Intel's worst day in about 50 years
In one line, Intel beat the quarter and still had its worst day since 1974 because the next quarter looked weak. Intel fell 28.98% to $65.39.
Easy version of the November 2 U.S. stock note. It covers the prior Friday. This is not investment advice. A broker price target is that firm's written price, not a buy instruction here.
In one line, Intel beat the quarter and still had its worst day since 1974 because the next quarter looked weak. Amazon's cloud grew fast, but cash after equipment spending was deeply short.
Intel fell ▼ 28.98% to $65.39. Third-quarter revenue was $16.5 billion and adjusted earnings per share were $0.52, above forecasts. Adjusted means one-time costs were removed. Fourth-quarter revenue guidance of $15 billion to $16 billion was well below a $17 billion forecast. PC revenue fell ▼ 9% from the prior quarter as high memory prices hurt PC demand. An Israel plant problem was expected to cost about $300 million of fourth-quarter revenue. Adjusted gross margin was expected to fall from 44.1% to 38.0%. BofA moved its view from buy to neutral and its target from $145 to $100.
Amazon fell ▼ 1.37% to $240.45. Third-quarter revenue was $201.9 billion and earnings per share were $1.89, a bit below forecasts. Quarterly capital spending was $77.3 billion, above a $58.7 billion forecast. Capital spending is money spent on long-lived things such as servers. Twelve-month free cash flow was a $42.4 billion deficit. Free cash flow is cash left after that spending. A deficit means cash was short. AWS revenue rose ▲ 39%, the fastest growth in about five years. The CEO said this year's roughly $220 billion of capital spending would be even larger next year. A drop of more than 7% after hours shrank to a 1% regular-session loss. Goldman Sachs kept a buy view and trimmed its target from $375 to $370.
SanDisk fell ▼ 13.40% to $1,152.00 even after fiscal first-quarter revenue of $11 billion, up 378%, and adjusted earnings per share of $49.51. It also announced an 8-for-1 split. A split increases the number of shares and divides the price. It does not by itself change the whole company's value. Management hinted that selling-price gains could slow, and memory-peak worry grew. RBC cut its target from $1,600 to $1,400.
Reddit fell ▼ 29.29% to $91.64, its biggest drop since the 2024 listing. Third-quarter revenue of $895 million, up 53%, beat forecasts, but fourth-quarter revenue guidance of $1.0 billion to $1.03 billion missed hopes. The CEO said Google AI search cut October search referrals by more than 1 million a week on average. JPMorgan cut its target from $185 to $150, and Goldman Sachs from $215 to $140.
Roblox fell ▼ 18.11% to $42.96. Third-quarter revenue and bookings beat forecasts, but fourth-quarter bookings guidance of $1.89 billion to $2.0 billion, down 10% to 15% from a year earlier, missed a consensus of about $2.01 billion. Average daily users were 138 million, and hours of use fell ▼ 15%. Morgan Stanley kept an overweight view and cut its target from $55 to $50.
Global Payments rose ▲ 13.07% to $96.92. A report said private-equity firm CD&R was working with top holder GTCR on a take-private deal worth about $40 billion. Talks were still early. If it happened, DK said it could be one of the largest leveraged buyouts, a purchase funded mostly with debt. The stock had been more than 60% below its 2021 high after the 2025 Worldpay deal raised debt worry.
Three lines to keep. A good past quarter can still crash a stock if the next quarter looks weak. Amazon showed both fast cloud growth and a cash deficit. The Global Payments jump was an early report, not a finished deal.
Left out: later names. The cause of the Israel plant problem was not detailed. The buyout was not confirmed.