Yahoo Finance·2025-07-24 15:38Market Trends & Earnings Analysis - McGra Hill raised $414 million in its IPO [1] - Tesla's Q2 performance met expectations, while Alphabet's earnings call showed bullish commentary on cloud demand and AI monetization [2] - IBM had a good quarter, but the stock is getting hit, while Chipotle had an unsavory quarter, and that stock is getting shredded [3] - Chipotle shares opened down 13% after a disappointing earnings report with a larger-than-expected drop in same-store sales and traffic, prompting a cut to its full-year outlook [5][6] - The Dow opened around 300 points lower, S&P 500 is up around 02%, and the NASDAQ is up roughly 03% [9] - Alphabet raised its capex guidance by $10 billion [25][29] Company Performance & Strategies - Future Standard (formerly FS Investments) highlights a bifurcated earning season, noting investors are becoming more comfortable with AI investments despite potential margin impacts [15][16][17] - Alphabet's AI spend is strong, benefiting the hyperscalers and the broader industry [19] - Pivotal Research raised its price target on Alphabet shares to $245 [22] - Keurig Dr Pepper's US refreshment beverage business is up double digits, driven by core carbonated soft drinks and newer additions like Ghost Energy, which is now a $1 billion business [48][49][50][51] - Keurig Dr Pepper is confident in delivering mid-single-digit topline growth and high-single-digit EPS growth [62] Economic Factors & Challenges - Lower-income consumers are pulling back on spending, impacting the fast-food casual space [7] - Tariffs are a headwind for Keurig Dr Pepper's business, particularly concerning green coffee, but the company has built that into its outlook [59][60][61] - Additional spending in the AI complex will contribute approximately 045% of GDP next year [33] Tesla Analysis - Tesla is in a transition phase, not just an EV play but not yet a robo-taxi company, facing challenges with broken promises and delayed launches [36][37] - Tesla's EV sales are slowing in the US and facing competition in Europe, with potential impact from the removal of EV tax credits [40][41]