$TSLA

Sector Update: Consumer Stocks Mixed Late Afternoon

Consumer stocks were mixed late Thursday afternoon with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.8% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) falling 1.1%.In corporate news, Comcast (CMCSA) reported higher-than-expected Q1 results as the company benefited from the Milan Cortina Winter Olympics and Super Bowl LX. The shares rose 7.9%.Tesla (TSLA) shares fell 3.7% after the company issued higher-than-expected 2026 capital-expenditure guidance.Warner Bros. Discovery (WBD) shareholders approved the buyout by Paramount Skydance (PSKY). Warner shares fell 1.4%, and Paramount fell 5.2%.Vail Resorts (MTN) reported that skier visits from the start of the season through April 19 fell 15% from the same period a year earlier. The shares dropped 5.5%.

Equities Fall Intraday Amid Tech Sell-Off; Oil Rises

US benchmark equity indexes were lower intraday as traders dumped technology stocks, while increased tensions in the Strait of Hormuz sent oil prices higher.The Nasdaq Composite was down 1.3% at 24,336.1 after midday Thursday, while the Dow Jones Industrial Average shed 0.9% to 49,068.4. The S&P 500 lost 0.9% to 7,076.7. Both the Nasdaq and the S&P 500 hit fresh record highs in the previous session.Among sectors, technology saw the steepest decline, shedding 1.8% intraday, while utilities paced the gainers with a 2.4% advance.ServiceNow (NOW) shares sank 18%, the worst performer on the S&P 500, following its quarterly results.Shares of other major tech names were also lower, including Salesforce (CRM), down 9.3% intraday, which was the steepest decline on the Dow, while Microsoft (MSFT) fell 4.2%.International Business Machines (IBM) followed Salesforce on the Dow, falling 9%. Late Wednesday, the technology giant maintained its full-year revenue growth outlook even as it reported first-quarter results above Wall Street's estimates.Tesla (TSLA) declined 2.9% intraday, despite the company reporting stronger-than-expected first-quarter results. The electric vehicle manufacturer said late Wednesday that it is ramping up its capital investments, while Chief Financial Officer Vaibhav Taneja flagged a negative free cash flow for the rest of 2026.Tesla's aggressive capital spending on artificial intelligence initiatives should boost revenue, though it may take some time before those gains materialize, UBS Securities said in a Thursday note to clients.American Express (AXP) shares were down 4.6%, among the biggest declines on the Dow, even as the payments company reported better-than-expected first-quarter results and reiterated its full-year outlook.West Texas Intermediate crude oil was up 3.9% at $96.60 per barrel, while Brent rose 3.6% to $105.55.US President Donald Trump ordered the US navy to "shoot and kill any boat" placing mines in the Strait of Hormuz, he said in a social media post on Thursday.In another post, Trump claimed that the US has "total control" over the key oil supply chokepoint, which he said was sealed "until such time as Iran is able to make a deal."Trump extended a ceasefire with Iran earlier in the week, though he said the naval blockade of Iranian ports would continue. Iran's Islamic Revolutionary Guard Corps on Wednesday reportedly seized two tankers attempting to cross the Strait of Hormuz."Hopes for a resolution between the US and Iran are fading as peace talks stall," ING Bank said Thursday in a report. "If no progress is made, the market will become increasingly numb to the noise and headlines that have dictated price action recently."US Treasury yields were higher intraday, with the 10-year rate up 1.9 basis points at 4.33% and the two-year rate rising 2.1 basis points at 3.83%.In other company news, Comcast (CMCSA) reported higher-than-expected first-quarter results as the media and connectivity giant benefited from the Milan Cortina Winter Olympics and Super Bowl LX. The company's shares were up 8.3% intraday.Thermo Fisher Scientific (TMO) raised its full-year outlook on Thursday as first-quarter results came in stronger than expected, even as organic growth fell short of analysts' estimates. The stock was down nearly 11%, among the steepest declines on the S&P 500.Lockheed Martin's (LMT) first-quarter earnings decreased more than expected, while its sales fell short of market estimates. The defense contractor's shares were 5.5% lower.Gold was little changed at $4,751 per troy ounce, while silver lost 2.2% to $76.29 per ounce.

Sector Update: Consumer Stocks Mixed Thursday Afternoon

Consumer stocks were mixed Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.5% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) shedding 0.6%.In corporate news, Tesla (TSLA) shares fell 3.7% after it issued higher-than-expected 2026 capital expenditure guidance. TechCrunch reported the company is planning to spend $25 billion this year, compared with $8.5 billion in 2025.Warner Bros. Discovery (WBD) said Thursday its shareholders voted to approve the adoption of the merger agreement with Paramount Skydance (PSKY). Warner shares were down 0.8%, and Paramount fell 5.8%.Vail Resorts (MTN) reported Thursday that skier visits from the start of the ski season through April 19 were down 14.9%, compared with the same period a year ago. Shares fell 5.8%.

US Equity Indexes Decline as Corporate Earnings Weigh, Hormuz Standstill Continues

US equity indexes fell in midday trading on Thursday as investors evaluated quarterly earnings, and after Washington and Tehran remained deadlocked over a reopening of the Strait of Hormuz, the chokepoint for about a fifth of global crude oil flows.The Nasdaq Composite fell 0.9% to 24,443.5, with the Dow Jones Industrial Average down by 0.6% to 49,181.9. The S&P 500 was 0.5% lower at 7,098.8.Financials and technology led the decliners, while utilities and industrials were among the top gainers.Tesla (TSLA) shares dropped 3.8% after the electric vehicle manufacturer issued higher-than-expected 2026 capital expenditure guidance. TechCrunch reported the electric vehicle manufacturer is planning to spend $25 billion this year, compared with $8.5 billion in 2025.ServiceNow (NOW) reported strong Q1 results, but softer organic revenue trends and a slightly weaker margin outlook weighed on its overall forecast, Oppenheimer said in a note. Shares of ServiceNow sank 18.6%, the worst performer on the S&P 500.International Business Machines (IBM) fell 10%, the steepest decline on the Dow, following its quarterly results. Software growth decelerated to 8% in constant currency from 11% in Q4 and 9% in Q3, a "potential red flag for the bears," CFRA said in a note.Texas Instruments (TXN) shares were up nearly 19%, among the biggest outperformers on the S&P 500 and the Nasdaq, after the company posted higher Q1 earnings and revenue and set out Q2 guidance above consensus.United Rentals (URI) traded 22% higher, the top gainer on the S&P 500, after the company reported overnight higher Q1 adjusted earnings and revenue and lifted its 2026 sales guidance.President Donald Trump has ordered the US Navy to "shoot and kill" any boat that is laying mines in Hormuz, according to his Truth Social post on Thursday. On the same day, Iran flaunted its tightened grip over Hormuz with a video of commandos storming a cargo ship named MSC Francesca, Reuters reported.The United States and Iran remain at an impasse, with Tehran refusing to negotiate a peace deal as long as the US Navy continues to blockade its ports and Washington refuses to lift the siege. Mediators are trying to get the diplomatic process back on track, including arranging a possible meeting between warring parties as soon as Friday, The Wall Street Journal reported.West Texas Intermediate crude oil futures rose 2.8% to $92.13, and Brent crude futures advanced 1.7% to $103.63.In precious metals, gold futures were steady at $4,751.5, and silver futures dropped 2% to $76.44.In economic news, US initial jobless claims rose to 214,000 in the week ended April 18 from an upwardly revised 208,000, compared with the 210,000 print expected in a Bloomberg-compiled survey.Meanwhile, the April flash reading of manufacturing conditions from S&P Global improved to a 47-month high of 54.0 from 52.3 in March, compared with the 52.5 anticipated in a Bloomberg-compiled poll.US Treasury yields were mixed, with the 10-year increasing 4.3 basis points at 4.34% and the two-year adding 3.5 basis points at 3.83%.

Sector Update: Consumer

Consumer stocks were mixed Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.5% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) shedding 0.6%.In corporate news, Tesla (TSLA) shares fell 3% after it issued higher-than-expected 2026 capital expenditure guidance. TechCrunch reported the electric vehicle manufacturer is planning to spend $25 billion this year, compared with $8.5 billion in 2025.

US Equity Indexes Fall as Geopolitical Risk Edges Up, Tesla's FY2026 CapEx Stuns Investors

US equity indexes fell in midday trading Thursday, as geopolitical risk ratcheted up in the Middle East and Tesla's (TSLA) capital expenditure guidance for this year tripled from a year ago.The Nasdaq Composite fell 0.2% to 24,598.7, with the Dow Jones Industrial Average down by 0.2% to 49,409.2. The S&P 500 was less than 0.1% lower at 7,134.9.Financials and materials led the decliners, while utilities and industrials were among the top gainers.President Donald Trump said Thursday on Truth Social that he has ordered the US Navy to "shoot and kill" any boat that is laying mines in the Strait of Hormuz, the choke point for about a fifth of global crude oil flows. On the same day, Iran flaunted its tightened grip over Hormuz with a video of commandos storming a cargo ship named MSC Francesca, Reuters reported.West Texas Intermediate crude oil futures rose 1.2% to $94.07, and Brent crude futures advanced 1.3% to $103.20 after midday. The US and Iran remain at an impasse, with Tehran refusing to negotiate a peace deal as long as the US Navy continues to blockade its ports, while the US refuses to lift the siege.US Treasury yields were mixed, with the 10-year steady at 4.29% and the two-year rose by 1.2 basis points to 3.8%.In company news, Tesla (TSLA) stock dropped nearly 2% after the electric vehicle manufacturer issued higher-than-expected 2026 capital expenditure guidance. TechCrunch reported the electric vehicle manufacturer is planning to spend $25 billion this year, compared with $8.5 billion in 2025.

Tesla Capital Spending Boost to Eventually Bring in More Revenue, UBS Says

Tesla's (TSLA) aggressive capital spending on artificial intelligence initiatives should boost revenue, though it may take some time before those gains materialize, UBS Securities said in a Thursday note to clients.The electric vehicle manufacturer now sees more than $25 billion in capital investment, Chief Financial Officer Vaibhav Taneja said during an earnings call late Wednesday. In January, he said 2026 capex would be "in excess of $20 billion."At the same time, Taneja flagged a negative free cash flow for the rest of 2026 on Wednesday. The company is paying for six factories and has enhanced its investment in AI-related initiatives, including the infrastructure to support Robotaxi and the launch of autonomous humanoid robot Optimus, he told analysts."We are in a very big capital investment phase, which is going to start now and would last a couple of years," Taneja said.Tesla shares were down 2.4% intraday Thursday, despite the company reporting stronger-than-expected first-quarter results."We expect elevated capex for a number of years," UBS analysts including Joseph Spak wrote. "(Tesla's) physical AI ventures offer large potential revenue opportunities, but (it) could take a while to get there."Tesla reported first-quarter capex of $2.49 billion, indicating a "big step up" for the rest of the year, Spak said."Since we expect capex to remain elevated over coming years, we see potential for depreciation to more than double over coming years weighing on (earnings per share)," Spak said.UBS reiterated its neutral rating on Tesla's shares, while raising its price target to $364 from $352.The brokerage upgraded its EPS projections for Tesla to $2 from $1.83 for 2026 and to $2.43 from $2.35 for 2027."Overall, we continue to believe current levels more properly balance the long-term opportunity with near-term concerns on fundamentals and potential fund flows," Spak said.On the call, Tesla Chief Executive Elon Musk said the company's increased capital investments are "well justified.""I think you've seen in most, if not all, certainly the major technology companies, substantially increasing their capital investments, and we're going to be doing the same," he told analysts. "I think it's going to pay off in a very big way. So we're investing in and improving our core technologies, battery, powertrain, AI software, AI training, chip design, manufacturing, laying the groundwork for significantly increased manufacturing production."Price: $378.27, Change: $-9.24, Percent Change: -2.38%

Top Midday Stories: Tesla Shares Fall Despite Q1 Beats; ServiceNow Says Iran War Weighed on Q1 Subscription Revenue

All three major US stock indexes were down slightly in late-morning trading Thursday, as investors continued to monitor developments in the Strait of Hormuz.In company news, Tesla (TSLA) reported Q1 adjusted EPS late Wednesday of $0.41, up from $0.27 a year ago and above the FactSet consensus analyst estimate of $0.36. First-quarter revenue was $22.39 billion, up from $19.34 billion a year ago and above the FactSet consensus of $22.1 billion. The company said it intends to use Intel's (INTC) upcoming 14A process to make chips at its Terafab advanced AI project in Austin, Texas, Reuters reported late Wednesday, citing Tesla CEO Elon Musk. Chief Financial Officer Vaibhav Taneja said late Wednesday that Tesla has delayed the rollout of its most advanced driver-assistance features in China due to regulatory issues. Lastly, the firm is creating 1,000 new jobs at its Gruenheide gigafactory in Germany by the end of June to raise weekly production by roughly 20% from Q3, Reuters reported Thursday, citing a company spokesperson. Tesla shares were about 1.8% lower.ServiceNow (NOW) reported Q1 non-GAAP earnings late Wednesday of $0.97 per diluted share, up from $0.81 a year earlier and matching the FactSet consensus estimate. First-quarter revenue was $3.77 billion, up from $3.09 billion a year ago and above the FactSet consensus of $3.75 billion. ServiceNow said Q1 subscription revenue growth saw about a "75 basis point headwind from delayed closings of several large on-premise deals in the Middle East, due to the ongoing conflict in the region." For Q2, the company said it expects subscription revenue of $3.815 billion to $3.820 billion, above the FactSet consensus of $3.751 billion. For full-year 2026, it expects subscription revenue of $15.74 billion to $15.78 billion, above the FactSet consensus of $15.55 billion. ServiceNow shares were down 17.2%.Thermo Fisher Scientific (TMO) reported fiscal Q1 adjusted earnings Thursday of $5.44 per share, up from $5.15 a year earlier and above the FactSet consensus of $5.25. Fiscal Q1 revenue was $11.01 billion, up from $10.36 billion a year ago and above the FactSet consensus of $10.86 billion. Thermo Fisher shares were down 10.4%.Warner Bros. Discovery (WBD) said Thursday its shareholders voted to approve the adoption of the merger agreement with Paramount Skydance (PSKY). The deal is expected to close in Q3, the company said. Warner Bros. shares were down 0.4%, while Paramount shares were down 5.4%.Texas Instruments (TXN) reported Q1 earnings late Wednesday of $1.68 per diluted share, up from $1.28 a year earlier and above the FactSet consensus of $1.36. First-quarter revenue was $4.83 billion, up from $.07 billion a year ago and above the FactSet consensus of $4.53 billion. For Q2, the company said it expects EPS of $1.77 to $2.05 on revenue of $5 billion to $5.40 billion. Analysts polled by FactSet expect $1.57 and $4.86 billion, respectively. Texas Instrument shares were up 18.5%.Avis Budget Group (CAR) has seen its stock fall by over 62% in just two days after rising nearly 600% since late March, Bloomberg reported Thursday, citing data from S3 Partners. Avis short sellers pocketed $2.8 billion during Wednesday's rout, countering the $2.7 billion they lost the prior three days, the report said, citing S3 Partners. Avis shares were down 47.1%.Price: $378.26, Change: $-9.25, Percent Change: -2.39%

Tesla Continues Transformation Into Physical AI Champion With Capital Expenditure Ramp, Wedbush Says

Tesla's (TSLA) ramping up of capital expenditures as it transforms into a physical artificial intelligence player is a positive for the company, Wedbush said in a Thursday note.Tesla expects more than $25 billion of capital expenditures in 2026, a significant increase from the guidance of around $20 billion it initiated last quarter, Wedbush analysts said. Tesla's planned multi-year capital investment phase, which includes six factory buildouts and its AI5 inference chip program, will result in negative cash flow throughout the year, the analysts said.Stabilizing demand for Tesla's existing vehicle lineup has driven Q1 results that featured earnings and revenue beats, the analysts said. They noted that the company continues to zero in on autonomous technology with production of the Cybercab and Tesla Semi anticipated later in the year.The approval of its Full Self-Driving supervised system in the Netherlands sets up an EU-wide review in May, while China approval is expected by Q3, according to the note. Tesla expects to launch unsupervised Full-Self Driving by Q4 at around a dozen US states, with recurring revenue projected in 2027, the note said.Wedbush maintained its outperform rating and $600 price target on the stock.Price: $376.89, Change: $-10.62, Percent Change: -2.74%

UBS Adjusts Price Target on Tesla to $364 From $352, Maintains Neutral Rating

Tesla (TSLA) has an average rating of hold and mean price target of $401.72, 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: $374.88, Change: $-12.63, Percent Change: -3.26%

Research Alert: CFRA Raises Opinion On Shares Of Tesla Inc. To Hold From Sell

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We raise our target by $55 to $380, based on a 2027 P/E of 129x, justified by long-term growth expectations. We raise our adjusted EPS estimates by $0.05 to $2.25 for 2026 and by $0.05 to $2.90 for 2027. Following its Q1 earnings release, we are raising our view to Hold (from Sell) and increasing our price target. We thought TSLA's Q1 earnings release was solid, as the company's FSD growth continues to exceed our expectations (active users +51% Y/Y), with the revenue stream helping drive significant improvement in TSLA's overall gross margin (+480 bps Y/Y to 21.1%). While we continue to have concerns regarding the company's spending binge (2026 capex now expected at $25B+, up from $20B+ in its prior earnings release), we are also more bullish on near-term margin and operating cash flow profile. Moreover, consensus estimates have come down to levels we think are more achievable and now consider the stock's risk/reward more balanced following TSLA's recent underperformance (-13.8% YTD vs. +4.3% for the S&P 500).

Exchange-Traded Funds, Equity Futures Lower Pre-Bell Thursday Amid Stalled US-Iran Talks

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was down 0.1%, and the actively traded Invesco QQQ Trust (QQQ) was 0.2% lower in Thursday's premarket activity as talks between the US and Iran stalled amid a continued blockage of the Strait of Hormuz.US stock futures were also lower, with S&P 500 Index futures down 0.4%, Dow Jones Industrial Average futures slipping 0.6%, and Nasdaq futures retreating 0.4% before the start of regular trading.US initial jobless claims totaled 214,000, compared with expectations of 210,000 and a prior reading of 208,000.The Chicago Federal Reserve Bank's monthly National Activity Index fell to a reading of minus 0.20 in March from 0.03 in February, compared with expectations for a smaller decrease to minus 0.13 in survey of analysts compiled by Bloomberg as of 7:35 am ET.S&P Global flash estimates of manufacturing and services conditions for April will be released at 9:45 am ET, followed by weekly natural gas stocks at 10:30 am ET.The Kansas City Fed's manufacturing reading for April will be released at 11 am ET.In premarket activity, bitcoin was down by 1.6%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 1.7% lower, Ether ETF (EETH) retreated by 3.3%, and Bitcoin & Ether Market Cap Weight ETF (BETH) declined by 0.02%.Power Play:EnergyThe iShares US Energy ETF (IYE) gained 0.03%, while the State Street Energy Select Sector SPDR ETF (XLE) was up by 0.4%.Helix Energy Solutions (HLX) stock was up more than 8% before the opening bell after the company agreed to merge with Hornbeck Offshore Services in an all-stock deal to form an integrated offshore services company.Winners and Losers:Health CareThe State Street Health Care Select Sector SPDR ETF (XLV) retreated by 0.04%, the Vanguard Health Care Index Fund (VHT) was down 0.3%, while the iShares US Healthcare ETF (IYH) was inactive. The iShares Biotechnology ETF (IBB) declined by 1.2%.Sanofi (SNY) stock was up more than 3% premarket after the company reported higher Q1 adjusted earnings and sales.FinancialThe State Street Financial Select Sector SPDR ETF (XLF) advanced 0.2%. Direxion Daily Financial Bull 3X Shares (FAS) was up 0.4%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 0.1% lower.KB Financial Group (KB) shares were up more than 2% pre-bell after the company reported higher Q1 earnings and revenue.IndustrialThe State Street Industrial Select Sector SPDR ETF (XLI) advanced 0.04%, while the Vanguard Industrials Index Fund (VIS) gained 0.7% and the iShares US Industrials ETF (IYJ) was down 0.4%.Union Pacific (UNP) stock was up more than 2% before the opening bell after the company reported Q1 earnings and operating revenue.ConsumerThe State Street Consumer Staples Select Sector SPDR ETF (XLP) was up 0.1% and the Vanguard Consumer Staples Index Fund ETF Shares (VDC) was down 0.3%. The iShares US Consumer Staples ETF (IYK) was inactive. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) lost 0.5%. The VanEck Retail ETF (RTH) and the State Street SPDR S&P Retail ETF (XRT) were inactive.Tesla (TSLA) shares were down more than 2% pre-bell after the company overnight reported Q1 results, with investors focused on its outsized capital expenditure outlook.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) advanced by 0.4%, and the iShares US Technology ETF (IYW) was flat, while the iShares Expanded Tech Sector ETF (IGM) was down 0.9%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) was 0.04% higher, while the iShares Semiconductor ETF (SOXX) rose by 0.9%.Intel (INTC) shares were up more than 1% in Thursday's premarket activity after Tesla (TSLA) Chief Executive Elon Musk said he intends to use Intel's upcoming 14A process to make chips at its Terafab advanced artificial intelligence project in Austin, Texas.CommoditiesFront-month US West Texas Intermediate crude oil advanced by 0.2% to $93.17 per barrel on the New York Mercantile Exchange. Natural gas gained by 0.1% to reach $2.73 per 1 million British Thermal Units. The United States Oil Fund (USO) increased by 0.1%, while the United States Natural Gas Fund (UNG) was 0.4% lower.Gold futures for May were down by 0.4% at $4,734.40 an ounce on the Comex. Silver futures retreated by 3.1% to $76.11 an ounce. SPDR Gold Shares (GLD) was 0.3% lower, and the iShares Silver Trust (SLV) fell by 1.8%.

US Equity Futures Decline Pre-Bell as Investors Turned Wary Amid Stalled US-Iran Peace Talks

US equity futures were lower pre-bell Thursday as the market turned wary amid the lack of clarity regarding the Middle East situation, with peace talks stalled indefinitely after President Donald Trump extended the ceasefire.Dow Jones Industrial Average futures were 0.4% lower, S&P 500 futures were down 0.2%, and Nasdaq futures were 0.1% lower.Iran said Wednesday it had captured two container vessels in the Strait of Hormuz, while the US is maintaining its blockade of Iranian ports.Trump has said that the ceasefire is extended until Iran's "fractured" government can come up with a unified proposal regarding the end of the conflict.Traders took note of today's round of earnings, with American Express (AXP) posting higher Q1 earnings and revenue and Thermo Fisher Scientific (TMO) reporting increases in fiscal Q1 adjusted earnings and revenue. Intel (INTC) and SAP (SAP) are set to report their results after market close.Oil prices were higher, with front-month global benchmark North Sea Brent crude up 0.2% at $101.72 per barrel and US West Texas Intermediate crude 0.2% higher at $92.77 per barrel.Initial jobless claims rose to a level of 214,000 in the employment survey week ended April 18 from an upwardly revised 208,000 level in the previous week, compared with expectations for an increase to 210,000 in survey of analysts compiled by Bloomberg.The Chicago Fed National Activity Index came in at negative 0.20 in March, compared with expectations for negative 0.13 and down from 0.03 in the prior month.The April S&P Global Composite Purchasing Managers' Index, due at 9:45 am ET, is seen coming in at 50.6.In other world markets, Japan's Nikkei closed 0.8% lower, Hong Kong's Hang Seng ended 1% lower, and China's Shanghai Composite finished 0.3% lower. Meanwhile, the UK's FTSE 100 was down 0.6%, and Germany's DAX index was 0.2% lower in Europe's early afternoon session.In equities, IBM (IBM) shares were down 7.9% despite posting late Wednesday Q1 adjusted earnings and revenue. Tesla (TSLA) stock was 3.3% lower after the company issued higher-than-expected 2026 capital expenditure guidance for 2026. Thermo Fisher Scientific shares were down 7.1% after the company posted its Q1 financial results.On the winning side, Texas Instruments (TXN) shares were up 11% after the company posted higher Q1 earnings and revenue in addition to issuing Q2 guidance that exceeded analyst expectations. Netflix (NFLX) stock was up by 1.2% after Bloomberg reported that the company was is in talks to purchase a historic Los Angeles movie studio space for a fragment of its 2021 sale price of $1.85 billion. The company also said it authorized an additional $25 billion share repurchase program.

Stocks Fall Pre-Bell as US-Iran Peace Talks Stall; Traders Parse Tesla's Results

US equity futures were tracking in the red on Thursday, with no apparent signs of progress in peace talks between the US and Iran, while traders digest Tesla's (TSLA) latest financial results.The S&P 500 and the Nasdaq declined 0.6% each in premarket activity, while the Dow Jones Industrial Average was off 0.7%. The indexes finished Wednesday trading in the green, with the S&P 500 and the Nasdaq hitting record highs after a two-day losing streak.Washington and Tehran have so far failed to meet for a reported fresh round of negotiations this week, with Iran continuing its blockade of the Strait of Hormuz. US Vice President JD Vance called off his trip to Pakistan for the talks after Iran reportedly declined to participate.President Donald Trump extended a ceasefire with Iran earlier in the week, though he said the naval blockade of Iranian ports would continue. Iran's Islamic Revolutionary Guard Corps on Wednesday reportedly announced the seizure of two tankers attempting to cross the Strait of Hormuz.West Texas Intermediate crude oil rose 1.8% to $94.60 a barrel before the open, while Brent gained 1.7% to $103.59."Oil prices continue to whipsaw as traders respond to a confusing and often contradictory flow of headlines, underscoring the deep mistrust between Tehran and Washington," Saxo Bank Head of Commodity Strategy Ole Hansen said in a report on Wednesday.Shares of Tesla (TSLA) decreased 3.3% pre-bell even though the electric vehicle manufacturer reported stronger-than-expected first-quarter results. The company expects capital expenditures of more than $25 billion for 2026, resulting in negative free cash flow for the rest of the year, Chief Financial Officer Vaibhav Taneja said during a late Wednesday conference call, according to a FactSet transcript."Tesla is morphing into a physical (artificial intelligence) stalwart," Wedbush Securities said in a Thursday client note. "The path is here and it requires more (capital expenditure)."ServiceNow (NOW) dropped 13% while International Business Machines (IBM) fell 7.1% following their latest quarterly results. Taiwan Semiconductor Manufacturing's (TSM) US-listed stock was down 1.4%.American Express (AXP), Thermo Fisher Scientific (TMO), Union Pacific (UNP), Honeywell International (HON), Lockheed Martin (LMT), Comcast (CMCSA), Infosys (INFY) and Keurig Dr Pepper (KDP) report their earnings before the bell, among others. Intel (INTC) is scheduled to release its results after the markets close.Thursday's economic calendar has the weekly jobless claims bulletin at 8:30 am ET, along with the Chicago Fed national activity index for March. The S&P Global's (SPGI) flash purchasing managers' index for April is out at 9:45 am, followed by the Kansas City Fed manufacturing index for the same month at 11 am.Treasury yields were moving upwards in premarket action, with the two-year rate advancing 2.5 basis points to 3.82% and the 10-year rate adding 2.7 basis points to 4.32%.Gold declined 1% to $4,707 per troy ounce, while bitcoin retreated 1.8% to $77,473.

US Equity Futures Fall Early Thursday Amid Hormuz Impasse, Tesla's FY26 Capex Guidance

Research Alert: Tsla: Q1 Ahead Of Expectations; Services & Other Segment Shines

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Tesla (TSLA) posted Q1 adjusted EPS of $0.41 vs. $0.27 (+52%), ahead of the $0.35 consensus. Net sales rose 16% to $22.39B ($190M ahead of consensus) and gross margin expanded 480 bps to 21.1% (280 bps ahead of consensus). On the Automotive side, a 16% revenue increase was driven by higher average selling prices, favorable foreign exchange impacts of approximately $900M, and 6% higher volumes. The Services and Other segment was the standout performer, as revenue was up 42%, primarily driven by Full Self-Driving (FSD) subscription growth, which reached 1.28M active users (+51% Y/Y). This helped boost Tesla's cash and liquidity position, as it ended Q1 with cash and equivalents of approximately $44.7B (vs. $44.1B at the end of 2025). TSLA shares traded 4% higher after hours. One of the primary concerns weighing on TSLA's YTD performance has been its $20B+ capex guidance for 2026, which was much higher than expected. We expect any revisions to this guidance to be a key area of inquiry on its conference call.

US Equity Indexes Jump as Iran Ceasefire Extension, Strong Earnings Help Lift Sentiment

US equity indexes jumped on Wednesday, with the Nasdaq Composite hitting an all-time high, following an extension of the Iran ceasefire agreement and strong quarterly earnings.The Nasdaq Composite jumped 1.6% to 24,657.57, with the S&P 500 up 1.1% at 7,137.90 and the Dow Jones Industrial Average 0.7% higher at 49,490.03. All sectors except real estate, utilities, industrials, and financials rose. Technology, energy, and communication services led the gainers.The ceasefire extension will last for only three to five days, Fox News reported Wednesday, citing a White House official. The US blockade of the Middle East nation's ports remains in force. Iran has made lifting the blockade a key demand for resuming negotiations to end the war and for allowing marine traffic to transit through the Strait of Hormuz, the chokepoint for 20% of global crude oil flows.Meanwhile, Iran's Revolutionary Guard Corps seized two ships in the Strait of Hormuz, CNN reported, citing the IRGC. The IRGC targeted a third vessel that is "now disabled off Iran's coast," CNN cited Iranian media.West Texas Intermediate crude oil futures Jumped 3.1% to $92.45, and Brent crude futures advanced 2.9% to $101.34.Meanwhile, as the Q1 earnings season unfolds, about 85% of S&P 500 companies that have reported this quarter beat expectations, The Wall Street Journal cited data compiled by FactSet.On Wednesday, GE Vernova (GEV) posted higher Q1 earnings and revenue, and raised its annual revenue forecast range. Shares rose 14%, the biggest gainer on the S&P 500.Boeing's (BA) Q1 loss unexpectedly narrowed as commercial aircraft deliveries rose, while the plane maker reported a smaller cash burn year over year. Shares advanced 5.5%, leading the Dow.Booking Holdings (BKNG) is under investigation for allegedly using deceptive marketing tactics to promote its premium accommodation programs, the Italian Competition Authority said Wednesday. Shares slumped 6%, the steepest decline on the Nasdaq.After the bell on Wednesday, Tesla (TSLA) reported Q1 adjusted earnings of $0.41 per diluted share, up from $0.27 a year earlier. Analysts polled by FactSet expected $0.36. Revenue for the quarter was $22.39 billion, up from $19.34 billion a year earlier. Analysts surveyed by FactSet expected $22.1 billion. Shares of the electric vehicle manufacturer were up 3.7% in after-hours activity.In fixed income, most US Treasury yields rose, with the 10-year up 1.5 basis points to 4.31% and the two-year higher by 2.5 basis points to 3.8%.On Tuesday, Kevin Warsh, in a confirmation hearing at the Senate for the chair of the Federal Reserve, defended the central bank's independence while signaling a different policy approach to interest rates, guidance, and the balance sheet, according to a Wednesday note from SocGen.In precious metals, gold futures rose 0.8% to $4,758.2, and silver futures advanced 1.6% to $77.71.

Tesla Tops First-Quarter Views as Asia Pacific, South America Help Buoy Results

Tesla (TSLA) reported stronger-than-expected first-quarter results as the electric vehicle manufacturer benefited from demand growth in Asia Pacific and South America.Adjusted earnings increased to $0.41 per share from $0.27 a year earlier, compared with the consensus on FactSet of $0.36. Revenue rose 16% to $22.39 billion, higher than Wall Street's $22.10 billion view.Tesla's shares were up 3.7% in after-hours trading. The stock is down nearly 14% this year through Wednesday close."Our focus on affordability and utility across our vehicle lineup continues to be a key competitive advantage, particularly as gas-powered alternatives become more expensive due to their reliance on a more sensitive and less flexible energy supply chain," the company said.Tesla reported vehicle demand growth in Asia-Pacific and South America, as well as a rebound across North America and Europe, the Middle East and Africa. Consolidated automotive revenue grew 16% to $16.23 billion, while the energy generation and storage segment fell 12% to $2.41 billion.Earlier this month, the company posted a sequential decline in first-quarter deliveries, missing Wall Street's estimates. At the time, Wedbush Securities said the EV maker faced a tough demand environment and European regulatory hurdles for its Full-Self Driving software.Besides demand concerns, rising costs and slow progress on Robotaxi and Optimus have weighed on Tesla's share price, UBS Securities said in a note last week.Tesla said Wednesday it made "meaningful progress" on the build out of the infrastructure and artificial intelligence software that underpins its Robotaxi and future robotics businesses."We are excited about Tesla's positioning in 2026 with tailwinds persisting for the autos business, our continued progress on FSD (Supervised), the ramp of Robotaxi, progress on Optimus ahead of mass production and the growth of our energy production capacity," the company said.

Earnings Flash (TSLA) Tesla Posts Q1 Revenue $22.39B, vs. FactSet Est of $22.10B

Earnings Flash (TSLA) Tesla Posts Q1 Revenue $22.39B, vs. FactSet Est of $22.10B

Equities Higher Intraday Amid Strong Earnings Reports; Oil Rises

US benchmark equity indexes were higher intraday following a batch of upbeat corporate results, while oil prices rose after Iran seized two container ships in the Strait of Hormuz.The Nasdaq Composite was up 1.3% at 24,577.8 after midday Wednesday, while the S&P 500 rose 0.8% to 7,121.3. The Dow Jones Industrial Average climbed 0.6% to 49,444. Among sectors, tech paced the gainers with a 2.1% advance, while real estate saw the steepest decline.Boeing's (BA) first-quarter loss unexpectedly narrowed as commercial aircraft deliveries rose, while the plane maker reported a smaller cash burn year over year. The stock was up 5.4% intraday, the best performer on the Dow.Boston Scientific (BSX) shares were advancing by 8.9%, the third-biggest gain on the S&P 500. The medical device supplier's first-quarter results exceeded Wall Street's estimates, but it lowered its full-year guidance.Philip Morris International (PM) reported first-quarter results above market estimates, while lowering its full-year earnings outlook. The cigarette and vape maker's shares rose 6.9%.A number of major tech stocks were advancing intraday, with Micron (MU) up 7.7%, among the best performers on the S&P 500. Apple (AAPL) rose 2.6%, the second-biggest gain on the Dow. Microsoft (MSFT) and Salesforce (CRM) were also higher.Tesla (TSLA), International Business Machines (IBM), and Texas Instruments (TXN) are scheduled to report results after the closing bell Wednesday. IBM shares were down 1.9% intraday, the steepest decline on the Dow.West Texas Intermediate crude rose 3.7% to $92.94 per barrel, while Brent jumped 3.3% to $101.76.Iran said it seized two container ships attempting to cross the Strait of Hormuz, a key oil chokepoint. US President Donald Trump extended a ceasefire with Tehran late Tuesday, though he said the naval blockade of Iranian ports would continue.The status of a second round of peace talks between the US and Iran remained unclear."Oil prices continue to whipsaw as traders respond to a confusing and often contradictory flow of headlines, underscoring the deep mistrust between Tehran and Washington," Saxo Bank Head of Commodity Strategy Ole Hansen said in a report on Wednesday.US Treasury yields were mixed intraday, with the 10-year rate little changed at 4.31% and the two-year rate up 2.5 basis points at 3.80%.Gold was up 0.7% at $4,753 per troy ounce, while silver gained 1.8% to $77.90 per ounce.