Nvidia has found success in China by selling automotive chips to the country’s electric car companies. But the U.S. semiconductor giant has been restricted from sending some products to China. So far, electric vehicle makers do not seem to be affected.
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Check out the companies making headlines in midday trading.
Nvidia — Nvidia surged 25% during midday trading the day after it issued a blockbuster earnings report. The rally brought the chipmaker’s market cap to just below the $1 trillion milestone, last around $942 million, according to FactSet.
Monolithic Power Systems — Artificial intelligence beneficiaries such as Monolithic Power Systems got a boost from Nvidia’s strong results. Monolithic Power Systems is an under-the-radar AI pick that’s expected to provide power management solutions for Nvidia’s H100 graphics processing units, according to Needham. Shares surged 15%. Other AI beneficiaries that also got a boost include Marvell Technology and Broadcom, which rose more than 3% each. Adobe shares jumped 6%.
Dish Network — Shares jumped 7% on news that the company is in discussions with Amazon to sell wireless phone plan services on the e-commerce platform, according to a report from The Wall Street Journal.
Advanced Micro Devices — Semiconductor and semiconductor equipment makers took off after Nvidia’s strong results. Advanced Micro Devices and Synopsys jumped 10%, each. Shares of Applied Materials advanced 5%.
Snowflake — The cloud computing stock tumbled nearly 17%. Late Wednesday, Snowflake reported second-quarter product revenue guidance that was below expectations, according to StreetAccount. It did, however, beat on the top and bottom lines in its first-quarter results.
American Eagle Outfitters — American Eagle Outfitters dropped 13% during midday trading. The apparel retailer lowered its outlook late Wednesday. The clothing retailer reported a mixed quarter, with revenue slightly beating estimates and earnings meeting expectations, per Refinitiv.
Ralph Lauren — The luxury apparel retailer saw its shares jump 6% after the company beat earnings estimates and reported a surprise rise in revenue for its fiscal fourth quarter, according to Refinitiv. Ralph Lauren also said its sales in China jumped 30% as demand for luxury items rebounded amid the reopening.
Best Buy — Shares of the electronics retailer gained 1% after the company issued its fiscal first-quarter results. While the company posted slightly better than expected earnings, according to Refinitiv, sales missed estimates. Best Buy also reiterated expectations for weaker spending on consumer electronics this year.
Carnival — The cruise line added 2% on the back of an upgrade to buy from neutral by Citi. The firm said Carnival is at a turning point in regard to its balance sheet, and the broader cruise industry is getting more attention from investors.
— CNBC’s Alex Harring, Hakyung Kim, Yun Li and Tanaya Macheel contributed reporting