Disney Drops After Sales Miss; Cisco Stock Climbs

Shares of a major media player dropped as underperformance from its TV networks dragged on its quarterly performance. Meanwhile, demand driven by the buildout of artificial intelligence infrastructure helped lift shares of a large tech firm.

Major U.S. equities indexes lost ground, a day after President Trump signed a bill to reopen the government. The Dow and S&P 500 fell 1.7%, while the tech-heavy Nasdaq dropped 2.3%. Click here for more from Investopedia on Thursday’s markets news.

The price of Bitcoin (BTCUSD) and other major cryptocurrencies moved lower as the reopening of the government failed to provide a boost to the slumping digital assets. Shares of Robinhood Markets (HOOD), operator of an online trading platform that provides access to crypto, dropped nearly 9% Thursday to lead losses on the S&P 500. Shares of fellow brokerage platform operator Interactive Brokers (IBKR) lost 7.8%, while shares of Coinbase Global (COIN), operator of the largest U.S. crypto exchange, sank 6.9%.

Although The Walt Disney Co. (DIS) topped forecasts with its fiscal fourth-quarter profit, revenue for the period fell short of expectations, and shares of the entertainment giant tumbled 7.8%. The company reported better-than-expected subscriber numbers for its Disney+ and Hulu streaming services, but its linear TV business weighed on results, with domestic networks revenue and operating income falling sharply from a year ago.

Tesla (TSLA) shares fell close to 7% Thursday. The electric vehicle maker reportedly saw a steep year-over-year decline in its sales in China, highlighting competitive pressures in the world’s largest auto market. Ark Invest, the investment management firm run by Cathie Wood, has also unloaded shares of Tesla over several consecutive trading sessions.

Cisco Systems (CSCO) shares jumped about 5% after the networking equipment and software provider posted better-than-expected sales and profit for its fiscal first quarter. The company highlighted strong revenue growth tied to artificial intelligence infrastructure spending by hyperscaler customers.

Dow (DOW) shares jumped 4.2% after Goldman Sachs boosted its price target on the chemical maker’s stock. Analysts highlighted the company’s strong cash flow.

Shares of Albemarle (ALB), the world’s largest lithium miner, advanced close to 4% after UBS hiked its price target for the stock. Analysts noted that mine closures in China could help support stronger pricing for lithium. Oversupply conditions have contributed to pressure on the price of the key battery component in recent years.