S&P 500 Hits Record High as Stocks Waver; Nvidia Shares Slip After Earnings Report

Snowflake Soars on Strong Results, Boosted Outlook

10 minutes ago

Shares of Snowflake (SNOW) jumped Thursday morning are the AI data cloud provider posted better-than-anticipated results and boosted its guidance.

The company reported second quarter fiscal 2026 adjusted earnings per share of $0.35 on revenue that grew 32% year-over-year to $1.14 billion. Analysts surveyed by Visible Alpha had expected $0.27 and $1.09 billion, respectively. Product revenue of $1.09 billion also topped forecasts.

Snowflake had 654 customers with trailing 12-month product revenue above $1 million, up from 606 in the previous quarter.

CEO Sridhar Ramaswamy noted that more than 6,100 accounts are using Snowflake’s AI every week, and that the company has “an enormous opportunity ahead as we continue to empower every enterprise to achieve its full potential through data and AI.”

Snowflake now sees full-year product revenue increasing 27% to about $4.40 billion, versus its earlier outlook of a 25% gain to roughly $4.33 billion.

Shares of Snowflake were up 18% in recent trading, boosting the stock’s year-to-date gain to more than 50%.

–Bill McColl

UBS Analysts Say AI Bull Market Intact After Nvidia Earnings

1 hr 2 min ago

UBS analysts said they were optimistic on the prospects the rally in the AI-driven bull market would continue after Nvidia’s results.

 “The overall strength of the July quarter results may offer some reassurance for investors after signs of stalling momentum for the large-cap tech rally,” UBS analysts wrote, adding that “the outlook for large-cap tech remains compelling.”

Several of Nvidia’s major Big Tech clients, including Microsoft (MSFT), Meta (META), Amazon (AMZN), and Google parent Alphabet (GOOGL), have committed to spending big on their AI capacity, and Nvidia said Thursday that one customer spent more than $10 billion last quarter. Kress said late Thursday that the chipmaker anticipates $3 trillion–4 trillion in AI infrastructure spending by the end of the decade.

–Nisha Gopalan

Morgan Stanley Analysts Raise Nvidia Price Target

1 hr 52 min ago

Nvidia’s (NVDA) outlook for the third quarter was met with a bullish reception from analysts at Morgan Stanley.

The company at the center of the AI boom projected third-quarter revenue of $54 billion, plus or minus 2%, a record level but a tepid forecast versus estimates of around $53.8 billion. Nvidia issued its projection as it posted better-than-estimated second-quarter results, although key data center business revenue lagged forecasts.

Morgan Stanley raised its price target on the stock to $210 from $206 and kept its overweight call on the stock, saying Nvidia shares are “less expensive than other AI beneficiaries.” They said the “bar [set by Nvidia] continues to be high but the growth acceleration is clear.”

“For the stock to sell off slightly after hours on these types of numbers certainly indicates that sentiment has largely caught up to the growth potential, after fears of digestion just a few weeks ago,” they wrote. “But outside of China geopolitics, this is a very clean beat and raise quarter.”

Nvidia shares were down slightly at $181 in recent premarket trading, after falling sharply in extended trading hours late Wednesday immediately following the earnings release.

Nvidia CFO Collette Kress said during the earnings call Thursday that the company hasn’t restarted sales of its H20 chips in China yet while the company waits for the U.S. government to formalize its revenue-sharing agreement. Earlier this year, the Trump administration blocked Nvidia’s sale of its H20 chips, which the company tailored for the Chinese market, then this month struck a deal where Nvidia would give the government 15% of China chip revenues in exchange for resumed sales.

–Nisha Gopalan

Major Index Futures Mixed

2 hr 57 min ago

Futures tied to the Dow Jones Industrial Average were up 0.1%.

S&P 500 futures rose less than 0.1%.

Nasdaq 100 futures were down fractionally.