$CSCO

$AAPL$CSCO$MSFT$NVDA$TSLA

Sector Update: Tech Stocks Mixed Thursday Afternoon

Tech stocks were mixed Thursday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) rising 1.1% and the State Street SPDR S&P Semiconductor ETF (XSD) shedding 0.6%.The Philadelphia Semiconductor index increased 0.1%.In corporate news, Cisco (CSCO) shares jumped 12% after it reported a year-over-year jump in fiscal Q3 earnings and revenue, topping market expectations, and raised its fiscal 2026 guidance. The firm also announced restructuring plans that included lay-offs of nearly 4,000 employees.Microsoft-backed (MSFT) OpenAI is preparing possible legal action against Apple (AAPL) as the partnership between the two companies has become strained, Bloomberg reported. Apple shares were down 0.3%, and Microsoft was rising 0.8%.Chinese President Xi Jinping told the chief executives of Apple, Tesla (TSLA), Nvidia (NVDA) and other large companies that China will "open wider" to doing business, CNBC reported Thursday, citing a report from state-backed newspaper Xinhua. Tesla shares were fractionally higher, and Nvidia gained 3.7%.

Sector Update: Tech

Tech stocks were higher Thursday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) rising 1.6% and the State Street SPDR S&P Semiconductor ETF (XSD) up 0.5%.The Philadelphia Semiconductor index increased 0.8%.In corporate news, Cisco (CSCO) shares jumped past 13% after it reported a year-over-year jump in fiscal Q3 earnings and revenue, topping market expectations, and raised its fiscal 2026 guidance. The firm also announced restructuring plans that included lay-offs of nearly 4,000 employees.

Dow JonesNasdaq CompositeS&P 500$CSCO

Japan32d ago

Technology Helps S&P 500, Nasdaq Composite Scale New Peaks

US equity indexes rose in midday trading on Thursday as technology topped sector charts, pushing the S&P 500 and the Nasdaq to intraday all-time highs.The Dow Jones Industrial Average climbed 0.9% to 50,165.2, with the Nasdaq up 1.1% to 26,695.1 and the S&P 500 higher by 0.9% to 7,514.5. All sectors except materials and real estate rose.Of the top 10 companies with a market capitalization of more than $200 billion, implying a significant sway over indexes, eight were from the technology sector. The top performer was Cisco Systems (CSCO), up 15%, which made it the leader on the S&P 500, the Nasdaq, and the Dow.Cisco reported a year-over-year jump in fiscal Q3 earnings and revenue, topping market expectations, and raised fiscal 2026 guidance. The firm also announced restructuring plans that included lay-offs of nearly 4,000 employees.In economic news, retail sales in April rose for the third straight month, with analysts saying the increase largely reflected higher prices as the war in Iran kept fuel costs elevated. Sales rose 0.5% in April following a revised 1.6% gain in March, the Census Bureau reported Thursday, matching the consensus in a survey compiled by Bloomberg.

Cisco's Hyperscaler Partnerships Paying Off Amid AI Order Surge, Morgan Stanley Says

Cisco Systems' (CSCO) expanded hyperscaler partnerships are paying dividends for the networking equipment maker, as evidenced by management expectations for a surge in artificial intelligence orders, Morgan Stanley said in a note emailed Thursday.Total product orders climbed 35% year-over-year in the fiscal third quarter, driven by hyperscaler orders that grew triple digits, Chief Executive Chuck Robbins said on an earnings call Wednesday, according to a FactSet transcript.AI infrastructure orders from hyperscalers, or the big technology companies, rose to $1.9 billion from $600 million the year prior, taking the year-to-date tally above the company's prior expectation of $5 billion for fiscal 2026, Robbins told analysts.Cisco is now targeting about $9 billion in AI infrastructure orders from hyperscalers in fiscal 2026, 4.5 times the 2025 level, Robbins added."Efforts made over the last (more than five) years to improve hyperscaler relationships and find avenues to differentiate through optics and silicon are paying dividends," Morgan Stanley said.The brokerage raised Cisco's price target to $120 from $91 and maintained its overweight rating. The company's shares soared 15% in Thursday trade, bringing their year-to-date gains to 52%.Cisco reported stronger-than-expected fiscal third-quarter results late Wednesday, while the networking equipment maker announced a restructuring plan that involves thousands of layoffs."The path from here for the stock will be ability to deliver/continue to see orders on AI side, capitalize on enterprise investment in AI, improve the security business results, as well as show ability to manage mix impact to gross margins through operating efficiencies, allowing EPS estimates to move higher," according to the Morgan Stanley note.Price: $117.27, Change: $+15.40, Percent Change: +15.11%

Cisco Systems' AI Momentum Accelerates as Hyperscaler Orders Surge, Morgan Stanley Says

Cisco Systems (CSCO) delivered a fiscal Q3 beat driven by accelerating AI-related networking demand and deeper engagement with hyperscalers, Morgan Stanley said Thursday in a report.The technology company's five-year effort to deepen cloud partnerships and differentiate through optics and silicon is now paying off, the report said. AI revenue and orders are expected to quadruple in fiscal 2026 from a year earlier, and management has committed to at least 50% AI revenue growth in fiscal 2027, reaching about $6 billion, or a high-single-digit share of total revenue, Morgan Stanley said.Cisco booked $2.1 billion in AI orders from hyperscalers during the quarter, and networking revenue rose 25%, supported by AI infrastructure demand and ongoing enterprise network upgrades, the report said.The next leg for the stock hinges on Cisco's ability to sustain AI order momentum, capture enterprise AI spending, and improve security results, while offsetting gross-margin pressure through operating efficiencies, the report said.Morgan Stanley raised its price target on Cisco stock to $120 from $91 and maintained its overweight rating.Price: $117.32, Change: $+15.45, Percent Change: +15.16%

New Street Research Adjusts Cisco Systems Price Target to $122 From $82, Maintains Neutral Rating

Cisco Systems (CSCO) has an average rating of overweight and mean price target of $118.11, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $118.34, Change: $+16.47, Percent Change: +16.16%

Dow JonesNasdaq CompositeS&P 500$BETH$BITO$CPA$CSCO$DOCS$ED$EEM$EETH$EXI$FAS$FAZ$GLD$IBB$IGM$IGV$IPK$IVV$IWM$IYE$IYH$IYJ$IYK$IYW$PMR$QQQ$RTH$SLV$SOXX$SPY$UNG$USO$VDC$VHT$VIS$XLE$XLF$XLI$XLK$XLP$XLV$XLY$XRT$XSD$YETI

Commodities32d ago

Exchange-Traded Funds, Equity Futures Advance Pre-Bell Thursday Amid US-China Meeting

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was up 0.4% and the actively traded Invesco QQQ Trust (QQQ) was 0.2% higher in Thursday's premarket activity amid a two-day meeting between the US and China.US stock futures were also higher, with S&P 500 Index futures up 0.3%, Dow Jones Industrial Average futures advancing 0.7%, and Nasdaq futures gaining 0.2% before the start of regular trading.US initial jobless claims rose to a level of 211,000 in the week ended May 9 from a downwardly revised 199,000 level in the previous week, compared with expectations for a smaller increase to 205,000 in a survey of analysts compiled by Bloomberg.US import prices rose by 1.9% in April, above the 1% increase expected in a survey compiled by Bloomberg as of 7:35 am ET and faster than a 0.9% gain in March.US retail sales rose by 0.5% in April, as expected in a survey compiled by Bloomberg as of 7:35 am ET and following the previous month's 1.6% gain.Business inventory data for March is due to be released at 10 am ET, followed by weekly natural gas stocks at 10:30 am ET.Federal Reserve Kansas City President Jeffrey Schmid, Cleveland President Beth Hammack, New York President John Williams, and Governor Michael Barr are slated to speak on Thursday.In premarket action, bitcoin was down by 10%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 0.2% lower, Ether ETF (EETH) advanced 0.2%, and Bitcoin & Ether Market Cap Weight ETF (BETH) retreated by 0.01%.Power Play:Health CareThe State Street Health Care Select Sector SPDR ETF (XLV) advanced 0.2%. The Vanguard Health Care Index Fund (VHT), the iShares US Healthcare ETF (IYH), and the iShares Biotechnology ETF (IBB) were flat.Doximity (DOCS) stock was down more than 10% premarket after the company overnight reported a steeper-than-expected drop in fiscal Q4 adjusted earnings and sales guidance for the next financial year lagged market expectations.Winners and Losers:TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) gained by 0.4%, and the iShares US Technology ETF (IYW) was 0.5% higher, while the iShares Expanded Tech Sector ETF (IGM) was up 0.7%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) increased by 0.3%, while the iShares Semiconductor ETF (SOXX) fell by 0.1%.Cisco Systems (CSCO) shares were up more than 15% in premarket activity after the company reported forecast-beating fiscal Q3 results and said it plans to lay off about 4,000 employees, representing around 5% of its workforce.ConsumerThe State Street Consumer Staples Select Sector SPDR ETF (XLP) was up 0.1%, and the Vanguard Consumer Staples Index Fund ETF Shares (VDC) gained 0.3%. The iShares US Consumer Staples ETF (IYK) was inactive. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) increased by 0.3%. The VanEck Retail ETF (RTH) retreated by 0.01%, while the State Street SPDR S&P Retail ETF (XRT) was 0.3% higher.Yeti (YETI) shares were up more than 10% pre-bell after the company reported better-than-expected fiscal Q1 adjusted net income and net sales.IndustrialThe State Street Industrial Select Sector SPDR ETF (XLI) retreated by 0.2%, while the Vanguard Industrials Index Fund (VIS) gained 0.04% and the iShares US Industrials ETF (IYJ) was inactive.Copa (CPA) stock was up more than 3% before the opening bell after the company reported higher Q1 earnings and operating revenue.EnergyThe iShares US Energy ETF (IYE) was down 0.3%, while the State Street Energy Select Sector SPDR ETF (XLE) was up by 0.02%.Consolidated Edison (ED) stock was down more than 2% before the opening bell. Goldman Sachs raised its price target on the company to $105 from $103 and maintained its sell rating.FinancialThe State Street Financial Select Sector SPDR ETF (XLF) advanced 0.4%. Direxion Daily Financial Bull 3X Shares (FAS) was up 0.9%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 0.8% lower.CommoditiesFront-month US West Texas Intermediate crude oil retreated by 0.1% to $100.95 per barrel on the New York Mercantile Exchange. Natural gas was down 0.7% to $2.84 per 1 million British Thermal Units. The United States Oil Fund (USO) decreased by 0.7%, while the United States Natural Gas Fund (UNG) was flat.Gold futures for May retreated by 0.1% to $4,700.30 an ounce on the Comex. Silver futures fell by 2.3% to $87.30 an ounce. SPDR Gold Shares (GLD) was 0.2% higher, and the iShares Silver Trust (SLV) declined by 0.8%.

Dow JonesNasdaq CompositeS&P 500$AMAT$BABA$BN$CSCO$JD$MRVL$NVDA

Sector Update: Tech Stocks Mixed Premarket Thursday

Technology stocks were mixed premarket Thursday, with the State Street Technology Select Sector SPDR Fund (XLK) up 0.2% and the State Street SPDR S&P Semiconductor ETF (XSD) 0.4% lower.Cisco Systems (CSCO) stock was up more than 15% after the company posted higher fiscal Q3 earnings and revenue that also topped market expectations, and raised its fiscal 2026 guidance.Intel (INTC) has signed a multiyear partnership with McLaren Racing to become the official compute partner across its Formula 1, IndyCar and sim racing teams, the chipmaker said. Intel shares were down more than 4% pre-bell.United Microelectronics (UMC) shares were up more than 8% after the company launched its 14nm FinFET technology platform for display driver ICs.

$CSCO$INTC$UMC$XLK$XSD

Asia Markets32d ago

US Equity Futures Rise Pre-Bell After S&P 500, Nasdaq Set New Highs Amid US-China Meeting

US equity futures were rising pre-bell Thursday as technology stocks drove new record highs for the S&P 500 and the Nasdaq Composite while traders kept a close eye on the high-stakes meeting between US President Donald Trump and Chinese leader Xi Jinping.Dow Jones Industrial Average futures were 0.8% higher, S&P 500 futures were up 0.4%, and Nasdaq futures were 0.3% higher.On Wednesday, the S&P 500 advanced nearly 0.6% to close at 7,444.25, while the Nasdaq Composite rose 1.2% to end at 26,402.34, with both setting new closing records. Cisco Systems (CSCO) shares were up 15% after the company posted higher fiscal Q3 results and announced restructuring plans that included lay-offs of nearly 4,000 employees.At the start of a two-day summit, Xi told Trump that US-China trade talks were progressing positively, but warned that disagreement over Taiwan could lead to a dangerous situation and even cause conflict.Traders also mulled the latest round of earnings, with Brookfield (BN) reporting higher Q1 distributable earnings and revenue.Oil prices were lower, with front-month global benchmark North Sea Brent crude down 0.7% at $104.90 per barrel and US West Texas Intermediate crude 0.7% lower at $100.33 per barrel.US retail sales rose by 0.5% in April, as expected in a survey compiled by Bloomberg as of 7:35 am ET and following the previous month's 1.6% gain.US import prices rose by 1.9% in April, above the 1% increase expected in a survey compiled by Bloomberg as of 7:35 am ET and faster than a 0.9% gain in March.US initial jobless claims rose to a level of 211,000 in the week ended May 9 from a downwardly revised 199,000 level in the previous week, compared with expectations for a smaller increase to 205,000 in survey of analysts compiled by Bloomberg.Federal Reserve Kansas City President Jeffrey Schmid, Cleveland President Beth Hammack, New York President John Williams, and Governor Michael Barr are slated to speak on Thursday.In other world markets, Japan's Nikkei closed 1% lower, Hong Kong's Hang Seng ended flat, and China's Shanghai Composite finished 1.5% lower. Meanwhile, the UK's FTSE 100 was up 0.4%, and Germany's DAX index was 1.3% higher in Europe's early afternoon session.In equities, Nvidia (NDA), Applied Materials (AMAT), and Marvell Technology (MRVL) joined Cisco in an upswing of technology stocks that lifted the market. Nvidia stock was up 2.1%, Applied Materials shares rose 1.9%, and Marvell stock was up 2.8%.On the losing side, Alibaba (BABA) and JD.com (JD) shares were down 3.1% and 1.7%, respectively, after a Reuters report said that they were among the roughly 10 Chinese companies that have secured US clearance to purchase Nvidia's H200 artificial intelligence chip, without a single delivery being made so far.

Sector Update: Tech

Technology stocks were edging higher premarket Thursday, with the State Street Technology Select Sector SPDR Fund (XLK) up 0.4% and the State Street SPDR S&P Semiconductor ETF (XSD) 0.1% higher.Cisco Systems (CSCO) stock was up more than 14% after the company posted higher fiscal Q3 earnings and revenue that also topped market expectations, and raised its fiscal 2026 guidance.

Dow JonesNasdaq CompositeS&P 500$BN$CSCO

Japan32d ago

US Equity Futures Rise Pre-Bell After S&P 500, Nasdaq Set New Highs Amid US-China Meeting

US equity futures were higher pre-bell Thursday as technology stocks drove new record highs for the S&P 500 and the Nasdaq Composite while traders kept a close eye on the high-stakes meeting between US President Donald Trump and Chinese leader Xi Jinping.Dow Jones Industrial Average futures were 0.7% higher, S&P 500 futures were up 0.3%, and Nasdaq futures were 0.2% higher.On Wednesday, the S&P 500 advanced nearly 0.6% to close at 7,444.25, while the Nasdaq Composite rose 1.2% to end at 26,402.34, with both setting new closing records. Cisco Systems (CSCO) shares were up 15% after the company posted higher fiscal Q3 results and announced restructuring plans that included lay-offs of nearly 4,000 employees.At the start of a two-day summit, Xi told Trump that US-China trade talks were progressing positively, but warned that disagreement over Taiwan could lead to a dangerous situation and even cause conflict.Traders also mulled the latest round of earnings, with Brookfield (BN) reporting higher Q1 distributable earnings and revenue.Oil prices were lower, with front-month global benchmark North Sea Brent crude down 0.4% at $105.24 per barrel and US West Texas Intermediate crude 0.5% lower at $100.56 per barrel.Investors also await the US retail sales bulletin for April, an early view into consumer responses to higher fuel bills, set for release in Washington at 8:30 am ET.The weekly jobless claims bulletin, scheduled for release at 8:30 am ET, is expected to show 205,000 new unemployment claims for the week ended May 9, compared with 200,000 in the prior week, according to estimates compiled by Bloomberg. The April retail sales report is forecast to show a 0.5% gain following a 1.7% increase in the previous month.The April import price index is expected to show a 1% month-over-month increase after a 0.8% gain previously. The export price index is projected to rise 1.2%, compared with a gain of 1.6% previously.Federal Reserve Kansas City President Jeffrey Schmid, Cleveland President Beth Hammack, New York President John Williams, and Governor Michael Barr are slated to speak on Thursday.

US Markets32d ago

Equity Futures Rise as Trump, Xi Kick Off High-Stakes Meeting

US equity markets were tracking in the green before the opening bell Thursday as President Donald Trump held talks with his Chinese counterpart, Xi Jinping, at a high-stakes meeting in Beijing.The S&P 500 and the Nasdaq rose 0.2% each in premarket activity, while the Dow Jones Industrial Average added 0.6%. The S&P 500 and Nasdaq reached fresh peaks at Wednesday's close, while the Dow finished lower.Trump and Xi have agreed to develop a "constructive China-US relationship of strategic stability," according to a readout of the summit by the Chinese foreign ministry. "This will provide strategic guidance for China-US relations over the next three years and beyond," the readout showed.The relationship between the two countries is going to be "better than ever before," Trump told Xi in his opening remarks, CNBC reported, citing official broadcast footage.The leaders of the two global economic heavyweights agreed that the crucial Strait of Hormuz should remain open to support global energy flows, multiple news outlets reported. During their talks, Xi showed interest in buying more US oil to reduce China's dependence on the Strait of Hormuz and other Middle East shipping routes, according to news reports.West Texas Intermediate crude oil was down 0.2% at $100.80 a barrel before the open, while Brent was slightly in the red at $105.61.On Wednesday, the International Energy Agency forecast a sharper decline in global oil demand this year than previously expected as the Middle East conflict drives up energy prices. Separately, the Organization of the Petroleum Exporting Countries reduced its global oil demand growth outlook for 2026, but upgraded its projection for next year.Also on Wednesday, official data showed that US producer prices rose at the fastest pace in four years in April as broad-based increases in services and goods signaled intensifying inflation pressures.Treasury yields were down in premarket action, with the two-year rate retreating 2.1 basis points to 3.97% and the 10-year rate off 2.2 basis point to 4.46%.Thursday's economic calendar has the weekly jobless claims bulletin at 8:30 am ET, along with the retail sales and import and export prices reports, both for April.Federal Reserve Governor Michael Barr is scheduled to speak at 7 pm. Kansas City Fed President Jeffrey Schmid, Cleveland Fed President Beth Hammack, and New York Fed President John Williams all speak earlier in the day.On Wednesday, Boston Fed President Susan Collins said she expected the central bank to maintain its current monetary policy stance, describing it as "slightly restrictive."The US Senate confirmed Kevin Warsh's nomination as Fed chair Wednesday. Warsh is Trump's pick for the job, with the term of current central bank chief Jerome Powell set to expire on Friday.Cisco Systems (CSCO) shares jumped 17% pre-bell Thursday. Late Wednesday, Cisco's fiscal third-quarter results exceeded Wall Street's estimates, while the networking equipment maker announced a restructuring plan that involves thousands of layoffs.Marvell Technology (MRVL) added 3.8% pre-bell after closing the previous session with an 8.2% gain.Nvidia (NVDA) was 1.8% higher in premarket activity after Reuters reported that the US has cleared around 10 Chinese firms to buy the technology giant's H200 artificial intelligence chip. However, not a single delivery has been made so far, according to the report.Applied Materials (AMAT) is scheduled to release its latest quarterly financial results after the markets close. Viking (VIK), Klarna (KLAR), Bullish (BLSH) and Yeti (YETI) report before the bell, among others.Gold edged down 0.1% to $4,703 per troy ounce, while bitcoin nudged up 0.1% to $79,599.

Dow JonesNasdaq CompositeS&P 500$AMAT$BLSH$CSCO$KLAR$MRVL$NVDA$VIK$YETI

US Markets32d ago

Nasdaq, S&P 500 Hit Fresh Highs as Tech Stocks Rise

The Nasdaq Composite and the S&P 500 reached fresh peaks on Wednesday, buoyed by a rally in technology stocks ahead of high-stakes talks between US President Donald Trump and his Chinese counterpart, Xi Jinping.The Nasdaq rose 1.2% to 26,402.3 and the S&P 500 climbed 0.6% to 7,444.3. The Dow Jones Industrial Average slipped 0.1% to 49,693.2. Most sectors ended in the green, led by communication services, followed by tech, while utilities saw the steepest decline.Chipmaking giant Nvidia's (NVDA) shares jumped 2.3%, among the best performers on the Dow. Apple (AAPL), Amazon.com (AMZN), and Cisco Systems (CSCO) also advanced. On Semiconductor (ON) shares surged 11%, the second-biggest gainer on the S&P 500.Trump arrived in Beijing Wednesday, accompanied by Nvidia Chief Executive Jensen Huang, Apple's Tim Cook, and Tesla (TSLA) CEO Elon Musk, along with other executives. Trump is set to have talks with Xi on Thursday and Friday, CNBC reported."The trip underscores the stakes for chips, tech, and the (artificial intelligence) supply chain highlighted by Nvidia's most advanced chips, which (have) faced a series of tightening US export restrictions on China sales," Wedbush Securities said in note."We believe that this summit will prove 'constructive' as it keeps the conversation focused on reopening channels where possible rather than allowing the relationship to drift into a more permanent Cold War dynamic that would ultimately slow AI diffusion and cloud monetization on both sides," Wedbush said.US Treasury yields were little changed in Wednesday late-afternoon trade, with the 10-year and two-year rates at 4.48% and 3.99%, respectively.In economic news, US producer prices in April rose at the fastest pace in four years as broad-based increases in services and goods signaled intensifying inflation pressures, official data showed."On the heels of yesterday's disappointing (consumer price index) results, the April producer price report flags intense inflation pressure in the pipeline," BMO Capital Markets said in a note. "Look for another heated consumer inflation report in May, and not solely due to costlier gasoline, as price pressures stemming from the Iran war are bleeding into other sectors of the economy."The central bank last month held rates steady for a third straight meeting and is widely expected to do so again in June, according to the CME FedWatch tool.The US Senate confirmed Kevin Warsh's nomination as Fed chair on Wednesday. Warsh is Trump's pick for the job as the term of current central bank chief Jerome Powell is set to expire on Friday.Boston Fed President Susan Collins expects the central bank to maintain its current monetary policy stance, which she described as "slightly restrictive.""More than five years of above-target inflation has reduced my patience for 'looking through' another supply shock," Collins said in prepared remarks on Wednesday. "And while it is notin my most likely outlook, I could envision a scenario in which some policy tightening is needed to ensure that inflation returns durably to 2% in a timely manner."West Texas Intermediate crude was last down 0.9% at $101.27 a barrel, while Brent fell 1.8% to $105.85.The International Energy Agency forecast a sharper decline in global oil demand this year than previously expected as the Middle East conflict drives up energy prices."More than 10 weeks after the war in the Middle East began, mounting supply losses from the Strait of Hormuz are depleting global oil inventories at a record pace," according to the report.Separately, the Organization of the Petroleum Exporting Countries reduced its global oil demand growth outlook for 2026, but upgraded its projection for next year.Trump recently rejected Iran's counteroffer to end the war, though a fragile ceasefire between the two countries still holds.In company news, Wix.com (WIX) logged a larger-than-expected annual decline in its first-quarter earnings, while the Israeli web development platform maintained its full-year outlook. The company's US-listed shares tanked 27%.Gold was last up 0.2% at $4,694.70 per troy ounce, while silver climbed 3% to $88.18 per ounce.

Dow JonesNasdaq CompositeS&P 500$AAPL$AMZN$CSCO$NVDA$ON$TSLA$WIX

Asia Markets32d ago

US Equity Indexes Mixed as Communication Services, Tech Help Outweigh Impact of Hot Producer Prices

US equity indexes closed mixed on Wednesday, as communication services and technology led sectors amid the fastest annual pace of growth in producer prices in four years, signaling the strength of the so-called AI trade.The Dow Jones Industrial Average fell 0.1% to 49,693.20. The Nasdaq jumped 1.2% to 26,402.34, and the S&P 500 climbed 0.6% to 7,444.25.In a broadly positive tape, communication services, technology, and consumer discretionary were among the top gainers. Utilities, financials, real estate, and industrials declined.Of the top 10 companies with a market capitalization of more than $200 billion, implying a significant sway over indexes, seven were from technology and communication services, according to data compiled by Finviz. Nasdaq's leaders included Marvell Technology (MRVL), Arm (ARM), and Micron Technology (MU). In the S&P 500, ON Semiconductor (ON) and Hewlett-Packard Enterprise (HPE) were among the biggest outperformers. Nvidia (NVDA) and Cisco (CSCO) were in the top five gainers on the Dow.In economic news, the Producer Price Index soared 1.4% month-over-month in April from a 0.7% gain in March, according to the Bureau of Labor Statistics. The print beat the 0.5% increase expected in a Bloomberg-compiled survey. After excluding food and energy prices, core PPI surged 1.0% from 0.2%, above the 0.3% advance anticipated.Year-over-year, PPI soared 6.0% in April while core PPI catapulted 5.2%, both above their respective March rates and the strongest readings since December 2022.A hotter-than-expected PPI, coupled with Tuesday's larger-than-expected rise in the consumer price index, underscores not only the price impact already realized but the "additional inflationary pressures still coming down the pipeline," according to a Stifel note.With energy cost passthrough likely to keep year-over-year core personal consumption expenditures, or PCE, inflation closer to 3% than 2% all year, Goldman Sachs said in a note that lower monthly inflation prints after the oil shock fades and further labor market softening will likely be needed for Fed rate cuts this year."We now expect it to take a bit longer to meet that bar," the investment bank said while pushing back the final two rate cuts in its forecast to December 2026 and March 2027.US Treasury yields were mostly down, with the 10-year steady to slightly lower at 4.47%.The two-year slipped 1.5 basis points to 3.98%.Meanwhile, in its closely watched Oil Market Report, the International Energy Agency said the loss of Persian Gulf supply is depleting global inventories at a record pace. Inventories fell by 129 million barrels per day in March and by 117 million bpd in April, though rising output from producers outside of the Gulf is helping to ease the supply shock."With Hormuz tanker traffic still restricted, cumulative supply losses from Gulf producers already exceed 1 billion barrels with more than 14 mb/d of oil now shut in, an unprecedented supply shock," the agency said.Nevertheless, West Texas Intermediate crude oil futures fell 0.9% to $101.29, and Brent crude futures declined 1.8% to $105.81.In precious metals, gold futures rose 0.3% to $4,696.2, and silver futures jumped 3.1% to $88.27.

Dow JonesNasdaq CompositeS&P 500$ARM$CSCO$HPE$MRVL$MU$NVDA$ON

Research32d ago

Research Alert: Cisco Systems Delivers Record Results Fueled By Ai And Networking Refresh

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:CSCO delivered exceptional Q3 FY 26 results with revenue surging 12% Y/Y to a record $15.8B and non-GAAP EPS of $1.06 representing 10% growth, significantly exceeding guidance across all metrics. The standout Networking segment posted 25% Y/Y growth to $8.8B driven by AI infrastructure investments, while product orders accelerated 35% Y/Y with networking orders up over 50%. However, Security remained flat at $2.0B, marking concerning deceleration from recent double-digit growth rates. Management raised AI infrastructure expectations to $9B orders and $4B revenue for FY 26, up from $5B and $3B, respectively, with Q4 guidance of $16.7B-$16.9B revenue and $1.16-$1.18 EPS. We believe CSCO's increasingly prominent role in AI-driven infrastructure transformation provides solid foundation for continued growth, though we note the uneven demand across segments with Security weakness highlighting competitive intensity in cybersecurity markets.

US Markets32d ago

Cisco Systems Tops Third-Quarter Views, Announces Layoffs

Cisco Systems' (CSCO) fiscal third-quarter results exceeded Wall Street's estimates, while the networking equipment maker announced a restructuring plan that involves thousands of layoffs.For the quarter ended April 25, Cisco's adjusted EPS increased to $1.06 from $0.96 a year ago, topping the FactSet-polled consensus of $1.03. Revenue grew 12% to $15.84 billion, ahead of the Street's $15.56 billion view."Cisco delivered record quarterly revenue in (the third quarter) and we saw very strong, broad-based demand for our products, demonstrating the relevance of our technology for connecting and securing (artificial intelligence)," Chief Executive Chuck Robbins said in a statement.Product sales climbed 17% to $12.12 billion, while services revenue dropped 1% to $3.72 billion.Cisco highlighted "significant momentum and raised expectations for AI infrastructure from hyperscalers."The company would reduce its workforce by "fewer than" 4,000 people, reflecting less than 5% of the total employee base, Robbins said in a staff memo shared on the company's website.The move is part of a restructuring plan aimed at enabling the company to invest in growth opportunities, including silicon, optics, security and AI."The companies that will win in the AI era will be those with focus, urgency, and the discipline to continuously shift investment toward the areas where demand and long-term value creation are strongest," Robbins said. "I'm confident Cisco will be one of those winners. This means making hard decisions -- about where we invest, how we're organized, and how our cost structure reflects the opportunity in front of us."Cisco shares jumped 15% in after-hours trading. The stock is up 32% so far this year as of Wednesday close.The company expects to record pre-tax restructuring charges of up to $1 billion, mostly consisting of severance and other one-time termination benefits. Some $450 million of these will be recorded in the fiscal fourth quarter.Cisco forecasts adjusted EPS between $1.16 and $1.18 for the ongoing three-month period, while revenue is pegged at $16.7 billion to $16.9 billion. The Street is looking for non-GAAP EPS of $1.08 and sales of $15.82 billion.Cisco now expects adjusted EPS of $4.27 to $4.29 for fiscal 2026, up from the previous guidance of $4.13 to $4.17. Revenue is projected to come in at $62.8 billion to $63 billion, versus the prior outlook of $61.2 billion to $61.7 billion. The market's forecast is for non-GAAP EPS of $4.16 and sales of $61.59 billion.

Cisco Systems Fiscal Q3 Adjusted Earnings, Revenue Rise; Shares Jump After Hours

Cisco Systems (CSCO) reported fiscal Q3 adjusted earnings late Wednesday of $1.06 per diluted share, up from $0.96 a year earlier.Analysts polled by FactSet expected $1.03.Revenue in the three months ended April 25 rose to $15.8 billion from $14.1 billion a year earlier.Analysts surveyed by FactSet expected $15.6 billion.Cisco expects Q4 adjusted EPS of $1.16 to $1.18 on revenue of $16.7 billion to $16.9 billion. Analysts project EPS of $1.08 on revenue of $15.8 billion.The company boosted its full-year guidance to adjusted EPS of $4.27 to $4.29 on revenue of $62.8 billion to $63 billion. The prior forecast was EPS of $4.13 to $4.17 on revenue of $61.2 billion to $61.7 billion.Analysts project EPS of $4.16 on revenue of $61.6 billion.Cisco shares jumped 13% in after-hours trading.