Earnings

words.U.S. AI‑related stocks fell on Friday, extending a three‑day decline. Oracle dropped over 2% after Thursday’s 11% plunge from revenue that missed forecasts, pulling down peers like Micron and CoreWeave. Despite strong demand for AI infrastructure, Oracle’s $16.06 billion revenue fell short of expectations, raising concerns about its debt‑financed AI‑cloud expansion and the tight GPU ecosystem. Morningstar cut Oracle’s fair‑value target to $286 but still sees the shares as undervalued. Market focus now shifts to next week’s earnings for signs of sustainable AI growth.

Broadcom posted a solid fiscal Q4, with revenue up 28% to $18.02 billion and adjusted EPS rising 37% to $1.95, both beating forecasts. AI‑related sales surged, highlighted by Anthropic’s $10 billion and $11 billion Ironwood XPU orders and a $1 billion deal with a new XPU client. Margins expanded, and Q1 guidance topped expectations, prompting a “Hold” rating and a price‑target lift to $425. However, investors worried about AI customers potentially developing in‑house chips, causing a 4.5% after‑hours drop despite the earnings beat.

Salesforce’s stock rose 5% on Friday, extending a 13% gain over five days after the company posted Q3 adjusted earnings of $3.25 per share (vs. $2.86 estimate) and revenue of $10.26 billion, just below forecasts. CEO Marc Benioff emphasized AI as a growth driver, highlighted acquisitions of Regrello and Waii, and pointed to the Agentforce platform, whose ARR jumped 330% to $540 million. Analysts are optimistic about Salesforce’s AI‑enhanced roadmap, cost discipline, and potential to lead the cloud‑software sector.

Dell Technologies reported fiscal Q3 earnings with revenue slightly below expectations at $27.01B, but EPS beat estimates at $2.59. The company’s stock surged due to a strong Q4 forecast driven by high AI server demand. Dell anticipates Q4 revenue of $31.5B and EPS of $3.50, with AI server shipments projected to reach $25B for the year. Infrastructure Solutions Group revenue was $14.11B, while Client Solutions Group revenue was $12.48B. Dell is strategically focusing on enterprise and neocloud AI customers.

Nvidia is set to release its fiscal Q3 earnings, expected to show strong revenue ($54.92B) and EPS ($1.25). Investors are focused on future guidance, particularly revenue projections ($61.66B) and insights into the burgeoning AI chip demand and Nvidia’s capacity to meet it. Commentary from CEO Jensen Huang about the $500B in chip orders is crucial. The company’s strategic investments in AI firms like OpenAI and Anthropic, and its approach to the China market will also be closely watched. Long-term growth projections remain bullish, with sales expected to surge in fiscal year 2027.

Nvidia’s fiscal 2026 Q3 earnings are highly anticipated, with focus on AI spending. Analysts expect EPS of $1.25 on $54.92B revenue, a 53% YoY increase. Revenue from data centers is projected to make up $49.04B. Key questions include the sustainability of 40% capex growth, plans for free cash flow, and details on $500B in orders for Blackwell/Rubin. Concerns remain about funding AI investments and interconnectedness among major players which could lead to systemic risk. Demand signals remain strong, bolstering Nvidia’s position for long-term investors.

Cisco reported strong Q1 2025 results, exceeding expectations for both revenue ($14.88B) and EPS ($1 adjusted). Overall revenue grew 8% YoY, driven by a 15% surge in the networking segment. AI infrastructure orders reached $1.3 billion, highlighting Cisco’s strategic positioning. While security and collaboration segments saw declines, Cisco anticipates robust Q2 revenue ($15-$15.2B) and raised its full-year outlook, driven by AI and networking demand. Cisco shares are up 25% year-to-date.

November faced market headwinds despite its historical strength. The S&P 500, Dow, and Nasdaq all declined, with AI stock valuations under scrutiny. Concerns about a potential bubble are rising, echoed by DBS and Goldman Sachs. Conversely, analysts see market pullbacks as buying opportunities, while UBS notes reassuring earnings. China eased rare earth export restrictions and progressed on the Nexperia issue, and the U.S. government shutdown nears resolution. Finally, a global wealth boom is fueling a rise in family office imposters preying on investors.

Airbnb’s Q3 earnings surpassed revenue expectations, boosting shares. Revenue rose 10% year-over-year to $4.10 billion, exceeding the $4.08 billion estimate. EPS was $2.21, slightly below the expected $2.34. The company anticipates Q4 revenue between $2.66 billion and $2.72 billion, exceeding estimates. Nights and experiences booked increased by 9% to 133.6 million. Gross booking value reached $22.9 billion, a 14% increase. Adjusted EBITDA hit a record $2.1 billion. New features and AI integration are driving growth.

Robinhood (HOOD) shares experienced volatility despite Q3 earnings exceeding expectations. Revenue doubled year-over-year, reaching $1.27 billion, with EPS at 61 cents. Net income soared to $556 million. Transaction-based revenue, however, was slightly below estimates. The company’s diversification strategy, including Prediction Markets and the acquisition of Bitstamp, contributes significantly to revenue and aims to challenge traditional wealth management firms. User growth and engagement remain key for long-term success in a competitive market.