Top Pros' Top Picks 8/27/25

Market Minute ⏱️ 8/27/25: Markets Eye Nvidia Earnings, India Tariffs

Mike Larson | Editor-in-Chief

Stocks rebounded from early weakness yesterday, though they’re subdued this morning. The same goes for gold, silver, and crude oil. The long end of the Treasury market is selling off again, though, while the dollar is modestly higher.

Markets are eagerly awaiting earnings out of Nvidia Corp. (NVDA) after the bell today, with Chinese sales being a key line item in focus. The country accounted for about $5.5 billion in revenue last quarter, but that number will be a lot closer to zero in the quarter being reported today. Investors will want to hear if a rebound is coming despite US-China trade tensions that have resulted in reduced orders for Nvidia products.

Meanwhile, India’s tariff bill is shooting higher. President Trump doubled the country’s tariff rate to 50% overnight in an effort to discourage the country from continuing to buy Russian oil. More than 55% of the goods it exports to the US – including textiles and jewelry – will get hit with the steeper levies, even as pharmaceuticals and electronics will dodge them for now. Unlike other US-traded ETFs that track foreign markets, the iShares MSCI India ETF (INDA) is underperforming the SPDR S&P 500 ETF (SPY) – down 0.1% versus up 10%.

INDA, SPY (YTD % Change)

Booming demand for Artificial Intelligence (AI) infrastructure is making investors who target the right stocks rich. But it’s costing American billpayers by boosting electricity costs. The surge in data center construction is driving up power demand and spending on the electric grid. Result: Residential electric bills rose 10% in the first five months of 2025, and the Energy Information Administration forecasts they’ll rise another 5.8% next year.

Finally, it’s a little early to buy and wear one of Canada Goose Holdings Inc.’s (GOOS) heavy-duty jackets. But apparently, it’s not too early for someone to buy the whole company! Bain Capital owns a majority stake in the company, and it’s reportedly looking to sell. CNBC said at least a couple of private equity buyers have made offers, as have foreign clothing makers. GOOS shares were up 21.3% year-to-date through yesterday, but they’re down 49% in the last five years.

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• GEV: An Energy Name That Should Benefit from Moves by OpenAI, Others
  👉️ TICKERS: ^SPX, ABBNY, NVT, GEV
  OpenAI is looking at ways to transform its Artificial Intelligence (AI) infrastructure expertise into a revenue-generating business — similar to how Amazon.com Inc. (AMZN) monetized its cloud capacity. That is another reason I like companies such as GE Vernova Inc. (GEV), writes Bill Patalon, chief stock picker at Stock Picker’s Corner.

• GDOT: A Compelling Turnaround Play in the Fintech Space
  👉️ TICKER: GDOT
  Most investors avoid turnarounds like a rattlesnake in a sleeping bag — because they don't understand them. But here’s the dirty little secret: Stocks with the ugliest reputations often deliver the prettiest returns...if you know what to look for. Green Dot Corp. (GDOT) is one to consider, notes Nicholas Vardy, editor of Microcap Moonshots.

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