Market Snapshot
| Dow | 47716.21 | +289.30 | (0.61%) | | Nasdaq | 23365.72 | +151.00 | (0.65%) | | SP 500 | 6849.08 | +36.48 | (0.54%) | | 10-yr Note |
|
|
|
| | NYSE | Adv 1792 | Dec 931 | Vol 689.91 mln | | Nasdaq | Adv 2560 | Dec 1603 | Vol 4.51 bln |
Industry Watch
| Strong: Communication Services, Financials, Consumer Discretionary, Utilities, Materials, Real Estate |
| | Weak: Health Care |
Moving the Market
--Major averages modestly higher as stocks advance in broad fashion
--The stock market closes early at 1:00 p.m. ET. The Treasury market closes early at 2:00 p.m. ET
|
Stocks cap strong week with modest, broad-based gains
28-Nov-25 13:10 ET
Dow +289.30 at 47716.21, Nasdaq +151.00 at 23365.72, S&P +36.48 at 6849.08
[BRIEFING.COM] The stock market moved modestly higher during today's abbreviated session, capping a solid week for equities that saw the major averages capture sizable week-to-date gains.
Today's action saw the DJIA (+0.6%) move into positive territory for the month in the last session of November, while the S&P 500 (+0.5%) and Nasdaq Composite (+0.7%) captured similar gains.
Ten S&P 500 sectors traded higher today, and all eleven sectors notched week-to-date gains, underscoring the recent market-wide momentum that has been driven by reinvigorated odds for a December rate cut.
The energy sector (+1.5%) was today's top mover, supported by a $0.81 (+1.4%) increase in crude oil prices to $59.46 per barrel.
Amazon (AMZN 233.26, +4.10, +1.79%) and Tesla (TSLA 430.14, +3.56, +0.83%) provided solid mega-cap leadership for the consumer discretionary sector (+0.9%), padding its solid week-to-date gains (+5.3%).
The financials sector (+0.7%) also captured a nice gain as major banking names such as JPMorgan Chase (JPM 313.08, +5.44, +1.77%) traded higher. Coinbase Global (COIN 273.04, +8.07, +3.05%) advanced as Bitcoin began to rebound from recent lows.
Intel (INTC 40.71, +3.90, +10.59%) was the top-performing S&P 500 name after analyst Ming-Chi Kuo reported on X that Apple (AAPL 278.69, +1.14, +0.41%) may begin sourcing its lowest-end M-series processors from INTC as early as 2027. The potential partnership would initially focus on AAPL's most affordable MacBook and iPad models, where the lower-power M chips currently rely entirely on Taiwan Semiconductor Manufacturing (TSM 291.46, +1.50, +0.52%).
The information technology sector (+0.5%) captured a modest gain, as NVIDIA (NVDA 176.84, -3.42, -1.90%) and Oracle (ORCL 201.80, -3.16, -1.54%) both faced pressure.
Meanwhile, only the health care sector (-0.5%) traded lower today, facing some profit-taking after a recent run of outperformance that still leaves it up 9.0% for the month. Eli Lilly (LLY 1074.20, -30.14, -2.73%) was the worst-performing S&P 500 name today.
Despite the holiday-shortened week, the stock market was able to reclaim a considerable amount of ground that was ceded earlier in the month. The major averages are now holding above their 50-day moving averages and enter December buoyed by improving sentiment and supportive rate-cut expectations.
- Nasdaq Composite: +21.0%
- S&P 500: +16.5% YTD
- DJIA: +12.2% YTD
- Russell 2000: +11.9% YTD
- S&P Mid Cap 400: +5.9% YTD
Health care sector is the sole laggard
28-Nov-25 12:25 ET
Dow +249.54 at 47676.45, Nasdaq +101.82 at 23316.54, S&P +27.95 at 6840.55
[BRIEFING.COM] The S&P 500 (+0.4%), Nasdaq Composite (+0.4%), and DJIA (+0.5%) close in on solid week-to-date gains with their modest advance today.
The health care sector (-0.7%) is the only blemish in an otherwise positive day. Even with today's underperformance, the health care sector is up 9.0% for the month versus a flat showing from the S&P 500. The sector has gained 12.7% so far in Q4, outpacing the S&P 500's 2.3% quarter-to-date gain by a wide margin.
Eli Lilly (LLY 1073.08, -31.26, -2.83%) is the worst performer across S&P 500 names, with Johnson & Johnson (JNJ 205.63, -1.93, -0.93%) also dipping from recent record levels.
Technology sector holds modest gain
28-Nov-25 12:00 ET
Dow +308.27 at 47735.18, Nasdaq +86.55 at 23301.27, S&P +30.25 at 6842.85
[BRIEFING.COM] The major averages continue to chart session highs with just an hour left in today's abbreviated session.
Intel (INTC 39.63, +2.82, +7.67%) remains the top individual mover today, though pressure in NVIDIA (NVDA 177.00, -3.26, -1.81%) and Oracle (ORCL 201.22, -3.74, -1.82%) keep the information technology sector (+0.2%) just slightly higher despite a 1.5% gain in the PHLX Semiconductor Index.
Major averages closing in on sizable week-to-date gains
28-Nov-25 11:30 ET
Dow +265.87 at 47692.78, Nasdaq +60.45 at 23275.17, S&P +21.19 at 6833.79
[BRIEFING.COM] The S&P 500 (+0.5%), Nasdaq Composite (+0.5%), and DJIA (+0.6%) hold solid gains as stocks advance in a steady, methodical fashion.
Today's gains put the DJIA in positive territory for the month, while the S&P 500 currently sits on its unchanged month-to-date level. The major averages are all poised for sizable week-to-date gains this week.
Today's abbreviated session has been mostly uneventful following yesterday's holiday closure, but equities are still benefiting from the momentum driven by rising rate-cut expectations.
Ten S&P 500 sectors trade higher, led by the energy (+1.7%), financials (+1.1%), and materials (+0.9%) sectors.
Only the health care sector (-0.6%) faces some modest profit-taking after recent outperformance, with the sector still up 9.0% for the month of November.
Intel (INTC 39.58, +2.76, +7.51%) is the top mover across S&P 500 names today, trading higher after analyst Ming-Chi Kuo reported on X that Apple (AAPL 276.15, -1.40, -0.50%) may begin sourcing its lowest-end M-series processors from INTC as early as 2027.
Outside of the S&P 500, the Russell 2000 (+0.5%) and S&P Mid Cap 400 (+0.5%) also hold solid gains.
The stock market will close early at 1:00 p.m. ET, and the Treasury market will close early at 2:00 p.m. ET.
Warner Bros. Discovery bidding war heats up
28-Nov-25 11:05 ET
Dow +280.02 at 47706.93, Nasdaq +86.52 at 23301.24, S&P +25.11 at 6837.71
[BRIEFING.COM] The S&P 500 (+0.4%), Nasdaq Composite (+0.4%), and DJIA (+0.6%) continue to trade modestly higher in today's abbreviated session.
Comcast (CMCSA 26.76, +0.18, +0.70%) is reportedly weighing a higher bid for Warner Bros. Discovery (WBD 24.06, +0.18, +0.74%), according to the New York Post, adding new intensity to an already crowded takeover battle. This potential move comes as Netflix (NFLX 107.55, +1.41, +1.33%) increases its pursuit of WBD's streaming and studio assets and as Paramount Skydance (PSKY 15.80, +0.01, +0.08%) emerges as the current frontrunner with a $25/share offer for the entire company.
The communication service sector (+0.3%) holds a modest gain for the day.
Intel soars as Apple tests 18A node for M-series chips, signaling major Foundry breakthrough (INTC)
Intel (INTC) is jumping sharply higher after analyst Ming-Chi Kuo reported on X that Apple (AAPL) may begin sourcing its lowest-end M-series processors from INTC as early as 2027. The potential partnership would initially focus on AAPL’s most affordable MacBook and iPad models, where the lower-power M chips currently rely entirely on Taiwan Semi Manufacturing (TSM).
- Kuo notes that AAPL has already obtained INTC’s 18A-P process design kit and is in the simulation and research phase - an early but meaningful signal that AAPL is seriously evaluating INTC’s next-gen node.
- Beyond the commercial upside, such a partnership would align closely with President Trump’s “Made in the USA” agenda, potentially giving AAPL political cover to diversify chip production toward domestic manufacturing.
- AAPL’s engagement with the 18A-P design kit suggests traction for INTC’s advanced node roadmap, while eventual moves to the 14Z node could expand orders from AAPL and other large customers.
- INTC’s Foundry business badly needs momentum - 3Q25 revenue fell 2% yr/yr to $4.2 bln and the unit posted a $(2.3) bln operating loss - making AAPL’s interest a major validation of its turnaround efforts.
- INTC’s new strategic partnership with NVIDIA (NVDA) further strengthens its credibility, giving the company access to high-volume leading-edge production and positioning it to close some of the technology and capacity gap with TSM.
- Winning any portion of AAPL Silicon would meaningfully boost utilization, fixed-cost absorption, and long-term profitability for INTC’s Foundry unit, while posing a competitive threat to TSM’s dominance.
Briefing.com Analyst Insight:
INTC’s pursuit of foundry relevance has been an uphill battle, but AAPL’s early testing of the 18A-P node marks its most important milestone yet. AAPL is notoriously selective with manufacturing partners, especially for cutting-edge silicon, so even the possibility of partial M-series outsourcing provides a strong signal that INTC’s process roadmap is stabilizing. Combined with INTC’s deepening ties to NVDA, the company is starting to look like a more viable second source for advanced chips - something the industry has wanted for years to reduce reliance on TSM. The financial implications could be significant: AAPL is one of the world’s largest chip customers, and even low-end M-series volumes would lift INTL’s Foundry utilization while giving it a foothold to chase higher-margin nodes later this decade. For TSM, AAPL's exploration introduces a long-term competitive risk, though any meaningful production shift remains several years away.
Flutter Entertainment and Online Operators Assess UK Gambling Tax Hike as Mitigation Ramps (FLUT)
Flutter Entertainment (FLUT), along with online operators such as Super Group (SGHC) and Entain Plc (GMVHY), is digesting new UK gambling duty proposals. The UK government announced that duties on iGaming will rise to 40% from 21% effective April 2026, while online sports betting duties will increase to 25% from 15% starting April 2027.
While the hikes are substantial, they remove a key overhang by clarifying the future tax framework. Operators have already begun outlining mitigation plans and cost measures to offset the impact once the new rates take effect.
- FLUT warned that, prior to mitigation, the duty increases are expected to reduce adjusted EBITDA by $320 mln in FY26 and $540 mln in 2027. Mitigation actions will include reductions in operational, promotional, and marketing spend, which may weigh on player engagement and shift some activity toward lower-cost or offshore alternatives.
- SGHC said the changes are expected to impact about 6% of its 2026 group adjusted EBITDA, noting it already has several mitigation levers in motion and does not expect the increases to affect its long-term strategy.
- Entain projected an EBITDA impact of about $100 mln in 2026 and roughly $150 mln in 2027, and believes it may gain market share over time as smaller operators struggle under the heavier duty structure.
Briefing.com Analyst Insight
The UK's move to sharply increase remote gambling duties introduces a new structural headwind for operators with meaningful online exposure. All three, Flutter, Entain, and Super Group, have outlined mitigation plans that will soften the EBITDA impact, but these measures largely rely on reduced promotional, marketing, and operational spend, which could affect player engagement and competitive dynamics over time. At the same time, the broader competitive landscape continues to evolve. Prediction-style markets are gaining traction globally, and Flutter's upcoming FanDuel Predict launch highlights how major operators are beginning to lean into newer engagement formats. While not tied directly to the UK tax changes, the timing underscores how rising regulatory and cost pressures may push operators to diversify beyond traditional wagering models.
Warner Bros. Discovery shares muted as Comcast reportedly ups the ante in evolving bidding war (WBD)
Comcast (CMCSA) is reportedly weighing a higher bid for Warner Bros. Discovery (WBD), according to the New York Post, adding new intensity to an already crowded takeover battle. This potential move comes as Netflix (NFLX) increases its pursuit of WBD’s streaming and studio assets and as Paramount Skydance (PSKY) emerges as the current frontrunner with a $25/share offer for the entire company.
- The New York Post reports CMCSA may consider a $27–$28/share bid, representing a meaningful premium that highlights both the rising price tag and CMCSA’s urgency to jumpstart growth.
- CMCSA and NFLX are targeting only WBD’s streaming (HBO Max) and studio operations, while PSKY seeks to purchase the entire company, including the cable networks (TNT, TBS, CNN, Discovery).
- WBD has explored splitting into a standalone streaming/studio entity and a separate cable business, but the escalating bidding war makes a full sale increasingly attractive.
- CMCSA is motivated by deteriorating fundamentals: its stock is down 30% this year and Connectivity & Platforms continues to see revenue declines, subscriber losses, and margin pressure.
- Acquiring HBO Max and Warner Bros. studios would give CMCSA upgraded streaming scale, stronger IP, and a more competitive content pipeline - areas where it trails NFLX, Disney (DIS), and Amazon (AMZN).
- However, political dynamics are creating obstacles. President Trump reportedly favors PSKY and views CMCSA CEO Brian Roberts unfavorably, making regulatory approval harder for CMCSA even with a higher bid.
Briefing.com Analyst Insight:
WBD’s fate is fast becoming the defining consolidation moment in modern media. The company’s premium content library, global brands, and sports rights make it one of the last large-scale assets capable of reshaping the streaming landscape. For CMCSA, the logic of acquiring WBD’s crown jewels is compelling, offering a rare opportunity to reinvigorate Peacock and restore growth to its broader media portfolio. But given political headwinds and competitors with cleaner deal structures, CMCSA remains an underdog. No matter the final outcome, the industry is likely to emerge more concentrated - and the battle for premium IP more intense - as the streaming wars enter a new phase of scale-driven survival.
Zscaler plunges lower as cautious FY26 ARR guidance clouds over robust Q1 results (ZS)
Zscaler (ZS) delivered a very strong 1Q26 print on almost every operating metric, but a conservative ARR outlook for the remainder of FY26 is overshadowing the upside and driving the sharp post-earnings sell-off. The tension between robust demand across its three growth pillars and a modestly higher full-year ARR guide is the central issue for the stock near term.
- Q1 revenue rose 25.5% yr/yr to $788.1 mln, and ARR increased 26% to $3.204 bln, both ahead of expectations, while non-GAAP EPS also comfortably topped consensus.
- RPO growth accelerated to 35% yr/yr to $5.9 bbln (from 31% last quarter) and cRPO grew 29%, underscoring strong demand and visibility despite a still-tight IT spending backdrop.
- Profitability remains a key differentiator. ZS operated at “Rule-of-78,” with 26% revenue growth and a 52% free cash flow margin, alongside 22% non-GAAP operating margin.
- The issue for the stock is guidance. FY26 ARR is now projected at $3.698-$3.718 bln (22.7–23.3% growth), only slightly above prior guidance and by less than the amount by which Q1 ARR exceeded forecasts at the midpoint.
- This implies management effectively used most of the Q1 ARR beat to de-risk the year, rather than re-basing expectations higher, which investors interpret as a sign of caution for the remaining three quarters.
- Importantly, the cautious ARR posture comes even as AI Security ARR has already exceeded the prior $400 mln FY26 target three quarters early and is now expected to surpass $500 mln by year-end.
- Data Security Everywhere ARR has accelerated to about $450 mln, and Zero Trust Everywhere has more than 450 enterprises, hitting its FY26 goal early and driving incremental demand for AI and data security.
- The Z-Flex commit-to-spend model (over $175 mln in Q1 TCV, up 70% qtr/qtr) is proving to be a powerful upsell and consolidation lever, pushing larger, multi-module platform deals.
- The Red Canary and SPLX acquisitions slightly exceeded internal expectations but remain immaterial to near-term revenue, serving instead as key strategic pieces that deepen ZS’s AI-powered SecOps and AI Security platforms.
Briefing.com Analyst Insight:
ZS’s quarter was fundamentally very strong, with accelerating RPO, robust growth across AI Security, Data Security Everywhere, and Zero Trust Everywhere, and elite free cash flow margins for a company at this scale. However, the modest step-up in FY26 ARR guidance - smaller than the Q1 ARR beat - introduces an asterisk to the print and explains the sharp share-price reaction, as a premium-multiple story is now paired with a more conservative growth outlook for the balance of the year. The key debate is whether this caution proves to be disciplined “under-promise and over-deliver” guidance or an early signal that sustaining mid-20s ARR growth will be incrementally tougher even with a powerful AI and Zero Trust product cycle underway.
Autodesk’s Q3 Beat and Upside Guide Fueled by AECO Strength and Rising AI-Driven Workflows (ADSK)
Autodesk (ADSK) is trading sharply higher after reporting its Q3 (Oct) results last night. The design software provider comfortably beat EPS and revenue expectations, with revenue increasing 18% yr/yr to $1.85 bln, its strongest growth rate in over 3 years. The company also issued upside Q4 guidance, expecting EPS of $2.59-2.67 and revenue of $1.901-1.917 bln, and raised its annual billings guidance to $7.465-7.525 bln from $7.355-7.445, reflecting continued momentum as accelerating AECO activity, rising cloud adoption, and deeper enterprise engagement continue to drive durable growth.
- Strength was broad-based across its three largest segments. AECO was up 23% yr/yr to $921 mln, AutoCAD and AutoCAD LT increased 15% yr/yr to $458 mln, and Manufacturing grew 16% yr/yr to $355 mln.
- Billings, a key forward-looking indicator, increased 21% yr/yr to $1.855 bln. While growth moderated from Q2's 36% pace, the call emphasized that underlying demand remains healthy, with strong renewal activity, continued expansion across enterprise accounts, and improving linearity through the quarter.
- Autodesk continues to see elevated demand from AI-driven data center construction, public infrastructure projects, and industrial facility build-outs, areas that more than offset ongoing softness in commercial.
- Faster adoption of Construction Cloud, broader Fusion usage, and increased reliance on AI tools like Sketch AutoConstrain, are boosting customer productivity and fueling stronger engagement and attach rates.
Briefing.com Analyst Insight
Autodesk's Q3 update underscored resilient demand drivers, particularly in AECO where data center expansion, infrastructure spending, and industrial building activity continue to support growth. Manufacturing also showed steady strength, helped by broader Fusion adoption and customers shifting more design and simulation workflows onto Autodesk's cloud platform. Billings growth moderated but remained healthy, consistent with solid renewal activity and expanding enterprise usage. Management characterized the macro backdrop as broadly stable but noted that overall uncertainty remains elevated. Separately, Autodesk is still working through its sales and marketing optimization efforts, which could introduce some operational noise. Even so, momentum in Construction Cloud, rising Fusion attach rates, and deeper use of AI-driven design tools point to improving engagement and a more embedded position within customer workflows. Taken together, the mix of broad-based growth, resilient subscription trends, and strengthening platform adoption supports a constructive setup as it gears up for the new year.
|
