Tech Earnings Drive Market Moves as Alphabet Nears Nvidia Valuation

The company guided for second-quarter revenue of $11.2 billion at the midpoint, implying 46 percent growth. Other chip-related names showed mixed reactions with Arm Holdings shares dropping 8 percent after weak royalty revenue tied to softness in lower-end smartphones.

Fortinet shares gained 15 percent after the cybersecurity firm forecast earnings that beat estimates and raised its full-year revenue outlook with particular strength in hardware. Fluence Energy jumped 31 percent following a narrower-than-expected quarterly loss and an maintained 2026 revenue forecast above consensus.

Conversely, Fastly shares slumped 25 percent after first-quarter results failed to sustain a prior rally. Whirlpool shares fell 18 percent after the appliance maker cut its full-year revenue forecast. Zoetis shares declined 10 percent following a reduction in adjusted earnings-per-share guidance for the year.

Warby Parker gained 7 percent after beating revenue estimates while Celsius Holdings rose 4 percent on an earnings and revenue beat.

Premarket movers reflected broad participation in the technology sector with most of the largest companies posting gains. Albemarle climbed 6 percent after beating sales estimates while Coherent dropped 3 percent on gross margin shortfalls. Sezzle shares rose 15 percent after raising its full-year revenue growth forecast.

The earnings reports come as investors continue to assess the impact of artificial intelligence spending across the technology supply chain. Cloud providers and semiconductor firms have seen varied responses to their results with some demonstrating accelerating growth while others face headwinds in specific end markets such as smartphones.

Alphabet's advance reflects changing sentiment toward companies positioned to benefit from enterprise AI adoption. The firm has emerged as both a major cloud provider and a chip supplier through custom processors that have attracted customers including AI developers.

Its cloud performance has outpaced larger rivals in recent quarters. Nvidia has pulled back from all-time highs reached earlier this year. Reports of slower user and revenue growth at certain AI developers contributed to the moderation in its share price.

The semiconductor leader still commands a valuation well above most global companies. The company recently gained FDA acceptance for a new daily oral HIV treatment. Its shares rose 2.1 percent ahead of the release. Paramount reported first-quarter revenue of $7.3 billion that topped expectations.

The company also highlighted plans to produce 30 films annually following its acquisition of Warner Bros. Other consumer and industrial names including Whirlpool and Shake Shack faced downward pressure after issuing cautious outlooks.