Check out Dan live on Fox Business today discussing the ASML bloodbath, Robinhood and Morgan Stanley
https://youtu.be/wxQrgMTct94Dan Fitzpatrick on Fox Business talking ASML, HOOD, AMD MS.
Charles Payne:
As I mentioned a moment ago, semis are getting hammered. This was the news before the open. There’s some talk about capping exports and AI chips, particularly those from NVIDIA ( NASDAQ: NVDA ) and also AMD ( NASDAQ: AMD ). But once the market opened there was something else that came out that really hammered these stocks and that’s from ASML ( NASDAQ: ASML ), it’s a Dutch company.
You can see that this is your AI ecosystem if you will. The building blocks, it all starts with NVIDIA ( NASDAQ: NVDA ) chips. But look right here, ASML ( NASDAQ: ASML ), that’s lithography. In fact, this is what AI chips are to NVIDIA ( NASDAQ: NVDA ) with ASML ( NASDAQ: ASML ) is to lithography. They missed big and they had some ugly news to go along with it. So people are wondering, does it affect the entire AI ecosystem?
I want to bring the Stock Market Mentor founder and CEO Dan Fitzpatrick. Dan, let’s talk about this because from time to time you get these headlines, particularly when a stock is in the news like NVIDIA ( NASDAQ: NVDA ) and scuttlebutt. In of itself, I don’t think someone who’s held it for a long time would sell. But then if you hear, okay ASML ( NASDAQ: ASML ) is saying that their numbers are going to be weak for the next couple of months, do you become more concerned overall?
Dan Fitzpatrick:
No, not at all. I think if ASML ( NASDAQ: ASML ) comes down about, maybe, 2.5 more percent down to 700.00, I think it’s kind of the backup the truck trade. It’s traded over 7 times the average volume today. That is a total washout, that is the market today, discounting all of the news, and then as far as future quarters as well.
Two quarters in an industry like AI, and with a stock like NVIDIA ( NASDAQ: NVDA ), it’s the biggest customer, they’ve got Reuben coming out in 2026. Two quarters on ASML ( NASDAQ: ASML ) is nothing unless you’re trading. If you’re day trading, buy it at 700.00, you’ve got a good trade going. But longer-term, you have to look at the industry on a longer-term horizon. And so I like ASML ( NASDAQ: ASML ), a little bit lower. And I really like NVIDIA ( NASDAQ: NVDA ) right about now.
Charles Payne:
A couple of sessions like this and you’ll be able to buy ASML ( NASDAQ: ASML ) at whatever price you want. But hey, I’ve got two things for you. I’m going to get your long ideas, but first, Nassim Taleb says this is as fragile as the Market’s been in 10 or 30 years. No one would think that this Market is fragile. Are you concerned at all? Is there some weakness out there that he sees or you may see, that no one’s talking about?
Dan Fitzpatrick:
No, I think everybody’s talking about the right things. The market, as you know, as we all know, climbs a wall of worry. There’s plenty of chinks in that wall so that you can get a foothold. Yeah, there’s a lot of things to worry about. There’s certainly the upcoming election and the ramifications of that, geopolitical things.
Everybody knows that stuff, and we know that basically we’re essentially broke as a country with all the debt. Okay, nothing that I’m saying is new. The market climbs a wall of worry. Use stops, which is what your last guest was saying. But always look long-term. The key to actually outperforming the market is riding through the wiggles. Hang onto the volatility, just ride the trend, and it always goes farther than you think it will
Charles Payne:
So we’ve got three of your long ideas. Robinhood ( NASDAQ: HOOD ), Morgan Stanley ( NYSE: MS ), NVIDIA ( NASDAQ: NVDA ). We’ve had a great discussion already on NVIDIA ( NASDAQ: NVDA ). We’ve got less than a minute to go, I want to ask about HOOD, Robinhood ( NASDAQ: HOOD ) because it feels like the maturation process is of a young hot company that went through some ups and downs, maybe to figure some things out, you like it here.
Dan Fitzpatrick:
Yeah, I really do, I don’t really follow Robinhood ( NASDAQ: HOOD ) that much, but I’m doing my scans and screens, and I see this long 2-year plus base on Robinhood ( NASDAQ: HOOD ) and it just came out at the beginning of this year. And I see this long cup, this thing looks like it could go another 25-30 percent just on pure momentum. And I’m looking at a weekly chart, but yeah, I really like this. I really like this company right now, I love the chart.
Charles Payne:
Yeah, I can tell the reason the chart looks good, the fundamentals are improving this time. And the company, management is matured. I was not a big fan of the way they handled some things 3 or 4 years ago. I think they’ve gotten better. Morgan Stanley ( NYSE: MS ), just 10 seconds, why does that stand out above the rest?
Dan Fitzpatrick:
Good chart. Goldman Sachs ( NYSE: GS ), great earnings. Morgan Stanley ( NYSE: MS ), has a little pullback today, but longer-term you have to just look at the trend. It’s also coming out of a base, a high base. We love these high bases because the stocks just tend to keep going higher. How’s that, 10 seconds?
Charles Payne:
Yeah, 9.5. Dan, thank you so much, my man, you’re a consument professional, and I appreciate it.