Stocks sold off on Wednesday, pressured by a sharp spike higher in Treasury yields as traders grew worried that a new U.S. budget bill would put even more stress on the country’s already large deficit.

The Dow Jones Industrial Average lost 816.80 points, or 1.91% to 41,860.44. The S&P 500 shed 1.61% to 5,844.61. The Nasdaq Composite slid 1.41% to 18,872.64.

The 30-year Treasury bond yield last traded around 5.09%, touching the highest level going back to October 2023. The benchmark 10-year Treasury note yield traded at 4.59%.

Long-dated bonds sold off as traders worried a new budget bill would worsen the U.S. deficit. The measure is expected to pass as lawmakers reach a compromise on state and local tax deductions heading into Speaker Mike Johnson’s Memorial Day deadline. Yields spiked even higher after a poor afternoon auction for 20-year debt, raising fears investors may be losing their appetite for funding America’s deficits.

“The question now is, from a fiscal perspective, what will the tax bill look like, and will it undo all of the recent fiscal frugality by simply raising the debt level at a slower rate of pace? So I think that’s why the 10-year yield is moving higher — because investors are worried that we’re really not doing anything to slow the pace of inflation and to reduce the debt,” Sam Stovall, CFRA Research chief investment strategist, told CNBC in an interview.

“Now it seems as if there is a greater chance that the tax bill will pass, and that could end up simply continuing to raise the overall debt level,” he continued.

Dow and Nasdaq Almost Back in Positive Territory for 2025 The S&P 500 closed Tuesday’s session in positive territory for the year, the first time that’s happened since early March. The Dow Jones Industrial Average and Nasdaq Composite aren’t far behind. After two straight days of gains, the S&P 500 is up 0.1% since the start of the year. The benchmark index has gained 22% from its early-April low. The Dow has narrowed its year-to-date decline to 1%, while the Nasdaq is down 1.6% since the start of the year. The Dow has risen 15% since hitting its low early last month, while the Nasdaq has soared 29% since its low. The S&P inched into positive territory for the year today, while the Dow and Nasdaq are close to doing likewise. TradingView

Why One Stock Sent the Dow Lower on Tuesday Soft inflation data and a major AI deal lifted U.S. stock indexes Tuesday, except for one notable exception: the Dow Jones Industrial Average, the blue-chip index that for many is synonymous with “the stock market.” Health care giant UnitedHealth Group (UNH) was the culprit behind the Dow’s 0.6% decline. Shares of insurer plummeted nearly 18% after the company said its CEO would step down for personal reasons, and suspended its full-year guidance, citing unexpectedly high healthcare costs. The reason for the divergence in the performance of major indexes lies in the Dow’s peculiar construction. The index, composed of 30 of America’s largest companies, is price-weighted, meaning the stock with the highest share price has the greatest impact on the index’s level throughout the day. On the other hand, the S&P 500 is a capitalization-weighted index in which the companies with the largest market caps have the most influence. The two indexes contain the same stocks—granted, there are an extra 470 in the S&P 500—but those stocks have vastly different weights within the indexes. Apple (AAPL), with its $3.1 trillion market cap, is the second-most valuable company in the world, and thus the second-largest stock in the S&P 500. But its share price of about $210 ranked it 16th in the Dow as of Monday’s close. That gives it less sway within the index than companies a fraction of its size, like the Travelers Companies (TRV), with its $268 share price and $60 billion market cap. UnitedHealth entered Tuesday with the third-highest share price of any company in the Dow, behind just Goldman Sachs (GS) and Microsoft (MSFT). Thus, UnitedHealth’s slump detracted about 420 points from the Dow, accounting for all of its 270-point loss. Today was the second time in the past month that a sharp drop in UnitedHealth shares single-handedly pulled down the Dow. The stock plunged 22% on April 17, its worst day since 1998, after the company reported weak first-quarter results and cut its full-year profit forecast. -Colin Laidley

Palantir Closes at Record High Amid Tech Rally Shares of Palantir (PLTR) closed Tuesday at an all-time high as optimism about easing tariffs has driven a broad market rally that has lifted artificial intelligence stocks. The company’s stock rose 8% to finish just above $128, though it was even higher intraday; the stock established both closing and intraday records. The latest surge comes after the U.S. and China agreed Monday to slash their tariffs on one another for 90 days. Tuesday’s gains more than made up for losses early last week following quarterly results from Palantir that may not have lived up to investors’ lofty expectations. Despite beating Wall Street’s estimates and raising its full-year outlook, Palantir’s shares dropped 12% the following day. Palantir stock is up more than 70% in 2025 and over 500% from a year ago. On Monday, Bank of America analysts called the firm a “market definer” for companies looking to leverage artificial intelligence. The bank said Palantir’s recent deal with the North Atlantic Treaty Organization, which came despite pressure on the body to buy from a European firm, “hints at the superior capabilities [the company] can provide customers.” Their price target, $150, is well above the Visible Alpha consensus near $95. -Andrew Kessel

Nvidia Returns to the $3 Trillion Club Nvidia (NVDA) leaped back into the $3 trillion club on Tuesday as its stock shot up following the announcement of a major deal with a state-backed Saudi Arabian AI company. Nvidia shares rose nearly 6% to close just under $130. The gains put Nvidia’s market capitalization at nearly $3.2 trillion, more than every other U.S. company aside from Microsoft (MSFT) and Apple (AAPL). Nvidia on Tuesday announced a partnership with Humain, an AI subsidiary of Saudi Arabia’s sovereign wealth fund. Nvidia will sell Humain “several hundred thousand” advanced GPUs over the next five years, starting with an AI supercomputer powered by 18,000 GB300 chips. The announcement coincided with the beginning of President Trump’s four-day tour through the Middle East, the first major international trip of his second term. Nvidia became only the third U.S. company to reach a $3 trillion market value in June 2024. The AI chipmaker’s path to that milestone looked very different than the two companies that preceded it, Microsoft and Apple. Its shares began a near-constant $3 trillion ascent in late 2022 when the release of ChatGPT sparked the generative AI boom. It was around the time Nvidia topped $3 trillion that the stock’s meteoric rise gave way to a more volatile sideways drift. Still, it competed with Apple and Microsoft for the title of the world’s most valuable company throughout the remainder of the year before its market cap topped out at about $3.66 trillion in early January. The stock has been on a wild ride since. The company lost about $1.3 trillion in value between early January and early April as Wall Street questioned both the economics of AI and how President Trump’s trade war with China would affect sales. The stock has rebounded strongly in the last month, driven higher by solid earnings reports from big tech and the White House’s softened stance on tariffs. Nvidia is set to report its first-quarter results later this month, on May 28. -Colin Laidley

Robinhood Jumps as BofA Raises Price Target Shares of Robinhood Markets (HOOD) surged Tuesday after Bank of America raised its price target for the do-it-yourself online brokerage’s stock. The bank upped its target to $65 from $60, implying a 13% upside from Monday’s closing level of $57.43. Robinhood stock rose 9% to close at $62.57 and has gained nearly 70% in 2025. Robinhood shares have risen about 70% since the start of the year, while the benchmark S&P 500 index is flat. TradingView BofA pointed to Robinhood’s ability to generate strong organic growth “without significant expense inflation.” The brokerage “is working on multiple sizable initiatives in parallel and only a few will need to be successful,” the analysts said. Those projects include upgrades to desktop trading platform Robinhood Legend, which launched in the fourth quarter of 2024, and an AI-powered customer service assistant called Cortex that is expected in the fourth quarter of 2025, BofA wrote -Andrew Kessel

Nvidia Leads Chip Stocks Higher Shares of Nvidia (NVDA) and other semiconductor stocks surged Tuesday amid optimism about new partnerships and trade deals. Nvidia was up about 6% in recent trading, and Advanced Micro Devices (AMD) shares were up 4% after the companies said they would supply semiconductors to Saudi Arabian AI startup Humain, as part of initiatives announced as President Trump kicked off a four-day trip to the Middle East, starting in Saudi Arabia. As part of Nvidia’s partnership with Humain, which CEO Jensen Huang reportedly announced on stage at an event in Riyadh, the company said it will deploy “several hundred thousand” of Nvidia’s most advanced GPUs over the next five years, starting with an 18,000 GB300 Grace Blackwell AI supercomputer with Nvidia’s InfiniBand networking technology. Meanwhile, AMD said it and Humain would invest up to $10 billion over the next five years to build out AI computing centers “stretching from the Kingdom of Saudi Arabia to the United States.” The announcements come as President Trump reportedly looks to secure $1 trillion in investment and trade pledges from Saudi Arabia, with plans to visit Qatar and the United Arab Emirates as well during his trip. The White House didn’t immediately respond to an Investopedia request for comment on the chip partnerships. Shares of Broadcom (AVGO), Micron Technology (MU) and other chip companies were also higher in recent trading, driving the PHLX Semiconductor Index (SOX) up about 3%. Today’s rally extended Monday’s gains that came after the U.S. and China agreed to lower tariffs on each other’s imports for 90 days. -Kara Greenberg

Supermicro Soars After a Bullish New Recommendation Super Micro Computer (SMCI) shares jumped Tuesday after Raymond James initiated coverage of the server maker’s stock with an “outperform” rating and $41 price target. The stock was up about 15% to more than $38 in recent trading, though even with Tuesday’s gains, the shares have lost over half their value from a year ago. Supermicro has “emerged as a market leader in AI-optimized infrastructure,” Raymond James analysts told clients. The company has 9% of the $145 billion AI platform market, which could climb, the analysts said, adding that it leads branded suppliers, according to research firm Dell’Oro. Earlier this month, several analysts cut their price targets for Supermicro after the Nvidia (NVDA) partner reduced its sales outlook, and pointed to customers delaying product decisions amid economic uncertainty. Supermicro shares have been volatile over the past few months, pressured by downward forecast revisions, disappointing results, and worries about the company’s accounting practices. In February, the company narrowly avoided being delisted for delinquent financial filings. -Andrew Kessel

Goldman Raises S&P 500 Target Goldman Sachs analysts are growing more bullish on the S&P 500’s growth prospects after the U.S. and China agreed to pare back tariffs on each other’s imports for 90 days. The analysts said they now expect the S&P 500 over the next 12 months to rise to about 6,500 points, up from a prior forecast of 6,200. The S&P 500 was just below 5,900 in midday trading Tuesday. Goldman pointed to “lower tariff rates, better economic growth, and less recession risk than we previously expected,” for the shift. The Trump administration’s agreement with China will reduce the levy on Chinese imports to 30% from 145% by Wednesday, while Beijing’s tariffs on U.S. goods will drop to 10% from 125%. The S&P 500 has slightly outperformed the Dow Jones Industrial Average and the Nasdaq Composite since the start of the year. TradingView The S&P 500 has gained about 22% from its recent low point in early April. The benchmark index has nudged back into positive territory for 2025. -Andrew Kessel

Honda Stock Drops as Automaker Sees Big Hit From US Tariffs U.S.-listed shares of Honda Motor (HMC) tumbled Tuesday morning after the Japanese automaker warned it will have a significant drop in profit because of uncertainty over new U.S. tariffs. It will also postpone plans for a new Canadian electric vehicle supply chain as demand for EVs slides. For the fiscal year ending March 31, 2026, Honda sees net profit slumping 70% year-over-year to 250.0 billion yen ($1.69 billion). It expects operating profit declining 59% to 500.0 billion yen ($3.38 billion), and sales to fall 6.4% to 20.30 trillion yen ($137.27 billion). Honda Director, President, and Representative Executive Officer Toshihiro Mibe said in a call with analysts that the tariffs would have a negative impact of JPY650 billion ($4.40 billion) in the current fiscal year. “I think the tariff impact will continue to change as time goes by, and we have to think about these major changes taking place,” Mibe said, according to a transcript provided by AlphaSense. Mibe noted that Honda was already looking at ways to respond, saying that “if the tariff measures are to be in place for a long time, then we will have to increase our production capacity in the United States.” Mibe also pointed out that its plan announced in April 2024 of an EV operation in Canada would be put on hold for at least two years since “in North America, the EV market growth is slowing down.” U.S.-listed shares of Honda are up more than 2% since the start of 2025, slightly outperforming shares of rival Toyota over that period. TradingView Honda shares were down more than 5% in recent trading. Despite today’s losses, the stock is up slightly year-to-date. -Bill McColl

UnitedHealth Slides As CEO Exits, Outlook Suspended Shares of UnitedHealth Group (UNH) sank in early trading Tuesday as the health insurance giant replaced its CEO and suspended its 2025 outlook. The company said Andrew Witty decided “to step down as CEO for personal reasons,” and that former CEO and current board chair Stephen Hemsley has been appointed as his replacement, effective immediately. Hemsley held the CEO role from 2006 to 2017. In addition, UnitedHealth suspended its full-year outlook “as care activity continued to accelerate while also broadening to more types of benefit offerings than seen in the first quarter, and the medical costs of many Medicare Advantage beneficiaries new to UnitedHealthcare remained higher than expected.” The suspension comes weeks after UnitedHealth cut its full-year profit forecast while reported first-quarter results below expectations. The performance and reduced forecast led to a 22% share decline on April 17— the company’s worst day since 1998—that brought the Dow down with it. UnitedHealth shares were down 13% in early trading, pulling the Dow lower. Other insurance stocks, including CVS Health (CVS), Centene (CNC), Humana (HUM) and Elevance Health (ELV), were also down sharply this morning. -Aaron McDade

Watch These Nike Levels After Stock’s Monday Surge Nike (NKE) shares inched higher in premarket trading after surging Monday on news that the U.S. and China would slash tariffs on one another. The development was good news for the sports apparel and equipment giant, which generated 15% of its revenue from China in its latest quarter and relies on the country as a major global supply chain hub. Analysts at Jefferies recently pointed out that large companies such as Nike could see significantly fewer costs as trade discussions progress, despite having planned for higher hefty import duties, Barron’s reported. Nike shares slumped as much as 37% between late February and early April amid concerns that tariffs could significantly increase production costs, leading to increased pressure on the company’s profit margins. However, a more optimistic trade outlook has seen the stock rebound 20% from last month’s low as of Monday’s close. The stock was up 0.5% at just under $63 this morning, after gaining more than 7% yesterday. Source: TradingView.com. Since gapping sharply lower in early April, Nike shares consolidated within an ascending triangle before breaking out above the pattern’s upper trendline in Monday’s trading session. Importantly, Monday’s move occurred on above-average volume, indicating buying conviction by larger market participants. Moreover, the breakout saw the relative strength index cross back above the neutral threshold to signal bullish price momentum. Investors should watch crucial overhead areas on Nike’s chart around $63, $71 and $79, while also monitoring a key support level near $59. Read the full technical analysis piece here. -Timothy Smith

Traders work on the floor of the New York Stock Exchange on May 1, 2025.

Stocks rose Thursday after President Donald Trump announced a trade deal framework between the U.S. and United Kingdom, the first major agreement hatched since the U.S. launched pre-emptive tariffs on most of the globe earlier this year.

The Dow Jones Industrial Average gained 254.48 points, or 0.62%, to settle at 41,368.45. The S&P 500 rose 0.58% and closed at 5,663.94. The Nasdaq Composite advanced 1.07% to end at 17,928.14.

Trump announced the deal outline from the Oval Office with U.K. Prime Minister Keir Starmer on speakerphone. A 10% baseline tariff will remain on the U.K., according to a graphic posted on Truth Social post by Trump. However, the president noted that the 10% U.K. tariff could be on the low end of deals with future countries and said that “some will be much higher because they have massive trade surpluses.”

Otherwise, the trade announcement was short on details and nothing was signed during the event.

“The final details are being written up,” Trump said. “In the coming weeks we’ll have it all very conclusive.”

Major averages hit their highs of the session as Trump said he expects U.S. negotiators to have a “good weekend” with China during opening trade discussions.

Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer are set to meet with their Chinese counterparts in Switzerland this weekend to discuss trade and economic issues. Trump scaled up tariffs on Chinese imports to 145%, even as he lowered his “reciprocal” tariffs on most other U.S. trading partners. Chinese officials said Wednesday that the upcoming meeting was requested by the Trump administration.

“There is increased optimism that deals can be made before the July 9 expiration of the reciprocal pause,” CFRA chief investment strategist Sam Stovall said. “However, the initiation of talks could ease pressure on the administration to finalize agreements with other trade partners in the short term.”

Tech shares saw a broad uptick after the Trump administration said Wednesday it will remove Biden-era chip restrictions. Shares of Alphabet rose nearly 2% on Thursday after the company released a statement saying Google is continuing to see search query growth, pushing back on press reports Wednesday that cited an Apple executive saying there has been a decline in search on the Safari browser as more people use AI.

Boeing shares rose 3% after Commerce Secretary Howard Lutnick suggested the U.S.-U.K. trade deal will lead to a multi-billion dollar order of Boeing planes.

Thursday’s moves come after a winning session on Wall Street that saw volatile moves, as investors digested the latest Federal Reserve policy announcement and monitored for signs of progress on trade deals. Market participants share increasing worries that a global trade war could send prices higher and worsen inflationary pressures.

Traders work on the floor of the New York Stock Exchange during morning trading on May 27, 2025 in New York City.

Stocks rallied on Tuesday after President Donald Trump said over the holiday weekend that he agreed to delay tariffs of 50% on the European Union.

The Dow Jones Industrial Average gained 740.58 points, or 1.78%, to finish at 42,343.65, while the S&P 500 rose 2.05% to 5,921.54. Both snapped four-day losing streaks. The Nasdaq Composite popped 2.47% to 19,199.16 as technology names like Tesla saw outsized gains.

Trump on Sunday said that he would push back the 50% levy deadline on the EU to July 9 following a request from Ursula von der Leyen, the president of the European Commission. That comes after Trump last week proposed an import tax of 50% on the EU beginning June 1.

National Economic Council director Kevin Hassett said on CNBC’s “Squawk Box” that he expects to “see a few more deals even this week.” U.S. consumer confidence data released Tuesday came in stronger than expected for May on hopes of trade agreements.

Tesla shares popped about 7% after CEO Elon Musk said he was shifting his focus away from politics and back into his companies. Other tech-related names were also higher, including Nvidia , AMD , Apple and Microsoft .

Outside of tech, U.S. Steel shares advanced roughly 2% after sources familiar told CNBC that Japan’s Nippon Steel is expected to close its acquisition for $55 per share.

Stocks saw a broad rally to begin the shortened trading week after the U.S. equities market was closed Monday in recognition of Memorial Day. More than nine out of 10 S&P 500 stocks were higher. Small caps also saw gains, with the Russell 2000 climbing about 2.5%.

Tuesday’s action follows a losing week on Wall Street. The Dow, S&P 500 and Nasdaq Composite all slid more than 2% as Trump’s initial call for tariffs on the EU worried market participants.

“It seems like the long holiday weekend only served to build up momentum for today’s whipsaw,” said Dann Ryan, managing partner at Sincerus Advisory. “The trade tensions that had flared have already been extinguished, yet again, and now they’ll include an express lane.”

Traders this week will follow earnings from Okta due after the bell Tuesday, followed by companies such as Nvidia , Macy’s and Costco later in the week. More than 95% of S&P 500 companies have reported this earnings season and almost 78% have surpassed analyst expectations, according to FactSet.

Biggest S&P 500 Movers on Wednesday Advancers Hard disk drive and solid state drive manufacturer Seagate Technology (STX) reported better-than-expected sales and profits for its fiscal third quarter, which ended in March, and provided an upbeat forecast for the current quarter. Robust demand for the company’s heat-assisted magnetic recording (HAMR) storage technology helped underpin the strong performance. Seagate shares surged 11.6%, securing the S&P 500’s top daily performance.

(STX) reported better-than-expected sales and profits for its fiscal third quarter, which ended in March, and provided an upbeat forecast for the current quarter. Robust demand for the company’s heat-assisted magnetic recording (HAMR) storage technology helped underpin the strong performance. Seagate shares surged 11.6%, securing the S&P 500’s top daily performance. Strong quarterly results also helped lift shares of Trane Technologies (TT), which jumped 8.5% after the heating, ventilation, and air conditioning (HVAC) firm topped first-quarter sales and profit estimates. Solid organic revenue growth contributed to the Ireland-based company’s performance during the quarter.

(TT), which jumped 8.5% after the heating, ventilation, and air conditioning (HVAC) firm topped first-quarter sales and profit estimates. Solid organic revenue growth contributed to the Ireland-based company’s performance during the quarter. Shares of Western Digital (WDC) jumped 8.0% after the data storage provider exceeded estimates with its quarterly sales and profits. Western Digital also initiated a new quarterly dividend program. Decliners Super Micro Computer (SMCI) shares plunged 11.5%, losing the most of any S&P 500 stock, after preliminary quarterly results from the maker of servers and data storage systems came in below its previous forecasts. Supermicro cited timing issues affecting its sales during the period as customers push back purchases into the next fiscal quarter.

(SMCI) shares plunged 11.5%, losing the most of any S&P 500 stock, after preliminary quarterly results from the maker of servers and data storage systems came in below its previous forecasts. Supermicro cited timing issues affecting its sales during the period as customers push back purchases into the next fiscal quarter. Edison International (EIX) declined 8.9% on Wednesday. The utility company reported better-than-expected first-quarter profits and boosted its full-year earnings outlook, but quarterly sales fell short of estimates. The company also indicated that its Southern California Edison subsidiary could incur significant losses related to the Eaton fire. According The Los Angeles Times, ongoing investigations have yet to pinpoint Edison’s equipment as a source of the blaze, but without any additional evidence, the power provider could face liabilities. A Garmin story in Shanghai. CFOTO / Future Publishing / Getty Images Shares of fitness and navigation device manufacturer Garmin (GRMN) dropped 8.4% following mixed first-quarter earnings results. Although sales for the period exceeded forecasts, profits missed expectations. An operating loss in Garmin’s auto original equipment manufacturer (OEM) segment contributed to the earnings shortfall. However, the company benefited from positive sales momentum in its outdoor, fitness, aviation, and marine businesses. -Michael Bromberg

S&P 500, Dow Post Losses for Third Straight Month Seven-day winning streaks to close out the month weren’t enough to put the S&P 500 and Dow Jones Industrial Average into the green for April. The Dow lost 3.2% in April, while the S&P 500 gave up 0.8%. It was the third straight month of declines for both indexes. The Nasdaq Composite, which slid as much as 2.9% during Wednesday’s session, managed to record a 0.9% gain for the month thanks to a late-session surge. The S&P 500 and Dow closed out an extraordinarily volatile April on a winning streak but still ended the month with losses. TradingView Each of the major indexes remains sharply lower in 2025 amid ongoing uncertainty about tariffs and the impact they could have on the economy and on companies that do business around the world. So far this year, the Nasdaq has lost nearly 10%, while the Dow and S&P 500 are down 4.4% and 5.3%, respectively.. TradingView

Meta Surges in Extended Trading as Results Top Estimates Meta (META) shares jumped in extended trading after the tech giant reported better-than-expected quarterly earnings. The Facebook, Instagram, and WhatsApp parent reported first-quarter revenue of $42.31 billion, up 16% year-over-year and above the analyst consensus from Visible Alpha. Net income of $16.64 billion, or $6.43 per share, compared to $12.37 billion, or $4.71 per share, a year earlier, also topping projections. Advertising revenue, which makes up the bulk of Meta’s revenue, climbed 16% to $41.39 billion, surpassing Street estimates. “We’ve had a strong start to an important year, our community continues to grow and our business is performing very well,” said CEO Mark Zuckerberg, adding, “we’re making good progress on AI glasses and Meta AI, which now has almost 1 billion monthly actives.” Meta shares rose over 5% in after-hours trading. The stock was down 6% for the year so far through Wednesday’s close. Looking ahead, the company said it anticipates second-quarter revenue between $42.5 billion and $45.5 billion. Analysts were looking for $44.13 billion. -Andrew Kessel

Microsoft Jumps in Extended Trading After Strong Earnings Microsoft (MSFT) reported fiscal third-quarter revenue and profits that surpassed analysts’ expectations, sending shares higher in extended trading Wednesday. The tech titan’s revenue grew 13% year-over-year to $70.07 billion, above the analysts’ consensus from Visible Alpha. Net income of $25.82 billion, or $3.46 per share, rose from $21.94 billion, or $2.94 per share, a year earlier, topping Wall Street’s estimates. The gains came as revenue from Microsoft’s Intelligent Cloud segment, which includes its Azure cloud computing platform, rose 21% to $26.75 billion, above expectations. “Cloud and AI are the essential inputs for every business to expand output, reduce costs, and accelerate growth,” CEO Satya Nadella said. “From AI [infrastructure] and platforms to apps, we are innovating across the stack to deliver for our customers.” Earlier this year, Microsoft said it plans to spend $80 billion on infrastructure in fiscal 2025. Microsoft shares were up 6% in recent after-hours trading. The stock was down 6% for the year so far through Wednesday’s close. -Andrew Kessel

Will Booking Withstand Worries About Travel Demand? Booking Holdings (BKNG) widened its full-year outlook amid concerns about the U.S. travel industry, but analysts say the company’s international operations should help counter a decline in U.S. travel bookings. Booking on Tuesday reported better-than-expected earnings, but widened the lower ends of its projected ranges for full-year revenue and gross bookings, saying its business “could be impacted by the increased uncertainty in the geopolitical and macroeconomic environment.” The company now expects both measures to grow by mid- to high-single digits, compared to just high-single digits previously. The company has seen a “moderation in trends for inbound travel into the U.S.” so far this year, particularly from Canada, CFO Ewout Steenbergen said, according to a transcript provided by AlphaSense. U.S. travelers have also decreased their length of stays, and the CFO said Booking has seen “some evidence of a bifurcated economy in the U.S.” as demand for hotels with higher star ratings have seen demand stay more stable than their lower-star counterparts. Analysts from JPMorgan and UBS lifted their price targets to $5,360 and $5,750, respectively, following the report. The JPMorgan analysts said that Booking’s operations across the globe should help the company offset any weakness in U.S. travel activity. UBS analysts also suggested Booking could be able to continue growing revenue and profits even if hotel room bookings slow, as the company pushes further into offering booking options for “alternative accommodations, flights, ground transportation, and attractions.” Jefferies analysts were more cautious, with a “hold” rating and $5,000 price target. They wrote Wednesday that they are keeping their “hold” rating on concerns “macro uncertainty could limit medium-term growth and stock upside.” Booking shares were up 2% at $5,008 in late trading Wednesday. They’ve added about 45% in the past 12 months but are flat since the beginning of 2025. -Aaron McDade

Stellantis Suspends Outlook on ‘Tariff-Related Uncertainties’ Stellantis (STLA) said Wednesday it is suspending its full-year outlook, pointing to “tariff-related uncertainties.” The “Big Three” automaker, which is home to such brands as Jeep and Chrysler, is the latest to withdraw its full-year projections as President Donald Trump’s tariffs weigh on the industry. On Tuesday, General Motors (GM) shelved its prior 2025 guidance because it did “not contemplate the potential impact of tariffs,” and postponed updating it amid uncertainty about auto duties. The pulled guidance comes as the automakers face a 25% levy on imported vehicles, although they got some relief Tuesday when the Trump administration softened some of the auto tariffs, saying that while the duty remains, foreign vehicles won’t face other levies such as a 25% tax on steel and aluminum imports. Stellantis said it is working with governments on the tariff policies while acting “to reduce impacts.” The company said it is also “taking action to adjust production plans, and identifying opportunities for improved sourcing.” Stellantis said its first-quarter revenue fell 14% year–over-year to 35.8 billion euros ($40.7 billion) on “lower shipment volumes, as well as unfavorable mix and pricing.” As predicted in preliminary Q1 estimates earlier this month, shipments fell 9% to 1.22 million units because of decreased North American production due to “extended holiday downtime in January.” Shares of Stellantis are performing far worse than those of Big Three rivals Ford and GM so far this year. TradingView Shares of Stellantis were down nearly 4% in recent trading and have lost about 30% of their value since the start of 2025. -Nisha Gopalan

GE HealthCare Tops Estimates but Cuts Outlook Over Tariffs GE HealthCare Technologies (GEHC) on Wednesday posted first-quarter results that came in better than analysts had expected, but the former General Electric division lowered its full-year profit outlook because of tariffs. The medical device maker reported adjusted earnings per share of $1.01 on revenue that increased 3% year-over-year to $4.78 billion. Analysts polled by Visible Alpha had forecast $0.92 and $4.66 billion, respectively. However, GE HealthCare lowered its full-year adjusted EPS forecast because of announced tariffs, which it said will have an impact of $0.85 per share. The company said it now expects adjusted EPS of $3.90 to $4.10, down from the prior range of $4.61 to $4.75. It still expects organic revenue growth of 2% to 3%. “Regarding the current global trade environment, we are actively driving mitigation actions,” CEO Peter Arduini said. “We continue to see strong customer demand in many of the markets we serve and are well-positioned to drive long-term value as we invest in future innovation.” Also on Wednesday, the company said its board has approved a stock buyback plan of up to $1 billion. GE HealthCare shares are down about 9% since the start of 2025, outpacing the 6% decline of the S&P 500. TradingView GE HealthCare shares were up more than 4% in early-afternoon trading Wednesday, narrowing the stock’s year-to-date decline to about 9%. Last week, the firm’s former corporate brethren GE Vernova (GEV) and GE Aerospace (GE) topped Q1 estimates and affirmed their full-year outlooks. -Aaron McDade

Starbucks Stock Drops as Latest Results Disappoint Shares of Starbucks (SBUX) dropped Wednesday, sliding after the coffee giant’s latest results disappointed and its new CFO declined to offer an outlook for the months to come. Starbucks stock was down more than 7% in recent, a move that has the shares off roughly 14% this year. The company last night reported fiscal second-quarter financial results that were below Wall Street’s expectations—and were “disappointing,” according to comments on a Tuesday evening conference call last night from CEO Brian Niccol, who joined from Chipotle last year. The company, which is busy with a wide-ranging turnaround effort, named Cathy Smith its CFO earlier this year; Smith on the call said she was ”still learning the business, and it would be premature for me to provide such insight,” according to a transcript made available by AlphaSense. “While our financial results are far from Starbucks’ potential, I am confident we have the right strategy,” Smith said.

Wall Street analysts are somewhat lukewarm on the company’s shares these days. Visible Alpha’s consensus price target a bit below $92 is an 8% premium to Tuesday’s close, but that would still be below the stock’s 52-week high a few bucks under $120, seen earlier this year—and closer to 52-week lows above $70. “We acknowledge visibility into near-term numbers is low,” wrote Deutsche Bank analysts, whose $97 price target is a bit higher than the average. “We believe Starbucks is making the right investments for the business long term, supporting our high conviction in the success of the turnaround.” -David Marino-Nachison

Snap Plunges as Company Pulls Guidance Amid ‘Uncertainty’ Shares of Snap (SNAP) tumbled Wednesday, a day after the social media company said it wouldn’t provide a current-quarter outlook and plans to cut costs because of “uncertainty” about the future. The Snapchat operator wrote in a letter to investors that because it’s not clear “how macro economic conditions may evolve in the months ahead, and how this may impact advertising demand more broadly, we do not intend to share formal financial guidance for Q2.” The company said that even though revenue continued to increase, “we have experienced headwinds to start the current quarter, and we believe it is prudent to continue to balance our level of investment with realized revenue growth.” As a result, Snap is reducing its expectation for full-year adjusted operating expenses to $2.65 billion to $2.70 billion from its previous estimate of $2.70 billion to $2.75 billion. It also sees its 2025 stock compensation at $1.13 billion to $1.16 billion, down from the previous forecast of $1.15 billion to $1.20 billion. The warning offset better-than-anticipated first-quarter results. The company reported a net loss of $0.08 per share on revenue that rose 14% year-over-year to $1.36 billion. Analysts surveyed by Visible Alpha were looking for a loss of $0.14 per share and revenue of $1.35 billion. CEO Evan Spiegel noted Snap surpassed 900 million monthly active users (MAU) for the first time, and that the revenue jump was driven by “the progress we have made with our direct-response advertising solutions, continued momentum in driving performance for small and medium sized businesses, and the growth of our Snapchat+ subscription business.” Snap shares have lost nearly a third of their value since the start of the year, while the S&P 500 is down about 7.5%. TradingView Snap shares were down 17% recently, pushing the stock’s year-to-date decline to 30%. -Bill McColl

Norwegian Cruise Stock Sinks as Results Miss Estimates Norwegian Cruise Line Holdings (NCLH) shares plunged Wednesday, after the company posted earnings that missed analysts’ estimates and said it had seen some “softening” in bookings amid economic uncertainty. The Miami-based cruise operator posted first-quarter adjusted earnings per share (EPS) of $0.07 on revenue that fell 3% year-over-year to $2.13 billion. Analysts polled by Visible Alpha had projected $0.09 and $2.15 billion, respectively. “The Company has seen softening in its 12-month forward booked position but continues to remain within the optimal range, even amid ongoing macroeconomic volatility,” Norwegian Cruise said. The cruise line maintained its outlook for 2025, anticipating adjusted EPS of $2.05, increasing about 13% year-over-year. “While we recognize there may be potential pressures on the top line, we believe these can be effectively offset by the continued execution of our cost savings initiatives,” CEO Harry Sommer said. Norwegian Cruise shares, which had lost about a third of their value since the start of the year through Tuesday’s close, were down 10% in early trading. -Nisha Gopalan

Supermicro Levels to Watch as Stock Sinks After Results Super Micro Computer (SMCI) shares plummeted in premarket trading after the server maker posted preliminary results for its fiscal third quarter that came in well below its prior guidance. The company tied the downward revision to delayed consumer product decisions that pushed sales into the current quarter, amplifying broader concerns of a slowdown in spending amid uncertainty over the Trump administration’s sweeping tariffs. Coming into today’s session, Supermicro shares had gained 18% so far this year. The stock has, however, seen significant price swings as investors assess recent challenges relating to the company’s accounting and corporate governance practices amid a clouded demand outlook for AI infrastructure, such as servers used in data centers. Source: TradingView.com. Supermicro shares have oscillated within an ascending channel since October last year, tagging the pattern’s upper and lower trendlines on several occasion over that time. More recently, the stock has rallied from the channel’s lower trendline, though the price has remained below the respected 50- and 200-day moving averages to indicate a longer-term downtrend. Investors should monitor support levels on Supermicro’s chart around $28 and $17, while also watching resistance levels near $50 and $63. The stock was down 20% at around $29 ahead of the opening bell. Read the full technical analysis piece here. -Timothy Smith