U.S. stocks were little changed Friday after closing near record highs yesterday following a promising wholesale inflation report and an executive order from President Trump that stopped short of imposing additional tariffs.
The Nasdaq Composite and S&P 500 were both within 0.1% of Thursday’s close in recent trading, while the Dow Jones Industrial Average was down about 0.2%. The major stock indexes were all on track to post gains for the week.
Shares of Airbnb (ABNB) soared Friday after the company beat earnings estimates. Roku (ROKU) stock also jumped double digits when it posted a narrower-than-expected loss. Meanwhile, Palo Alto Networks (PANW) slid after issuing guidance that underwhelmed Wall Street. Chip manufacturing equipment provider Applied Materials (AMAT) also fell on disappointing results.
Big tech stocks were mixed Friday, with Microsoft (MSFT), Alphabet (GOOG), Amazon (AMZN), and Broadcom (AVGO) all down marginally. Tesla (TSLA) stock fell 1%. Apple (AAPL), Nvidia (NVDA), and Meta (META) shares were trading about 1% higher.
U.S. retail sales fell 0.9% in January, a far larger decline than economists were expecting. The drop was driven by a 3% slump in car sales, but spending declined from December in nearly every category tracked by the Census Bureau’s report.
Treasury yields dropped sharply on the report, with the 10-year yield falling to 4.47% from 4.53%. The dollar also fell. Yields have retreated from their highs earlier this year as investors have adjusted their expectations for interest rate cuts and attempted to predict the impact Trump’s tariff plans will have on inflation and the labor market.
Bitcoin was trading around $97,500 in recent trading, up slightly from its level when non-crypto markets closed on Thursday. Gold futures tumbled from near-record highs to $2,910 an ounce. West Texas Intermediate crude oil futures were also down at about $71 a barrel.
Palo Alto Networks Stocks Slips as Results Narrowly Top Estimates
43 minutes ago
Shares of Palo Alto Networks fell Friday despite the cybersecurity firm’s latest quarter results for the latest quarter coming in just above estimates.
After the bell Thursday, Palo Alto (PANW) reported $0.81 in fiscal second-quarter adjusted earnings per share on $2.26 billion in revenue for the quarter, each just above what analysts had expected, per estimates compiled by Visible Alpha.
The company projected revenue of $2.26 billion to $2.29 billion for the third quarter, along with adjusted EPS of $0.76 to $0.77, each roughly in line with analyst estimates. Palo Alto’s full-year forecasts for revenue, lifted slightly from the first quarter, and adjusted EPS were also in line with analyst consensus.
The firm’s second-quarter results were “fueled by customers adopting technology driven by the imperative of AI, including cloud investment and infrastructure modernization,” CEO Nikesh Arora said in a statement.
Also on Thursday, Palo Alto Networks said it was expanding its board of directors to 11 members from nine previously with the addition of former Danish Prime Minister Helle Thorning-Schmidt and former CEO of Swiss banking giant UBS Group (UBS) Ralph Hamers.
Palo Alto shares were down more than 3% Friday, after entering the day up just under 10% over the last 12 months.
DraftKings Stock Soars on Strong Earnings, Outlook
1 hr 30 min ago
DraftKings (DKNG) shares soared Friday after the online sports betting platform topped profit estimates and boosted its outlook as it added customers and benefited from its purchase of rival Jackpocket.
The company raised the lower end of its revenue forecast for 2025 to $6.3 billion to $6.6 billion, from $6.2 billion to $6.6 billion previously.
For the fourth quarter of 2024, DraftKings posted adjusted earnings per share (EPS) of 14 cents, double the analyst consensus compiled by Visible Alpha. Revenue rose 13.2% year-over-year to $1.39 billion, just slightly below projections.
The results came as the company said its monthly unique players jumped 36% to 4.8 million. DraftKings also pointed to its expansion into new jurisdictions and the impact of its acquisition of Jackpocket.
As with rival Flutter (FLUT), which operates the FanDuel betting platform, DraftKings suggested its performance was held back by bettors winning too many wagers on National Football League (NFL) games.
TradingView
Shares of DraftKings were up nearly 14% in intraday trading Friday and have gained more than 40% since the start of the year.
Applied Materials Stock Slips on Predicted China Sales Headwinds
2 hr 13 min ago
Shares of Applied Materials fell Friday morning after the company’s projections for current quarter sales left room for disappointment.
Applied Materials’ (AMAT) results for the first quarter of fiscal 2025 came in after the bell Thursday, with the company reporting $7.17 billion in revenue and $2.38 in adjusted earnings per share—each topping estimates.
Despite the estimate-topping quarter, the maker of semiconductor manufacturing equipment said its sales could be negatively impacted by recent limitations on exports. The company said it expects second-quarter revenue of $7.1 billion, roughly in line with the $7.16 billion analyst consensus, though the company set the sales range at $400 million above or below that midpoint.
“The ability of U.S. companies to serve the China market is constrained and has been further limited by updated trade rules announced in December and January,” CEO Gary Dickerson said in Thursday’s earnings call. Dickerson said the company expects to face a headwind of about $400 million in sales in fiscal 2025 because of the new rules, according to a transcript of prepared remarks published ahead of the earnings call.
In December, the U.S. government announced new restrictions on the export of semiconductor manufacturing equipment and software, citing possible military and national security concerns.
Sales in China were $2.24 billion in the quarter, nearly a third of the company’s total revenue compared to $3 billion in sales for 45% of revenue the same time last year. China sales also declined last quarter, after analysts had said a slowdown in demand for certain tech hardware products in China could affect Applied Materials and other companies.
Applied Materials shares were down more than 6% Friday morning.
Roku Stock Jumps on Better-than-Expected Results
3 hr 3 min ago
Roku (ROKU) shares jumped early Friday after the streaming company posted better-than-estimated fourth-quarter results.
The streaming platform reported a narrower fourth-quarter operating loss of $39.1 million versus the $104.2 million loss it posted in the same period in 2023. Revenue jumped 22% year-over-year to $1.20 billion, All the numbers beat consensus estimates from Visible Alpha. Roku also said it expects to be “operating income positive for full year 2026.”
The company projected first-quarter revenue of $1.0 billion and full-year 2025 revenue at $4.61 billion. Those figures were in line with estimates but JPMorgan analysts Thursday said the company “threw a curveball and provided a year-ahead outlook for the first time since 2022.”
JPMorgan stuck with its outperform rating on Roku and raised its price target on the stock to $115 from $92 each.
Roku shares were up 14% Friday morning, putting them into positive territory for the past year.
Airbnb Stock Soars on Bigger-Than-Expected Profit
4 hr 11 min ago
Airbnb (ABNB) swung to a bigger-than-expected profit in the fourth quarter, sending shares soaring in extended trading Thursday.
The company’s revenue grew 12% year-over-year to $2.5 billion, above the analyst consensus tracked by Visible Alpha. Its net income of $461 million, or 73 cents per share, compared to a loss of $349 million, or 55 cents per share, a year earlier, beating expectations.
The gains came as bookings rose 12% to 111 million, with growth across regions. Airbnb’s gross booking value was up 13% to $17.6 billion. Both figures topped analysts’ projections.
Looking ahead, Airbnb said it expects first-quarter revenue of $2.23 billion to $2.27 billion, slightly below the $2.3 billion analysts were looking for, and warned foreign exchange headwinds could negatively impact revenue growth.
Shares of Airbnb soared about 14% in premarket trading on Friday. Before Friday, the stock had lost about 10% over the past 12 months through Thursday’s close.
Stock Futures Slip But Remain Near Record Highs
4 hr 58 min ago
Futures contracts connected to the Dow Jones Industrial Average were down about 0.2% in premarket trading.
S&P 500 futures were off 0.1%.
Nasdaq 100 futures were also down about 0.1%.
