Major indexes finished higher Friday to wrap up a week of strong gains. Earnings moved several stocks, while Friday's breakouts included Alphabet. Apple led the Dow's charge in the stock market today.
On Friday, the Dow rose 0.5%, or 207 points. Its rise followed the prior session's sharp downside reversal that saw the index cut below the 44,000 level. Blue chips finished the week up 1.4%.
The S&P 500 scored a 2.4% increase in the first full trading week of August. Friday's gain amounted to 0.8%. Information Technology and Communication Services were the strongest of the benchmark's 11 sectors. Three groups — real estate, utilities, and industrials — were in the red.
The Nasdaq rose 3.9% for the week. The move was powered in part by Friday's 1% rise that left the index with a record high close, at 21,450.02. The index on Thursday showed another stalling session as volume rose and the index couldn't make meaningful price progress, closing in the bottom half of its intraday range. Note that the Nasdaq has reversed sharply lower off highs three times since July 31.
The small-cap Russell 2000 rose 0.2%. Growth stocks, as tracked by the Innovator IBD 50 ETF, picked up 0.4%.
Apple was a highflier Friday, rising more than 4%, stretching its weekly surge. Fellow Magnificent Seven stock Alphabet moved up more than 2% and cleared a 197.95 buy point.
Also, Cisco Systems reached new highs ahead of its earnings report next week. The stock was still within the 5% buy zone from a 69.78 buy point. Investors will watch to see if the networking equipment maker extends a quarterly profit growth run.
Meanwhile, SoundHound was a big winner as quarterly sales swelled on AI demand.
In the bond market, the yield on the benchmark 10-year Treasury note rose four basis points to 4.28%.
3:23 p.m. ET
GoDaddy Extends Losses
In other moves, GoDaddy extended losses after its second-quarter results. Earnings of $1.41 per share grew 40% while sales rose 8% to $1.2 billion. The web hosting service provider guided midpoint sales of $1.23 billion for its third quarter, matching estimates. Shares had been retreating from the 50-day moving average after a breakout failed in February and tumbled further on Friday.
2:30 p.m. ET
SoundHound AI Soars
Among individual movers, SoundHound rallied 30% after the voice AI platform provider posted a more than 200% leap in second-quarter revenue, to a record $42.7 million. It also raised its full-year midpoint sales outlook to $169 million, up from $167 million. Its loss of 3 cents per share narrowed from the year-earlier quarter.
Restaurant stock SweetGreen plummeted more than 25%. Shares had been facing resistance at the 50-day moving average since January and tumbled further below that level on Friday. The company posted a second-quarter loss of 20 cents per share, which widened from its loss of 13 cents a year earlier. Sales grew 1% to $185.6 million.
Texas Roadhouse dropped sharply on earnings. Shares fell nearly 7% below a cup-with-handle's buy point of 199.99 and triggered a sell signal. Earnings of $1.86 per share grew 4% while sales of $1.5 billion increased 13%.
Artificial Intelligence News And AI Stocks To Watch
12:59 p.m. ET
Gold Stocks Extend Gains
In commodities, gold approached $3,500 an ounce. Gold stocks extended gains. Kinross Gold hit a 20% profit zone from a buy point of 15.96. Gold Fields traded just below its profit zone after hitting it on Thursday from a buy point of 26.36. The VanEck Gold Miners, a holding in IBD SwingTrader, was extended from a buy point of 54.70.
Leaderboard stock Wheaton Precious Metals rose about 2% but was off session highs. The company reported revenue of $503.2 million, up 68% year over year and well above the $464.7 million consensus. Wheaton scored another all-time high after a breakout recently over a 95.23 buy point.
Meanwhile, restaurant stock SweetGreen plunged 27%. Shares had been facing resistance at the 50-day moving average since January and tumbled further below that level on Friday. The company posted a second-quarter loss of 20 cents per share, wider than its loss of 13 cents per share a year earlier. Sales grew 1% to $185.6 million.
12:08 p.m. ET
Stock Market Today: Alphabet Jumps
Google parent Alphabet jumped over the 200 level and cleared a 197.95 entry. Alphabet joined the Leaderboard model portfolio Thursday as a new half size position. We increased it to a full-size position earlier today.
Cisco Systems, CoreWeave Highlight Latest Earnings Calendar
Apple jumped by nearly 3% after two days of strong gains. Apple stock showed bullish technical action with a decisive move above its 200-day moving average. Shares are up more than 10% this week. Chief Executive Tim Cook visited the White House this week and announced another $100 billion in U.S. investment, bringing the total to $600 billion over the next four years.
Monster Beverage was a top gainer in the S&P 500. The stock gapped out of a flat base after the energy drink maker reported earnings and revenue growth that accelerated from the first quarter. The stock was well off its highs, but shares were still up more than 6%.
Inside the MarketSurge Growth 250, growth stocks were a mixed bag again. Two stocks in IBD's aerospace and defense group scored big gains after reporting earnings. Kratos Defense & Security jumped to an all-time high despite reporting a 21% drop in quarterly profit. Revenue growth accelerated from the first quarter, though, rising 17% to $351.5 million.
Group peer Karman also reported strong results but early gains faded.
10:45 a.m. ET
Earnings News
The Nasdaq showed another stalling session Thursday as volume rose and the index couldn't make meaningful price progress and closed in the bottom half of its intraday range. Note that the Nasdaq has reversed sharply lower off highs three times since July 31.
Several stocks soared again after reporting earnings in what's been an earnings season filled with gold mines – and some land mines.
Leaderboard stock Wheaton Precious Metals rose more than 2% but pared that rise. The company reported revenue of $503.2 million, up 68% year over year and well above the $464.7 million consensus. Wheaton scored another all-time high after a breakout recently over a 95.23 buy point.
Lidar technology leader Ouster, meanwhile, surged 24% after the small cap reported earnings and revenue growth that accelerated from the first quarter. The company shipped a record 5,500 sensors, fueled by strong demand in warehouse automation, yard/dock logistics and robotaxis.
Earnings land mines included Sezzle and Twilio, which showed double-digit percentage declines in the early going.
Pinterest and FanDuel parent Flutter Entertainment also logged sharp declines. Flutter's results come after competitor DraftKings reversed lower earlier in the week despite a strong earnings report.
Nasdaq Hits New High, But Note This; Three Titans Flash Buy Signals
9:45 a.m. ET
Nasdaq 100: Winners, Losers
Inside the Nasdaq 100, Gilead Sciences, and Monster Beveragewere among the biggest winners at the start of Friday's session.
Gilead stock jumped 8%, topping a 117.60 buy point, while Monster surged 7.9% to break out past a 64.45 entry.
On the downside, Microchip Technology, DoorDash and Shopify stumbled at the opening bell.
Microchip sold off 6%, falling further below the 50-day line, as DoorDash slipped 2.4%. Finally, Shopify decline 1.3%, threatening to extend Thursday's losses.
8:54 a.m. ET
Stock Market Today: Under Armour Dives On This Warning
Under Armour stock tumbled 21% after the company warned of "ongoing uncertainty around trade policies and the broader macroeconomic environment." The company did not provide a full-year outlook.
Shares closed Thursday more than 44% off their 52-week high.
8:27 a.m. ET
Dow Jones Winners: Apple, Chevron, Nvidia
Inside the Dow Jones Industrial Average, Apple rallied 0.5% Friday premarket, on pace to extend a win streak to three sessions. Shares are attempting to regain their long-term 200-day line for the first time since March.
Energy giant Chevron moved up 0.5%, closing in on a 157.21 cup-with-handle entry. And Nvidia gained 0.5% Friday after hitting an all-time high Thursday, topping out at 183.88.
8 a.m. ET
Stock Market Today: Trade Desk Plunges On Earnings
Late Thursday, advertising leader Trade Desk reported second quarter earnings that matched estimates while revenue slightly topped Wall Street targets. September guidance met expectations, disappointing investors hoping for a company turnaround.
Trade Desk stock plunged more than 31% in premarket trading, set to scrub off all of the stock's gains since early May.
Earnings Movers: Block, Expedia, Pinterest, Twilio
Other key earnings movers Friday included Atlassian, Block, Expedia, Flutter Entertainment, Instacart, Pinterest, Take-Two, Twilio
Atlassian shares rallied 2.3%, while Block jumped 8.6%. Expedia soared 16%, but Flutter sank 2.1%. Instacart leaped 14%, as Pinterest dived 12%.
Finally, Take-Two advanced almost 6%, but Twilio crumbled 14% in premarket trading.
Be sure to follow Scott Lehtonen on X at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
Also, follow Ken Shreve on X @IBD_KShreve for more stock market analysis and insight and VRamakrishnan on X/Twitter for more news on the stock market today.
