Tech Giants Surge and Slump in After-Hours Trading Amid Earnings Reports

NEW YORK — Several major tech companies experienced significant stock movements in after-hours trading Thursday, driven by mixed earnings reports and market reactions to their financial performances.

International Business Machines (IBM) saw its shares surge 9% after reporting strong fourth-quarter results. The company posted adjusted earnings of $3.92 per share on revenue of $17.55 billion, surpassing analysts’ expectations of $3.75 per share and $17.54 billion in revenue, according to LSEG. CEO Arvind Krishna highlighted the company’s generative artificial intelligence business, which grew by nearly $2 billion quarter over quarter.

Meta Platforms also enjoyed a 5% boost in its stock price after exceeding both top- and bottom-line estimates. The social media giant reported earnings of $8.02 per share on revenue of $48.39 billion, beating the consensus estimates of $6.77 per share and $47.04 billion in revenue. However, the company faces a $25 million settlement related to a 2021 lawsuit, as reported by The Wall Street Journal.

Microsoft, on the other hand, saw its shares dip about 2% despite surpassing Wall Street’s earnings and revenue expectations. The company’s Azure cloud computing services grew by 31%, narrowly missing the StreetAccount estimate of 31.1% growth.

Tesla‘s shares rose more than 2% even after the electric vehicle manufacturer missed fourth-quarter earnings and revenue targets. The company reported adjusted earnings of 73 cents per share on revenue of $25.71 billion, below the expected 76 cents per share and $27.27 billion in revenue.

ServiceNow‘s stock plummeted more than 7% after its fourth-quarter results aligned with analysts’ expectations. The software company earned $3.67 per share, excluding items, on revenue of $2.96 billion, matching LSEG estimates.

Whirlpool faced a steep 12% decline in its stock price after reporting a steeper-than-expected revenue drop. The home appliances company posted net sales of $4.14 billion, below the $4.24 billion projected by analysts. Whirlpool announced plans to reduce costs by $200 million by 2025.

Other notable movers included Wolfspeed, which rose slightly after beating second-quarter estimates, and Lam Research, which gained nearly 6% on stronger-than-expected earnings. Western Digital and Levi Strauss both saw declines, with Levi Strauss issuing disappointing full-year guidance despite strong fourth-quarter results.

Nvidia‘s shares rebounded more than 1% after a volatile week, while Las Vegas Sands jumped over 9% despite mixed fourth-quarter results. The broader market remained cautious as investors awaited the Federal Reserve‘s comments on interest rates.