Week in Review: Apr 24 - May 2, 2026

Performance Snapshot

AlphaWizzard generated a 1.0% return this week, outperforming the S&P 500's 0.9% gain while trailing the Nasdaq's 1.6% advance. Market strength was driven by solid earnings results and continued Federal Reserve policy stability. Year-to-date performance remains strong at 19.2%, substantially ahead of the S&P 500 (5.7%) and Nasdaq-100 (9.7%). Since inception, AlphaWizzard has maintained superior risk management characteristics, recording a maximum drawdown of only 8.8%—lower than both benchmark indices.

The F1 Dashboard

Our systematic model shifted into CRUISING mode this week, dramatically increasing equity exposure from 18% to 49% - a substantial +30.7 percentage point acceleration. This represents the F1 car coming out of a slow corner and hitting the gas pedal as momentum signals strengthened across our universe. At 49% exposure, we're positioned for moderate growth while maintaining defensive flexibility, ready to either brake harder if conditions deteriorate or accelerate further if momentum continues building.

Market Radar

Markets delivered a solid week of gains driven by a combination of dovish Fed policy interpretation and strong corporate earnings. The Federal Reserve held rates steady at 3.5%-3.75% in what marked Chairman Powell's final meeting, with the 8-4 split decision showing some dissent but ultimately maintaining the accommodative stance. Manufacturing data provided mixed signals with the PMI coming in at 54.5 (above the 54.0 expectation) while ISM manufacturing disappointed at 52.7 versus 53.1 expected. GDP growth for Q1 came in slightly below expectations at 2.0% versus 2.2% forecasted.

The earnings landscape was notably strong, particularly in technology hardware where AI themes continued driving outperformance. Apple's services revenue hit a record $30.98 billion, helping push the Nasdaq above 27,000 for the first time. Energy stocks surged as oil briefly crossed $100 per barrel due to Iran-related supply concerns, with both Exxon and Chevron jumping about 25% year-to-date. The technology sector's +1.0% gain was supported by semiconductor and storage companies beating expectations, while industrials posted modest +0.3% gains on mixed manufacturing data.

Looking ahead, geopolitical tensions in the Middle East remain a wildcard with oil prices volatile around the $100 level, though Iran's new peace proposal helped markets reverse early week losses. The upcoming jobs report on Friday will be crucial for assessing labor market health, while University of Michigan sentiment data could provide insights into consumer resilience amid persistent inflation pressures above the Fed's 2% target.

Under the Hood

*Note: Portfolio was rebalanced during the week, which impacted individual position weightings and contributions.*

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 the clear standout this week, with our holdings delivering +8.6% versus the sector ETF's +1.0% gain, contributing +0.55% to total portfolio returns - our largest sector contribution. This outperformance was driven by exceptional earnings from storage companies like STX and SNDK, which benefited from AI-driven demand. Energy showed mixed results as while the sector ETF gained +3.5% on oil price spikes, our energy holdings only returned +2.6%, underperforming by -0.9%. Industrials and Consumer Cyclical both outperformed their benchmarks, while Basic Materials lagged significantly with our holdings declining -2.7% versus the sector's -1.1% drop. The technology sector's dominance in our returns reflects both our systematic model's momentum focus and the continued strength in AI-related hardware themes.

Earnings Scorecard

Our portfolio holdings delivered impressive earnings results with 7 out of 10 companies beating expectations and only 3 showing mixed results. The standout performers were SNDK with a massive EPS beat of $23.41 vs $14.72 expected, and STX with $4.10 vs $3.53 expected, both benefiting from AI-driven demand for storage solutions. These strong fundamental results validate our systematic model's ability to identify momentum-building companies ahead of earnings catalysts, directly contributing to this week's positive sector allocation effects despite flat overall portfolio performance.

Pit Stop

This week we spotlight SNDK, which delivered exceptional earnings results and exemplifies the AI storage theme driving our technology sector outperformance.

SNDK - SanDisk Corporation

Week: +19.9% | MTD: +8.3% (1 day) | 6M: +510.1%

SanDisk's explosive +19.9% weekly gain was driven by spectacular quarterly results that showcased the company's position in the AI storage revolution. The memory and storage solutions provider demolished earnings expectations with EPS of $23.41 versus $14.72 expected, while revenue of $6.0 billion exceeded forecasts of $4.8 billion. The company is benefiting from insatiable demand for high-performance storage solutions needed for AI data centers and edge computing applications. With a staggering +510.1% six-month return, SNDK represents one of our model's most successful momentum captures, identifying the AI storage theme well ahead of mainstream recognition. Management's strong guidance and expanding partnerships with cloud hyperscalers position the company for continued growth as AI infrastructure buildout accelerates.

Week Ahead

The coming week brings a busy earnings schedule for several portfolio holdings and critical economic data that could influence Fed policy expectations.

Portfolio Earnings

Tuesday will be particularly busy with three holdings reporting. CCJ and IAG represent our precious metals and uranium exposure amid ongoing geopolitical tensions, while DOCN could benefit from continued cloud infrastructure demand. LITE, a key optical components supplier, faces high expectations given the fiber optic buildout supporting AI data centers.

Key Events

Friday's jobs report will be the week's marquee event, with labor market strength crucial for Fed policy expectations. Michigan sentiment data will provide insights into consumer resilience amid persistent inflation pressures. Our systematic approach remains well-positioned to adapt to any volatility from these high-impact releases, with our recent exposure increase to 49% reflecting improved momentum conditions while maintaining flexibility to adjust as conditions evolve.

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