Zacks Investment Ideas feature highlights Micron, NVIDIA, Lumentum, Coherent, Marvell and Nebius

For Immediate Release

Chicago, IL – April 1, 2026 – Today, Zacks Investment Ideas feature highlights Micron MU, NVIDIA NVDA, Lumentum LITE, Coherent COHR, Marvell Technology MRVL and Nebius Group NBIS.

Is the War Over? If So, Bears Are Trapped

One of the most difficult parts of navigating the stock market for investors is the inherent unpredictability. On February 28^th, the United States attacked Iran and began Operation “Epic Fury.” Since then, the S&P 500 Index has dropped nearly 8% while crude oil has soared more than 50%. However, on Tuesday, stocks soared after Iranian President Pezeshkian said that Iran is prepared to end the war if it receives security guarantees.

Was a Market Correction Inevitable?

Each year, I write a piece that includes my market predictions. This year, my first prediction was that “The S&P 500 Index will suffer a correction of 10% or more during 2026.” Did I know a war with Iran was coming? Absolutely not. Nevertheless, I am always fascinated by how well markets follow historical seasonality patterns.

After an above-average return of 16.4% in 2025, some profit-taking in early 2026 is not a surprise. Furthermore, historically speaking, performance during the first half of mid-term election years (like 2026) is atrocious. Remember, on average, the S&P 500 Index experiences a 14% peak-to-trough correction roughly once per year.

Bears Caught Offsides

The stock market paints a portrait of human psychology and group think. Recently, investors have become increasingly bearish. For instance, the ETF put/call ratio’s 21-day moving average surpassed the peak of the 2025 Tariff Tantrum, signaling a rush for protection.

Meanwhile, the AAII Sentiment Index has registered more bears than bulls for six consecutive weeks. Considering the stock market rises in the long-term, such bearish sentiment extremes are very rare.

AI Fundamentals Remain Strong

While tech stocks have gotten killed recently, the underlying fundamentals remain robust. For instance, Micron beat Zacks Consensus Estimates by 38.64% last quarter and an average of 21.74% over the past four quarters.

Additionally, NVIDIA, the AI leader, sees opportunity amid the volatility. Over the past few weeks, the company has invested in Lumentum, Coherent, Marvell Technology and Nebius Group.

Bottom Line

While the headlines remain dominated by conflict and oil fears, the underlying data reveal a market that was due for a breather. As sentiment hits rare bearish extremes and AI leaders continue to generate strong fundamentals, the current volatility may be providing the very “reset” needed for the next durable leg higher.

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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