ZScaler Stock Leads Nasdaq Gainers Thursday
5 minutes ago
Zscaler (ZS) was a rare bright spot for the Nasdaq on Thursday, with shares rising almost 4% a day after the cybersecurity firm reported better-than-expected results and offered a strong outlook.
The San Jose, Calif.-based company, which led Nasdaq gainers on a day the tech-heavy index was down more than 2%, reported fiscal 2025 second-quarter adjusted earnings per share (EPS) of 78 cents on revenue that jumped 23% year-over-year to $647.9 million. Both measures topped analysts’ estimates compiled by Visible Alpha.
For the third quarter, Zscaler said it expects adjusted EPS of 75 cents to 76 cents on revenue of $665 million to $667 million. For the full year, it sees adjusted EPS of $3.04 to $3.09 on revenue of $2.64 billion to $2.654 billion. Each figure surpassed consensus projections.
Zscaler CEO Jay Chaudhry said on the company’s earnings call Wednesday that he believes the firm stands to benefit from the Trump administration’s efficiency push.
“Having landed in nearly all the cabinet-level federal agencies and with significant upsell opportunities still remaining, we are well-positioned to benefit from the government’s efficiency measures,” Chaudhry said on the call, according to a transcript provided by AlphaSense.
With today’s advance, Zscaler stock moved into positive territory for the past 12 months. They are up about 15% since the start of the year.
Kroger Stock Rises as Earnings Beat Offsets Soft Outlook
1 hr 21 min ago
Kroger (KR) shares rose Thursday as the grocery chain’s better-than-expected quarterly earnings offset a soft outlook.
The company reported mixed quarterly results, with its fourth-quarter adjusted earnings per share (EPS) of $1.14 surpassing consensus estimates from Visible Alpha. Its fourth-quarter revenue of $34.31 billion lagged estimates as did its outlook for 2025 of adjusted EPS of between $4.60 and $4.80.
The results are the grocery chain’s first quarterly report since its proposed merger with rival Albertsons (ACI) was called off in December after a pair of judges sided with the Federal Trade Commission (FTC) and ruled that the merger would likely result in lower wages and higher prices as competition in the industry would decrease.
The grocery chain said earlier this week that CEO and Chairman Rodney McMullen had resigned after a probe on his personal conduct, with Lead Director Ron Sargent appointed board chair and interim CEO.
Kroger shares are rising more than 2% Thursday, bringing their gains in the past 12 months above 25%.
MongoDB Stock Plummets on Soft Outlook
2 hr 19 min ago
MongoDB (MDB) shares tanked 22% to lead Nasdaq decliners Thursday, a day after the database software provider gave weaker-than-expected guidance as it warned of a big drop in demand for all but its top product.
The company anticipates full-year adjusted earnings per share (EPS) of $2.44 to $2.62 and revenue of $2.24 billion to $2.28 billion. Analysts surveyed by Visible Alpha were looking for $3.37 and $2.32 billion, respectively. MongoDB explained that the outlook was based on the assumption that “non-Atlas revenue will decline high-single digits in percentage terms on a year-over-year basis.”
CEO Dev Ittycheria said, “We expect to see stable consumption growth in Atlas, our main growth driver.” Atlas produced 71% of MongoDB’s revenue in the fiscal 2025 fourth quarter, rising 24% year-over-year.
The full-year forecast offset solid quarterly earnings. The company reported adjusted EPS of $1.28, nearly double the Visible Alpha estimate. Revenue rose 20% to $548.4 million, also ahead of expectations. However, deferred revenue of $334.4 million was less than anticipated.
TradingView
Shares of MongoDB traded at their lowest level in two years.
Nvidia, Broadcom, and Other Chip Stocks Drop as AI Trade Falters
3 hr 9 min ago
Nvidia (NVDA) and other chip stocks fell in early trading Thursday as the artificial intelligence trade faltered.
Shares of the AI chipmaker were down more than 2% in recent trading. Advanced Micro Devices (AMD), Qualcomm (QCOM), and TSMC (TSM) were also lower, along with shares of Nvidia partners such as Supermicro (SMCI), Dell (DELL), and Micron Technology (MU).
Shares of Broadcom (AVGO), which is set to report earnings after the bell, were down more than 3%, pulling the PHLX Semiconductor Index down 2%, while shares of chipmaker Marvell Technology (MRVL) plunged 17% after its outlook failed to impress. The tech-heavy Nasdaq fell 1%.
Uncertainty about the impact of new U.S. tariffs weighed on stocks, along with worries about tightening chip export curbs, and competition from China as Alibaba unveiled its latest AI reasoning model, which it said rivals offerings from DeepSeek and ChatGPT maker OpenAI. Alibaba shares climbed about 1%.
Meanwhile, shares of AI play favorite Palantir (PLTR) dropped about 3.5%, nearly wiping away Wednesday’s gains on expectations the company’s software could be strongly positioned to support the Trump administration’s efforts to trim government spending. Jefferies analysts highlighted insider sales, with Palantir CEO Alex Karp moving to sell shares worth another $45 million in the last two weeks after dumping over $2 billion worth in 2024.
The rest of the Magnificent Seven aside from Nvidia—Apple (AAPL), Microsoft (MSFT), Alphabet (GOOG), Amazon (AMZN), Tesla (TSLA), and Meta (META)—were little changed to slightly lower after a volatile stretch for big tech that has seen the major indexes give back all of their gains since November’s presidential election.
Marvell Technology Stock Tanks on Soft Outlook
3 hr 57 min ago
Shares of Marvell Technology (MRVL) plunged around 20% Thursday morning, a day after the semiconductor firm reported an outlook that disappointed some investors.
Marvell reported fourth-quarter adjusted earnings per share (EPS) of $0.60 on revenue that jumped 27% year-over-year to $1.82 billion, both slightly above Visible Alpha consensus.
Although Marvell’s current-quarter projections of adjusted EPS of $0.61, plus or minus $0.05, and revenue of $1.875 billion, plus or minus 5%, were mostly in line with estimates, Bank of America analysts had called for a “largely better” forecast.
After Marvell’s “solid” results Wednesday, Deutsche Bank analysts affirmed their “buy” rating on the stock, writing that they “continue to see a positive risk/reward in MRVL, using the apparent ‘disappointment’ of tonight’s report/guide as a buying opportunity.”
U.S. Stock Futures Sharply Lower as Tariff Jitters Persist
4 hr 57 min ago
Futures contracts connected to the Dow Jones Industrial Average were down 0.9% in premarket trading on Thursday.
S&P 500 futures were off 1.1%.
Nasdaq 100 futures led stocks lower, falling 1.5%.