Invezz·2025-11-04 21:04Market Overview - US stocks experienced a significant decline, with the S&P 500 falling by 1.17%, the Nasdaq Composite dropping by 2%, and the Dow Jones Industrial Average losing 251 points, or 0.5% [2][4] - The losses were primarily concentrated in high-growth technology stocks, raising concerns about elevated valuations following a strong market rally earlier in the year [2][5] AI Sector Performance - AI-linked companies saw substantial declines, with Palantir Technologies dropping 7% despite reporting better-than-expected third-quarter earnings and optimistic guidance [3][5] - Other notable AI stocks, including Oracle and AMD, also fell, with Oracle down 3% and AMD losing over 3.7% [5] - The S&P 500's forward price-to-earnings ratio has surpassed 23, nearing its highest level since 2000, which has raised fears of a potential market correction [5] Corporate Developments - Papa John's shares plummeted 10% after Apollo Global Management withdrew its offer to take the company private, marking its steepest single-day drop since March 2020 [7] - Tesla's stock fell by 5.51% amid scrutiny over CEO Elon Musk's proposed $1 trillion pay package, with significant opposition from major shareholders like Norway's $1.9 trillion sovereign wealth fund [8] - Nvidia shares declined approximately 3.9% following investor Michael Burry's bearish position against the company, highlighting growing skepticism about the sustainability of the AI rally [8][9] Uber's Financial Results - Uber Technologies reported a 20% year-over-year revenue increase to $13.47 billion, with profits rising to $6.62 billion and trip volumes reaching a record 3.5 billion [9][10] - Despite strong results, Uber's stock fell 5% due to fourth-quarter earnings guidance that slightly missed analyst expectations [9][10]