My top 10 things to watch Wednesday, Aug. 5 1. We’re looking to build off yesterday’s record close for the S & P 500 and blue-chip Dow , with futures for both averages higher this morning. Weakness in names like AMD and SpaceX after earnings is weighing on Nasdaq 100 futures . ADP’s private payrolls report for July came in weaker than expected. 2. Was AMD’s quarter actually a disappointment? An 8% premarket decline suggests yes, but it’s more complicated than that. On the print itself, AMD topped expectations on the line items (total sales, earnings per share, data center revenues, gross margin). But the third-quarter outlook was difficult. Officially guiding for $13 billion, plus or minus $300 million, but there were whispers it might come in at $14 billion. Shares had also rallied over 20% since last Wednesday into the print. 3. SpaceX’s first quarterly report as a public company topped estimates on the top and bottom lines. Starlink subscribers rose to 12 million, up 17% from the March period. But shares are off almost 11% this morning. Enormous increase in capital spending on AI infrastructure, and Elon Musk’s forecast for SpaceX compute coming online next suggests the spending will continue. Also: a wave of SpaceX stock lock-up restrictions expire tomorrow. I buy into SpaceX’s long-term vision, but it’s impossible to predict short-term trading in this one. 4. One company that will receive a big chunk of SpaceX’s capex: Club name Nvidia . Musk said on the earnings call that “we’ve decided to build exclusively on Nvidia because we think the Vera Rubin architecture is the best architecture. We think it’s the best AI computer.” Gigantic orders for Nvidia next year (and beyond) if Musk’s grand plan comes to pass. Nvidia shares are up almost 2% premarket. 5. Club name Eli Lilly crushed estimates for second-quarter earnings and raised its full-year outlook as demand for its obesity drug Zepbound and diabetes therapy Mounjaro shows no signs of slowing. Despite concerns that oral versions of its GLP-1 drugs would cannibalize its injectable versions, they have actually expanded the market, CEO Dave Ricks told CNBC this morning. Lilly always seems to be one step ahead. Next-gen injectable retatrutide is something to watch next year. 6. Disney is up almost 3% after reporting better-than-expected profits for the June quarter. Overall revenue was a touch light, but I’m most impressed by the strength in its theme park and cruise business. CFO Hugh Johnston told CNBC they saw “very strong attendance” at Walt Disney World in Orlando. Much different picture than what Universal Studios operator Comcast painted last month. 7. Arista Networks delivered a true blowout quarter. Record quarterly revenue. Massive beat on the bottom line. The company supplies data center hardware (think Ethernet switches, routers, and other networking products) to hyperscalers including Microsoft and Meta Platforms . Price targets up substantially at several firms. The stock is up over 12% premarket. 8. Big price-target hike for Palo Alto Networks at Barclays. Analysts kept their buy rating and went to $370 from $315, though shares are already trading above that new target this morning. Cybersecurity stocks have caught fire in recent days as we’ve learned about more AI breaches. We raised our price target on Palo Alto and fellow Club name CrowdStrike yesterday. Most obvious AI winners in software. 9. Burlington Stores : a battleground name? Citigroup downgraded the off-price retailer to hold from buy, saying the “risk/reward no longer skews to the upside.” Morgan Stanley reinstated coverage of the group with buy ratings on Burlington and T.J. Maxx parent TJX Companies , with a preference for BURL. We’ve owned TJX for ages. It’s been a winner, and we’re sticking with it. Best-of-breed operator. 10. Emerson Electric reported an excellent quarter last night, with earnings, revenue, and operating cash flow all topping expectations. Shares are off more than 3% premarket anyway. Citi upped its price target to $182 from $174 and reiterated its buy rating. Emerson and Club name Honeywell Technologies are rivals in the industrial automation space. Honeywell’s results last month were impressive. Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. 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Jim Cramer’s top 10 things to watch in the stock market Wednesday
Aug 5, 2026
