Stocks ended a quiet trading day with the major indexes closing slightly higher in Tuesday's session. Investors mostly sat on the sidelines ahead of a potentially pivotal earnings report from tech leader Nvidia, due Wednesday after the market close. Among the day's winners was Tesla, while others lagged on the stock market today.
The Dow Jones Industrial Average rose 0.2% but still closed below the 40,000 level. The S&P 500 added 0.3% while the Nasdaq gained 0.2%, with both indexes hitting hit new records. The small-cap Russell 2000 slid 0.2%.
Volume fell on the Nasdaq and rose on the New York Stock Exchange vs. the same time in Monday's session, in preliminary numbers.
Among exchange traded funds, Invesco QQQ Trust added 0.2%. The Innovator IBD 50 ETF bumped up 0.4%.
The benchmark 10-year Treasury yield dipped to 4.41%. West Texas intermediate crude oil sank to $79.06 a barrel.
Stock Market Today: Nvidia Rises As It Bides Time
IBD 50 stock Nvidia gained 0.6% ahead of the company's fiscal first-quarter earnings report, due Wednesday after the market close.
Analysts polled by FactSet expect the graphics-chip maker to earn an adjusted $5.60 a share, up 414% year over year. They see sales of $24.6 billion, up 242%, for the quarter ended April 28.
But all investors will focus on the artificial intelligence leader's outlook for the second quarter. Analysts project Nvidia earnings of $5.96 a share, surging 121% year over year, on sales of $26.62 billion, for a leap of 97%.
The IBD 50 stock is in an irregular base with a 974 buy point, which is also its all-time high, according to IBD MarketSurge. The IBD SwingTrader stock has gained an impressive 91% year to date.
Magnificent Seven Stocks Microsoft, Tesla Act Strong
Magnificent Seven stock Microsoft trimmed larger gains and rose 0.9%, retreating from a buy zone after reaching the 430.82 buy point of a flat base. The tech giant introduced its new AI-backed notebook computer at a media event held at its headquarters.
Meanwhile, fellow Magnificent Seven stock Tesla popped 6.7% Tuesday. The electric-vehicle giant bounced off its 21-day exponential moving average where it had found support. Shares have lost around 25% this year so far.
Tesla increased its loan rates to 1.99% from 0.99% on its 72-month loans, according to Benzinga. Further, PepsiCo announced it is expanding its electric vehicle fleet across California, adding 50 Class 8 Tesla Semi trucks.
Pepsi also plans to use 75 Ford Motor E-Transit electric vans as part of its push toward net zero emissions by 2040. Pepsi stock notched 0.4% higher and Ford shares were flat on the stock market today.
Another EV player, XPeng, jumped 5.9% after the China-based company reported a smaller-than-expected adjusted first-quarter loss, while sales beat views. It projects second-quarter deliveries will increase 25% to 38%, or somewhere between 29,000 and 32,000 vehicles, and revenue will rise 48% to 64%.
Stock Market Today: Trump Stock Plunges
Trump Media & Technology tumbled 8.7% in light volume and tested its 50-day moving average, seeking support. The plunge came after the media company, which is majority owned by former President Donald Trump, reported a first-quarter GAAP loss of $327.6 million. Revenue came in at a modest $770,500.
Eagle Materials tumbled 5.7% in heavy volume and fell further below its 50-day line, triggering a sell signal. The company missed fiscal fourth-quarter earnings and revenue estimates.
The sell-off comes on top of a 5.8% decline on May 16. That drop came a day after the stock broke out of a cup base and reached an all-time high.
Eagle Materials produces cement, concrete, gypsum, wallboard and sand used in residential, commercial, industrial, infrastructure and energy applications.
Eli Lilly Rallies To New High; Electronics Stock Craters
Eli Lilly broke out of a double-bottom base with a 793.67 buy point and is in the 5% buy zone up to 833.35. Shares reached a record high on the stock market today, according to Dow Jones Market Data.
The stock rallied nearly 2.6% on news its diabetes drug tirzepatide received approval from Chinese regulators, according to a Reuters article. Tirzepatide is the active ingredient in Lilly's diabetes drug Mounjaro and its weight-loss drug Zepbound.
In separate news, Lilly's Crohn's disease drug mirikizumab showed clinical remission in a Phase 3 trial in patients after a year of treatment, according to Dow Jones Newswires.
The drug stock has gained around 38% so far this year. FactSet full-year 2024 estimates show earnings of $13.68 a share, up from $6.32 in 2023. Analysts see full-year 2025 earnings at $19.12 a share, according to FactSet.
Nasdaq Hits High But Here Comes Nvidia
Keysight Plunges, Palo Alto Sinks
Meanwhile, Keysight Technologies plummeted 8.4% in heavy trading after the company reported higher-than-expected adjusted profit and revenue for its fiscal second quarter. But its fiscal third-quarter earnings and sales estimates disappointed analysts.
Shares fell below their 50-day and 200-day moving averages and triggered a sell signal. Keysight was a big S&P 500 loser on the stock market today. Keysight provides electronic design and test solutions used in the design, simulation, development, manufacture and installation of electronics systems.
Palo Alto Networks stock pared larger losses to 3.7% in heavy volume on the stock market today after the cybersecurity company reported fiscal third-quarter earnings and revenue that modestly beat estimates. But billings missed on slowing growth in its core network firewall market.
The company gave fiscal fourth-quarter adjusted earnings and sales forecasts that were in line with estimates. Its full-year fiscal 2024 adjusted earnings projection topped forecasts while its revenue outlook for the year met expectations.
Follow Kimberley Koenig for more stock market news on X/Twitter @IBD_KKoenig.
