S&P 500 futures advanced 0.5% early Thursday after Nvidia beat earnings expectations and forecast strong revenue growth ahead. Dow and Nasdaq 100 futures also climbed, with Salesforce, Okta and Agilent among the stocks making notable moves after their own earnings.
Stock futures rose early Thursday as investors parsed the latest earnings reports from Nvidia and other well-known technology companies. Dow Jones Industrial Average futures climbed 183 points, or 0.3%. S&P 500 futures advanced 0.5%, while Nasdaq 100 futures jumped 0.8%. The three major indexes had finished Wednesday's session little changed.
Nvidia earnings drive the move
Nvidia shares added more than 4% after the chipmaker beat analyst expectations and forecast strong revenue growth ahead. Its fiscal second-quarter revenue more than doubled and surpassed forecasts by its largest amount in two years. Still, shares had dropped more than 1% in Wednesday's session, marking the stock's eighth down day of the last nine.
Jamie Meyers, senior securities analyst at Laffer Tengler Investments, said all that needs to happen is for the multiple to roll forward, and the stock should do well over time. According to CNBC: "For us, as long term-investors, the stock is too cheap to ignore", he said.
Salesforce and Okta lead earnings winners
Salesforce soared 12% postmarket after reporting second-quarter revenue of $11.35 billion versus a consensus estimate of $11.32 billion, according to LSEG data. Its adjusted earnings more than doubled from a year ago to $5.90 per share on an investment gain, and the stock would add 160 points to the Dow Jones Industrial Average if the gain holds.
Okta shares surged 19% after its second-quarter results beat expectations, with adjusted earnings of $1.05 per share on $805 million in revenue, above the 97 cents and $795 million analysts surveyed by LSEG had forecast. The company also raised its full-year earnings and revenue guidance. Agilent Technologies jumped 4% after reporting $1.88 billion in third-quarter revenue against a $1.84 billion forecast from analysts polled by FactSet.
Traders are also readying for the start of the Federal Reserve's annual symposium in Jackson Hole, Wyoming, which kicks off Thursday, alongside earnings from Best Buy, Workday, Affirm and Gap.
Source: CNBC
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