16 minutes ago
Companies need to answer tougher questions about AI, says Niles
Dan Niles of Niles Investment Management said the market could reach a critical point when earnings start being reported in the coming weeks.
Niles said market participants are afraid of missing out on artificial intelligence, but the upcoming earnings season will bring tougher questions that companies will have to answer about the return on investment in the technology, he said.
“There will be a yes moment in the next few weeks,” he told CNBC’s “Fast Money.”
He said that could add breadth to the market rally as traders look harder to see which companies will be long-term winners from tech.
“Not every company is Nvidia,” Niles said.
Alex Harring
28 minutes ago
And the winner since the market lows in October is… the Nasdaq Composite Index.
The Nasdaq Composite Index had risen 41.77% since its recent low in late October 2023 through Monday’s close.
See the chart…
The Nasdaq Composite Index after the closing price on October 26, 2023.
In contrast, the S&P 500 has risen 32.93% since its October closing low, while the Russell 2000 index of small-cap stocks has risen 23.52%.
The Dow Jones Industrial Average has lagged the broader market, rising 19.62% from its October closing low.
Scott Schnipper
45 minutes ago
Chegg surges after layoffs announcement
Chegg shares rose more than 22% in after-hours trading after the education technology company announced a restructuring that included job cuts.
The company announced it would reduce its global workforce by 23%. Chegg also reiterated its goal of achieving EBITDA margins of at least 30% in fiscal 2025.
Chegg shares are expected to plummet 77% in 2024, marking their fourth consecutive year of declines.
Alex Harring
58 minutes ago
Lennar, Lay The Boy move forward with revenue
Shares of Lennar and Ray The Boy diverged in after-hours trading as investors reacted to their respective earnings reports.
Homebuilder Lennar fell 2.5 percent despite better-than-expected second-quarter results. The company earned $3.45 a share on revenue of $8.77 billion, while analysts surveyed by LSEG were expecting $3.24 a share on revenue of $8.52 billion.
Meanwhile, Lay The Boy shares rose more than 10% after profits beat Wall Street expectations. The furniture maker posted fourth-quarter earnings of 95 cents a share, excluding overhead costs, on revenue of $554 million. Analysts surveyed by LSEG had expected just 70 cents a share and $516 million, respectively.
Alex Harring
1 hour ago
Stock futures little changed
Stock futures were roughly flat just after 6 p.m. ET.
Dow futures rose just 0.1%, while S&P 500 and Nasdaq 100 futures were both little changed.
Alex Harring
