Nasdaq futures tumbled on Thursday following results from Broadcom that, despite a strong revenue increase, came with guidance that disappointed investors used to lofty estimates. The S&P 500 and Dow futures traded around breakeven as traders continued to factor in ongoing tensions in the Middle East.
By 05:05 ET (09:05 GMT), benchmark futures displayed divergent moves: the Dow futures contract was up 134 points, or 0.3%, the S&P 500 futures were down 36 points, or 0.5%, and Nasdaq 100 futures had fallen by 339 points, or 1.1%.
Premarket movers and company updates
- Broadcom - The chipmaker reported a 48% year-over-year rise in second-quarter revenue, attributed in the report to booming demand for artificial intelligence chips. However, shares fell significantly in premarket trading after management issued guidance that failed to satisfy some investor expectations. The stock has already climbed roughly 38% year-to-date prior to Thursday's moves.
- Cryptocurrency and blockchain names - Several firms tied to digital assets moved lower after Bitcoin slid to a near four-month low. The list of decliners included Coinbase Global, Riot Platforms, Mara Holdings, Hut 8, and Bit Digital. The note also mentioned that Strategy, identified as a major Bitcoin buyer, reduced its position.
- CrowdStrike - The security software company posted first-quarter results that beat analysts' estimates, but the results were not sufficient to buoy a stock that has more than doubled since March, leaving the share price lower in premarket action.
- Five Below - The discount retailer traded down despite raising its full-year guidance and reporting first-quarter returns that exceeded estimates.
- Netskope - The cloud security firm tumbled after it disclosed an adjusted quarterly loss of $0.06 per share.
- PVH - Shares of the parent company of Calvin Klein and Tommy Hilfiger slipped after earnings-per-share guidance came in below Wall Street expectations, with analysts calling out headwinds related to the Iran war.
- Sleep Number - The mattress retailer plunged after a Wall Street Journal report said the company is planning to file for Chapter 11 bankruptcy.
- Orion Energy - The U.S. LED lighting and electric-vehicle charging provider saw its stock pop on fiscal fourth-quarter revenue that beat expectations.
Market context and observation
The early-session dispersion between futures on different indexes reflected investor sensitivity to both company-level guidance and broader geopolitical developments. Broadcom's results illustrate how strong top-line growth driven by AI-related demand can still leave markets wanting clearer forward-looking signals. At the same time, the rout in Bitcoin pressured a set of companies closely linked to the cryptocurrency ecosystem.
What to watch next
Traders and portfolio managers will likely continue to track corporate guidance for cues on demand trends, especially in AI hardware, and monitor developments in the Middle East that were cited as a factor for muted moves in S&P and Dow futures. Additionally, any follow-up on Sleep Number's reported bankruptcy plans and further volatility in digital asset prices could keep pressure on related equities.