LikeFolio Weekly Roundup

Stocks declined sharply this week as Nvidia's earnings report triggered a sell-off in the technology sector, trade tensions escalated with new U.S. and Chinese tariff announcements, and economic data raised concerns about a weakening labor market. 

The S&P 500 fell over 2%, marking its worst week since September, while the Nasdaq lost even more ground, weighed down by Nvidia’s drop. The AI leader posted a 78% revenue surge, but its 71% gross margin forecast fell short of expectations, prompting concerns about the sustainability of its explosive growth. Investors also reacted to CFO Colette Kress' comments about potential U.S. export restrictions on AI chips, which could limit Nvidia’s ability to sell into key markets.

We covered our long-term outlook for Nvidia yesterday – we remain optimistic about the company’s growth prospects.

Trade policy uncertainty added to market instability. The Trump administration announced a 25% tariff on imports from Canada and Mexico and a 10% tariff on Chinese goods, set to take effect in March and April. China responded with a 15% tariff on U.S. coal and LNG and a 10% tariff on crude oil and agricultural machinery. These retaliatory measures have fueled concerns about inflationary pressures and supply chain disruptions, just as jobless claims jumped to 242,000—above estimates—suggesting potential softening in the labor market. 

Here’s an overview of the biggest news and largest movers in our portfolio in the last week through close on Thursday, Feb. 27:

Infinite Hold Update

Tesla (TSLA) made headlines with a new regulatory filing in California, revealing plans to launch a ride-hailing service. The company has applied for a permit to operate a human-driven commercial fleet, marking its first official step toward competing with Uber, Lyft, and Waymo. While Tesla has long promised a fully autonomous robotaxi network, this filing suggests an interim step that could allow the company to monetize its vehicles before full autonomy is achieved. The move comes as Tesla's European sales continue to struggle—January registrations were down nearly 50% year-over-year, adding to concerns about demand in the region.

Bitcoin: Bitcoin continued its sell-off this week, dropping over 7% from above $84,000 to under $79,000 before recovering some ground today. Traders remain cautious, with options markets pointing to a potential drop toward $70,000 if selling pressure continues. Outflows from Bitcoin ETFs, macroeconomic uncertainty, and a major hack at crypto exchange ByBit have added to the downside pressure. Despite the weakness, Bitcoin’s ability to reclaim $84,000 suggests some buyers are stepping in at lower levels. 

We covered the volatility and opportunity in Bitcoin in detail on this week’s founders call and special report – revisit if you’d like. 

Bottom line: we expect some volatility; our overall bullish thesis remains unchanged.

Amazon (AMZN): Amazon is making big moves on the tech front. AWS unveiled a prototype quantum chip, "Ocelot," designed to improve error correction and scalability—key hurdles for making quantum computing commercially viable. Also – Alexa is finally getting a major upgrade. The company is launching "Alexa Plus" this fall, promising a smarter, more conversational assistant that can book rides, find concert tickets, and handle more complex requests. It will cost $19.99 per month but will be included with Prime. New Alexa-enabled devices are also on the way, with Amazon execs teasing a refreshed lineup that puts a bigger emphasis on screens.

Portfolio Update

A large-scale market pullback weighed on many positions in our portfolio this week. 

• FiscalNote (NOTE): -13%

• Payoneer (PAYO): -11%

• Robinhood (HOOD): -5%

• Insulet (PODD): -5%

Periods of heightened volatility are inevitable, especially for companies in hyper-growth phases. 

At LikeFolio, many of the names in our portfolio are disruptors—businesses reshaping entire industries with innovative technology and new business models. This kind of disruption doesn’t happen in a straight line, and stock prices can swing dramatically in response to short-term uncertainty. 

However, our long-term conviction remains intact. The underlying trends fueling these companies haven’t changed. AI, DeFi, EVs, and cloud computing are still in the early innings of multi-decade transformations, and our portfolio is positioned to benefit from these shifts. 

We see this volatility as an accumulation opportunity for names like the ones listed above. Take SoundHound (SOUN) for instance – its stock closed Thursday down -10% on the week but has already rebounded ~17% today.

Short-term fear can create long-term value.

MicroStrategy (MSTR): -19%

MSTR shares rebounded on Friday as Bitcoin recovered from a sharp drop below $80,000, easing concerns about the company's massive cryptocurrency holdings. Despite Bitcoin’s recent pullback, MicroStrategy’s average purchase price of $66,357 per token keeps its long-term bet in the green, with its holdings still worth significantly more than its cost basis. The stock remains closely tied to Bitcoin’s price movements, making it highly volatile in times of crypto market uncertainty.

Monster Energy (MNST)

Monster stock jumped 6% after reporting stronger-than-expected fourth-quarter sales, driven by improving demand for its energy drinks. The company’s net sales rose 4.7% to $1.81 billion, beating estimates, as promotions and new product launches helped expand shelf space and attract more customers. While adjusted earnings of $0.38 per share missed expectations due to impairment charges in its alcohol segment, Monster saw a notable rebound in its core energy drink business, with category growth picking up across convenience stores and other retail channels.