Executive Summary
The Story So Far
Why This Matters
Who Thinks What?
The past week witnessed notable movements among several key stocks, including retail giant Walmart, aerospace firm FTAI Aviation, cybersecurity and AI company Cloudflare, biotech Alnylam Pharmaceuticals, and cancer-testing firm Guardant Health. These companies navigated a volatile and choppy market environment, characterized by significant intraday swings and the ongoing earnings season, prompting investors to closely monitor their portfolios and adjust strategies.
Market Dynamics and Investor Focus
The current market landscape is marked by considerable choppiness and volatility, with earnings season adding to the potential for dramatic price shifts. In this environment, investors are prioritizing the development of watchlists, adhering to sell rules, and making swift decisions regarding profit-taking from winners and exiting losing positions.
Walmart (WMT) Sees AI Boost
Walmart stock advanced 5.8% to 107.73 on Friday, with its weekly gain positioning it back into a buy zone following the announcement of a shopping deal with OpenAI’s ChatGPT. This partnership enables ChatGPT users to initiate purchases directly when the AI assistant recommends Walmart products.
The retail giant, often considered a defensive play, moved above a flat base buy point of 104.72 and reached a record high of 109.58 on Thursday. Shares also rebounded from the 50-day moving average, surpassing the 21-day moving average. Investors are evaluating potential tariff risks, especially after Walmart missed earnings estimates and provided a lower sales forecast in its Q2 report in August; third-quarter earnings are anticipated in late November.
FTAI Aviation (FTAI) Rebounds
FTAI Aviation shares experienced a 1.8% decline to 166.67 on Friday, yet managed a 2.2% weekly gain, recovering from near its 10-week line. The stock displayed an early buy signal mid-week by breaking a downtrend within a short consolidation period.
The New York-based aftermarket aircraft engine components supplier, which has surged over 100% since April, could form a flat base in the coming week, with a recent high of 184.44 serving as a potential buy point. FTAI is scheduled to report third-quarter earnings on October 27, and upcoming aerospace earnings reports from other companies could introduce industry-wide volatility. The company specializes in aviation engine leasing and maintenance, holding a portfolio of over 90 aircraft and 250 stand-alone engines, and collaborates with Lockheed Martin on a commercial engine maintenance center in Montreal.
Alnylam Pharmaceuticals (ALNY) Advances
Shares of Alnylam Pharmaceuticals increased 4.6% to 481.67 during the week but were unable to close above the 484.21 flat-base buy point despite multiple attempts. The stock showed an early buy signal, rebounding from the 10-week line and clearing short-term highs.
Alnylam, which develops RNA interference therapeutics for various diseases, is set to release its third-quarter earnings on October 30, with expectations of robust EPS growth and revenue projected to exceed $1 billion in Q1 2026. Morgan Stanley analysts recently raised their price target for ALNY to 475 from 405, citing anticipated strong third-quarter sales for the company’s Amvuttra drug.
Guardant Health (GH) Tests Buy Point
The medical services and cancer diagnostics firm Guardant Health advanced 1.9% to 65.46 for the week, testing a traditional buy point of 68 from a cup base on Thursday. Aggressive investors might consider 66.57 from October 10 as an early entry. Shares rebounded from both the 21-day and 10-week lines earlier in the week.
Guardant Health is not yet profitable, but its sales continue to grow. Analysts project a 79-cent per share loss for the third quarter, an improvement from an 88-cent loss a year ago, with revenue expected to increase by 23% to $235.6 million. Barclays raised its price target on Guardant Health to 70 from 60, citing stable end markets in the life science tools and diagnostics sector and an improving investment sentiment.
Cloudflare (NET) Experiences Decline
Cloudflare shares fell 1.8% for the week to 210.01, with the stock possessing a flat base with a 230.10 point. However, the stock undercut its 50-day moving average and the lows of its base, now trading approximately 10% below the 230.10 buy point.
Cloudflare’s third-quarter earnings are scheduled for October 30, with analysts expecting a 15% profit growth to 23 cents per share and sales increasing 27% to $545 million. The company provides web security and speed services, with connections to generative AI leaders like OpenAI (providing secure links for ChatGPT) and Anthropic, and has partnered with cryptocurrency firm Coinbase to create the x402 Foundation. The company has also seen recent changes in its top management.
Weekly Market Overview
The past week underscored the dynamic nature of the stock market, with select companies demonstrating significant price movements driven by corporate developments, analyst expectations, and upcoming earnings reports. Amidst a volatile broader market, these five stocks highlight key areas of investor focus, from AI partnerships and aerospace growth to biotech innovations and cybersecurity infrastructure.
