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Tech Stocks

General Commentary
Updated: 03-May-24 16:28 ET

The major averages closed out an up-and-down week higher across the board, aided by Friday's advance, as the Nasdaq Composite finished up +1.4%, while the Dow Jones Industrial Average added +1.1%, and the S&P 500 gained +0.6%. A softer-than-expected Friday jobs report and tech earnings reports allowed the markets to charge higher to close out the week. 

Putting the finishing touches on the winning week for the markets was a Friday affair that saw weekly losses flip to weekly gains, the Nasdaq up just shy of +2%, the S&P 500 higher by +1.3%, and the DJIA added +1.2%.

Chief among the best technology earnings movers this week were MercadoLibre (MELI 1630.56, +124.57, +8.27%), Q2 Holdings (QTWO 60.36, +0.78, +1.31%), Apple (AAPL 183.38, +10.35, +5.98%), and Qualcomm (QCOM 179.64, -0.46, -0.26%).

Looking at some of this week's top news items among technology stocks:

  • Alphabet's (GOOG/L 168.99, +0.53, +0.31%) Google announced plans to cut hundreds of "Core" staff in a move to shift work to India and Mexico.
  • Recent S&P 500 addition Super Micro Computer (SMCI 782.70, +20.18, +2.65%) lost -8.7% this week after a Q3 revenue miss was enough to overshadow an otherwise upbeat report and guidance.
  • Other notable earnings stocks included this week Amazon (AMZN 186.21, +1.49, +0.81$), Advanced Micro (AMD 150.60, +4.44, +3.04%), Motorola Solutions (MSI 353.70, +17.46, +5.19%), Block (SQ 69.47, -0.83, -1.18%), and eBay (EBAY 49.65, +0.26,+ 0.53%).
  • Samsung (SSNLF 40.59, flat) gained modestly on the Korean Exchange this week after reporting strong Q1 profits.
  • Not to be forgotten, in addition to earnings Apple also announced a 4% dividend increase as well as a $110 bln stock repurchase program.
  • Chinese EV stocks ended higher across the board this week after reporting April delivery numbers. Top weekly gainers included NIO +24.05%, XPEV +15.62%, LI +11.82%, and BYDDY +7.05%
  • Bucking the trend higher this week were cybersecurity stocks. The ongoing fallout from the UnitedHealth (UNH 492.45, -0.52, -0.11%)/Change Healthcare cyberattack continues to rattle Amplify Cybersecurity ETF (HACK 60.75, -0.47, -0.77%) constituents including Cloudflare (NET 74.40, -14.57, -16.38%), F5 Networks (FFIV 165.94, -0.13, -0.08%), and Fortinet (FTNT 58.88, -6.32, -9.69%), all of which also reported earnings this week.

As we look ahead to next week's earnings docket we've got reports coming from Uber (UBER 69.23, +0.66, +0.96%), Arm Holdings plc (ARM 101.70, +3.70, +3.78%), Microchip (MCHP 91.36, +1.90, +2.12%), The Trade Desk (TTD 88.59, +0.47, +0.53%), and Electronic Arts (EA 129.56, +1.06, +0.82%), among others.


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