Market Update
Stock Movers: Microsoft, Meta, Qualcomm, Carvana
Scott Peters
31 Jul, 2025
New York City
Microsoft Corp. surged 8.3% to $555.74 after the software company reported strong growth in revenue and earnings in the fiscal fourth quarter.
Revenue increased 17% to $76.4 billion from $64.7 billion, net income jumped 22% to $27.2 billion from $22 billion, and diluted earnings per share rose 24% to $3.65 from $2.95 a year ago.
For the fiscal year 2025, revenue advanced to $281.7 billion from $245.1 billion, net income soared to $101.8 billion from $88.1 billion, and diluted earnings per share edged higher to $13.64 from $11.80 a year ago.
During the fourth quarter Microsoft distributed $9.4 billion to its shareholders through dividends and share repurchase programs.
Microsoft estimated double-digit growth in revenue and net income in the next quarter.
“Cloud and AI are the driving forces of business transformation across every industry and sector," said Satya Nadella, chairman and chief executive officer of Microsoft.
“We’re innovating across the tech stack to help customers adapt and grow in this new era, and this year, Azure surpassed $75 billion in revenue, up 34 percent, driven by growth across all workloads.”
Meta Platforms Inc. advanced 11.5% to $775.10 after the parent company of Facebook, Instagram, and WhatsApp reported rapid growth in income and revenue, while costs increased at a slower pace.
Revenue increased 22% to $47.5 billion from $39.1 billion, net income jumped 36% to $18.3 billion from $13.4 billion, earnings per diluted share rose 38% to $7.14 from $5.16, and total costs and expenses increased by 12% to $27.1 billion from $24.2 billion a year ago.
For the six-month period, consolidated revenue advanced to $89.8 billion from $75.5 billion, net income soared to $35 billion from $25.8 billion, and diluted earnings per share edged higher to $13.56 from $9.86 a year ago.
Cash flow from operating activities was $25.56 billion and free cash flow was $8.55 billion a year earlier, respectively.
The company executed share repurchases totaling $9.76 billion of its Class A common stock and distributed $1.33 billion in dividends and dividend equivalent payments."
Meta guided full-year revenue to be between $114 billion and $118 billion. And the company guided revenue in the next quarter to range between $47.5 billion and $50.5 billion.
"We've had a strong quarter both in terms of our business and community," said Mark Zuckerberg, Meta founder and CEO. "I'm excited to build personal superintelligence for everyone in the world."
Qualcomm Inc. decreased 5% to $151.10 despite the wireless technology company reporting a rise in net income in the latest quarter.
Revenue increased to $10.4 billion from $9.3 billion, net income jumped to $2.7 billion from $2.1 billion, and diluted earnings per share rose to $2.43 from $1.88 a year ago.
For the nine-month period, revenue advanced to $33 billion from $28 billion, net income soared to $8.6 billion from $7.2 billion, and diluted earnings per share edged higher to $7.79 from $6.39 a year ago.
The company guided third-quarter revenue between $10.3 billion and $11.1 billion, compared to $10.4 billion, and diluted earnings per share between $2.23 and $2.43, compared to $2.43 a quarter earlier, respectively.
During the third quarter of fiscal 2025, the company returned $3.8 billion to shareholders, comprising $967 million in cash dividends, or $0.89 per share, and $2.8 billion in share repurchases, representing 19 million shares of common stock.
Carvana Co. jumped 15.7% to $385.95 after the online used car retailer reported nearly a six-and-a-half-fold increase in quarterly earnings.
Revenue increased 41.18% to $4.8 billion from $3.4 billion, and net income jumped to $308 million from $48 million a year ago.
Adjusted EBITDA came in at $601 million, compared to $355 million a year earlier.
Operating income stood at $511 million with a 10.6% margin.
The company guided for sequential growth in third-quarter in retail unit sales and full-year adjusted EBITDA between $2.0 and $2.2 billion, up from $1.38 billion last year.
Stock Movers: Microsoft, Meta, Qualcomm, Carvana
Scott Peters
31 Jul, 2025
New York City
Microsoft Corp. surged 8.3% to $555.74 after the software company reported strong growth in revenue and earnings in the fiscal fourth quarter.
Revenue increased 17% to $76.4 billion from $64.7 billion, net income jumped 22% to $27.2 billion from $22 billion, and diluted earnings per share rose 24% to $3.65 from $2.95 a year ago.
For the fiscal year 2025, revenue advanced to $281.7 billion from $245.1 billion, net income soared to $101.8 billion from $88.1 billion, and diluted earnings per share edged higher to $13.64 from $11.80 a year ago.
During the fourth quarter Microsoft distributed $9.4 billion to its shareholders through dividends and share repurchase programs.
Microsoft expects double-digit growth across revenue and net income in the next quarter.
“Cloud and AI are the driving forces of business transformation across every industry and sector," said Satya Nadella, chairman and chief executive officer of Microsoft. “We’re innovating across the tech stack to help customers adapt and grow in this new era, and this year, Azure surpassed $75 billion in revenue, up 34 percent, driven by growth across all workloads.”
Meta Platforms Inc. advanced 11.5% to $775.10 after the parent company of Facebook, Instagram, and WhatsApp reported rapid growth in income and revenue, while costs increased at a slower pace.
Revenue increased 22% to $47.5 billion from $39.1 billion, net income jumped 36% to $18.3 billion from $13.4 billion, earnings per diluted share rose 38% to $7.14 from $5.16, and total costs and expenses increased by 12% to $27.1 billion from $24.2 billion a year ago.
For the six-month period, consolidated revenue advanced to $89.8 billion from $75.5 billion, net income soared to $35 billion from $25.8 billion, and diluted earnings per share edged higher to $13.56 from $9.86 a year ago.
Cash flow from operating activities was $25.56 billion and free cash flow was $8.55 billion a year earlier, respectively.
The company executed share repurchases totalling $9.76 billion of its Class A common stock and distributed $1.33 billion in dividends and dividend equivalent payments."
Meta guided full-year revenue to be between $114 billion and $118 billion. And the company guided revenue in the next quarter to range between $47.5 billion and $50.5 billion.
"We've had a strong quarter both in terms of our business and community," said Mark Zuckerberg, Meta founder and CEO. "I'm excited to build personal superintelligence for everyone in the world."
Qualcomm Inc. decreased 5% to $151.10 despite the wireless technology company reporting a rise in net income in the latest quarter.
Revenue increased to $10.4 billion from $9.3 billion, net income jumped to $2.7 billion from $2.1 billion, and diluted earnings per share rose to $2.43 from $1.88 a year ago.
For the nine-month period, revenue advanced to $33 billion from $28 billion, net income soared to $8.6 billion from $7.2 billion, and diluted earnings per share edged higher to $7.79 from $6.39 a year ago.
The company guided third-quarter revenue between $10.3 billion and $11.1 billion, compared to $10.4 billion, and diluted earnings per share between $2.23 and $2.43, compared to $2.43 a quarter earlier, respectively.
During the third quarter of fiscal 2025, the company returned $3.8 billion to shareholders, comprising $967 million in cash dividends, or $0.89 per share, and $2.8 billion in share repurchases, representing 19 million shares of common stock.
Carvana Co. jumped 15.7% to $385.95 after the online used car retailer reported nearly a six-and-a-half-fold increase in quarterly earnings.
Revenue increased 41.18% to $4.8 billion from $3.4 billion, and net income jumped to $308 million from $48 million a year ago.
Adjusted EBITDA came in at $601 million, compared to $355 million a year earlier.
Operating income stood at $511 million with a 10.6% margin.
The company guided for sequential growth in third-quarter retail unit sales and full-year adjusted EBITDA of $2.0–$2.2 billion, up from $1.38 billion last year.
Japan's Indexes Traded Flat Amid Cautious as U.S.-China Talks Ended Without an Agreement
Akira Ito
30 Jul, 2025
Tokyo
Japan's benchmark indexes were little changed on Wednesday as investors remained focused on the upcoming earnings and the Bank of Japan's rate decisions.
The Nikkei 225 Stock Average and the broader Topix traded around the flatline, and investors awaited the central bank's rate decisions.
The Bank of Japan is widely anticipated to hold short-term rates at 0.5% amid ongoing uncertainty linked to the U.S. trade policy and its impact on the export-focused Japanese economy.
Investor sentiment was dented after the U.S. and China ended their trade talks in Stockholm without an agreement and diverged on the pause for tariff extensions.
Last week, the widely followed indexes advanced after the U.S. and Japan agreed to limit the increase in tariffs to 15% from the current average of 2%, helping the market sentiment to recover.
Japan signaled a tsunami alert after an earthquake of 8.8 magnitude hit Russia's Far Eastern Kamchatka Peninsula on Wednesday.
The Japan Meteorological Agency forecasts waves as high as 3 meters, or 10 feet, to reach vast swathes of coastal areas starting this evening.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged up 0.04% to 40,693.16, and the broader Topix advanced 0.3% to 2,919.03.
Fujikura Ltd. soared 9% to ¥9,756.0, Furukawa Electric jumped 7.3% to ¥8,710.0, Tokyo Electron increased 0.7% to ¥27,250.0, and Keyence Corp. fell 4% to ¥55,060.0.
Japan's Indexes Traded Flat Amid Cautious as U.S.-China Talks Ended Without an Agreement
Akira Ito
30 Jul, 2025
Tokyo
Japan's benchmark indexes were little changed on Wednesday as investors remained focused on the upcoming earnings and the Bank of Japan's rate decisions.
The Nikkei 225 Stock Average and the broader Topix traded around the flatline, and investors awaited the central bank's rate decisions.
The Bank of Japan is widely anticipated to hold short-term rates at 0.5% amid ongoing uncertainty linked to the U.S. trade policy and its impact on the export-focused Japanese economy.
Investor sentiment was dented after the U.S. and China ended their trade talks in Stockholm without an agreement and diverged on the pause for tariff extensions.
Last week, the widely followed indexes advanced after the U.S. and Japan agreed to limit the increase in tariffs to 15% from the current average of 2%, helping the market sentiment to recover.
Japan signaled a tsunami alert after an earthquake of 8.8 magnitude hit Russia's Far Eastern Kamchatka Peninsula on Wednesday.
The Japan Meteorological Agency forecasts waves as high as 3 meters, or 10 feet, to reach vast swathes of coastal areas starting this evening.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged up 0.04% to 40,693.16, and the broader Topix advanced 0.3% to 2,919.03.
Fujikura Ltd. soared 9% to ¥9,756.0, Furukawa Electric jumped 7.3% to ¥8,710.0, Tokyo Electron increased 0.7% to ¥27,250.0, and Keyence Corp. fell 4% to ¥55,060.0.
China, U.S. Talks In Stockholm Inconclusive, Tariff Pause Extension in Jeopardy
Li Chen
30 Jul, 2025
Hong Kong
Stocks in China and Hong Kong faced headwinds after trade talks in Stockholm failed to produce an agreement.
The Hang Seng index declined 0.4%, and the mainland-focused CSI 300 index gained 0.5% as investors worried about the impact of stalled U.S.-China trade negotiations.
China and the U.S. ended their third round of trade talks in Stockholm, and Chinese negotiators said the two sides remained far apart about the timing of new tariffs despite a framework agreement.
Currently Chinese goods imports face a 51% import duty, and negotiators were looking to lower the rate to close to 15%.
Despite the Trump administration's rhetoric about reshoring manufacturing and increasing direct investments, China's imports have been rapidly increasing this year.
The stalled bilateral talks kept market enthusiasm in check in Hong Kong ahead of the release of interim results from eight companies included in the benchmark index.
HSBC is expected to report higher revenue and earnings later today, but Hang Seng Bank may report mixed results.
China Indexes and Stocks
The Hang Seng index decreased 0.4% to 25,414.73, and the mainland-focused CSI 300 index increased 0.5% to 4,173.70.
Electric vehicle makers led the decliners on the worry that intense competition in the sector is likely to negatively impact profit outlook in the near future.
Li Auto Inc. plunged 10.7% to HK $107.40, BYD dropped 4.2% to ¥112.0, and Xiaomi Corp. fell 0.3% to HK $55.20.
Ahead of the earnings release later in the day, HSBC Holdings plc decreased 0.3% to HK $100.50, and Hang Seng Bank declined 0.7% to $122.0.