Dow Jones Today: Stock Futures Point to Lower Open as Alphabet, AMD Slide After Disappointing Earnings

Supermicro Soars Ahead of Business Update

25 minutes ago

Shares of Super Micro Computer (SMCI) surged Wednesday for a second straight session after the troubled server maker said it would give a second-quarter business update next week.

Supermicro, as the company is known, said Monday it would be giving its update after markets close on Feb. 11. That sent shares nearly 9% higher yesterday, as investors watch whether the company will be able to submit all its delayed regulatory filings with the Securities and Exchange Commission (SEC) by Feb. 25 in order to preserve its public listing on the Nasdaq.

The stock was up another 9% in midday trading Wednesday as the company announced it was ramping “full production availability of its end-to-end AI data center Building Block Solutions accelerated by the NVIDIA Blackwell platform.”

“In this transformative moment of AI, where scaling laws are pushing the limits of data center capabilities, our latest NVIDIA Blackwell-powered solutions, developed through close collaboration with NVIDIA, deliver outstanding computational power,” Supermicro CEO Charles Liang said in a press release.

Despite their two-day surge, Supermicro shares have lost more than half their value over the past year and are down about 75% from their record high set in March.

The stock has suffered amid concerns about the company’s accounting practices. Last August, short seller Hindenburg Research accused the firm of “accounting manipulation,” and two months later, EY resigned as its auditor, saying it was “unwilling to be associated with the financial statements prepared by management.”

–Aaron Rennie

Uber Sinks as Bookings Forecast Disappoints

1 hr 10 min ago

Uber Technologies (UBER) shares plunged Wednesday after the rideshare giant’s gross bookings outlook came in light.

Uber registered fourth-quarter net income of $6.88 billion, or $3.21 per share, on revenue of $11.96 billion. Analysts had expected profit of $1.04 billion, or $0.48 per share, on revenue of $11.76 billion, according to Visible Alpha. Its profits were boosted by more than $6 billion from a “benefit from a tax valuation release,” and another $556 million from a revaluation of the company’s investments.

Uber’s Q4 operating income of $770 million missed estimates of $1.21 billion. Its adjusted EBITDA of $1.84 billion came in a tick below expectations.

For the first quarter, Uber projects gross bookings from $42 billion to $43.5 billion, compared with the $43.48 billion consensus, as it expects a 5.5% currency headwind.

Uber shares were down 7% in recent trading, pushing the stock into negative territory for the past year.

–Aaron McDade

Chipotle Slips on Soft Sales, Potential Impact of Tariffs

1 hr 45 min ago

Shares of Chipotle Mexican Grill (CMG) slipped Wednesday, a day after the Mexican fast-casual restaurant chain reported revenue that came in short of analysts’ expectations.

Chipotle reported fourth-quarter revenue rose 13% to $2.85 billion, a tick below Visible Alpha estimates. Comparable restaurant sales growth of 5.4% was also less than expected. Adjusted earnings per share (EPS) came in at $0.25, in line with forecasts.

The company said that the revenue gains came through the addition of 119 new restaurants, helping increase transactions by 4.0%. Chipotle also had a 1.4% rise in average check.

Chipotle projects full-year comparable restaurant sales to be in the low- to mid-single-digit range, while the Visible Alpha estimate was for 3.76%.

CFO Adam Rymer said on the earnings call that the company anticipates 2025 cost of sales “to be in the high 29% range” because of higher prices for food, especially avocados and chicken, according to a transcript provided by AlphaSense.

Rymer added that if the Trump administration’s proposed tariffs on goods from Mexico, Canada and China all go into effect, “it would have an ongoing impact of about 60 basis points on our cost of sales.”

Rymer said the outlook doesn’t take into account the potential tariffs. However, he noted that Chipotle only “sourced about 2% of our sales from Mexico, which includes avocados, tomatoes, limes and peppers. And less than 0.5% of our sales from Canada and China.”

Chipotle shares were down about 2% in recent trading. The stock is up about 20% over the past 12 months, lagging the performance of the S&P 500 during the period.

–Bill McColl

AMD Levels to Watch Amid Post-Earnings Plunge

3 hr 7 min ago

Advanced Micro Devices (AMD) shares tumbled in early trading Wednesday after the chipmaker reported data center sales figures that came in below Wall Street estimates.

Since falling below the 200-day moving average in October last year, AMD shares have trended sharply lower within a narrow descending channel.

More recently, the price has rallied into the pattern’s upper trendline ahead of the company’s earnings report, though the relative strength index (RSI) has failed to climb above the 50 threshold, signaling the stock’s inability to regain momentum.

Investors should watch major support levels on AMD’s chart around $110, $95, and $81, while also monitoring a key overhead area near $130.

AMD shares were down 10% at around $107 in recent trading, at their lowest levels since October 2023. The stock has lost nearly 40% of its value over the past 12 months.

Read the full technical analysis piece here.

–Timothy Smith

Major Index Stock Futures Lower

4 hr 27 min ago

Futures tied to the Dow Jones Industrial Average were down 0.2%.

S&P 500 futures were off 0.5%.

Nasdaq 100 futures fell 0.8%.