Super Micro jumps 11% on AI demand; Netflix falls 6% on weak outlook
Super Micro Computer (SMCI) shares jumped 11% in premarket trading after the server maker reported preliminary first-quarter sales that exceeded expectations, citing AI-related demand. The move stood out in a mixed session for technology stocks, where Nvidia (NVDA) gained 2% and Amazon (AMZN) rose 0.2% amid a broader rally in artificial intelligence names. Meanwhile, Netflix (NFLX) fell 6% after the streaming company issued a revenue forecast weaker than anticipated, intensifying concerns regarding its growth trajectory. Tesla (TSLA) climbed 1.3% following Elon Musk's public endorsement of a potential merger between SpaceX and the electric-vehicle maker. Alphabet (GOOGL) declined 1%, Meta Platforms (META) dropped 0.5%, Apple (AAPL) fell 0.4%, and Microsoft (MSFT) slipped 0.5%. AT&T (T) shares tumbled 3% after the wireless carrier disclosed third-quarter postpaid phone net additions that missed the average analyst estimate. In contrast, Capital One (COF) rose 2% after reporting third-quarter earnings that beat estimates, driven by rising revenue and controlled expenses at the largest US credit-card lender. DigitalOcean (DOCN) climbed 4% after Piper Sandler upgraded the software company to overweight from neutral, citing an acceleration in growth due to AI. Fortinet (FTNT) slipped 3% after Arete downgraded the security software firm by two notches to sell from buy, citing concerns about growth and valuation. Intuitive Surgical (ISRG) fell 5% as third-quarter results for its da Vinci system showed US expansion lagging investor forecasts. Philip Morris International (PM) dropped 2% after the tobacco maker cut its profit forecast for the current fiscal year, attributing the reduction to rising energy costs stemming from conflict in the Middle East. SpaceX (SPCX) rose 6% after reporting third-quarter revenue that surpassed the average analyst estimate, driven by substantial growth in its artificial intelligence and satellite internet businesses. Zoom Communications (ZM) gained 4% after Oppenheimer upgraded the software company to outperform, stating that its AI platform was performing better than expected.
Super Micro Computer (SMCI) shares jumped 11% in premarket trading after the server maker reported preliminary first-quarter sales that exceeded expectations, citing AI-related demand. The move stood out in a mixed session for technology stocks, where Nvidia (NVDA) gained 2% and Amazon (AMZN) rose 0.2% amid a broader rally in artificial intelligence names. Meanwhile, Netflix (NFLX) fell 6% after the streaming company issued a revenue forecast weaker than anticipated, intensifying concerns regarding its growth trajectory. Tesla (TSLA) climbed 1.3% following Elon Musk's public endorsement of a potential merger between SpaceX and the electric-vehicle maker. Alphabet (GOOGL) declined 1%, Meta Platforms (META) dropped 0.5%, Apple (AAPL) fell 0.4%, and Microsoft (MSFT) slipped 0.5%. AT&T (T) shares tumbled 3% after the wireless carrier disclosed third-quarter postpaid phone net additions that missed the average analyst estimate. In contrast, Capital One (COF) rose 2% after reporting third-quarter earnings that beat estimates, driven by rising revenue and controlled expenses at the largest US credit-card lender. DigitalOcean (DOCN) climbed 4% after Piper Sandler upgraded the software company to overweight from neutral, citing an acceleration in growth due to AI. Fortinet (FTNT) slipped 3% after Arete downgraded the security software firm by two notches to sell from buy, citing concerns about growth and valuation. Intuitive Surgical (ISRG) fell 5% as third-quarter results for its da Vinci system showed US expansion lagging investor forecasts. Philip Morris International (PM) dropped 2% after the tobacco maker cut its profit forecast for the current fiscal year, attributing the reduction to rising energy costs stemming from conflict in the Middle East. SpaceX (SPCX) rose 6% after reporting third-quarter revenue that surpassed the average analyst estimate, driven by substantial growth in its artificial intelligence and satellite internet businesses. Zoom Communications (ZM) gained 4% after Oppenheimer upgraded the software company to outperform, stating that its AI platform was performing better than expected.