Top Movers of the Day
Nvidia ($NVDA(NVDA)) exceeded Wall Street's expectations in its fiscal second-quarter earnings, reporting $30.04 billion in revenue and $0.68 earnings per share, both above analyst forecasts. Despite this, Nvidia's stock dipped slightly in post-market trading, likely due to pre-earnings optimism already being priced in. The company announced a $50 billion stock buyback plan, providing some consolation for shareholders.
The broader semiconductor sector had a rough day, with the PHLX Semiconductor Index falling amid investor caution. Other tech and growth stocks also faced pressure as market rotation towards value stocks occurred ahead of anticipated Federal Reserve easing.
Investors are now looking ahead to Friday's Personal Consumption Expenditure (PCE) price index report, a key inflation indicator that could influence future rate cuts by the Federal Reserve. Additionally, upcoming U.S. Labor Day and potential low trading volumes could lead to market volatility in the near term.
Super Micro Computer ($SMCI(SMCI)) shares dropped 19.1% after the company delayed filing its annual 10-K report due to needing more time to assess internal controls. This was compounded by Hindenburg Research revealing a short position in the stock. Abercrombie & Fitch ($ANF(ANF)) dropped 17% after the CEO warned of an increasingly uncertain environment, despite beating second-quarter estimates and raising its full-year sales outlook. Chewy ($CHWY(CHWY)) saw an 11% rise in shares after reporting better-than-expected second-quarter results, including strong adjusted earnings. Ambarella ($AMBA(AMBA)) jumped more than 10% after forecasting higher-than-expected third-quarter revenue and reporting strong second-quarter results. Foot Locker ($FL(FL)) shares plunged over 10% after missing revenue expectations and posting an adjusted loss for the second quarter. Nordstrom ($JWN(JWN)) rose more than 4% after beating second-quarter earnings expectations and raising the lower end of its full-year outlook. J.M. Smucker ($SJM(SJM)) dropped around 5% after lowering its full-year earnings guidance. Bath & Body Works ($BBWI(BBWI)) fell 7% after reporting weaker-than-expected second-quarter revenue. PVH ($PVH(PVH)) fell over 6% after providing a disappointing third-quarter outlook, with earnings and revenue forecasts below analyst expectations.