Stocks across the defense, software, semiconductors and space sectors were mixed in midday trading, with several company-specific catalysts driving sharp moves. Viasat surged after winning a U.S. Space Force contract, while Oracle slid on plans to raise substantial new capital for its artificial intelligence buildout despite a profit and revenue beat. In semiconductors, Intel jumped after a pair of upgrades tied to strengthening demand for central processing units and the push toward agentic artificial intelligence.
Key takeaways
- Viasat shares rose more than 8% after the company said the U.S. Space Force awarded it a multi-year contract for a dual-band satellite system.
- Oracle shares fell about 11% following plans to raise an additional $20 billion in equity and debt for its AI efforts, even as it beat revenue and profit expectations and raised its adjusted outlook.
- Chip equipment stocks rallied after Oracle’s higher capital expenditure plans, lifting Applied Materials and Lam Research, along with KLA and ASML.
- Intel gained around 5% after being double upgraded to buy, with analysts pointing to improving CPU demand linked to agentic AI adoption.
- Navan jumped about 14% on second-quarter and full-year guidance above FactSet expectations, alongside a first-quarter non-GAAP beat.
What drove the biggest stock moves
Defense and satellite communications: Viasat shares climbed more than 8% after the company announced that the U.S. Space Force awarded it a multi-year contract under the Protected Tactical SATCOM-Global program. The award is intended to deliver a dual-band satellite system, a development investors appeared to view as incremental near- to mid-term demand visibility for satellite communications.
Space sector spillover: Satellite and space-related names also moved higher. EchoStar rose more than 8% ahead of SpaceX’s initial public offering scheduled for Friday. EchoStar holds a stake in SpaceX shares, amplifying investor focus on the IPO as a potential valuation catalyst for the broader space complex.
General Dynamics upgrade: General Dynamics gained almost 5% after Jefferies upgraded the stock to buy. Jefferies said the company’s investments are “paying off” and cited “continued strength” in near-term results. The new Jefferies price target of $400 implies upside of about 17% from Wednesday’s close.
Oracle’s AI funding plan: Oracle shares dropped roughly 11% after the company said it plans to raise an additional $20 billion in equity and debt to support its artificial intelligence buildout. The selloff contrasted with positive fundamentals: Oracle reported an overall beat on both top and bottom lines and raised its adjusted profit forecast for the year, according to the report. Investors still appeared to react primarily to the financing magnitude, reflecting concerns about dilution and leverage trade-offs even amid improved guidance.
Adobe earnings setup: Adobe fell nearly 5% and touched a fresh 52-week low ahead of its fiscal second-quarter results after the bell. Analysts polled by FactSet expected earnings of $5.82 per share and revenue of $6.45 billion, with both metrics anticipated to fall within the company’s earlier guidance range. The move suggested positioning into the print, with the stock’s new low signaling elevated caution.
Semiconductors and equipment: upgrades and capex expectations
Intel upgrade: Intel shares jumped 5% after Bank of America upgraded the stock to buy from underperform, following a double upgrade noted in the trading update. The bank pointed to rising demand for central processing units alongside growing emphasis on agentic artificial intelligence. The pairing of improved AI-related demand expectations with CPU growth helped shift market expectations toward a faster inflection in the chip cycle.
Chip equipment bid: Oracle’s higher planned spending for its AI buildout also fed through to chip equipment stocks. Applied Materials rose about 7% and Lam Research gained roughly 8%. KLA climbed nearly 9% and ASML Holding added more than 5%. The sector’s reaction indicated investors were looking beyond Oracle’s company-level financing to broader capex demand for semiconductor equipment and the infrastructure used to support AI computing.
Enterprise software and travel: guidance beats attract momentum
Navan: Navan shares jumped 14% after the company guided for second-quarter and full-year revenue above FactSet forecasts. Navan also reported a first-quarter non-GAAP earnings and revenue beat. The combination of an upside guide and near-term operating momentum helped drive the stock’s move, with investors likely reassessing full-year demand assumptions.
Alcoa: Alcoa rose more than 2% after falling 9.5% in the prior session. Morgan Stanley characterized the decline as “overdone,” citing pressure in Alcoa’s alumina business, and reiterated a buy rating. The reversal suggested some stabilization after the earlier selloff, though the company’s alumina exposure remained an identifiable risk factor.
Space and memory: sector rebounds and sectorwide momentum
Space complex: Shares of space companies rebounded after Wednesday’s losses and ahead of SpaceX’s IPO. Intuitive Machines rose 12%, Redwire advanced 8%, Rocket Lab added 5%, and AST SpaceMobile gained 7%. The shared upward move reflected a continued focus on the IPO and sentiment around near-term catalysts for the space industry.
Memory stocks: Memory-related chipmakers rallied after a broad selloff the prior day. Sandisk gained about 8%, while Western Digital, Seagate Technology and Micron Technology each rose around 4%. The rebound suggested investors were taking the selloff as a temporary reset, with attention shifting to demand durability in memory as the market reprices risk across the semiconductor supply chain.
What to watch next: Traders are likely to keep attention on upcoming earnings, particularly Adobe’s fiscal second-quarter report after the bell and any follow-through guidance from companies tied to AI infrastructure spending. In addition, with SpaceX’s IPO scheduled for Friday, the broader space complex may remain volatile as investors reassess valuations and expectations for the sector.
