If there's one thing Microsoft's recent earnings report made abundantly clear, it's that investors have zero tolerance for stalling cloud growth, given billions being funneled into AI infrastructure. ... ...

Group 1 - BigBear.ai (NYSE: BBAI) stock fell approximately 6% on Wednesday, indicating ongoing losses for the company [1] - The decline in stock price is attributed to a combination of company-specific challenges and broader volatility within the AI sector [1] - Investor concerns are heightened due to uncertainties surrounding the company's performance and the overall market conditions affecting AI stocks [1]

Core Viewpoint - Super Micro Computer (SMCI) experienced a significant stock rally following a report of over $12.7 billion in revenue for Q2, but institutional investors are cautious about the sustainability of this growth, suggesting the rally may be a "trap" [1] Group 1: Financial Performance - SMCI's revenue more than doubled to $12.7 billion in the second quarter, driven by delayed sales finally being recognized [1] - Despite record revenue, the adjusted gross margin has plummeted to 6.3%, indicating a severe decline in profitability [1] - The company is operating with razor-thin margins, positioning itself as a high-volume, low-margin "box mover" [1] Group 2: Business Model Concerns - A significant 63% of Q2 revenue came from a single large data center client, creating a risky "single point of failure" scenario [1] - The company is facing challenges from rising freight costs, component shortages, tariffs, and expensive logistics, which are impacting its profitability [1] - SMCI's governance issues from 2024-2025 continue to affect its business stability, with major clients diverting orders to more stable partners [1] Group 3: Market Position and Investment Outlook - The opportunity cost of investing in SMCI is high, as the company deals with past accounting issues and auditor resignations [1] - Competitors like DELL and HPE are gaining market share with stronger balance sheets and more transparent corporate structures [1] - Investors are encouraged to consider higher-quality stocks in the AI sector that do not carry the same risks as SMCI [1]

Core Viewpoint - The recent sell-off in software stocks, driven by concerns over generative artificial intelligence impacting profits, may have been excessive, with SAP identified as one of the most unfairly punished companies [1] Company Summary - SAP is highlighted as a company that has been disproportionately affected by the market's reaction to generative AI concerns [1]

Roblox stock price has remained in a freefall this year, moving from a record high of over $150 in July last year to the current $65. This crash has led to a big multi-billion-dollar wipeout as the ma... ...

Group 1 - US stocks showed little change on Wednesday, indicating a stable market environment as investors reassess their positions [1] - The S&P 500 index experienced a slight increase of 0.1%, reflecting minimal movement in the broader market [1] - There is a noticeable rotation out of technology shares, suggesting a shift in investor sentiment and strategy [1] Group 2 - Fresh signs of slowing momentum in the labor market are being evaluated by investors, which may impact future economic outlooks [1]

The US labour market showed little momentum at the start of 2026, with private-sector hiring falling short of even modest expectations, according to a report released on Wednesday by payrolls firm ADP. ...

Eli Lilly reported stronger-than-expected fourth-quarter earnings and issued robust guidance for the coming year, as soaring demand for its GLP-1 drugs reaffirmed its dominance in the global weight-lo... ...

Here's why NVIDIA stock price could be at risk of a crash to $150 false### Choose your country### Choose preferred languagePopular languagesEnglish (USA) [Deutsch] [Español] [Français] [Português]All available languagesEnglish (USA) [English (UK)] [English (Australia)] [English (Canada)] [English (New Zealand)] [English (South Africa)] [English (Ireland)] [English (Singapore)] [English (Nigeria)] [English (Pakistan)] [English (India)] [eština] [Deutsch] [Dansk] [Español] [Français] [Italiano] [] [Melayu] [N ...

Core Viewpoint - Advanced Micro Devices (AMD) reported record fourth-quarter revenue of $10.27 billion and exceeded profit expectations, yet the stock fell 9% in premarket trading due to Q1 guidance falling short of Wall Street's high expectations related to AI growth [1] Financial Performance - AMD's Q4 earnings per share were $1.53, beating consensus by $0.21, while revenue of $10.27 billion surpassed estimates by $630 million [1] - Full-year 2025 revenue reached a record $34.6 billion, representing a 34% year-over-year increase, primarily driven by data center demand [1] - The company's non-GAAP gross margin expanded to 57%, aided by a favorable product mix and a $360 million inventory reserve release on MI308 chips [1] Market Reaction - Despite strong fundamentals, the stock selloff indicates a market dynamic where high expectations lead to disappointment even with stellar results [1] - Analysts noted that AMD's unexpected $390 million in shipments to China during Q4 was not factored into street estimates, suggesting the underlying performance was not as robust as headline figures indicated [1] Guidance and Expectations - AMD's Q1 guidance of $9.8 billion (±$300 million) did not meet the aggressive growth expectations set by the market amid AI hype [1] - The market is concerned about AMD's ability to fulfill its significant AI commitments, with major agreements with OpenAI and Oracle that could yield substantial revenue but carry execution and supply-chain risks [1] Competitive Landscape - The selloff reflects concerns about AMD's competitive position against Nvidia, which holds approximately 92% of the AI chip market and recently announced its next-generation Rubin platform [1] - AMD's Q1 guidance still implies a solid 32% year-over-year growth, but the stock's previous rally of over 100% on AI enthusiasm makes the current reality check seem harsh [1]