Lamb Weston Stock Soars as Volumes Grow; Enphase Energy Falters

Major U.S. equity indexes rose on Wednesday after President Donald Trump announced a trade agreement with Japan as second-quarter earnings season rolled on.

The S&P 500 jumped 0.8% to close at an all-time high for the third consecutive day. The Nasdaq advanced 0.6%, returning to record territory after slipping yesterday. The Dow surged more than 500 points, adding 1.1% and ending just below its record closing level reached in December.

Shares of Lamb Weston Holdings (LW), a provider of frozen french fries and other potato products, soared 16.3% to notch the S&P 500’s top performance. The company topped sales and profit estimates for its fiscal fourth quarter, with strength across all channels and geographies helping drive 8% year-over-year volume growth. Lamb Weston also said it would lay off 4% of its workforce, part of a plan it expects to save it $250 million a year by the end of its 2028 fiscal year.

GE Vernova (GEV) shares also moved higher in the wake of strong quarterly financial results, jumping 14.6% on Wednesday. The energy technology firm, which completed its spinoff from General Electric a little over a year ago, reported better-than-expected second-quarter sales and profits and said it now expects the full-year earnings impact from tariffs and inflation to come in near the low end of its previous forecasts.

Baker Hughes (BKR) also exceeded forecasts with its second-quarter revenue and adjusted net income, and shares of the oilfield services provider popped 11.7%. Although the company struck a cautious tone on upstream spending as producers navigate volatility in commodity prices, Baker Hughes benefited from strong data center related orders.

Enphase Energy (ENPH) suffered the biggest decline in the S&P 500 on Wednesday, plunging 14.2%. While the solar microinverter and battery specialist surpassed second-quarter sales and profit estimates, Enphase issued weaker-than-expected profit guidance for the third quarter. The company noted its gross margins were pressured by U.S. tariff policies and indicated that the expiration of clean-energy tax credits would likely constrict residential solar demand.

Shares of the financial technology firm Fiserv (FI) sank 13.9%. Like Enphase, Fiserv reported quarterly sales and profit that came in ahead of estimates, but a reduction in its full-year profit outlook weighed on the stock. Although the fintech announced a multiyear deal with Canada’s TD Bank Group, investors focused on its Clover payment processing platform’s slowing growth.  

Texas Instruments (TXN) also provided a softer-than-expected profit forecast for the third quarter, and shares of the analog semiconductor producer dropped 13.3%. The company announced last month that it intends to invest more than $60 billion to expand its chip manufacturing capacity in the U.S.