Stocks across software, semiconductors and payments were moving sharply in midday trading as investors digested a fresh batch of earnings, guidance updates and deal headlines. Workday shares jumped after results beat expectations, while Salesforce extended a post-earnings rally. In contrast, Nvidia slid after a strong prior session, and PayPal sank following a report that a major deal effort was abandoned.
Key takeaways
- Workday shares rose 6% after second-quarter results topped estimates, signaling resilient demand for its enterprise AI platform.
- Salesforce added 3% as it continued a post-results rebound, supported by a beat on revenue and profit plus gains tied to strategic investments.
- PayPal fell nearly 16% after Bloomberg reported that Advent and Stripe decided not to pursue a buyout, underlining deal risk for leveraged transaction narratives.
- Marvell dropped 10% on quarterly guidance that came in below analyst expectations, reflecting pressure from semiconductor demand and margin assumptions.
- Crypto-linked names declined as bitcoin retreated, with bitcoin quoted around 3% lower near midday.
What drove the move
Workday climbed about 6% after posting second-quarter adjusted earnings of $2.75 per share and revenue of $2.65 billion. Analysts surveyed by LSEG had expected $2.61 per share and $2.64 billion. The upside reinforced investor appetite for enterprise software platforms tied to AI deployments.
Salesforce advanced roughly 3% as the company continued its rebound after an earlier earnings beat. The stock’s momentum follows a second-quarter performance that topped expectations on both the top and bottom lines, and it also reflected a reported $2.6 billion gain from strategic investments, including its stake in AI startup Anthropic.
Nvidia fell more than 3% after gaining nearly 9% in the prior session, a shift that pointed to investors taking profits following a recent rally. The stock’s move was directionally consistent with a broader “buying on strength” pattern that often emerges after outsized prior-day gains, even when no specific new catalyst was cited in the midday report.
Amazon rose nearly 4% after Evercore ISI raised its price target to $355 from $315. Analyst Mark Mahaney said that survey evidence indicated “agentic AI” is additive for Amazon Retail for the first time, a framing investors typically interpret as improved monetization potential from AI initiatives.
PayPal plunged nearly 16% after Bloomberg reported that buyout firm Advent and payment processor Stripe decided not to pursue the transaction. The report, citing people familiar with the matter, said the deal would have been among the largest leveraged buyouts. The sharp drop reflected the market’s sensitivity to deal certainty and the premium investors place on successful merger pathways.
Affirm gained about 5% after reporting fiscal fourth-quarter revenue of $1.17 billion, ahead of an LSEG estimate of $1.11 billion. The company also issued first-quarter revenue guidance above expectations, supporting the view that consumer credit momentum remains durable.
Gap jumped nearly 13% after announcing a leadership change at Old Navy. Michael Francis will take the helm starting Nov. 2, succeeding Haio Barbeito. In addition, the company reported second-quarter adjusted earnings of 52 cents per share versus an LSEG consensus of 48 cents, adding to the positive read-through for the turnaround trajectory.
Elastic surged more than 17% after full-year guidance topped analysts’ expectations. The company forecast adjusted earnings per share in a range of $3.29 to $3.37, compared with an LSEG expectation of $3.24.
Marvell Technology dropped 10% after its current-quarter adjusted earnings outlook of $1.10 per share (plus or minus 5 cents) came in below the LSEG consensus of $1.07 per share. The company also guided non-GAAP gross margin for the period to 57.5% to 58.5%, versus an estimated 58.5% StreetAccount consensus call.
Rubrik slid more than 11% despite beating on revenue and profit. The company reported second-quarter revenue of $427 million and non-GAAP earnings per share of 20 cents excluding items, compared with analyst expectations of 4 cents per share and $396 million. The weakness coincided with reported non-GAAP gross margin of 81%, slightly below the 81.7% StreetAccount consensus.
Autodesk fell about 4% after its earnings projections missed estimates. The company projected third-quarter adjusted earnings per share of $3.04 to $3.09, while analysts surveyed by LSEG were looking for $3.14.
Market reaction and sector implications
The midday moves underscored a split between investors rewarding earnings beats and those focused on forward guidance precision. Workday and Elastic benefited from stronger-than-expected outlooks and results, while Nvidia’s pullback followed a strong prior session rather than a guidance miss in the reported items. For semiconductors and enterprise IT, Marvell’s guidance and Autodesk’s forecast range highlighted how even small expectation gaps can trigger double-digit stock declines.
Payments and deal dynamics also drove outsized volatility. PayPal’s steep drop aligned with investor concerns that a major transaction narrative can collapse quickly when pursuing parties walk away. In the crypto-adjacent space, the report said crypto stocks declined as bitcoin prices pulled back, reinforcing that these equities remain tightly coupled to broader market moves in digital-asset pricing.
What to watch next
Investors will likely focus on follow-through from this batch of earnings and guidance reactions, particularly for companies where forward outlooks appeared to diverge from consensus. Next, attention should turn to additional enterprise software updates, semiconductor demand commentary, and any further clarity on payment-sector deal prospects, alongside upcoming macro data and central bank signals that continue to shape risk appetite.
