Hot or Not, Stock Market Edition: 05/13/2025

What’s gaining steam — and what’s falling apart at the seams? Here’s what we’re following RN: 

• HOT: Toast (TOST) gets a post-earnings glow-up; the hot streak continues for Ubiquiti Inc. (UI).
• NOT: CoreWeave (CRWV) fails to meet expectations; Akamai Technologies (AKAM) experiences a puzzling loss 

P.S. For more stocks making moves, check out our new Zen Ratings Upgrades & Downgrades screener.

🔥 HOT: Toast (NYSE: TOST) reported earnings after the market closed on Thursday, showing impressive revenue growth year-over-year. The company’s first-quarter revenue for 2025 came in around $1.34 billion, up almost $300 million from the $1.08 billion it pulled in during the first quarter of last year. The market responded to the good news by driving TOST to within $1.00 of its 2025 high and closing with an impressive 11.4% gain on the day. TOST performs well in our ratings, getting A’s for Growth and Financials and a B for Sentiment. We give the stock a Buy recommendation and a Zen Rating of B.

🥶 NOT: Shares of CoreWeave (NASDAQ: CRWV) fell by 6.6% on Friday as the company discussed plans for a $1.5 billion debt offering after its initial public offering failed to meet the company’s expectations. CoreWeave has had a wild month-and-a-half since its IPO on March 28th, gaining as much as 68% initially before falling with the rest of the market in early April. We believe that CoreWeave has some potential, especially since it's partnered with Nvidia, but its volatility is too high to make it a Buy. We give CRWV a C Zen Rating and a Hold recommendation for now until its long-term prospects become clearer.

🔥 HOT: Wireless communication and access point manufacturer Ubiquiti Inc. (NYSE: UI) has been on quite the hot streak lately. UI’s first quarter results included a surprise earnings beat that led to a 17.0% gain on Friday, which means that the stock hasn’t had a down day since April 21st, gaining 43.8% over that period. Our analysis gives UI A ratings in Momentum and Financials and C ratings for all other component metrics. Overall, we’re moderately bullish on UI, especially after its latest earnings surprise. We give UI a B Zen Rating and a Buy recommendation.

> Learn more about Momentum Stocks

🥶 NOT: Akamai Technologies (NASDAQ: AKAM) was the biggest decliner in the S&P 500 on Friday, losing 10.8% despite a positive earnings report. Akamai reported its first-quarter earnings on Thursday, beating its EPS and revenue projections and raising its full-year guidance for both EPS and revenue. The loss, which seems puzzling at first, is likely due to concerns over the company’s ability to hit its targets with increasing competition from other cloud providers like Google and Amazon. We’re playing it safe and giving AKAM a C Zen Rating and Hold rating for now. The stock’s Safety is especially good, but we have concerns over its Growth potential and Financials.

What to Do Next?

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