Premarket action across U.S. equities showed broad activity among technology and energy stocks, with Moderna trading higher after reports of hantavirus cases in the United States. According to the Associated Press, a U.S. citizen tested positive for hantavirus, and another American had symptoms but had not tested positive. Moderna, which last week said it was in early-stage development of a hantavirus vaccine, moved higher on the news, CNBC reported.
Lumentum Holding rose nearly 5% on news it will join the Nasdaq 100 index, replacing CoStar on May 18, the report said. Monday.com surged 26% after its first-quarter results beat expectations, aided by an AI platform the company launched. Constellation Energy edged up as it posted first-quarter revenue well above estimates, while Intel continued its rally following its quarterly release. In other notable moves, Mosaic dropped after disappointing earnings, Sony jumped on a sensor collaboration with Taiwan Semiconductor Manufacturing Company, and energy shares rose as oil prices climbed on geopolitical developments.
Key takeaways
- Moderna up nearly 9% premarket on hantavirus news; catalyst: AP reporting a positive case and vaccine-development activity; implication: potential path for hantavirus vaccine development affecting biotech sentiment.
- Monday.com up 26% after beating Q1 earnings and revenue; catalyst: AI platform contributing to top-line growth; implication: investors weighing AI-enabled software demand.
- Lumentum near 5% higher as it joins the Nasdaq 100; catalyst: index reconstitution; implication: potential weight changes for suppliers to large tech names.
- Constellation Energy up about 1% on stronger-than-expected revenue and above-consensus earnings; catalyst: robust first-quarter results; implication: resilience of the utility/renewables mix amid volatile energy prices.
- Micron Technology up 6% with a broader AI-led memory rally; implication: ongoing demand for memory chips tied to AI deployment supports sector momentum.
What drove the move
Several drivers intersected in premarket trading. Monday.com’s 26% leap followed a first-quarter results beat, with the company noting revenue growth of 24% year over year to $351.3 million, aided by its AI platform. Analysts polled by FactSet had expected revenue of $339.1 million, underscoring the strength of the company’s top line. The market’s focus on AI-enabled software and the resilience of software-driven growth supported multiple names in the sector.
In hardware, Lumentum’s move higher was tied to the upcoming Nasdaq 100 rebalancing, which will include the company starting on May 18. The shift in index composition often triggers passive inflows and short-term positioning adjustments, supporting stock moves around the announcement.
Constellation Energy’s revenue surprise—from $11.12 billion versus a consensus near $8.46 billion—was complemented by above-forecast adjusted earnings, at $2.74 per share against estimates of around $2.54. The outperformance highlighted the earnings power of its renewable and conventional-energy mix in the quarter.
Micron Technology’s continued strength appeared to reflect a broader AI memory-demand narrative. The stock has already jumped markedly in the past month on expectations of persistent demand for memory chips driven by AI workloads, with the latest move adding to that momentum.
On the consumer-electronics and semiconductors front, Sony’s more-than-6% gain followed news of a joint venture with Taiwan Semiconductor Manufacturing Company to develop and manufacture image sensors, combining Sony’s sensor-design strengths with TSMC’s process technology to boost performance.
Energy names traded higher as oil prices rose following geopolitical developments: Iran rejected the latest U.S. peace proposal, and President Donald Trump rejected Iran’s counteroffer. Valero Energy climbed about 2%, while Occidental Petroleum, Devon Energy and ConocoPhillips each rose roughly 1.5% as markets priced in potential supply and demand shifts.
In the fintech and crypto-adjacent space, Circle Internet Group rose about 1% after reporting mixed first-quarter results. Earnings per share of 21 cents beat expectations by 3 cents, but revenue of $694 million missed the consensus of $722 million. Circle also disclosed a $222 million token presale, raising capital from major institutions including BlackRock, Apollo, and Intercontinental Exchange.
Finally, the memory-chip rally continued for Micron, which advanced after a prior move higher, with the AI-driven demand backdrop helping lift the stock by about 77% over the past month, according to CNBC.
Market reaction
Premarket dynamics reflected a broad risk-on tilt, with technology and AI-related names leading gains while select energy stocks advanced on macro developments. The tone suggested that investors are prioritizing earnings resilience in software and hardware makers, coupled with sentiment tied to AI demand and potential index shifts. The day’s moves also underscored the sensitivity of individual names to quarterly results and strategic partnerships, as seen in Monday.com’s gains and Sony’s sensor JV.
What analysts are saying
Analysts highlighted the earnings beats and the revenue outperformance in several reports. For Monday.com, FactSet consensus indicated revenue expectations of $339.1 million, underscoring the significance of the company’s 24% year-over-year growth to $351.3 million. In Constellation Energy’s case, the Street’s forecast was $8.46 billion for first-quarter revenue, with earnings expectations of $2.54 per share—numbers the company surpassed. Mosaic’s miss versus a 24-cent consensus for adjusted earnings per share underscored the variability within the sector, contributing to a 5% drop in its shares. Circle’s mixed results showed EPS beats but a revenue miss, highlighting the market’s nuanced reaction to topline versus profitability signals. For Lumentum, the index-add to Nasdaq 100 provided a different kind of catalyst, reflecting how passive flows can influence stock movement ahead of a reconstitution event.
Bigger picture
The basket of moves points to a market sensitive to both earnings quality and macro-driven catalysts. The AI narrative remains a persistent support for software and memory players, while semiconductor makers rally on expectations of continued AI deployment and supply-demand dynamics. At the same time, geopolitical developments shaping energy prices underscore the sensitivity of energy stocks to cross-border tensions and policy signals. Investors appear to be weighing how durable the current AI-led growth cycle can be, against the backdrop of rate expectations and global macro uncertainty.
Looking ahead, traders will monitor upcoming earnings and guidance from major tech and energy companies, as well as any further developments around U.S.-Iran relations and oil-market supply. Federal Reserve commentary and macro data releases remain in focus for clues on the rate outlook and the broader risk appetite driving stock performance in the near term.
Closing note: Market participants should stay tuned for additional quarterly reports and any updates related to index rebalancing, AI platform rollouts, and energy-market volatility that could continue to shape premarket and intraday trading in the days ahead.
CNBC’s Tanaya Macheel contributed reporting.
