Post-Bell｜S&P 500 Eases With Eli Lilly; Nasdaq Manages Record Closing High

The Dow and S&P 500 eased on Thursday, as shares of Eli Lilly dropped after data from its oral weight loss drug disappointed, while the Nasdaq eked out a record closing high.

Market Snapshot

The Dow Jones Industrial Average .DJI fell 224.48 points, or 0.51%, to 43,968.64, the S&P 500 .SPX lost 5.06 points, or 0.08%, to 6,340.00 and the Nasdaq Composite .IXIC gained 73.27 points, or 0.35%, to 21,242.70.

Market Movers

Expedia Group — The travel booking website’s shares skyrocketed more than 15% in extended trading after the company’s second-quarter earnings and revenue beat expectations. Expedia also raised guidance for bookings and revenue for the full year.

Block — Shares of the Cash App parent gained nearly 7%. Block stepped up its guidance for full-year gross profit to $10.17 billion. That’s up from its earlier call for $9.96 billion.

Akamai Technologies — The cloud computing company rose 3%. Akamai raised its full-year guidance, calling for adjusted earnings to range from $6.60 to $6.80 per share. That’s up from its earlier outlook for $6.10 to $6.40 per share, and is ahead of the FactSet consensus call for $6.30 per share.

Texas Roadhouse — Shares of the chain restaurant stock fell more than 2%. Texas Roadhouse posted $1.86 in earnings per share for the second quarter, while analysts polled by FactSet anticipated $1.90 per share. On the other hand, revenue came in at $1.51 billion, topping the consensus forecast of $1.50 billion.

Instacart, Inc. (Maplebear Inc.) — Shares of the grocery delivery company, which does business as Instacart, climbed more than 10% in extended trading after reporting second-quarter results that outpaced analysts’ estimates. Instacart earned 41 cents per share on revenue of $914 million. Analysts surveyed by LSEG predicted it would earn 38 cents per share on $896 million in revenue. The company expects the gross value of transactions in the current quarter to be higher than analysts are predicting.

Solventum — The health-care stock popped 4% after posting a second-quarter adjusted earnings and revenue beat. Solventum also lifted its full-year adjusted earnings per share guidance.

Synaptics — The developer of semiconductor products jumped more than 2% on the heels of its better-than-expected results for its fiscal fourth quarter. The company posted adjusted earnings of $1.01 per share on $282.8 million in revenue, while analysts surveyed by LSEG were looking for $1.00 per share on $280.2 million in revenue.

TripAdvisor — Shares rose more than 5% after the online travel company reported mixed second-quarter results. While earnings of 46 cents per share, after adjustments, topped estimates, revenue of $529 million fell short.

Viavi Solutions — The network test and equipment manufacturer surged 11% after reporting fiscal fourth-quarter earnings and revenue results that topped analysts’ expectations, per FactSet. The company also guided for current-quarter earnings and revenue above forecasts.

Wynn Resorts — The casino operator slipped 1% after posting second-quarter earnings of $1.09 per share on $1.74 billion in revenue. Analysts polled by LSEG had expected earnings of $1.21 per share and revenue of $1.75 billion.

Take-Two Interactive Software — The video game producer added almost 4% after posting fiscal first-quarter revenue of $1.42 billion, exceeding the $1.31 billion analysts had expected, per LSEG. The company also raised its annual bookings forecast.

FIGS, Inc. — Shares climbed 7% after the scrubs maker posted second-quarter earnings of 4 cents per share on revenue of $152.6 million. Analysts surveyed by FactSet had expected 2 cents in earnings per share and $144.2 million in revenue.

Pinterest — The social media stock slumped 10%. Adjusted earnings for the second quarter came in at 33 cents per share, falling short of analysts’ call for 35 cents per share, per LSEG.

Sweetgreen, Inc. — Shares tumbled 23% after the salad chain posted second-quarter results that fell short of the Street’s expectations. Sweetgreen also cut its full-year revenue guidance, calling for a range between $700 million and $715 million. That’s down from the prior forecast of $740 million to $760 million.

Yelp — Shares of the restaurant review service slid 3%. Yelp narrowed its full-year guidance, saying it now sees revenue ranging from $1.465 billion to $1.475 billion. The company last called for revenue to land between $1.465 billion and $1.485 billion. The new range is below the FactSet consensus estimate of $1.48 billion.

Microchip Technology — The manufacturer of semiconductors saw shares tumble 6% after it delivered guidance that failed to impress Wall Street. Microchip is calling for fiscal second-quarter adjusted earnings to land between 30 cents and 36 cents per share, while FactSet consensus estimates sought 31 cents per share. Revenue is expected to range between $1.11 billion and $1.15 billion, versus analysts’ prediction of $1.13 billion.

Eli Lilly slumped 14% after the pharmaceutical giant shared an update on its experimental weight-loss pill ahead of quarterly financial results. New data showed a 12.4% body weight reduction over 72 weeks. This compares to a 14.9% reduction over 68 weeks for patients taking Novo Nordisk’s Wegovy. U.S.-listed shares of Novo climbed 7.5%.

Fortinet sank 22%. The cybersecurity company reported second-quarter adjusted earnings of 64 cents a share, beating analysts’ calls for 59 cents. Revenue of $1.6 billion was largely in line with analysts’ forecasts. Management’s comments, however, cast doubt on the company’s opportunity updating or renewing IT infrastructure going forward, KeyBanc analysts noted.

AppLovin Corporation rose 12% after as the digital advertising technology company postedsecond-quarter earningsand guidance that beat expectations late Wednesday. Revenue was $1.26 billion in the quarter, up 77% from last year and above expectations. Free cash flow came in a little soft at $768 million and share buybacks were much lower in the quarter.

Airbnb, Inc. tumbled 8%. The travel company predictedslower growthin the second half of the year and said its margins would be lower than last year, largely due to tough comparable figures. Second-quarter results were solid, with earnings of $1.03 a share on revenue of $3.1 billion in the quarter, beating analysts’ expectations.

Peloton Interactive swung to a surprise profit in its fiscal fourth quarter. The exercise equipment maker reported posted a profit of 5 cents a share, versus analysts’ expectations for a loss of 7 cents a share. The stock rose 0.6%. However, CEO Peter Stern cautioned operating costs remained too high, and said the company was launching a cost restructuring plan intended to achieve at least $100 million of run-rate savings by the end of fiscal 2026.

Nuclear-energy stock Vistra gained 2.4%. The company posted better-than-expected net income and reaffirmed its guidance, which, combined with upbeat commentary on the earnings call, drove shares higher. Clean-energy peer Constellation Energy was down 0.6%.

Sunrun soared 32% after the solar panel installer reported strong earnings after the closing bell Wednesday. Earnings came in at $1.07 a share in the second quarter; analysts were expecting a loss of 9 cents. Revenue of $569 million also came in above the $559 million Wall Street had projected.

DraftKings Inc. traded down 0.4%, even after the online gaming company posted better-than-expected earnings Wednesday andreiterated its full-year outlook. Second-quarter revenue rose 37% from last year to $1.5 billion as DraftKings added more customers and engagement increased alongside good outcomes in its sportsbook operations.

Shares of Duolingo jumped 14% after the language-learning app hiked itsthird-quarter and full-year guidanceon the back of a strong second quarter. Revenue rose 41% from the prior year, while earnings came in 55% above consensus, at 91 cents a share.

Lyft pared some of its earlier gains but still rose 1.6%. Although the ride-hailing companymissed analysts’ revenue expectationsin the second quarter, earnings of 10 cents a share beat analysts’ calls for 4 cents, according to FactSet. Rival Uber Technologies reported better-than-anticipatedearningsin its latest quarter. Shares were up 3.9% on Thursday.

Zillow fell 0.6%. The home-services company reported quarterly earnings shy of estimates but revenue ahead of expectations. The company, known for its home-listings portal, said tariffs and economic uncertainty contributed to a relatively muted property-buying season.

Market News

Trump picks Stephen Miran to fill open spot on Fed Board

U.S. President Donald Trump on Thursday said he will nominate Council of Economic Advisers Chairman Stephen Miran to serve out the final few months of a newly vacant seat at the Federal Reserve while the White House seeks a permanent addition to the central bank's governing board and continues its search for a new Fed chair.

Miran has called for a complete overhaul of the Fed's governance, would take over from Fed Governor Adriana Kugler following her surprise resignation last week, as she returns to her tenured professorship at Georgetown University.

Tesla shuts down Dojo supercomputer team, reassigns workers amid strategic AI shift

Tesla TSLA.O is disbanding its Dojo supercomputer team and its leader, Peter Bannon, will depart the company, Bloomberg News reported on Thursday, citing people familiar with the matter.

The Dojo supercomputer was designed to process vast amounts of data and video from Tesla cars to train the automaker's autonomous-driving software.