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The stock market displayed significant volatility today as several stock market movers made headlines across various sectors. Notable stock market movers included tech companies benefiting from AI advancements, while others faced pressure despite posting solid financial results.
Major Stock Market Movers in Technology Sector
AppLovin emerged as one of the day’s biggest stock market movers, surging 14.7% following impressive first-quarter performance. The AI-powered marketing platform reported earnings of $1.67 per share on $1.48 billion in revenue, handily beating analyst expectations of $1.45 per share and $1.38 billion in revenue. Additionally, AppLovin announced plans to divest its mobile gaming business, a strategic move that resonated positively with investors.
In contrast to AppLovin’s gains, Shopify experienced a significant decline despite beating revenue expectations. Shares of the commerce technology platform dropped 8.7% even though first-quarter revenue reached $2.36 billion, exceeding the FactSet consensus estimate of $2.33 billion. Analysts noted that Shopify had already gained 20% over the previous month, and its full-year guidance—projecting operating expenses at 39%-40% of total revenue with free cash flow profit margin in the mid-teens—failed to excite investors.
Semiconductor Stocks Among Key Stock Market Movers
Semiconductor manufacturers ranked among the day’s prominent stock market movers following news that the Department of Commerce planned to rescind controls on artificial intelligence chips scheduled to take effect this month. This development boosted several chip stocks, with Broadcom rising more than 2%, while industry giants Nvidia and Advanced Micro Devices each added more than 1%.
However, not all semiconductor companies fared well. Arm Holdings, the British chip designer, saw its U.S.-listed shares tumble 9.1% after providing weaker-than-expected guidance for the current quarter, overshadowing its better-than-anticipated earnings in the fiscal fourth quarter.
Similarly, Skyworks Solutions shed 2.2% despite reporting strong earnings and positive guidance. The company earned an adjusted $1.24 per share on $953 million in revenue, surpassing analyst projections of $1.20 in EPS and $952 million in revenue. The decline is particularly notable considering Skyworks had soared 36% in the month prior.
Luxury and Consumer Brands Performance
Among the standout stock market movers in the consumer sector, Tapestry jumped 8.4% following stronger-than-expected fiscal third-quarter earnings. The parent company of Coach and Kate Spade earned $1.03 per share, excluding one-time items, on $1.58 billion in revenue, while analysts had estimated 88 cents a share on revenue of $1.53 billion.
Conversely, Warby Parker slid 4.4% after reporting first-quarter revenue of $224 million, slightly missing the consensus forecast of $225 million. The eyeglass maker also reduced its annual sales outlook, further pressuring the stock.
Media and Entertainment Sector Fluctuations
Warner Bros. Discovery shares retreated more than 2% after reporting disappointing quarterly results. The media conglomerate posted a quarterly loss of 18 cents per share, exceeding analyst expectations by 5 cents, according to LSEG. Revenue came in at $8.98 billion, falling short of the $9.6 billion consensus estimate.
Meanwhile, Alphabet, the parent company of Google and YouTube, rose more than 2% after affirming continued growth in search engine usage, including from Apple platforms. This positive news followed a 7.3% decline the previous day sparked by reports that searches on the Safari browser had decreased in April.
Other Notable Stock Market Movers
Peloton shares declined 3.3% following a larger first-quarter loss per share than Wall Street anticipated. The digital workout company lost 12 cents per share, double the 6-cent loss analysts had projected, though revenue of $624 million slightly exceeded expectations.
Pharmaceutical stocks faced pressure after Politico reported that President Donald Trump was exploring a Medicare pricing plan aimed at reducing drug costs. Major drugmakers including Amgen, AbbVie, Eli Lilly, and Bristol Myers each declined more than 1%, while Regeneron fell more than 2%.
In a bright spot for the beverage industry, Anheuser-Busch InBev added 1.5% after reporting increased first-quarter profits compared to the previous year. The Budweiser parent company earned net income of $1.61 billion, surpassing both the $1.51 billion from the same quarter last year and analyst estimates of $1.47 billion.
The diverse performance across these stock market movers highlights the complex factors influencing investor sentiment in today’s market environment.
