Apple, Amazon, Nvidia, Intel, and Kenvue Drive After-Hours Buzz
The tech world was abuzz last night as five major companies, Apple, Amazon, Nvidia, Intel, and Kenvue, dominated the after-hours trading scene with their quarterly earnings reports. The mixed bag of results, combined with ongoing concerns about tariffs and global economic uncertainty, sent stocks soaring and plummeting in equal measure. In this blog post, we’ll break down the key takeaways from each company’s report and explore what sparked the heavy after-hours trading activity.
Apple Rises 2.4%
Apple Inc. (AAPL) rose 2.4% in after-hours trading as investors cheered the company’s strong iPhone sales and announcements about its artificial intelligence (AI) plans. The tech giant reported fiscal first-quarter earnings of $4.18 per share, beating analyst expectations of $3.78 per share. Revenue also exceeded expectations, reaching $91.8 billion.
Apple’s AI efforts are seen as a key area of growth for the company, with investors excited about the potential for the technology to drive future innovation and revenue. The company’s AI advancements are expected to enhance its products, from Siri to Face ID, and potentially even lead to new business opportunities in areas like healthcare and finance.
Amazon Slips 6.6%
Amazon.com Inc. (AMZN) slipped 6.6% in after-hours trading after its cloud computing business, Amazon Web Services (AWS), failed to impress investors. While AWS revenue grew 35% year-over-year, the pace of growth lagged behind its main competitors, Microsoft Azure and Alphabet’s Google Cloud.
The company’s overall revenue and earnings also missed analyst expectations, leading to a decline in the stock price. Amazon’s e-commerce business, which accounts for the majority of its revenue, showed signs of slowing growth, with sales increasing just 15% year-over-year.
Nvidia Dips on China Chip Concerns
Nvidia Corp. (NVDA) dipped 2.5% in after-hours trading amid concerns about the impact of the ongoing trade war between the US and China on its chip business. The company’s revenue from China, which accounts for around 20% of its total sales, grew just 10% year-over-year, slower than the overall industry.
Nvidia’s gaming business, which accounts for the majority of its revenue, also showed signs of slowing growth, with sales increasing just 4% year-over-year. The company’s datacenter business, which includes its AI and high-performance computing products, continued to drive growth, with sales increasing 26% year-over-year.
Intel Falls on Cost Cuts and Factory Delays
Intel Corp. (INTC) fell 4.5% in after-hours trading after the company announced plans to cut costs and delay the production of its next-generation chips. The company’s revenue and earnings also missed analyst expectations, leading to a decline in the stock price.
Intel’s struggles are attributed to a combination of factors, including the ongoing trade war, which has disrupted its global supply chain, and the company’s failure to keep pace with the rapid growth of its competitors in the datacenter and artificial intelligence markets.
Kenvue Gains 0.3% Amid Leadership Change and Dividend Hike
Kenvue Inc. (KENV), a medical aesthetics company, gained 0.3% in after-hours trading amid a leadership change and dividend hike. The company’s CEO, Kim Goodman, stepped down and was replaced by former Allergan executive, Nick Torti.
Kenvue also announced a 10% dividend hike, which is seen as a positive sign by investors. The company’s revenue and earnings have been growing steadily in recent quarters, driven by strong demand for its dermal fillers and other medical aesthetics products.
Heavy Volumes Reflect Mixed Earnings and Tariff Jitters
The heavy after-hours trading activity in these five companies reflects the mixed bag of earnings results and ongoing concerns about tariffs and global economic uncertainty. Investors are increasingly looking for signs of growth and resilience in the face of these challenges, and the companies that can deliver are likely to see their stock prices rise.
For Apple, Amazon, Nvidia, Intel, and Kenvue, the road ahead will be shaped by their ability to navigate these challenges and capitalize on new opportunities. As the tech world continues to evolve at a rapid pace, it’s more important than ever for investors to stay informed and adapt to changing market conditions.
