The S&P 500 closed Friday at 7,575, up more than 1% for the week. The Nasdaq gained a similar amount. The Dow was the laggard, slipping half a percent. Tech carried the market. Meta jumped 6% on Friday alone, capping its best week since early 2024 with a nearly 15% gain. Nvidia added 4% on the day. Oil prices cooled late in the week after reports that Iran signaled willingness to come back to the negotiating table, easing some of the geopolitical pressure that had been building.
None of this changes the approach. Find good businesses, look for setups where the market hasn’t fully priced in what’s happening, and pay attention to timing. Here are three names on my radar this week.
Citigroup (C)
Citigroup reports earnings Tuesday, and the setup going in is one of the more interesting turnaround stories in the market right now. CEO Jane Fraser has spent the past several years doing something rare on Wall Street: shrinking the bank on purpose. She’s exited more than a dozen international consumer businesses, flattened the organization, and cut management layers. What’s left is leaner, more focused, and notably more profitable.
The numbers are starting to show it. First-quarter revenue came in at $24.6 billion, up 14% from a year ago, the best quarterly revenue the bank has posted in a decade. Earnings per share jumped 56% to $3.06. The company bought back $6.3 billion of stock in the first quarter alone and announced a new $30 billion multi-year buyback program at its investor day in May.
The stock closed Friday at $140.79, off its June high near $148. That pullback ahead of Tuesday’s report could be an entry if the numbers hold up. Consensus is looking for $2.71 in EPS on $23.6 billion in revenue. Citi has been the best-performing big bank over the past year, up more than 64%. Josh Brown at Ritholtz Wealth Management recently called it one of the best stocks in the market, and the fundamental case supports that view. The turnaround is real. Tuesday is the next test.
Nvidia (NVDA)
Nvidia has been quiet in 2026. After gaining more than 1,000% since late 2022, the stock is up just 5% year to date. That sounds like a problem. Here’s what’s actually happening: earnings are growing faster than the stock price. The result is that Nvidia’s price-to-earnings ratio has compressed to its lowest level in seven years.
History is worth paying attention to here. Every prior period where Nvidia’s valuation contracted was followed by a meaningful re-rating higher once earnings confirmed the growth story was intact. The company isn’t sitting still either. Blackwell GPU architecture is driving revenue, and Nvidia is expanding beyond chips into networking, CPUs, and optical interconnects through partnerships with companies like Nokia, Marvell, and Coherent. That broadens the addressable market considerably.
The concerns are legitimate. AMD and Broadcom are both pushing into custom AI chip designs that could take share in certain workloads. Some investors worry that hyperscaler spending could moderate if AI returns are slower to materialize. But at $210.96, the stock is pricing in a lot of that skepticism already. When the market’s cheapest version of Nvidia is also the most dominant company in AI infrastructure, that’s worth paying attention to.
Meta Platforms (META)
Meta just had its best week since early 2024, jumping nearly 15%. The stock closed Friday at $669.21 after a 6% surge on the day. Most investors know Meta as the Facebook and Instagram advertising machine. The story going forward is more interesting than that.
First-quarter revenue came in at $56.3 billion, up 33% from a year ago. Earnings per share was $10.44, up 62%. The AI-powered algorithms that drive content recommendations are working. Engagement is up, ad demand is following, and 3.56 billion daily active users give the company a scale no competitor can match. Threads is growing rapidly. WhatsApp’s paid messaging business is still small but gaining traction.
The part that most people haven’t noticed is the cloud computing angle. Reports suggest Meta is exploring selling excess AI computing capacity to other corporations. If that materializes, Meta goes from being an advertising company with an AI problem to an AI infrastructure company with an advertising business attached. That’s a different valuation conversation entirely. Bank of America maintained its buy rating this week, citing an internal memo suggesting Meta is improving its AI cost structure. The core business is strong. The optionality on cloud is free upside.
