We recently compiled a list of the 10 Firms Begin Trading Week With Impressive Gains. In this article, we are going to take a look at where VNET Group Inc. (NASDAQ:VNET) stands against the other stocks.
The stock market kicked off the trading week on a positive note, with all major indices clocking in gains, as investors brushed off President Donald Trump’s latest imposition of hefty tariffs on steel and aluminum products from Canada and Mexico.
The Dow Jones rose 0.38 percent, the S&P 500 grew 0.67 percent, while the Nasdaq rallied 0.98 percent.
Ten companies mirrored a broader market optimism amid a series of positive catalysts sparking buying appetite.
In this article, we will take a look at which companies led the charge and explore the reasons behind their performance.
To come up with Monday’s best performers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.
A close up image of a application hosting server with the company’s branding on it.
VNET Group Inc. (NASDAQ:VNET)
VNET Group Inc. extended its winning streak for a sixth consecutive day on Monday, touching a new all-time high of $10.57 before losing some steam to finish the day just up by 15.22 percent at $10.37 apiece.
Investors appeared to have continued snapping up shares in the company over optimism about its business outlook, as it seeks to ride the booming AI industry by expanding heavily in AI.
VNET is expected to release its earnings results next month for the past quarter, where investors will be watching out for cues on its capital expenditures and allocation for 2025.
In November last year, VNET signaled to budget a higher capital this year to further support the robust demand for its wholesale services. It underscored that it would work closely with its strategic suppliers and maximize the synergies in order to ensure that its capital spending would grow at a steady pace.
At the same time, the first quarter of the year will see the delivery of approximately 191 megawatts (MW) of IT capacity from the company, as well as another 105 MW in the second and third quarters of 2025.
Overall VNET ranks 5th on our list of Monday’s best performers. While we acknowledge the potential of VNET as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as VNET but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.
Disclosure: None. This article is originally published at Insider Monkey.
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