US Markets: Weekly Earnings Summary May 2
Over the past ten-day period, strong results from tech giants drove the NASDAQ-100 index up by 2.87%. The ongoing earnings season clearly shows that the AI and data center boom is generating real revenue, while rising costs and one-off factors require a sharper eye from investors.
Revenue grew by 31.7% to $1.8 billion, but operating profit fell to a $53.6 million loss. The loss was driven by $223.8 million in one-off severance costs. The market looked past the loss, as 29% growth in cloud services and strong demand for AI products demonstrate the true strength of the business. The stock made a strong 24.22% gain over the week, supported by the company's decision to raise its future sales forecasts.
The company's operating profit growth accelerated significantly to 36.6%, and revenue increased by 18.6% to $4.8 billion. The strong result was driven by recovering demand for analog chips, especially in the industrial and data center markets. Although the stock rose only 1.40% over the week, it reached a new 52-week high. The positive tone from analysts and a better-than-expected second-quarter outlook confirm that the slump in the chip market is beginning to pass.
Seagate's operating profit jumped 131.2% and revenue grew by 44.1%. The main engine of growth is high demand from data centers – the company's production capacity for high-capacity hard drives is almost completely sold out until 2027. This supported pricing and lifted margins. The stock reacted positively to the results, rising 24.00% over the week and reaching a new record high.
NXP's operating profit grew by 108.2%, but this was significantly inflated by a $627 million one-off gain from the sale of its sensor business. However, the core business also showed strength: revenue grew by 12.2%, driven by sales of automotive and industrial chips. The stock price rose 21.0% over the week to a new record high. A strong second-quarter forecast confirms that demand remains robust even without one-off gains.
The pharmaceutical giant's operating profit grew by 236.7% and revenue by 55.5% to $19.8 billion. The growth is driven by the success of new drugs Mounjaro and Zepbound, whose sales volumes grew by a staggering 65%. Strong results and the raising of the 2026 revenue expectation dispelled earlier fears about a slow start for the new drugs. The stock ended the week up 8.98%, showing investors' faith in the company's growth story.
Intel's results were mixed: operating profit fell to a $3.1 billion loss. However, this was driven by $3.9 billion in one-off restructuring costs. The market focused instead on the 7.2% revenue growth and a 22% jump in the data center and AI unit. A strong second-quarter forecast points to a recovery, which drove the stock 20.7% higher over the week to a new 52-week high.
The tech giant's operating profit grew by 30.1% and revenue by 21.8% to $109.9 billion. The results were driven by a 28% growth in YouTube ad revenue and a 35% jump in Google Cloud, supported by new AI contracts with major clients. Additionally, the company announced a new AI partnership with the US Department of Defense. These strong news items drove the stock up 11.9% over the week, reaching a new 52-week high.
Meta showed a strong core business: revenue grew by 33.1% and operating profit by 30.3%, supported by a 19% increase in ad impressions and 12% higher prices. Despite the good numbers, the stock fell 9.8% over the week. The decline was caused by a sharp increase in the AI investment forecast to $125–145 billion and a $25 billion bond sale, which sparked investor fears about near-term profitability.
Qualcomm's revenue fell by 3.5% and operating profit decreased by 2.4%. The decline was driven by a 13% drop in smartphone chip sales, caused by memory chip supply constraints and weakness in the Chinese market. However, strong results from the automotive and Internet of Things (IoT) businesses helped cushion the fall. The market reacted positively to a better-than-expected second-quarter profit forecast, and the stock gained 18.9% over the week.
The solar panel manufacturer's operating profit growth accelerated to 56.1% and revenue increased by 23.1%. The results were driven by a 31% higher sales volume and strong demand in the US and Indian markets. Additionally, the gross margin improved to 46.6% thanks to tax incentives and lower freight costs. The strong report dispelled earlier fears of a weak year, pushing the stock 9.26% higher over the week and restoring investor confidence.
The company's operating profit grew by 41.7% and revenue by 26.3% to $7.87 billion. The main engine of growth is the construction boom in power grids and data centers, where owning specific equipment allows for higher margins. A stronger-than-expected quarter and the raising of 2026 forecasts show that demand remains robust. The stock reacted to the news with an 18.8% rise, reaching a new record high.
Data center construction boosted the company's operating profit by 132.5% and revenue by 56.8%. The electrical segment showed particularly strong growth (+88%). The result was also supported by a $43 million one-off gain from project modifications. A record $12.45 billion order backlog and a dividend hike drove the stock up 8.2% over the week to a new 52-week high, although future growth expectations cooled slightly.
Conclusion
The ongoing earnings season clearly confirms one major trend: AI and data center construction are bringing real and accelerating revenue to companies. At the same time, the examples of Meta and Intel show that investors are also keeping a close eye on rising costs and one-off factors. In the coming weeks, similar dynamics are expected to continue, where the market rewards a strong core business but punishes excessive cost pressure. Stay up to date with market developments and use the RYTM platform to get quick and informed overviews!
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