24/11/41754497/how-to-trade-a-trump-win-and-a-trump-loss">Trump's victory</a> in the presidential elections.



Ethereum slipped below $1,800, its lowest since October 2023. Year-to-date, the second-largest cryptocurrency has plunged over 45%.



The downturn comes despite President Donald Trump signing an executive order for a <a href="https://in.benzinga.com/25/03/44183572/trump-establishes-strategic-bitcoin-reserve-funded-by-forfeited-assets-i-made-the-promise">Strategic Bitcoin Reserve</a> last week.



About $926 million was liquidated from the cryptocurrency market in the last 24 hours due to the slump, with $742 million in long positions getting erased.



That said, Bitcoin's recovery to $85,000 would liquidate about a billion in short positions.&nbsp;



Bitcoin's Open Interest fell 3.83% over the last 24 hours, while the number of traders positioned short on the asset soared to 52% of the total.



The Crypto Fear and Greed Index remained in the "Extreme Fear" zone, signaling anticipation of further downsides.



Top Gainers (24-Hours)



<figure class="wp-block-table"><table style="overflow:auto; height: 90px; display: block;"><tbody><tr><td>Cryptocurrency</td><td>Gains +/-</td><td>Price (Recorded at 8:30 p.m. ET)</td></tr><tr><td>Movement (MOVE)</td><td>+7.89%</td><td>$0.4805</td></tr><tr><td>MANTRA (OM)</td><td>+2.79%</td><td>$6.25</td></tr><tr><td>Mantle (MNT)</td><td>+2.46%</td><td>$0.6795</td></tr></tbody></table></figure>



The global cryptocurrency market capitalization stood at $2.54 trillion, contracting 4.25% in the last 24 hours.



Stocks came crashing down Monday. The Dow Jones Industrial Average tumbled 890 points, or 2.08%, to close at 41,911.71. The S&amp;P 500 slipped 2.69%, ending at 5,614.56, while the tech-heavy Nasdaq Composite plunged 4% to close at a six-month low of 17,468.32.



Concerns over the U.S. economy weighed on the market after Trump seemed to acknowledge the <a href="https://www.benzinga.com/25/03/44222440/financial-crime-weekly">possibility of a U.S. recession</a> in an interview over the weekend.



See More: <a href="https://www.benzinga.com/money/best-crypto-scanners">Best Cryptocurrency Scanners</a>



Analyst Notes: Well-known on-chain analytics firm CryptoQuant assessed whether the prevailing market phase was the beginning of a bear or bull dip.



"In a typical bull market, people move their sats in profit, resulting in an SOPR greater than 1, unlike in a bear market. From this perspective, the bull market still seems to be in play," the firm said, referring to the Spent Output Profit Ratio, a metric used to measure the profitability of transactions.



CryptoQuant also noted that the funding rates still resembled the 2020-21 bull market pattern.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Is it the beginning of a bear or bull dip? "For bulls to be convinced that the market has shifted, SOPR and funding rates need to drop below critical levels more frequently than before." – By <a href="https://twitter.com/aytekin466?ref_src=twsrc%5Etfw">@aytekin466</a> Full post &#x1f447;<a href="https://t.co/3kT2yfRD2E">https://t.co/3kT2yfRD2E</a> <a href="https://t.co/OuFXfI2JcH">pic.twitter.com/OuFXfI2JcH</a>&mdash; CryptoQuant.com (@cryptoquant_com) <a href="https://twitter.com/cryptoquant_com/status/1899121567818273099?ref_src=twsrc%5Etfw">March 10, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Arthur Hayes, co-founder of cryptocurrency exchange BitMEX and Chief Investment Officer at Maelstrom Fund, urged his followers to remain patient.



"BTC likely bottoms around $70,000. 36% correction from $110,000 ATH, v normal for a bull market," Hayes said.&nbsp;



Hayes urged that risk-averse investors wait until the central bank eases monetary policy before deploying capital.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">The plan: Be fucking patient. <a href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$BTC</a> likely bottoms around $70k. 36% correction from $110k ATH, v normal for a bull market. Then we need stonks, <a href="https://twitter.com/search?q=%24SPX&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$SPX</a> and <a href="https://twitter.com/search?q=%24NDX&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$NDX</a> to enter free fall. Then we need TradFi muppet to go under. THEN we get Fed, PBOC, ECB, and BOJ all easing to make…&mdash; Arthur Hayes (@CryptoHayes) <a href="https://twitter.com/CryptoHayes/status/1899261481805566368?ref_src=twsrc%5Etfw">March 11, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Photo by Avi Rozen on Shutterstock



Read Next:    



<ul>
<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/03/44229559/coinbase-to-introduce-24-7-crypto-futures-plans-perpetual-style-contracts-for-us-market">Coinbase To Introduce 24/7 Crypto Futures, Plans Perpetual-Style Contracts For US Market</a></li>
</ul>

$DOGE

$ETH

Bitcoin, Ethereum, Dogecoin Sink Deeper As Recession Worries Overshadow Crypto Market: Arthur Hayes Has This Advice For Risk-Averse Traders

On Monday, Cathie Wood&#8216;s Ark Invest made significant trades involving Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) , Palantir Technologies Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PLTR#NASDAQ">PLTR</a>), Coinbase Global Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COIN#NASDAQ">COIN</a>), Advanced Micro Devices Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), Tempus AI Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TEM#NASDAQ">TEM</a>), and Robinhood Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HOOD#NASDAQ">HOOD</a>). These trades occurred against a backdrop of market volatility, with recession fears and economic concerns impacting investor sentiment.



Wood predicts a &#8220;deflationary boom&#8221; in the <a href="https://www.benzinga.com/markets/equities/25/03/44239278/cathie-wood-stands-by-deflationary-boom-call-as-gene-munster-compares-market-turmoil-to-dot-com-bubble">second half of the year</a>, seeing the current market turmoil as the final phase of a rolling recession. She believes this will give Trump's administration and the Fed more flexibility than investors expect. Her prediction was made on a day when the <a href="https://www.benzinga.com/news/large-cap/25/03/44237691/magnificent-7-sheds-over-750-billion-in-market-cap-in-one-day-is-big-techs-honeymoon-over">Magnificent 7 shed over $750 billion</a> in market cap as U.S. markets saw a major sell-off.



The Tesla Trade



Ark Invest&#8217;s flagship fund, ARK Innovation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKK#NYSE">ARKK</a>), acquired 68,164 shares of Tesla on Monday. The purchase comes as Tesla&#8217;s stock faces pressure due to <a href="https://in.benzinga.com/25/03/44232237/whats-going-on-with-tesla-shares-monday">increased competition</a> from Chinese EV manufacturers and declining demand in Europe. Tesla shares closed at $222.15, down 15.43% from the previous session. Additionally, ARK Autonomous Technology &amp; Robotics ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKQ#BATS">ARKQ</a>) added 11,154 Tesla shares. The two transactions amounted to $17.62 million. Notably, Tesla was the largest loser among the Magnificent 7 stocks in Monday&#8217;s sell-off.



The Palantir Trade



Ark Invest also increased its holdings in Palantir by purchasing 123,667 shares through ARKK. Palantir&#8217;s stock, which closed at $76.38, saw a 10.05% decline amid broader market downturns. Ark Fintech Innovation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKF#NYSE">ARKF</a>) also added 28,567 shares of Palantir, highlighting Ark&#8217;s strategic focus on data analytics and AI-driven companies. The total purchase value was $11.63 million. Palantir was one of the companies that <a href="https://in.benzinga.com/general/market-summary/25/03/44227856/nasdaq-sp-500-hit-6-month-lows-as-recession-fears-grow-whats-driving-markets-monday">led tech stocks lower</a> in Monday&#8217;s sell-off.



The Coinbase Trade



Amidst a turbulent day for crypto stocks, Ark Invest seized the opportunity to buy 52,753 shares of Coinbase through ARKK. Coinbase shares fell 17.58% to $179.23, influenced by Bitcoin&#8217;s (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) drop and <a href="https://www.benzinga.com/25/03/44225814/bitcoins-drop-shakes-crypto-stocks-coin-hood-mara-riot-dip-but-are-traders-seeing-a-bargain">exclusion from the S&amp;P 500</a>. The purchase was worth approximately $9.46 million. ARKF also acquired 11,605 shares, reinforcing Ark&#8217;s bullish stance on the cryptocurrency exchange. All in all, Ark bought $11.53 million worth of Coinbase shares on Monday.



The AMD Trade



Ark Invest&#8217;s interest in the semiconductor sector was evident with the acquisition of 94,377 AMD shares through ARKK. AMD&#8217;s stock closed at $96.63, down 3.67%. The transaction was valued at about $9.12 million. Additional purchases were made by ARKQ and ARK Next Generation Internet ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKW#NYSE">ARKW</a>), with 17,271 and 30,235 shares, respectively. ARK Space Exploration &amp; Innovation ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKX#BATS">ARKX</a>) also purchased 5,668 AMD shares. The four transactions were worth $14.62 million in total. On Monday, Alibaba Group unveiled the XuanTie C930 processor, the pivot of China toward <a href="https://www.benzinga.com/markets/emerging-markets/25/03/44229408/alibaba-unveils-new-ai-chip-to-power-chinas-open-source-tech-push-challenge-us-chip-giants">open-source chip technology architecture</a> challenges AMD&#8217;s control on the x86 chip standard. 



The Tempus AI Trade saw Ark Invest purchasing 122,875 shares of Tempus AI through the ARKK ETF. This acquisition follows a previous buy as Ark continues to capitalize on opportunities within the AI sector. The stock closed at $45.17, marking an 8% decline. Based on Monday&#8217;s closing price, Ark purchased $5.55 million worth of Tempus AI shares. Wood has been <a href="https://www.benzinga.com/25/03/44183861/cathie-wood-smelling-ai-opportunity-ark-invest-buys-tempus-ai-dip-scoops-up-over-13-m-worth-of-stock">loading up</a> on Tempus AI stocks; last week, Ark acquired stock worth $13.23 million.



The Robinhood Trade involved Ark Invest acquiring 269,864 shares of Robinhood via the ARKK ETF. Robinhood&#8217;s shares fell 19.79% to close at $35.63 amid broader financial sector concerns. The purchase, valued at about $9.61 million, suggests Ark&#8217;s confidence in Robinhood&#8217;s long-term potential despite short-term market volatility. Robinhood shares dropped amid <a href="https://www.benzinga.com/trading-ideas/movers/25/03/44235019/robinhood-shares-are-down-today-whats-going-on">market volatility</a> triggered by Trump&#8217;s tariff imposition on Canada and Mexico.



Other Key Trades:



<ul>
<li>Sold Block Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XYZ#NYSE">XYZ</a>) stock worth $20.61 million through ARKK and ARKW.</li>



<li>Sold Uipath Inc. (PATH) stock through ARKK, ARKQ and ARKX.</li>



<li>Purchased Ibotta Inc (IBTA) shares through ARKW and ARKF.</li>



<li>Purchased Shopify Inc (SHOP) stock through ARKK and ARKF.</li>
</ul>



Image via Shutterstock



Read Next:



<ul>
<li><a href="https://www.benzinga.com/25/03/44239298/bitcoin-ethereum-dogecoin-sink-further-as-recession-worries-plague-crypto-market-arthur-hayes-has-this-advice-for-risk-averse-traders-in-the-ongoing-slump">Bitcoin, Ethereum, Dogecoin Sink Deeper As Recession Worries Overshadow Crypto Market: Arthur Hayes Has This Advice For Risk-Averse Traders</a></li>
</ul>



This story was generated using <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and edited by <a href="https://www.benzinga.com/author/shivdeep-dhaliwal" target="_blank" rel="noreferrer noopener">Shivdeep Dhaliwal</a>

ARKF

ARKK

ARKQ

ARKW

ARKX

COIN

HOOD

PLTR

Cathie Wood Goes On Shopping Spree Amid Tech Bloodbath Monday: Loads Up On Tesla, Palantir, Coinbase And These Stocks

Shares of Magnificent Seven technology companies soared in 2023 and 2024 due to <a href="https://www.benzinga.com/news/large-cap/24/07/39937929/magnificent-7-still-comprise-over-30-of-s-p-500-despite-tech-correction">optimism about artificial intelligence</a> and favorable macroeconomic conditions.



After <a href="https://www.benzinga.com/general/market-summary/25/03/44227856/nasdaq-sp-500-hit-6-month-lows-as-recession-fears-grow-whats-driving-markets-monday">historic price action</a> Monday, has the music finally stopped for Big Tech&#8217;s rally?



What Happened: The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) saw one of its biggest down days in recent years during the Monday trading session. The index as a whole fell 2.66%; at one point, it traded down around 3.5% before rallying.



The Magnificent Seven comprises around 30% of the index, according to data from Benzinga Pro. On Monday, shares of the companies posted major losses.



<ul>
<li>Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) fell 4.85%</li>



<li>Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) fell 3.34%</li>



<li>NVIDIA Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) fell 5.07%.</li>



<li>Alphabet Inc (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>) fell 4.52%</li>



<li>Amazon.com Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), the only component to outperform the S&amp;P 500, fell 2.36%</li>



<li>Meta Platforms Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) fell 4.42%</li>



<li>Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) fell by a staggering 15.43%</li>
</ul>



Collectively, the seven companies shed around $750 billion in market capitalization in a single day.



While the S&amp;P 500 has not yet entered correction territory, the tech-focused Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) crossed the 10% threshold indicating a correction.



Why it Matters: An investor who bought $100,000 worth of each of the seven companies at the beginning of the year would be left with around $59,720.72 today.



Tesla&#8217;s stock has wiped out more than half of its value since all-time highs in December. The Austin, Texas-based company&#8217;s meteoric rise in the aftermath of the 2024 election was perhaps tied to optimism about CEO Elon Musk&#8216;s political influence in the Trump Administration.



Musk could be hindering Tesla&#8217;s operations with his political activism. Sales of the company&#8217;s electric cars <a href="https://www.benzinga.com/25/02/43765071/teslas-california-sales-hit-four-year-low-amid-political-concerns-researcher-says-left-leaning-customers-are-turning-away-from-ev-giant">cratered in areas</a> that voted against Trump. Foreign markets have been even less favorable —&nbsp;in Europe, <a href="https://www.benzinga.com/news/25/03/44209579/unprecedented-slide-tesla-sales-plummet-45-in-europe-as-musks-net-worth-dives-5-2b-in-a-week">sales of Teslas</a> fell 45% in one week.



Nvidia&#8217;s stock has similarly posted massive losses in recent weeks, losing over $800 billion in value since Trump&#8217;s inauguration. <a href="https://www.benzinga.com/markets/equities/25/03/44101132/tech-sector-hammered-as-trumps-tariff-plans-spark-market-selloff-nvidia-arm-super-micro-lead-tech-bloodbath">Trump&#8217;s tariff plans</a> and repudiation of <a href="https://www.benzinga.com/general/market-summary/25/03/44135177/trump-seeks-to-end-chips-act-who-stands-to-lose-heres-a-list-of-beneficiaries-that-could-be-affected">the CHIPS Act</a> may have scared off investors.



Before Trump&#8217;s second term, many market commentators saw the <a href="https://www.benzinga.com/top-stories/24/06/39365183/warning-flags-expert-says-nvidia-in-bubble-ish-territory-points-to-potential-market-pullback">Magnificent Seven&#8217;s valuations</a> as unsustainable in the long run. Even after the February and March sell-off, the companies&#8217; median price-to-earnings ratio is 35. Tesla is still trading more than 100 times over earnings.



Bettors on Polymarket <a href="https://x.com/Polymarket/status/1899154423764418622">peg</a> the odds of a recession in 2025 as 38%.



Also Read:



<ul>
<li><a href="https://www.benzinga.com/trading-ideas/25/03/44226602/walmart-ceo-says-consumers-changing-spending-due-to-inflation-egg-prices-the-money-runs-out-before-the-month-is-gone-people-are-buying-smaller-pack-sizes">Walmart CEO Says Consumers Changing Spending Due To Inflation, Egg Prices: &#8216;The Money Runs Out Before The Month Is Gone … People Are Buying Smaller Pack Sizes&#8217;</a></li>
</ul>



Photo: Gguy via Shutterstock



CORRECTION: The amount an investor would have left after an $100,000 is not $595,720.72.

Large Cap

GOOG

Magnificent 7 Sheds Over $750 Billion In Market Cap In One Day: Is Big Tech's Honeymoon Over? (CORRECTED)

Global geopolitical tensions reached a new high after the contentious February 28 <a href="https://www.benzinga.com/news/25/03/44064861/trump-cancels-news-conference-with-zelenskyy-after-tense-meet-in-oval-office-report">Oval Office meeting</a> between Ukrainian President Volodymyr Zelenskyy and US President Donald Trump.



A trend toward less US military support for Ukraine was evident for many investors long before that meeting, as European stocks soared in early 2025, especially those in the defense sector.&nbsp;



The DAX index in Germany rose to new all-time highs this year, for example, as Europe begins reshuffling policy plans in view of a reduction in U.S. military support. Germany has led the charge so far, announcing a 500 billion euro (about $535 billion) stimulus package aimed at bumping up defense and reinvigorating the country's stale economy.&nbsp;



<h2 class="wp-block-heading">Six European Defense Stocks Set To Keep The Rally Going</h2>



One aspect of the German stimulus package that seems to intrigue investors is the defense spending boost, which gets around the country's ‘debt brake' designed to limit government spending. The debt brake caps spending at a percentage of national GDP. The new agreement calls for all defense spending beyond 1% of German GDP to not be counted against this cap, which is music to the ears of European defense companies, whose stocks have been sizzling since late 2024.&nbsp;



It&#8217;s important to keep in mind that as foreign stocks, they trade using ADRs on OTC marketplaces. Be sure to understand the risks of buying international companies via OTC marketplaces before investing.



<h2 class="wp-block-heading">Rheinmetall AG </h2>



Rheinmetall AG (OTC:<a class="ticker" href="https://www.benzinga.com/stock/RNMBY#OTC">RNMBY</a>) has been the face of the European defense rally so far. The stock has more than doubled in the last 12 months, including a 90% gain year-to-date (YTD). Rheinmetall is one of Germany's leading providers of military vehicles, weapons, ammunition and electronics for defense. The Dusseldorf-based company has existed since 1889 and employs more than 24,000 people.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcz_vG_KlxR1YFjEzC7CM5uirLdtpbjuTsj1DEa5dom-LiAvPzKDxxGg-QOEWA3cq3hC67yj-R92podeAkV2ykefZNcLkN1UI3IBZVO_wht8e15qkjdiyZYiIcR856Uojng01QU4g?key=bRH-zOh8yeo-luC60d2Cc_7K" alt=""/></figure>



Rheinmetall's stock trades on the DAX exchange in Germany but American investors can find it on the OTC markets trading as RNMBY. The company's valuation has gotten stretched during this recent rally, with a P/E ratio approaching 100 and a price-to-sales rate of 5.87. The company's forward P/E of 37.6 is in line with competitors like Saab and Rolls-Royce. It recently reported the USD equivalent of $955 million in free cash flow and 40% year-over-year (YoY) revenue growth. The stock ended Friday's session on a 6.5% drawdown as investors took profits amidst a choppy trading day. Some see this as an opportunity for a new entry as technical trends remain in place.&nbsp;



<h2 class="wp-block-heading">BAE Systems plc </h2>



BAE Systems (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BAESY#OTC">BAESY</a>) had just completed its first ‘lost year' since COVID as 2024 drew to a close, but the recent rally has taken the British defense firm back to new all-time highs. BAE's stock closed at $57 on the final day of 2024 trading &#8211; a mere $1 above the price it opened on the first 2024 trading day. But 2025 has been a fresh start and the company is up nearly 45% YTD.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdNq-SXMbawg2AA0la6ht2uny1OZywnTvqRudwtgUdvTE2bqX8QO8tr1Ho-mF9F7hFXtAkqYsl68mDauucE_PDYWV6eX1pQ5lTv2MbXQIBZXwiFMTA-fxTD0eCYwu47s1hEdBXnAQ?key=bRH-zOh8yeo-luC60d2Cc_7K" alt=""/></figure>



Despite the parabolic move, BAESY remains an undervalued stock compared to peers like Rheinmetall and Saab. The stock trades at just 22 times forward earnings, 1.87 times sales and sits on a massive free cash pile equivalent to $3.5 billion. Profit growth accelerated in 2024 following a sluggish 2023. The company's 7.4% profit margin is one of the sector's best figures. It also pays a 2% dividend yield, tops amongst today&#8217;s picks.



The stock could get a boost from political tailwinds in 2025 as well. Like Germany, the UK is preparing for more accommodative fiscal policy to boost its economy, especially the defense sector.



<h2 class="wp-block-heading">Leonardo S.P.A. </h2>



Leonardo SPA (OTC:<a class="ticker" href="https://www.benzinga.com/stock/FINMY#OTC">FINMY</a>) trades on the Italian stock exchange, and like other European defense firms, it started 2025 with a bang. Shares are up more than 72% so far this year, with possibly more room to run as the EU's fiscal plans come into focus.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXeVnLhxuMB974uvA6X4FLkAq4Z3Xq4j7WWoeKicj2H3PT3zxbJ1n0hSiuP-aFMS7j6YWc_krkegiFes7ztcafUozkkyE5vPhBzTefPbOkQoLyACPMSlpFIyrNpyjAn7b0KCdbVYLg?key=bRH-zOh8yeo-luC60d2Cc_7K" alt=""/></figure>



Leonardo SpA has seven different business divisions, including Helicopters, Aeronautics, Electronics and Defense Systems. The firm is one of Italy's largest, with nearly 60,000 employees and a $27 billion market cap. The stock finished 2024 up more than 50% on the year, its share price has already gone from $13 to $23 in 2025.



Like BAE Systems, Leonardo remains undervalued compared to some of its more high-flying peers. Trading at 23 times forward earnings and just 1.4 times sales, the company has posted 21% YoY revenue growth. Shares pulled back on Friday, which could signify investors taking profits as the Relative Strength Index (RSI) veered into overbought territory. A minor correction could create an opportunity for new investors.



<h2 class="wp-block-heading">Thales S.A. </h2>



Thales S.A. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/THLEF#OTC">THLEF</a>) is a French aerospace company specializing in defense equipment, including combat systems, surveillance, training simulations, avionics equipment and more. With over $22 billion in annual revenue and more than 83,000 employees, Thales is one of the largest defense contractors in Europe. It has also been one of the best-performing stocks on the French CAC index, with a nearly 83% gain YTD.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXezuK4B9ff5pjf8XJDIkfIdzZsIOpy0sk5sinnM-gHVA4HBfwv3cT5UPmc0XuCHg2vfpn9TFelhQIv2STCxRUxNH_uOSk9Uzr6F7BqDiHEJqdhHi29TMDsQqQzP5w9-fAzxFVRUIg?key=bRH-zOh8yeo-luC60d2Cc_7K" alt=""/></figure>



The stock looks pricey at the moment with a P/E ratio over 50, but it trades at just 23 times forward earnings and has more than $2 billion in free cash flow. In its most recent report, the company stated YoY quarterly earnings growth of 7.4% and pays a 1.46% dividend yield, which is bested only by BAE Systems&#8217; 2% yield amongst our defense stock picks.



<h2 class="wp-block-heading">Rolls-Royce Holdings plc </h2>



When investors think of Rolls-Royce (OTC:<a class="ticker" href="https://www.benzinga.com/stock/RYCEY#OTC">RYCEY</a>), they usually picture the car driven by their favorite athlete, but the company makes more than just high-performance sports cars. It operates in multiple divisions: Civil Aerospace, Defense, Power Systems and New Markets. Rolls-Royce is the largest stock by market cap on our list at $87 billion. The company earns more than $24 billion in annual revenue.&nbsp;



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdLlyU-1_uQUcX4tMiQoR16J13Q7MWEyfv43FSZCoOPnHcZZovjaMJhOYU5hE9BD3k9edK9s2LnvZr0lMzSdd5vpV2ySGgpN-KYKqtkL2idrO4jzja32wfc-yhOv_V_0dauMV75?key=bRH-zOh8yeo-luC60d2Cc_7K" alt=""/></figure>



Rolls Royce stock is up 51% this year, which lags behind other soaring European defense contractors, though that gap could soon be closed. The company's 13.3% profit margin dwarfs most competitors in the defense industry; the stock trades at 28 times earnings. It also has an impressive $3.74 billion in free cash flow ready for deployment, which is not a bad situation to find yourself in when the government is expanding fiscal policy.



<h3 class="wp-block-heading">And Before We Go&#8230; </h3>



<h2 class="wp-block-heading">Live On Wednesday: How To Trade This Week's Market Chaos</h2>



Markets are in turmoil—are you positioned and ready to react? Join Chris Capre on March 12 at 6 PM ET for a live session where he'll show you how to track institutional moves, execute precise trades and navigate wild price swings with confidence.&nbsp;Sign up right <a href="https://bzresearch.myclickfunnels.com/chris-capre-webinar-wed-mar12-2025-registration">HERE</a>



Photo: Shutterstock

Opinion

BAESY

FINMY

RNMBY

RYCEY

THLEF

6 Defense Stocks To Watch After Trump Halts Weapons Shipments To Ukraine

The U.S. and China are in early talks for a potential &#8220;birthday summit&#8221; between President Donald Trump and Chinese leader <a href="https://www.benzinga.com/topic/china">Xi Jinping in June</a>.



What Happened: <a href="https://www.wsj.com/world/china/u-s-china-discuss-a-trump-xi-summit-for-june-04610b8f?mod=hp_lead_pos2">According </a>to the Wall Street Journal, the discussions come as the Trump administration <a href="https://www.benzinga.com/topic/trump-tariffs">escalates tariffs and trade</a> measures against China, aiming to gain leverage in negotiations.



The summit, timed around the leaders&#8217; June birthdays—Trump on June 14, 1946, and Xi on June 15, 1953—could introduce goodwill amid trade tensions that have rattled global markets. Both leaders have shown interest in a summit since Trump's November election victory, though no firm plans have been made.



Beijing is reportedly keen to negotiate, hoping a summit might slow additional U.S. tariffs and technology restrictions. China's recent export data fell below expectations, and the country faces deflation. The Trump administration recently raised tariffs on Chinese imports to around 35%, citing China's role in the U.S. fentanyl crisis, WSJ reports.



See Also: <a href="https://www.benzinga.com/25/03/44217379/china-hits-soybeans-with-tariffs-its-largest-us-import-along-with-other-agri-products-here-a-list-of-stocks-and-etfs-that-could-be-impacted">China Hits Its Largest US Import, Soybeans, With Tariffs Along With Other Agricultural Products: Here&#8217;s A List Of Stocks, ETFs That Could Be Impacted</a>



Why It Matters: Geo-political relations between the U.S. and China haven&#8217;t improved since Trump won the 2024 presidential election.



Former President Joe Biden met President Xi once in the days following Trump&#8217;s election victory—in <a href="https://china.usembassy-china.org.cn/readout-of-president-joe-bidens-meeting-with-president-xi-jinping-of-the-peoples-republic-of-china-3/">Lima, Peru</a>. Before that, they convened in 2023 to discuss the global economy, supply chain disruptions, and rising protectionism as "grave problems."



"China and United States turning back on each other is not an option," Xi said <a href="https://www.benzinga.com/markets/asia/23/11/35814525/historic-biden-xi-jinping-meeting-paves-way-for-joint-efforts-in-ai-climate-change">at the time</a>.



But once Trump was sworn into office in January, imposing tariffs on all Chinese imports was a top priority. As recently as March 4, the Trump White House doubled the levy on Chinese imports to 20%. 



China clapped back with its own retaliatory tariffs, per the Associated Press, <a href="https://apnews.com/article/china-us-tariffs-farm-soy-trump-7442b02ac829347f0d4fc6ad0955d368">last week</a>. 



At a news conference during China&#8217;s annual parliamentary session on Friday, March 7, China&#8217;s top foreign policy official, Wang Yi, positioned Beijing as a stabilizing global force while criticizing the U.S. as &#8220;<a href="https://www.npr.org/2025/03/07/nx-s1-5320802/china-us-tariffs-gaza-ukraine-russia-trump">two-faced</a>.&#8221; 



Wang emphasized China&#8217;s role as a global &#8220;anchor&#8221; as opposed to the U.S.



The potential summit marks a critical moment in U.S.-China relations, as both sides navigate economic, technological, and strategic rivalries.



ETFs To Watch: Notable exchange-traded funds to watch include the iShares MSCI China ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MCHI#NASDAQ">MCHI</a>), which allocates the biggest chunk of its holdings to Shenzhen, China-based Tencent Holdings Ltd (OTC:<a class="ticker" href="https://www.benzinga.com/stock/TCEHY#OTC">TCEHY</a>).



There&#8217;s also SPDR S&amp;P China ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GXC#NYSE">GXC</a>) and Invesco China Technology ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CQQQ#NYSE">CQQQ</a>), which are both particularly sensitive to geopolitical developments. 



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Image created using photos from Shutterstock.

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