Hot or Not, Stock Market Edition: 12/27/2024

What’s hot to close out 2024? CVR Partners (NYSE: UAN) gains big after a notable investor buys in; Google’s (NASDAQ: GOOGL) has a surprise price spike. On the flip side, NOT: Xerox (NASDAQ: XRX) and Rumble (NASDAQ: RUM) weren’t exactly feeling warm holiday vibes. Here’s the scoop: 

🔥 HOT: Nitrogen fertilizer producer CVR Partners (NYSE: UAN) gained 1.3% on Monday after an SEC filing revealed that Carl C Icahn — who owns 10% of the company — purchased an additional $860,000 worth of shares. UAN’s recent gains appear to be a bet that natural gas prices will decrease next year under President Trump. Natural gas is one of UAN’s largest costs, and lowering that cost could drive the business to new growth.

🥶 NOT: Xerox (NASDAQ: XRX) gained 12.6% on Monday after it announced that it was planning to acquire Lexmark in a $1.5 billion dollar deal. While the move could be a good one for Xerox, it also might be a classic case of too little too late. XRX lost 47.9% in 2024, and its last four earnings reports have missed their marks. This acquisition seems aimed at boosting Xerox’s managed print services, but it could be futile unless other facets of its core business change as well.

🔥 HOT: Japan announced that it was launching an antitrust probe into Google’s (NASDAQ: GOOGL) business activities on Monday, so, naturally, the stock gained 1.7%. In all seriousness, while the recent antitrust activity aimed at Google is a real concern for the company going forward, the reality is that its recent gains in AI with the release of its Gemini 2.0 family of models and its quantum computing announcements are more than enough to wash away investor’s fears. Google is still up 40.5% YTD and is clearly still a juggernaut at the forefront of tech and innovation.

🥶 NOT: Despite gaining 81% in a single day, we’re not on the Rumble (NASDAQ: RUM) bandwagon. For starters, the huge spike on Monday was prompted by a $775 million investment from cryptocurrency company Tether. While that’s great news, it doesn’t solve the problems that Rumble was facing prior to the investment. Rumbles financials are atrocious, and a one-time investment—no matter how sizable—doesn’t erase the fact that the company managed itself into a dangerous spot. We also don’t love the stock’s growth prospects or the current sentiment surrounding it, which leads us to give it a Zen Rating of D and a sell recommendation.

🔥 HOT: The 7 new tech giants dominating today's markets - The Magnificent Seven refers to the seven leading technology stocks. And... every investor knows about them, so that means your chance at seeing portfolio-changing gains are slim. Instead, consider investing in the next wave of opportunities. We've identified what we are calling the Next Magnificent 7. And you can get the names here...FREE. Get Your Copy of "These 7 Stocks Will Be Magnificent in 2025" Here.*

* Thanks to our sponsors for keeping this content free.

What to Do Next?

• Watch “Zen Ratings Revolution” to Unlock +32.52% Annual Gains >
• Upgrade Your Investing - Start Your Premium Trial Now! >
• Discover Zen Investor portfolio to Find More 100%+ Stock Winners>

Want to get in touch? Email us at news@wallstreetzen.com.