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US stocks pushed higher on Wednesday amid another batch of corporate earnings and as President Trump’s new deadline loomed to impose tariffs.
The Dow Jones Industrial Average (^DJI) hovered near the flatline, while the benchmark S&P 500 (^GSPC) edged up 0.2%. The tech-heavy Nasdaq (^IXIC) was up around 0.3%.
Earnings season continued apace on Wednesday, with Disney’s (DIS) third-quarter results taking the spotlight. Disney beat Wall Street estimates on strong parks and streaming showings. Separately, it announced a deal to buy media assets from the NFL, further entangling itself with the league.
Meanwhile, AMD (AMD) stock tumbled after its mixed showing on Tuesday, somewhat dragging on shares of its rival and market leader Nvidia (NVDA).
McDonald’s (MCD) stock rose after the company reversed its US sales slump. And Uber (UBER) announced a revenue beat along with a $20 billion stock buyback.
Airbnb (ABNB), DoorDash (DASH) and Lyft (LYFT) are among the names to report after the market closes.
Meanwhile, US trade partners are scrambling to strike trade deals before Trump’s new tariff deadline arrives Thursday. The Swiss president flew to Washington to attempt to avert a massive 39% tariff on her country’s goods, while Trump has promised to raise tariffs even further on India as tensions escalate.
Read more: The latest on Trump’s tariffs
LIVE 11 updates
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Shopify stock soars 21% following second quarter earnings
Shopify (SHOP) stock hit an intraday 52-week high at the open after the commerce technology company provided an upbeat forecast and positive second quarter results.
US-listed shares of the Ottawa-based company soared 21% in early trading to $154 per share.
Gross profit rose to $1.3 billion in the quarter, while revenue reached $2.68 billion, compared to estimates of $2.54 billion. Shopify’s second quarter revenue marked a 31% increase from a year ago as the company benefited from investments in product features and artificial intelligence.
For the third quarter, Shopify anticipates revenue to grow at a mid-to-high twenties percentage rate on a year-over-year basis. Gross profit dollars are expected to grow at a low-twenties percentage rate annually.
Shopify is one of several stocks making outsized moves on quarterly results. Other names seeing large stock swings include Novavax (up 20%), Super Micro Computer (down 17%), Snap (down 20%), and Lucid (down 7%).
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It’s official: NFL to take 10% stake in Disney’s ESPN
Disney (DIS) said late Tuesday that ESPN has reached a preliminary agreement with the NFL to acquire media assets including NFL Network, NFL RedZone, and NFL Fantasy in exchange for a 10% equity stake.
The new partnership aims to broaden the reach of NFL content through Disney’s expanding streaming footprint. ESPN plans to integrate NFL Network into its upcoming direct-to-consumer platform, set to launch Aug. 21 at a price point of $29.99 a month, while preserving distribution via cable and satellite. The value of the stake was not disclosed.
Disney stock initially rose following the NFL news, but slipped about 2% shortly after Wednesday’s open as investors digested the company’s Q3 earnings report.
“This deal helps fuel ESPN’s digital future, laying the foundation for an even more robust offering as we prepare to launch our new direct-to-consumer service,” Jimmy Pitaro, chairman of ESPN, said in a statement.
On the earnings call Wednesday, Disney CEO Bob Iger said the NFL deal will be accretive in its first year post-close, citing increased revenue and operating income from distributing NFL media assets, plus potential upside from lower churn and advertising.
Alongside the acquisition, ESPN and the NFL have also entered into a second non-binding agreement. Under the terms, the league will license certain NFL content and intellectual property to ESPN for use across the newly acquired NFL Media assets.
The NFL agreement comes ahead of another major rights deal unveiled this week: ESPN will become the exclusive US streaming home of WWE Premium Live Events, including WrestleMania and SummerSlam, beginning in 2026 — a move seen as further strengthening the content lineup for its new DTC service.
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Stocks inch higher at the open
US stocks mostly edged higher the open on Wednesday as a fresh round of corporate earnings rolled in and trade uncertainty persisted.
The Dow Jones Industrial Average (^DJI) hovered around the flat line, paring premarket gains. The benchmark S&P 500 (^GSPC) edged up 0.2%. The tech-heavy Nasdaq (^IXIC) was up nearly 0.4%.
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AI and GLP-1s were the hot post-pandemic trades, but only one is thriving
Yahoo Finance’s Hamza Shaban writes in today’s Morning Brief:
Read more here or sign up to receive the Morning Brief in your inbox every morning.
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Super Micro’s quarterly results underwhelm, shares tumble
Super Micro (SMCI) stock fell 17% before the bell on Wednesday after missing Wall Street estimates for its fourth-quarter revenue and profit. The company is grappling with larger server makers for high-performance computers used to train artificial intelligence models.
Reuters reports:
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Honda shares rise after lifting full-year forecast but report 50% drop in Q1 operating profit
Shares in Honda Motor (HMC) rose 2% after the automaker reported a 50% drop in first-quarter operating profit on Wednesday as a stronger yen and the impact of US President Donald Trump’s tariffs took its toll, but the company raised its full-year forecast.
Reuters reports:
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Good morning. Here’s what’s happening today.
Economic data: MBA mortgage applications (week ending Aug. 1)
Earnings: AppLovin (APP), e.l.f. Beauty (ELF), Disney (DIS), DraftKings (DKNG), McDonald’s (MCD), Novo Nordisk (NVO), Shopify (SHOP), Six Flags (FUN), Uber (UBER)
Here are some of the biggest stories you may have missed overnight and early this morning:
Disney announces ESPN deal as parks, streaming drive earnings beat
McDonald’s stock rises after company reverses US sales slump
NFL to take 10% stake in ESPN in deal with Disney
AI and GLP-1s were hot post-pandemic trades, but only one is thriving
Novo reports Q2 earnings missing estimates on slower GLP-1 sales
China pushes back on US chip tracking amid ongoing trade tensions
Shopify jumps on Q3 revenue forecast, boosted by AI upgrades
Trump says Japan to import Ford’s huge F-150 pickup trucks
Goldman trader says buoyant stocks are ignoring recession risks
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McDonald’s stock rises after company reverses US sales slump
McDonald’s (MCD) stock rose 3% in premarket trading after
The fast-food chain reported a return to sales growth in the second quarter. Global comparable sales jumped 3.8%, above analysts’ estimates for a 2.5% increase, while US same-store sales increased 2.5% in the company’s fiscal second quarter, marking a turnaround from the 3.6% drop in the first quarter.
McDonald’s also beat Wall Street estimates for earnings and revenue, reporting profits of $3.19 per share on $6.84 billion in revenue. Analysts were expecting earnings per share of $2.97 on $6.70 billion in revenue.
The company still expects same-store sales to grow 1.9% for the full fiscal year, and US same-store sales to rise 1.2%.
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Disney beats on earnings but linear TV struggles weigh on stock
Disney (DIS) reported fiscal third quarter earnings on Wednesday that beat expectations, driven by continued strength in its domestic parks business and a year-over-year swing to profitability in its streaming unit. Revenue came in roughly in line with forecasts.
The direct-to-consumer segment posted a profit of $346 million, compared to a $19 million loss a year ago. The company continues to prioritize consistent profitability in streaming amid the ongoing shift away from traditional pay-TV. Disney is targeting approximately $875 million in streaming profits for fiscal 2025.
The company raised its full-year profit forecast to $5.85 a share, up from its May forecast of $5.75 and ahead of Wall Street expectations of $5.77.
Prior to its earnings update, Disney also confirmed previous reports that ESPN has reached a preliminary deal to acquire key NFL Media assets, including NFL Network, NFL RedZone, and NFL Fantasy, in exchange for a 10% equity stake in the network.
The stock gave up earlier gains and slipped around 2% in pre-market trading, as steep declines in the linear TV business overshadowed strength in parks and streaming.
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How to think about Nvidia following AMD EPS sell-off
Advanced Micro Devices (AMD) is off by 5% pre-market following EPS last night.
Some squishy areas of the results such as margins falling and mixed third quarter guidance. Demand seemed OK to me.
If there is one read through from the report to Nvidia’s (NVDA) August 27 earnings day it’s this: China chip risk will remain high in the near-term. That may suggest similarly mixed guidance from Nvidia when it reports.
If there is a positive here, this risk is being priced into Nvidia shares today after the AMD results.
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And we are still watching Palantir!
After a 7.85% post earnings pop on Tuesday, Palantir (PLTR) looks to be holding onto gains pre-market despite mixed results out of Advanced Micro Devices (AMD) last night.
It’s going to be hard to shake the Palantir bulls in the near-term. Palantir had the type of shocking quarter than ignited the Nvidia trade more than a year ago. Factor in the potential for a rate cut at the September Fed meeting that could fuel momentum stocks, and the setup on Palantir looks bright…until it doesn’t.
“We believe in the next few years Palantir has the potential to be a trillion dollar market cap as the AI Revolution takes hold,” said Wedbush analyst Dan Ives.
Palantir’s current market cap: $411 billion.
