Group 1: Applied Materials - Applied Materials' shares increased by 13%, reaching $43.56 per share, following strong earnings and positive guidance [1] - The company reported an EPS of $2.38, beating estimates by $0.17, and revenue of $7.01 billion, which was $130 million above expectations despite a 2.2% year-over-year decline [1] - Future revenue guidance is set between $7.15 billion and $8.15 billion, exceeding the prior estimate of $7.01 billion, with adjusted EPS expected between $2.44 and $2.84, also above the anticipated $2.28 [1] - Wells Fargo noted that Applied Materials expects semiconductor systems revenue to grow over 20% year-over-year, significantly higher than the previous Street estimate of 11% [1] - Bank of America and JPMorgan both maintain positive ratings on Applied Materials, with price targets of $420 and $435 respectively [1] Group 2: Rivian Automotive - Rivian Automotive's shares rose by 26%, or $3.65 per share, after Deutsche Bank upgraded the stock to a buy rating with a price target of $23 [1] - The company reported an EPS loss of $0.66, which beat estimates by $0.13, and revenue of $1.29 billion, which was $20 million above expectations despite a 25% year-over-year decline [1] - Rivian anticipates that 2026 will be a crucial year, with the R2 launch expected to drive vehicle delivery growth and mass market expansion [1] Group 3: Reddit - Reddit's shares are recovering after a decline, with a recent EPS of $1.24, beating estimates by $0.31, and revenue of $725.6 million, up 69.6% year-over-year, exceeding expectations by $58.54 million [1] - The company announced a $1 billion buyback program and expects revenue between $595 million and $605 million, along with adjusted EBITDA in the range of $210 million to $220 million, both ahead of estimates [1]

Market Overview - The stock market is experiencing a pullback from record highs, with the Dow down 204 points and the NASDAQ down 1.5% for the week [1][2][3] - The S&P 500 is down about 0.5%, while the Russell 2000 has seen a gain of 1.5% over the last five days [3][4] - The bond market has shown significant movement, with the 10-year yield at 4.19% and the 30-year yield at 4.86%, the highest level in three months [4][5] Sector Performance - Consumer staples and discretionary sectors are showing limited gains, while technology and energy sectors are underperforming, with XLK down 2.7% [5][6] - Broadcom is a major drag on the NASDAQ, down 11.8% after failing to meet high expectations [6][7] Company Highlights - Oracle has denied reports of delaying data center projects for OpenAI, maintaining that all milestones are on track [29] - Wealthfront made its public debut on NASDAQ, raising approximately $485 million with an opening share price of $14 [30] - Costco reported better-than-expected earnings, with comparable sales climbing 6.4%, although membership fees saw a slight decrease [31] Investment Insights - Carvana, Robinhood, and Coinbase have made significant recoveries and are being added to the S&P 500, with Carvana's stock up 11,000% from its lows [13][15][18] - The Fed cut rates by 25 basis points, with expectations for one or two more cuts by the end of the year [20][21] - Analysts suggest that the market is currently focused on the Fed's actions and the implications for inflation and employment [21][22] Future Outlook - Rivian is focusing on developing custom self-driving chips as part of its AI strategy, aiming for a significant shift in transportation technology [33][34] - The bond market outlook for 2026 suggests a potential increase in yields, with a focus on the 5-30 year yield curve [68][70] - Concerns about credit dispersion in the corporate market are rising, with some sectors expected to struggle in 2026 [75][76]