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Benzinga Bulls And Bears: Lilly, Microsoft, Starbucks — And Markets Fully Recover Tariff Chaos Losses

Benzinga Senior Editor
May 03, 2025

Benzinga examined the prospects for many investors' favorite stocks over the last week -- here's a look at some of our top stories.

U.S. markets rebounded this week, fully recovering losses incurred since President Donald Trump's April 2 tariff escalation. The S&P 500, Dow Jones and Nasdaq each rose by more than 1.3%, with Friday marking the S&P 500's ninth consecutive daily gain -- the longest streak since 2004.

The rally was fueled by a stronger-than-expected April jobs report, with 177,000 jobs added, surpassing forecasts of 135,000. Unemployment remained at 4.2%, and sectors like healthcare and transportation led job growth. However, Q1 GDP contracted by 0.3%, the largest drop since 2022, largely due to a surge in imports ahead of tariff implementations.

Corporate earnings contributed to market optimism. Amazon (NASDAQ:AMZN) and Microsoft (NASDAQ:MSFT) exceeded Wall Street estimates, with Microsoft posting its best weekly performance in years. Despite these gains, concerns linger about the long-term economic impact of tariffs, as businesses face uncertainty and potential cost increases.

Benzinga provides daily reports on the stocks most popular with investors. Here are a few of this past week's most bullish and bearish posts that are worth another look.

The Bulls

"Mounjaro maker Eli Lilly clocks 45% jump in Q1 revenue, cuts 2025 profit outlook but not due to tariffs", by Vandana Singh, reports that Eli Lilly and Co. (NYSE:LLY) posted a 45% year-over-year revenue increase to $12.73 billion in Q1 2025, driven by strong sales of Mounjaro and Zepbound, but lowered its 2025 EPS forecast to $20.78-$22.28 due to a $1.57 billion charge related to acquired in-process R&D, clarifying that the guidance does not account for potential future tariff changes.

"Microsoft rallies after crushing Q3 earnings, Goldman Sachs lifts target to $480", by Piero Cingari, reports that Microsoft Corp. (NASDAQ:MSFT) beat Q3 estimates with $70.07 billion in revenue and $3.46 EPS, driven by a 35% surge in Azure revenue -- 16 points of which came from AI services -- prompting Goldman Sachs analyst Kash Rangan to raise the price target to $480.

"Plug Power rallies as new financing, cost cuts boost confidence in turnaround plan", by Anusuya Lahiri, reports that Plug Power Inc. (NASDAQ:PLUG) shares rose after the company secured a $525 million debt facility and implemented cost-cutting measures expected to yield over $200 million in annual savings, signaling progress toward profitability.

For additional bullish calls of the past week, check out the following:

Amazon Stock Is Rising After The Bell: What's Driving The Action?

Bloom Energy Reports Better-Than-Expected Q1 Results: Details

The Bears

"Apple stock faces tariff-related headwinds: 4 analysts break down Q2 results, what's next", by Chris Katje, reports that Apple Inc. (NASDAQ:AAPL) exceeded Q2 expectations with $95.4 billion in revenue and $1.65 EPS, but analysts from Needham, Goldman Sachs and Bank of America warn that escalating U.S.-China tariffs -- projected to cost Apple $900 million in the June quarter -- pose ongoing risks to product margins and earnings.

"Starbucks Misses Q2 Earnings Estimates, CEO Says Optimism Has Turned Into Confidence: ';I See More Opportunity Than I Imagined'", by Adam Eckert, reports that Starbucks Corp. (NASDAQ:SBUX) posted Q2 revenue of $8.76 billion and adjusted EPS of 41 cents -- both below analyst expectations -- while CEO Brian Niccol expressed confidence in the company's "Back to Starbucks" turnaround plan, highlighting operational improvements and customer experience enhancements.

"Norwegian Cruise Line Tumbles After Earnings Miss, Still Confident In 2025 Guidance", by Akanksha Bakshi, reports that Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) shares fell after the company missed Q1 2025 revenue and earnings estimates, citing a 2.9% revenue decline to $2.13 billion and adjusted EPS of $0.07, but reaffirmed its full-year guidance of $2.05 EPS and $2.72 billion in adjusted EBITDA, despite softening forward bookings amid macroeconomic headwinds.

For more bearish takes, be sure to see these posts:

BigBear.ai Shares Slide After Worse-Than-Expected Q1 Report

Stock Of The Day: AbbVie's Rally Looks Stretched -- Could A Reversal Be Next?

Why Did Chili's Restaurant Parent Brinker International Stock Tumble On Tuesday?

Keep up with all the latest breaking news and trading ideas by following Benzinga on X.

Image created using artificial intelligence via Midjourney.

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