U.S. stocks traded lower and higher across sectors before the bell, with technology leading the downside as memory-chip names came under renewed valuation pressure. At the same time, several large banks and healthcare companies moved on quarterly results and guidance updates, while others slid on trial and operating news.
Key takeaways
- Memory chip stocks fell broadly: SK hynix, Western Digital, Seagate each dropped more than 5%, with Micron and SanDisk also sliding after concerns resurfaced about memory valuations.
- Catalyst in chips: The move followed South Korea’s softer backdrop and discussion around CXMT’s plan to roll out a new, more powerful chip by the end of 2026.
- Banks showed mixed earnings reaction: JPMorgan shares rose after an improved net interest income outlook, while Wells Fargo edged lower on mixed results and Goldman Sachs gained after revenue beat.
- Healthcare and pharma were a support: UnitedHealth rose on results that beat expectations, while Johnson & Johnson reported better-than-expected numbers but still declined.
- Idiosyncratic news drove losers: Syndax dropped after its Phase 2 trial missed a primary endpoint, and Domino’s slid as same-store sales growth came in only line with consensus.
Memory chip selloff spreads across U.S.-listed peers
Memory-related stocks came under pressure as investors reacted to a downbeat overnight session in South Korea and growing concerns about the valuation of memory shares. U.S.-listed names moved sharply lower: SK hynix, Western Digital, and Seagate each fell more than 5%. Micron slid 3.7%, while SanDisk declined 4.6%.
In the background, market participants were also tracking plans from CXMT to roll out a new, more powerful chip by the end of 2026. While longer-dated product roadmaps can be supportive, the immediate market response suggested investors are more focused on near-term supply-demand expectations and pricing power than on future technology upgrades.
Banks: guidance helped JPMorgan, but earnings tempered the move
Financial shares saw divergent reactions to earnings and guidance. JPMorgan Chase shares rose nearly 1% after the bank raised its net interest income outlook for the year. However, gains were limited after JPMorgan reported third-quarter earnings and revenue that missed analyst expectations.
Wells Fargo fell about 1.1% on mixed Q3 results. Earnings per share were $1.87, slightly above an LSEG estimate of $1.85, but revenue came in at $21.87 billion, below the $22.3 billion forecast. The split between profitability and top-line performance appeared to weigh on investor sentiment.
Goldman Sachs advanced 2.8% after reporting third-quarter revenue of $18.68 billion, exceeding an LSEG estimate of $16.71 billion. The upside reaction pointed to investors prioritizing revenue strength amid ongoing scrutiny of deal activity and trading trends.
Healthcare: UnitedHealth and Johnson & Johnson move on results
UnitedHealth shares rose about 2% after reporting third-quarter results that beat analyst expectations. The company posted an adjusted profit of $4.69 per share on revenue of $112.69 billion, compared with analysts’ estimates of $4.14 per share and $111.40 billion, according to LSEG.
Johnson & Johnson, meanwhile, reported better-than-expected results for the third quarter, with adjusted earnings of $2.59 per share on revenue of $25.4 billion. LSEG’s consensus called for $2.54 per share and $25.28 billion. Despite the beat, the stock dropped more than 2%, indicating that investors may have been weighing other factors beyond headline earnings and revenue, including forward-looking expectations not captured in the initial figures.
Other notable movers: Domino’s, Syndax, and Six Flags
Domino’s Pizza shares fell nearly 3% after results failed to impress investors. While earnings per share and revenue exceeded analyst estimates, U.S. same-store sales rose 0.3%, which was only in line with a FactSet consensus. The reaction suggested that investors were looking for stronger momentum in demand metrics rather than modest improvement.
Syndax Pharmaceuticals tumbled 14% following disappointing clinical trial data. The company said axatilimab did not meet its primary endpoint in a Phase 2 trial targeting idiopathic pulmonary fibrosis. The company noted that the MAXPIRe trial did not meet its primary endpoint and said it was disappointed given the scientific rationale behind the approach.
Six Flags fell 7% after a roller coaster incident in Georgia in which a man died and others were injured, according to Cobb County police. The move reflected the potential for increased scrutiny, operational disruption, and reputational risk following accidents.
What to watch next
Investors will likely focus on whether the memory sector’s valuation concerns extend beyond a single session and whether upcoming industry updates shift expectations for pricing and demand. In financials, traders may also look for more clarity on how raised guidance translates into full-year earnings power. For companies moving on earnings, attention will turn to management commentary in the next reporting cycle, while clinical and incident-driven names may see volatility as more details emerge.
