Happy Wednesday afternoon to everyone on The Street. Here's a snapshot of where markets ended the trading session, plus tomorrow's trade idea delivered to you today.

• 🟥 | US stocks slipped Wednesday after the Fed said it probably won't be ready to cut rates in March.

• 📈 | One Notable Gainer: Plug Power's shares soared 19% after Roth MKM upgraded the stock to buy from neutral and raised its price target to $9 per share.

• 📉 | One Notable Decliner: New York Community Bancorp's stock plummeted over 37%, marking its worst day since its 1993 IPO, after reporting a fourth-quarter adjusted loss of $193 million and a $552 million credit loss provision.

• 👀 | Tomorrow's Trade: Keeping an Eye on AI. Scroll down for more.

Plus, check out these free resources for 0DTE trading.

YESTERDAY’S POLL RESULTS

Which stock do you think will surprise short sellers?

🟩🟩🟩🟩🟩🟩 🎟️ Groupon (GRPN)

🟨🟨🟨⬜️⬜️⬜️ 🍔 Beyond Meat (BYND)

🟨🟨🟨🟨🟨🟨 🚗 Carvana (CVNA)

MARKET MOVERS

Boeing, Alphabet & Paramount Global

BA: Boeing's stock rose over 5% as its end-of-year losses were less than anticipated, with an adjusted loss per share of 47 cents on $22.02 billion in revenue.

GOOGL: Alphabet's shares dropped 7.5% due to fourth-quarter advertising revenue falling short of expectations, with $65.52 billion versus the forecasted $65.94 billion, despite overall top and bottom line beats.

PARA: Paramount Global's stock surged 6.6% following billionaire Byron Allen's takeover bid for all outstanding shares, valuing the company at about $30 billion, including debt and equity.

SOFI: SoFi Technologies' stock fell over 6% after a Morgan Stanley downgrade to underweight from equal weight, due to revenue challenges and execution risks impacting profitability goals.

ROK: Rockwell Automation's stock fell 17.5% after its first-quarter FY24 earnings of $2.04 per share on $2.05 billion revenue missed expectations.

TOGETHER WITH CBOE

OVERHEARD ON THE STREET

Axios: The PGA Tour landed a $3 billion deal with Fenway Sports Group-led consortium, valuing PGA Tour Enterprises at $12 billion.

Bloomberg: A Delaware judge ruled against Elon Musk's $55 billion pay package, deeming it unfair and calling for its annulment as the largest ever granted to a corporate executive.

CNBC: 56 million Americans have been in credit card debt for at least a year.

Reuters: Lockheed Martin plans to cut 1% of its workforce, totaling 1,220 jobs globally, as part of a cost-cutting initiative to digitally transform its operations.

Axios: VCs disbursed $170.6 billion to 15,766 U.S. startups last year, compared to $242.2 billion for 17,592 companies in 2022.

CNBC: Walmart aims to open over 150 large-format stores in the U.S. within five years, adding to its existing network of more than 4,600 stores.

TOMORROW’S TRADE IDEA, TODAY

Keeping an Eye on AI

A Boring Way to Play AI

ChatGPT made waves when it was released and its parent company, OpenAI, has become synonymous with the rise of artificial intelligence. It’s new, novel, and sexy. But what about boring ways to get exposure to the trend that others might’ve overlooked? An interesting option might be UiPath (PATH). The software company focuses its efforts on back-office automation.

More specifically, UIPath provides robotic process automation (RPA) software, automating tasks like data entry and report generation. By integrating AI, UIPath can enhance its capabilities: AI-powered OCR improves data extraction, algorithms enable intelligent decision-making, and continuous learning optimizes workflows.

Natural language chatbots could facilitate user interaction, while predictive analytics offer insights for strategic decision-making. Zooming out, a lot of what bogs businesses down during the middle of the day could be made much more efficient by UIPath’s products, especially as it integrates artificial intelligence into its services.

Consistent Growth

The software developer has enjoyed three consecutive quarters of revenue growth, with sales up 24% in Q4. As of today’s close, UiPath was up to ~$23 per share. 

Currently, a majority of analysts rate the stock a "buy" with price targets coming in anywhere from $23-$25 per share.

The biggest question for UiPath’s future will be whether or not an increase in demand for AI could translate into growth for the company.

The AI Effect

Don't just take our word for it. UiPath is a top holding of Cathie Wood's ARK Innovation ETF (ARKK). Moreover, the stock is the second largest holding across all ARK Invest ETFs.

Others aren’t so sure. Some analysts predict the negative effects of AI on UiPath’s products. Stiff competition from Microsoft is another consideration in the AI realm. 

UiPath is attempting to differentiate itself from Microsoft’s offerings by focusing on enterprise productivity, as opposed to personal productivity. 

Whether or not UiPath will survive and thrive in the ever-changing world of AI will remain to be seen.

A MESSAGE FROM OUR PARTNERS

With eCommerce booming, this little-known NASDAQ company may be the smartest choice on your radar

If the pandemic did anything positive, it would help e-commerce explode and generate a shift in consumer habits.

This company reached record revenues with 250% YOY growth. They also have strategic relationships with Microsoft and Lenovo and distribution agreements with retail giants Walmart, Costco, BJ’s, Sam’s Club, and Amazon. Also, the company has a licensing deal with The Walt Disney Company and the ONLY Disney-licensed STEM toy of 2023.

Discover why insiders are loading up and big names like Microsoft and Disney are forming relationships.

Click here to find out more.

ON OUR RADAR

Axios: Last year, just 8 million square feet of new retail space was constructed, it decreased from 20 million in 2019 and far below the annual average of nearly 40.8 million from 2008 to 2014.

CNN: The UK's new border controls on EU food imports like meat and dairy, requiring extra paperwork, may cost businesses £330 million annually and slightly raise food inflation.

CNBC: In January 2024, companies added 107,000 workers, a decrease from December's revised figure of 158,000, as reported by ADP today.

Euronews: Yemen's Houthi attacks in the Red Sea have reduced container traffic in the crucial trade route from 500,000 in November to 200,000 in January.

Investor Insight: A survey revealed that 66% of business leaders report their companies have implemented private, secure generative AI tools, and 65% say their departments are identifying AI use cases.