Stocks End Mixed After Powell Says Another Rate Cut in December ‘Not a Foregone Conclusion’; Nvidia Hits $5 Trillion Market Cap

Noteworthy S&P 500 Movers on Wednesday

7 hr 20 min ago

Advancers

• Teradyne (TER) shares surged 20.5%, outpacing all other stocks in the S&P 500, after the provider of automated test equipment topped third-quarter sales and profit estimates and provided better-than-expected guidance for the fourth quarter. Strong AI-driven demand for semiconductor testing equipment underpinned the upbeat forecast. Teradyne also named Michelle Turner, formerly an executive at defense contractor L3Harris Technologies (LHX), as its new chief financial officer (CFO).
• Seagate Technology Holdings (STX), a manufacturer of data storage solutions, also surpassed sales and profit forecasts for the third quarter and issued a promising fourth-quarter outlook. CEO Dave Mosley highlighted the importance of artificial intelligence in driving demand for the company’s heat-assisted magnetic recording drives. Seagate stock jumped 19.1%, while shares of fellow data storage specialist Western Digital (WDC) added 13.2%.
• Centene (CE) shares popped 12.5% after the health insurer posted a surprise profit for the third quarter and raised its full-year guidance. Increased demand for Medicare prescription drug plans and higher rates in Centene’s Medicaid business helped drive revenue growth and offset challenges related to rising medical costs.

Decliners

• Shares of Fiserv (FI), a provider of digital banking and payment processing services, plummeted 44% to post the S&P 500’s weakest performance Wednesday. The company reported lower-than-expected revenue and adjusted earnings per share for the third quarter and cut its full-year forecasts. Fiserv also announced an “action plan” aimed at improving its performance and announced that Paul Todd, former CFO of Global Payments, will take over as its finance chief.
• Verisk Analytics (VRSK), which offers data analytics solutions primarily for the insurance industry, topped third-quarter adjusted profit forecasts but fell short of revenue expectations. The company cited low levels of severe weather during the period, which limited the volume of claims processed through its systems. Verisk also trimmed its full-year revenue forecast, and its share tumbled 10.4%. 
• Although online real estate platform operator CoStar Group (CSGP) exceeded sales and profit forecasts for the third quarter, its upwardly revised full-year forecast for adjusted earnings per share remained below consensus expectations. Analysts at Baird lowered their price target on CoStar stock, citing challenges related to apartment bookings. CoStar shares fell 9.9%. 

–Michael Bromberg

Alphabet Stock Soars as Company Hits Revenue Milestone

7 hr 37 min ago

Alphabet’s (GOOGL) third-quarter results topped analysts’ expectations, as the tech giant surpassed $100 billion in revenue for the first time.

The parent company of Google and YouTube late Wednesday reported earnings per share of $2.87, up from $2.12 the same time last year, while revenue came in at $102.3 billion, up 16% year-over-year, with each metric topping the analyst consensus compiled by Visible Alpha.

Revenue from its Google Cloud service was $15.16 billion, compared to $11.35 billion last year and better than the $14.77 billion analyst consensus. In its Search and Other segment, Alphabet topped estimates with $56.57 billion in revenue, up 14.5% year-over-year.

Alphabet CEO Sundar Pichai said the company is “investing to meet customer demand and capitalize on the growing opportunities across the company.” Alphabet said it now expects capital expenditures for this year to be $91 billion to $93 billion, compared to the $85 billion estimate the company gave last quarter.

Last quarter, the tech giant lifted its capital expenditures forecast to $85 billion from $75 billion previously, due to its plans to expand its data center construction and spending on things like servers for its artificial intelligence infrastructure.

Alphabet shares were up nearly 6% in recent after-hours trading. Through the close of Wednesday’s regular trading session, the stock has gained 45% since the start of 2025, making it the second-top gainer among members of the Magnificent Seven.

–Andrew McDade

Meta Shares Plunge as Profit Hit By Tax Charge

7 hr 55 min ago

A nearly $16 billion tax charge tied to President Trump’s signature “One Big Beautiful Bill” squeezed Meta’s profits in the third quarter, sending its stock reeling.

Shares of Meta Platforms (META) were down 8% in extended trading Wednesday after the tech giant posted earnings that missed analysts’ estimates by a wide margin, citing tax changes.

The Facebook, Instagram, and WhatsApp owner reported earnings per share of $1.05 for the third quarter, down 85% from a year ago and well below the $6.70 analysts called for. The company said it took a one-time hit to the tune of $15.93 billion tied to tax changes following the implementation of the “One Big Beautiful Bill” signed into law by President Trump in July.

Excluding the charge, Meta would have reported EPS of $7.25, ahead of analysts’ estimates. Meta’s revenue jumped 26% year-over-year to a record $51.24 billion, topping analyst projections compiled by Visible Alpha.

Meta also boosted the lower end of its capital expenditures forecast to a range of $70 billion to $72 billion, from $66 billion to $72 billion previously. That marks the third time this year the company has upped its capex guidance as it builds out its AI capacity.

Looking ahead, Meta said it expects fourth-quarter revenue in the range of $56 billion to $59 billion, ahead of the analyst consensus, and told investors it expects a “significant reduction” in its U.S. federal cash tax payments for the remainder of 2025 and beyond.

–Kara Greenberg

Fed Chair Powell Says December Interest Rate Cut Is ‘Far From’ Guaranteed

9 hr 41 min ago

The Federal Reserve’s policy committee won’t necessarily cut interest rates in December, contrary to what financial markets had expected.

Federal Reserve Chair Jerome Powell upended financial market bets that the Fed’s policy committee would lower its benchmark interest rate for a third consecutive meeting in December. Speaking at a press conference following the Fed’s decision to cut rates by a quarter-point on Wednesday, Powell said that the rate-cutting campaign would not necessarily continue into December, as had been widely forecast.

“A further reduction in the policy rate at the December meeting is not a foregone conclusion, far from it,” Powell said. “There were strongly different views today. And the takeaway from that is that we haven’t made a decision about December.”

Powell’s comments underscored that the central bank’s decision-makers are divided on how to handle its current dilemma.

Fed officials are torn between lowering the fed funds rate to boost the economy and rescue the stumbling job market, and keeping it higher for longer to slow the economy and fight inflation. To make matters trickier, the ongoing government shutdown has cut off the data from statistical agencies that the Fed usually relies on to make its decisions.

Read the full article here.

–Diccon Hyatt

Fed Cuts Interest Rates Again to Protect Jobs as Economic Risks Grow

11 hr 19 min ago

The Federal Reserve has once again cut its benchmark interest rate, aiming to breathe some life into the stagnating job market and prevent a surge in unemployment by lowering borrowing costs.

The Fed’s policy committee voted to cut the fed funds rate by a quarter point to a range of 3.75% to 4% Wednesday, following up a cut of the same size in September. In recent months, Fed officials have voiced more growing concerns about the health of the labor market as job growth has slowed. That has led them to prioritize boosting hiring over fighting inflation, which is still running above the Fed’s target of a 2% annual rate. The move was widely expected in financial markets.

Wednesday’s cut confirmed that, at least for now, boosting employment remains the Fed’s primary goal, with the battle against inflation on the back burner. Before September, Fed officials had held the rate steady all year in hopes of wrestling inflation down to the 2% target.

The fed funds rate influences borrowing costs on all kinds of loans and is the primary tool the Fed uses in pursuing its dual mandate from Congress of keeping inflation low and employment high.

Read the full article here.

–Diccon Hyatt

Etsy CEO Josh Silverman Plans to Step Down. The Online Marketplace’s Stock Is Plunging

11 hr 26 min ago

Etsy (ETSY) shares dropped nearly 9% Wednesday afternoon as the online marketplace announced a shakeup in its leadership.

The company said CEO Josh Silverman plans to step down at the end of the year, and will be replaced by President and Chief Growth Officer Kruti Patel Goyal, who will also take a seat on the board. Silverman is expected to serve as executive chair through the end of 2026.

Silverman, who has been Etsy’s CEO for eight years, said “this is the right time for me to hand over the leadership baton to the next generation.”

Patel Goyal spent 10 years in various leadership roles at Etsy before becoming CEO of Etsy’s social e-commerce unit Depop in 2022. She returned to her current role at Etsy in April. 

The announcement comes as the company posted better-than-anticipated results for the third quarter. Etsy reported earnings per share of $0.63 on revenue that rose 2.4% year-over-year to $678 million. Both figures exceeded analysts’ forecasts, though Etsy’s gross merchandise sales declined 6.5% to $2.72 billion following the sale of music gear marketplace Reverb.

Even with Wednesday’s decline, shares of Etsy are up about 30% year-to-date.

–Bill McColl

Microsoft Suffers Azure, 365 Outages Before Earnings Report

12 hr 48 min ago

Hours before it was set to report third-quarter results, Microsoft (MSFT) said some customers were having trouble accessing it Azure cloud and 365 services.

At 12:26 p.m. ET, the tech giant wrote on its Microsoft 365 Status account on X that it was “investigating reports of issues accessing Microsoft 365 services and the Microsoft 365 admin center.”

Minutes later, Microsoft wrote on its Azure status page that “starting at approximately 16:00 UTC, we began experiencing DNS issues resulting in availability degradation of some services. Customers may experience issues accessing the Azure Portal. We have taken action that is expected to address the portal access issues here shortly. We are actively investigating the underlying issue and additional mitigation actions.”

Microsoft shares were down about 0.7% roughly three hours before it delivers its earnings report.

Caterpillar Stock Hit a Record Wednesday—AI Had a Lot To Do With It

12 hr 58 min ago

Caterpillar (CAT) shares skyrocketed to an all-time high when the big farm and construction machines maker easily beat profit and sales expectations, with strong demand for data center power-generation equipment more than offsetting tariff headwinds.

The company reported third-quarter adjusted earnings per share of $4.95, about 10% above what analysts surveyed by Visible Alpha were looking for. Revenue increased 9.5% to $17.64 billion, $1 billion above forecasts.

All three of Caterpillar’s segments posted gains, but the Energy and Transportation unit was the big story, with sales jumping 17% to $8.4 billion. Within the energy segment, power generation sales surged 31%, easily outpacing other applications. Sales rose 7% to $6.76 billion in Caterpillar’s Construction Industries segment, and increased 2% to $3.11 billion in Resource Industries.

In a call with analysts, CEO Joe Creed said the strong results this quarter were “driven by resilient demand and focused execution across our three primary segments,” according to a transcript provided by AlphaSense. Creed also said tariff costs were at the top end of the company’s estimate of $500 million to $600 million, but even with that headwind, “adjusted operating profit margin was slightly above our expectation, primarily due to better than expected sales volume.”

Shares of Caterpillar were up 12% in midday trading on Wednesday and are up more than 60% in 2025.

–Bill McColl

Meta Is Set to Report Earnings Later Today. Its AI Plans Will Be in Focus

13 hr 4 min ago

Meta is set to release its third-quarter earnings report after the closing bell Wednesday, with investors likely to be watching closely for more signs that its AI spending is paying off.

Compared to many of its big tech peers—some of which are also set to report this week—Meta Platforms (META) has been relatively successful in convincing investors to back its AI goals so far, though their continued support could depend on the company’s ability to show strong revenue gains in tonight’s report.

The Facebook, Instagram, and WhatsApp owner is seen reporting earning of $6.70 per share on record revenue of $49.55 billion, boosted by gains in its ad businesses, thanks in part to AI-driven improvements in its offerings for advertisers.

The outcome of tonight’s report could drive a big move in Meta’s stock, with options pricing suggesting traders anticipate it could swing 6% in either direction by the end of this week following the results.

Shares of Meta have climbed nearly 30% in 2025 so far, and Wall Street analysts believe that the social media giant’s stock has further room to rise. The mean target of analysts surveyed by Visible Alpha near $873 would suggest roughly 16% upside from where the stock was trading at midday Wednesday.

–Kara Greenberg

Insurer Centene’s Unexpected Profit Sends Its Stock Soaring

13 hr 8 min ago

Centene (CNC) shares soared over 10% in recent trading after the health care services and insurance provider posted a surprise profit and lifted its outlook.

The company reported adjusted earnings per share of $0.50 for the third quarter, while analysts had anticipated a loss. Its revenue rose 18.2% year-over-year to $49.69 billion, also topping estimates compiled by Visible Alpha.

A jump in demand for Medicare prescription drug plans and higher Medicaid premiums helped boost Centene’s results.

Looking ahead, Centene said it now sees full-year adjusted EPS of at least $2, compared to its earlier estimate of $1.75.

CEO Sarah London said the results and higher outlook “demonstrate tangible progress against the near-term milestones we laid out for investors in July.”

Shares of Centene had plunged in July after the company withdrew its full-year outlook, citing worries about its plans offered on the Affordable Care Act exchanges. The stock has yet to recover to its levels before that drop. Even with today’s gains, shares of Centene have lost about 40% of their value in 2025.

–Bill McColl

Here’s How Much Traders Expect Google Parent Alphabet’s Stock to Move After Earnings

13 hr 19 min ago

Google parent Alphabet is scheduled to report third-quarter results after the bell on Wednesday, with traders betting on a sizable move in the tech giant’s stock.

Options pricing suggests traders expect Alphabet (GOOGL) stock could move about 6% in either direction by the end of this week. A move of that size off Tuesday’s close near $268 would push shares to about $283 at the high end, in what would represent a new all-time high for the stock, or drag them down to about $252, where they were last week. 

Alphabet shares posted modest gains in the range of 1% to 3% in the days after posting its results in three of the four past quarters. However, they tumbled 7% the day after the company released its fourth-quarter results in February, when the tech giant announced big spending plans for this year.

Shares of Alphabet have added over 40% of their value in 2025, making it one of the best-performing Magnificent 7 stocks for the year so far, behind AI investor favorite Nvidia (NVDA).

Still, Wall Street analysts are overwhelmingly bullish, with 12 of the 15 analysts with current ratings compiled by Visible Alpha calling it a “buy” compared to three neutral ratings, though the stock has already blown past their mean target of $254 with its recent gains.

The tech giant is projected to report earnings per share of $2.26 for the third quarter on a 13% year-over-year jump in revenue to $99.9 billion, according to consensus estimates.

–Kara Greenberg

Consumers Expect Inflation to Get Worse, Even as Fed Cuts Rates

13 hr 26 min ago

Consumers fear that the persistently high price increases plaguing their budgets may not get better anytime soon, according to a recent report.

They are growing more worried about inflation accelerating, according to a survey by The Conference Board released Tuesday. They also told the independent economics research group that they expect inflation to hit 5.9% a year from now, up from the expectation of 5.8% in September.

That’s in contrast to Fed officials, who predict inflation will fall over the next year, and are confident enough in that forecast that they’re expected to cut the central bank’s key interest rate this week.

“Consumers’ write-in responses were led by references to prices and inflation, which continued to be the main topic influencing consumers’ views of the economy,” Stephanie Guichard, senior economist of global indicators at The Conference Board, wrote in a commentary.

Read the full article here.

–Diccon Hyatt

Cheesecake Factory Stock Drops on Weaker-Than-Expected Revenue

14 hr 21 min ago

Shares of The Cheesecake Factory (CAKE) fell roughly 5% Wednesday, a day after the restaurant chain reported smaller-than-expected revenue growth.

After the bell yesterday, the Calabasas Hills, Calif.-based company posted third-quarter revenue of $907.2 million, up nearly 5% year-over-year but below the $911.9 million consensus estimate of analysts surveyed by Visible Alpha. Adjusted earnings of $0.68 per share topped expectations of $0.60.

The Cheesecake Factory comparable restaurant sales ticked 0.3% higher, but analysts were looking for nearly 1% growth.

“While the restaurant industry is navigating a softer environment, we remain confident in our ability to manage through it while continuing to execute our long-term strategy,” CEO David Overton said.

Shares of The Cheesecake Factory are up 9% this year, trailing the S&P 500’s 17% gains.

Boeing Stock Falls After Plane Maker Records Nearly $5B Charge on Delayed 777X Deliveries

15 hr 5 min ago

Boeing (BA) was among the worst-performing stocks in the Dow Jones Industrial Average on Wednesday morning, with shares down about 2% after the plane maker reported third-quarter results.

The company reported an adjusted loss of $7.47 per share, far worse than the loss of $2.56 per share expected by analysts polled by Visible Alpha. Revenue of $23.27 billion topped expectations.

Boeing recorded a $4.9 billion charge “associated with updated 777X certification timing,” it said, and “now anticipates first delivery in 2027.”

“While we are disappointed in the 777X schedule delay, the airplane continues to perform well in flight testing, and we remain focused on the work ahead to complete our development programs and stabilize our operations in order to fully recover our company’s performance and restore trust with all of our stakeholders,” CEO Kelly Ortberg said.

Boeing shares have added roughly a quarter of their value this year.

Nvidia Just Became the First $5 Trillion Company—Monitor These Crucial Stock Price Levels

15 hr 49 min ago

Nvidia (NVDA) became the first company to ever achieve a market capitalization of $5 trillion as its stock surged in early trading Wednesday.

Shares were up 4.5% at $210 recently, after gaining 5% yesterday following a keynote address from CEO Jensen Huang at Nvidia’s developers conference in Washington, D.C. where he highlighted the companyt’s latest AI products and announced several deals.

The chipmaker unveiled a $1 billion investment in Nokia (NOK), as well as a new strategic partnership with the Finnish tech firm in an effort to expand its AI infrastructure push. Nvidia also announced that it will collaborate with Oracle (ORCL) to build AI supercomputers for the U.S. Department of Energy and collaborate with Palantir Technologies (PLTR) on the development of an integrated AI technology stack.

Nvidia shares have gained more than 50% since the start of the year as investors have piled into the stock amid strong demand for AI chips and optimism about the company’s ongoing growth prospects. The company’s $5 trillion market cap is substantially higher than the next companies on the list of the world’s most valuable—Microsoft (MSFT) and Apple (AAPL) have market caps around $4 trillion.

Nvidia shares broke out from a rising wedge on Tuesday on the highest trading volume since late May, signaling buying conviction behind the move.

Although chart watchers often associate this pattern as bearish, it can also indicate a bullish continuation rather than a reversal if it forms during a strong uptrend, as is the case on Nvidia’s chart.

Read the full technical analysis piece here.

–Timothy Smith

Caesars Entertainment Attributes Weak Results in Part to ‘Lower City-Wide Visitation’ in Las Vegas

17 hr 16 min ago

Caesars Entertainment (CZR) reported weaker-than-expected third-quarter results before the bell Wednesday. It attributed them in part to fewer visitors to its home base of Las Vegas.

Shares of Caesars sank 8% in premarket trading after the casino operator reported a wider loss and slightly less revenue than analysts had expected.

The company posted a loss of $0.27 per share and revenue of $2.87 billion, essentially flat from a year ago. Analysts surveyed by Visible Alpha had projected a loss of $0.07 per share and revenue of $2.89 billion.

Caesars posted Las Vegas revenue of $952 million, down from $1.06 billion a year ago and below expectations of $1.00 billion, while its adjusted EBITDA in the gambling mecca of $379 million was down from $472 million and below the consensus forecast of $416 million. “Our Las Vegas segment Adjusted EBITDA declined during the quarter due to lower city-wide visitation and poor table games hold,” Caesars said.

Caesars shares entered Wednesday having lost roughly a third of their value this year.

Fiserv Stock Nosedives on Weak Results; Firm to Change Listing, Ticker, Leadership Team, Board

17 hr 49 min ago

Fiserv (FI) announced several pieces of news in addition to third-quarter results before the bell Wednesday. None is benefitting its struggling stock.

Shares of Fiserv sank nearly 30% in premarket trading after the fintech firm announced weaker-than-expected results and said it would be changing its listing, ticker, leadership team, and board.

The Milwaukee-based firm reported adjusted earnings of $2.04 per share on revenue that grew 1% year-over-year to $5.26 billion. Analysts surveyed by Visible Alpha had expected $2.63 and $5.69 billion, respectively.

Fiserv also lowered its 2025 organic revenue growth to a range of 3.5% to 4% and adjusted EPS of $8.50 to $8.60. Last quarter, it projected organic revenue growth of about 10% and adjusted EPS of $10.15 to $10.30.

“Along with today’s guidance reset, we have launched One Fiserv, an action plan focused on the pillars that have long distinguished the company, including great client service, value-added technology solutions and leading innovation,” CEO Mike Lyons said. “Our current performance is not where we want it to be nor where our stakeholders expect it to be.” 

The company also named Paul Todd its new CFO, effective Friday. Todd previously served as CFO of Global Payments, and will succeed Robert Hau, “who will serve as a senior advisor through the first quarter of 2026 to support a smooth transition.” Fiserv also also announced that Gordon Nixon, Céline Dufétel, and Gary Shedlin will replace three members of its board on Jan. 1, with Nixon becoming Independent Chairman.

Finally, Fiserv announced it intends to transfer its listing to the Nasdaq from the New York Stock Exchange on Nov. 11, and change its ticker symbol to “FISV” from the current “FI.”

Fiserv shares entered Wednesday down about 38% this year.

Stock Futures Rise Ahead of Fed Decision

18 hr 37 min ago

Futures tied to the Dow Jones Industrial Average rose 0.1%.

S&P 500 futures were up 0.2%.

Nasdaq 100 futures rose 0.4%.