Week in Review: Apr 17 - Apr 25, 2026

Performance Snapshot

This week AlphaWizzard returned +0.1%, underperforming both the S&P 500 (+0.5%) and Nasdaq (+2.3%) as our defensive positioning limited upside capture during the tech-led rally. However, year-to-date we continue to significantly outpace both benchmarks with +18.1% returns compared to SPY's +4.7% and QQQ's +8.1%. Our systematic risk management maintains superior drawdown discipline with a maximum decline of just -8.8% versus -9.1% for SPY and -11.8% for QQQ since inception.

The F1 Dashboard

AlphaWizzard remains in full BRAKING mode with equity exposure steady at 18% - unchanged from last week. This defensive stance reflects our systematic risk management protocols responding to elevated market volatility and geopolitical tensions surrounding the Iran situation. While this cautious positioning limited our participation in this week's tech rally, it continues to protect capital during uncertain times, keeping us positioned for better risk-adjusted entry points when market conditions stabilize.

Market Radar

Markets posted modest gains this week driven by stronger-than-expected economic data and encouraging earnings results from key technology companies. Retail sales for March rose more than anticipated, buoyed by higher gasoline prices due to Iran tensions and solid consumer spending supported by tax refunds. April PMI readings also surprised to the upside, with Manufacturing PMI hitting 54.0 and Services PMI at 51.3 - both well above the 50 expansion threshold, signaling continued economic resilience despite geopolitical headwinds.

Technology led sector performance as semiconductor stocks surged following Intel's blowout forecast that exceeded expectations, while memory chip companies rallied on improving industry fundamentals. Defense contractors faced headwinds despite earnings beats from RTX and NOC, as investors appeared to take profits following recent gains. Energy stocks advanced over 3% as oil prices climbed above $100/barrel on continued Middle East tensions, while the Strait of Hormuz shipping disruptions kept supply concerns elevated.

Sentiment heading into next week remains cautiously optimistic, supported by President Trump's announcement of an indefinite extension to the Iran ceasefire and the DOJ dropping its probe into Fed Chair Powell. Kevin Warsh's confirmation hearings for Fed leadership proceeded smoothly, with his assurances of central bank independence helping to calm policy uncertainty fears.

Under the Hood

Top Contributors

Laggards

Sector Performance

Here's how the major sectors performed this week and how our stock picks in each sector compared to the sector ETFs:

*Our Return is the weighted average of portfolio holdings in each sector. Contribution shows impact on total portfolio return.

Technology was our strongest contributor this week, with our holdings outperforming the XLK ETF by +2.3% and adding +0.49% to total returns as memory chip stocks rallied. However, this was offset by significant underperformance in Industrials, where our defense-heavy exposure declined -6.2% versus the sector's -0.6% drop, costing us -0.31%. Basic Materials also disappointed with our holdings falling -5.5% against the sector's flat +0.1% performance. Energy provided a bright spot with modest outperformance of +0.2%, while Financial Services stock selection helped us avoid the sector's broader decline. The mixed sector performance highlights how our defensive positioning and specific stock selection created a drag during this week's risk-on environment.

Earnings Scorecard

Both RTX and NOC delivered solid earnings beats this week, with RTX significantly exceeding EPS expectations by $0.25 and NOC posting strong revenue growth. Despite the fundamental strength, both defense contractors saw their shares decline sharply as investors took profits following recent gains and rotated into technology stocks. The earnings quality remains strong for our defense holdings, suggesting the current weakness may be more sentiment-driven than fundamental.

Pit Stop

This week we spotlight one of our top contributors that exemplifies the solar infrastructure theme driving renewable energy adoption.

NXT - Nextracker Inc.

Week: +9.0% | MTD: +0.7% | 6M: +23.2%

Nextracker surged +9.0% this week as the solar tracking systems leader benefited from renewed optimism around renewable energy infrastructure spending and favorable industry dynamics. The company designs and manufactures intelligent solar tracker systems that automatically adjust solar panel positioning to maximize energy capture throughout the day. Recent catalysts include strong project pipeline visibility, improved supply chain conditions, and expectations for continued government support for clean energy initiatives. With solar installations accelerating globally, NXT's technology leadership in tracker systems positions it well to capitalize on the multi-year renewable buildout cycle.

Week Ahead

Next week brings a heavy slate of portfolio earnings reports and critical economic data that could influence near-term market direction. We'll be monitoring results closely for any shifts in corporate guidance or economic sentiment.

Portfolio Earnings

Eight portfolio holdings report earnings next week, with particular focus on our memory storage plays STX and WDC following this week's sector strength, automotive exposure through GM, and energy giant XOM which could benefit from elevated oil prices. Thursday will be especially busy with five reports after market close.

Key Events

The week culminates with Friday's ISM Manufacturing data, which will be closely watched following this week's strong PMI readings. Thursday's Core PCE and employment data will provide additional insight into inflation trends and labor market health. Our systematic approach remains well-positioned to respond to any significant shifts in economic momentum or market volatility that may emerge from these key data releases.

Weekly positioning, performance vs benchmarks, and what's ahead. Every Sunday.