Can Tesla Inc&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) audacious bet on autonomy and AI outmaneuver mounting market headwinds? As analysts hold their ground <a href="https://www.benzinga.com/markets/earnings/25/07/46587882/tesla-q2-earnings-highlights-revenue-and-earnings-fall-short-new-models-still-set-for-2025-2026">despite disappointing earnings</a>, the electric vehicle giant faces a pivotal moment that could redefine its future trajectory.



<ul class="wp-block-list">
<li>TSLA stock is moving fast. Check the latest price <a href="https://www.benzinga.com/quote/TSLA">here</a>.</li>
</ul>



The Tesla Analysts: 



<ul class="wp-block-list">
<li>Needham analyst Chris Pierce reiterated a Hold rating on Tesla with no price target.</li>



<li>Wedbush analyst Dan Ives maintained an Outperform rating with a $500 price target.</li>



<li>Cantor Fitzgerald analyst Andres Sheppard maintained an Overweight rating with a $355 price target.</li>
</ul>



Read Also: <a href="https://www.benzinga.com/markets/earnings/25/07/46594381/elon-musk-says-tesla-could-face-a-few-rough-quarters-as-ev-incentives-expire-and-trump-tariff-pressures-mount">Elon Musk Says Tesla Could Face &#8216;A Few Rough Quarters&#8217; As EV Incentives Expire And Trump Tariff Pressures Mount</a>



Needham on TSLA: Near-term headwinds could outweigh the long-term outlook for Tesla, Pierce said in a new investor note.



"Rideshare as a catalyst looks promising, but it's early," Pierce said.



The analyst said the long-term outlook for autonomy, robotics and a new lower-cost vehicle are promising, but could be offset by headwinds and a high valuation.



Pierce says Tesla stock is still "expensive" and trades at a 25x multiple for 2030 adjusted EBITDA estimates discounted back to current levels.



"FSD adoption as a demand flywheel. Conversations with bullish investor remain focused on Full Self Driving software as a potential catalyst for long term unit growth, with greater consumer exposure to autonomous rideshare."



The analyst said volume production of a lower-cost vehicle set for the second half of 2025 remains a "critical milestone for the company" and could increase Tesla's total addressable market size and "capture demand from more cost-sensitive customers."



"Bullish robotaxi and humanoid robot estimates drive minimal upside."



Wedbush on TSLA: Tesla is making progress with its autonomous vehicles and artificial intelligence future, Ives said in a new investor note.



The analyst said Tesla is navigating through a difficult demand environment for electric vehicles.



"While the company will continue to manage the business strategically to maintain a strong balance sheet during this uncertain period, the company expects to see an acceleration of AI, software, and fleet-based profits over time which will bring higher-margin revenues to the business," Ives said.



Ives also highlights Tesla's confirmation that volume production for a lower-cost vehicle is coming in the second half of 2025.



"We believe [Tesla] will start to accelerate deliveries into the back-half of this year with the Model Y refresh and into 2026 laying the foundation for the autonomous future."



Ives says Musk is now "acting as Wartime CEO" at Tesla after previously spending time away at the White House.



"We believe that the upcoming quarters will be critical for TSLA on the autonomous front as Musk &amp; Co. aim to have autonomous ride hailing in half the U.S. population by the end of 2025."



The analyst reiterated a call that the autonomous opportunity for Tesla could be worth $1 trillion on its own.



"There are still headwinds, tariffs, and clear growth challenges for Tesla over the coming 3-6 months… but Musk now entering the picture as a wartime CEO to put TSLA on an aggressive AI-focused strategy represents the biggest and best possible news for Tesla investors."



Cantor on TSLA: The electric vehicle company remaining on track for volume production of several models was the key highlight in the report for Sheppard.



The analyst said a key question remains what vehicle demand looks like in the second half of 2025.



Sheppard said the key risks to Tesla short and long term include tariffs, competition from Chinese automakers, regulatory approval for FSD and Robotaxi, a slowdown in EV demand and the removal of the federal EV tax credit.



"We believe Tesla benefits from future upside from its Full Self-Driving software (plus upcoming Robotaxi segment), the introduction of lower-priced models, a global manufacturing footprint with economies-of-scale, and the industry's largest Charging Infrastructure," Sheppard said.



The analyst said Tesla is also likely to benefit from the acceleration of artificial intelligence.



TSLA Price Action: Tesla stock is down 8.8% to $303.19 on Thursday versus a 52-week trading range of $182.00 to $488.54. Tesla stock is down 20.1% year-to-date in 2025.



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/large-cap/25/07/46475391/tesla-cybertruck-bet-not-paying-off-ford-gm-outsell-ev-giant">Tesla Cybertruck Bet Not Paying Off? Ford, GM Outsell EV Giant</a></li>
</ul>



Photo: Shutterstock

Analyst Color

Price Target

Reiteration

Analyst Ratings

Trading Ideas

TSLA

Tesla Stock Faces 'Critical Milestone' Ahead: Here's What Analysts Are Flagging As Next Key Catalyst

American Airlines Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAL#NASDAQ">AAL</a>) on Thursday reported <a target="_blank" href="https://www.benzinga.com/pressreleases/25/07/g46597076/american-airlines-reports-second-quarter-2025-financial-results" rel="noreferrer noopener">second-quarter 2025</a> earnings and revenue that surpassed Wall Street expectations, offering a strong performance despite persistent industry headwinds.



However, the company issued a cautious forecast for the third quarter and narrowed its full-year guidance, citing ongoing uncertainty in travel demand.



The airline reported an adjusted earnings per share of 95 cents, beating the consensus estimate of 77 cents. Revenue for the quarter rose slightly to $14.39 billion, edging past <a href="https://www.benzinga.com/earnings">analyst expectations of $14.3 billion</a>.



Also Read: <a href="https://www.benzinga.com/news/travel/25/07/46521049/american-airlines-leverages-mastercard-analytics-for-new-era-of-customized-travel-rewards" target="_blank" rel="noreferrer noopener">American Airlines Leverages Mastercard Analytics For New Era Of Customized Travel Rewards</a>



On a GAAP basis, American posted net income of $599 million, or 91 cents per share, highlighting operational strength despite economic pressures and weather-related disruptions across its network.



American said the results were driven by strong international and premium cabin performance, growth in its loyalty program, and disciplined cost management.



Passenger unit revenue in Atlantic markets climbed 5% from the year-ago quarter, while co-branded credit card spending rose 6%. The company also saw a 7% increase in AAdvantage loyalty program enrollments.



The company generated $3.42 billion in operating cash flow through the first half of the year and reported $2.48 billion in free cash flow, helping bring its total available liquidity to $12 billion at the end of the quarter. Total debt stood at $38 billion, with net debt of $29 billion.



CEO Robert Isom said the airline is well-positioned to navigate current volatility due to its modernized fleet, loyalty initiatives, and a strengthened balance sheet.



American noted that disruptive weather events in key hubs impacted operations during the quarter, though the airline said it maintained reliability amid a 36% increase in such incidents.



The company recently introduced new loyalty features, including the ability to use miles for upgrades, and expanded premium offerings such as its Flagship Suite inflight experience and Flagship Lounge in Miami.



American Airlines reported modest growth in core operational metrics for the second quarter of 2025, with available seat miles (ASM) rising 3.2% year-over-year and revenue passenger miles (RPM) up 0.9%, signaling steady demand and strategic capacity increases.



However, the passenger load factor declined by 1.9 percentage points to 84.7%, indicating slightly lower aircraft occupancy amid expanded service levels.



The carrier saw some pricing pressure, as passenger yield dipped 1.5% to 19.96 cents, and passenger revenue per ASM fell 3.6% year-over-year. Despite the decline in unit revenue, American benefited from a 15.3% drop in average fuel prices, helping reduce overall operating cost per ASM (CASM) by 0.8%, with CASM ex-fuel and special items rising 3.4%.



The airline ended the quarter with 1,539 aircraft in its fleet and 138,100 full-time equivalent employees, slightly higher than the year-ago period.



<h2 class="wp-block-heading">Outlook</h2>



American Airlines expects a third-quarter 2025 adjusted loss per share between $0.10 and $0.60, below the consensus estimate of a $0.03 profit, citing current booking levels, demand trends, and fuel prices.



For the full year, it projects adjusted earnings between a $0.20 loss and $0.80 profit, with a midpoint of $0.30. The company says the upper end is achievable if domestic demand strengthens, while the lower end would only materialize if unexpected macroeconomic weakness emerges.



In the earnings conference call, American Airlines&#8217; CFO reportedly said that the airline anticipates receiving 50 new aircraft deliveries this year. Capacity is expected to increase by 5% during the peak July period. However, this growth is projected to slow to 2% in August and decrease by 1% in September. 



The CFO also stated that the worst is over and year-over-year revenue is expected to show sequential monthly improvements throughout the current quarter.



Price Action: At last check Thursday, AAL shares were trading lower by 9.63% at $11.46.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/earnings/25/07/46600510/honeywell-lifts-outlook-as-transformation-picks-up-speed" target="_blank" rel="noreferrer noopener">Honeywell Lifts Outlook As Transformation Picks Up Speed</a></li>
</ul>

Earnings

News

Guidance

Movers

American Airlines CFO Declares Worst Is Over, But Cautious Outlook Sinks Stock

Nvidia Corp.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) advanced AI processors worth over $1 billion were reportedly smuggled to China after the U.S. government&#8217;s efforts to restrict chip exports.



What Happened: The shipments took place within three months of President Donald Trump&#8217;s tightened export controls. The B200, a chip widely used by U.S. tech giants for their AI systems, was the most sought-after chip in China&#8217;s&nbsp;black market for American semiconductors, according to a&nbsp;<a href="https://www.ft.com/content/6f806f6e-61c1-4b8d-9694-90d7328a7b54">report</a>&nbsp;by the Financial Times on Thursday.



Check out the current price of&nbsp;<a href="https://benzinga.com/quote/NVDA" target="_blank" rel="noreferrer noopener">NVDA stock here</a>.



Chinese distributors began selling the B200 to data center suppliers serving Chinese AI groups&nbsp;soon after the Trump administration&nbsp;restricted the sale of the H20, a less-powerful Nvidia chip designed to comply with the regulations under former President Joe Biden.



Distributors in China's Guangdong, Zhejiang, and Anhui provinces sold Nvidia's B200 chips along with other restricted processors like the H100 and H200. Total sales during this period are estimated to have exceeded $1 billion.



Although it&#8217;s legal to import and sell restricted Nvidia chips within China if the appropriate border tariffs are paid, entities that sell and ship them to China would be violating U.S. regulations.



On social media, groups are formed to connect hundreds of traders with data center suppliers, aligning supply with demand. One distributor told the publication, "It's like a seafood market&#8230;There's no shortage."



Nvidia has consistently maintained that there is &#8220;no&nbsp;evidence of any AI chip&nbsp;diversion&#8221;.&nbsp;The company also said it is unaware of any of its restricted products being sold to China.



SEE ALSO:&nbsp;<a href="https://benzinga.com/news/topics/25/07/46598941/tucker-carlsons-milton-interview-sparks-outrage-bill-ackman-backs-hindenburg-founder-against-former-nikola-ceo-calls-him-convicted-corporate-stock-market-fraudster" target="_blank" rel="noreferrer noopener">Tucker Carlson&#8217;s Milton Interview Sparks Outrage: Bill Ackman Backs Hindenburg Founder Against Former Nikola CEO, Calls Him &#8216;Convicted Corporate Stock Market Fraudster&#8217; &#8211; Invesco QQQ Trust, Series 1 (</a>



Why It Matters: The smuggling of Nvidia&#8217;s AI chips to China comes amid the U.S. government&#8217;s efforts to curb semiconductor smuggling into China.



In early July, the U.S. government considered <a href="https://www.benzinga.com/markets/asia/25/07/46266218/us-plans-to-restrict-ai-chip-exports-to-malaysia-thailand-to-curb-diversion-to-china">imposing restrictions</a> on the export of AI chips, including those produced by Nvidia, to Malaysia and Thailand to prevent China from acquiring these components through intermediaries in these countries.



Despite these efforts, the smuggling of Nvidia&#8217;s chips to China continued, highlighting the challenges faced by the U.S. in controlling the flow of advanced technology to China.



Last week, Nvidia CEO Jensen Huang revealed that the Trump administration would resume allowing the sale of the company's China-specific H20 chip.



The news also follows Huang&#8217;s recent <a href="https://www.benzinga.com/markets/tech/25/07/46526759/nvidias-ceo-hits-beijing-like-a-rockstar-stirs-jensen-mania-in-china">high-profile visit to China</a>, where he was hailed as a rockstar and received a warm reception.



Huang&#8217;s visit was seen as a sign of Nvidia&#8217;s commitment to the Chinese market despite ongoing trade tensions between the U.S. and China.



<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="784" height="127" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24083431/image-365.png" alt="" class="wp-image-998978" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24083431/image-365.png 784w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24083431/image-365-300x49.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24083431/image-365-768x124.png 768w" sizes="(max-width: 784px) 100vw, 784px" /></figure>



Benzinga&#8217;s Edge Rankings place Nvidia in the 85th percentile for momentum and the 99th percentile for growth, reflecting its strong performance in both areas. Check the detailed report&nbsp;<a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound" target="_blank" rel="noreferrer noopener">here</a>.&nbsp;



READ MORE:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/tech/25/07/46597603/as-elon-musk-mark-zuckerberg-and-sam-altman-chase-nvidia-ai-chips-jensen-huang-says-just-call-me-heres-how-allocation-really-works">As Elon Musk, Mark Zuckerberg And Sam Altman Chase Nvidia AI Chips, Jensen Huang Says &#8216;Just Call Me&#8217; — Here&#8217;s How Allocation Really Works</a></li>
</ul>



Image via Shutterstock



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Tech

NVDA

Nvidia AI Chips Worth $1 Billion Flood China's Black Market After Trump's Export Curbs: 'It's Like A Seafood Market'

Momentum is back in the stock market in a big way, and investors are digging into speculative assets like meme stocks and crypto with a fervor not seen since 2021.



However, while short squeezes and YOLO trading dominate social media, there are still numerous stocks flashing traditional bullish signals. These can pay off with much less risk of the kind of 40% drop OPEN saw earlier this week, after the stock&#8217;s meme hype fizzled.



Even better, you don't need to be a technical wizard to understand the bullish undertones on some of these stock charts. Today, we&#8217;re focusing on stocks with a Golden Cross, one of the most heavily used bullish trading signals.



It happens when a stock's 50-day moving average crosses above its 200-day moving average. Golden Crosses often form during a steady uptrend, often causing an additional upswing in stock price once the market identifies the signal.



Here are five stocks flashing the buy signal thanks to a Golden Cross.



<h2 class="wp-block-heading">30-Minute Trading Advantage, Free for 2 Weeks</h2>



Benzinga Pro alerts have led to major gains, like 270% on BLPH and 147% on CRBP. Access this market-shaping news before anyone else with Benzinga Pro's free two-week trial. <a href="https://www.benzinga.com/pro/register?utm_campaign=14daytrial&amp;el=ResearchDaily&amp;he=%7B%7Bemail%7D%7D&amp;adt_ei=%7B%7Bemail%7D%7D&amp;utm_adType=SponsorAd&amp;utm_ad=RD072425">Click HERE to start now</a>.



<h2 class="wp-block-heading">Datadog Inc.</h2>



Datadog (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DDOG#NASDAQ">DDOG</a>) is an SaaS data analysis darling from a previous bull market, but it's once again making noise following a 58% gain over the last three months. The company reported record revenue of $762 million in Q1 2025, representing year-over-year (YOY) growth of more than 24%. This impressive growth is why Datadog's Benzinga Edge Growth score is 96.01, the highest of any entry on our list today.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdO7qiO9gzrka_MELfjB5kRB2dI8Tcpqn3XavUO26VSE4nX5Q1afHotNADoDKKUjZ_1S5aoa43GRLOIs6enDVy5m0gsoVKGG9T1NLY3smnEJmlAHwRv_-Y0eWc03XoZny33aRPEkw?key=jUI_A-c8KWzLrFEjWj61Fg" alt=""/></figure>



DDOG is also our first entry on this list because its chart shows several promising signals. An uptrend that began in April has finally brought the stock price back over the 50-day and 200-day moving averages, a gain of more than 60% in just three months. While it might be tempting to take profits here, the appearance of a Golden Cross and the Relative Strength Index (RSI) retreating under 70 indicates that more upside could be on the horizon.



<h2 class="wp-block-heading">NXP Semiconductors NV&nbsp;</h2>



Semiconductor stocks have led this market rally, driven by seemingly endless demand for AI capital expenditures. While NVDA and AMD dominate most chip headlines, NXP (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NXPI#NASDAQ">NXPI</a>) has been quietly demonstrating solid growth, consistently beating analyst expectations. The company reported earnings on Monday, and while revenue growth slowed YOY, EPS and revenue results both bested expectations. The Q3 revenue guidance of $3.15 billion prompted analysts at Cantor Fitzgerald and Needham &amp; Company to raise their price targets to $250, suggesting potential future upside of more than 10% from current levels.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXeLU-KJGOc50gtXxmO-FcedrtyZKpMV9DLgKnmQb_ujZ2Ty8YI_LNkxyWk7HTR5zNR_FC0-2FRQgvbfRfCdfwv989DUHIcuM0jHaqdsbBThhi0zQXa6zJx2dt0YKoXXCjc68qbqnQ?key=jUI_A-c8KWzLrFEjWj61Fg" alt=""/></figure>



NXPI shares have been steadily grinding upward since late April, but only recently have bullish patterns begun to emerge on the stock chart. The price didn't break above the 200-day MA until late May, and now a Golden Cross has triggered a significant volume spike of buyers. An upbeat earnings call can only add to the bullish energy, and the Benzinga Edge Growth score of 91.72 indicates higher prices are on the way for this stock.



<h2 class="wp-block-heading">Northrop Grumman Corp.&nbsp;</h2>



Defense conglomerate Northrop Grumman (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NOC#NYSE">NOC</a>) is riding fundamental and technical tailwinds as it seeks to break out of a tight range. The company reported earnings on Tuesday, July 22, and while it posted a slight miss on both EPS and revenue, the full-year guidance figures grabbed investors' attention, and the stock finished the day up over 9%. Compared to Lockheed Martin Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LMT#NYSE">LMT</a>), which dropped more than 10% following earnings, Northrop appears to be in the driver's seat for large-cap defense contractors.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXe0sojbQ5wI0jCg7LbRoFdL1hE5P9MfCX9xdY6MMYSh8TNXFpUn7Ng-Txxp77oGcN9arwyMO4ulkYZtJ5Tee2ICC7bslwDivnCUtRDDGVVl7ipi6YASdnvmbojoNdJA2XZm3HfW2w?key=jUI_A-c8KWzLrFEjWj61Fg" alt=""/></figure>



NOC shares were already up 10% year-to-date (YTD) before this earnings release, but the path to this gain has been anything but straightforward. The stock gyrated around the 50- and 200-day MAs for most of May and June before finally breaking both levels at the start of July. The MACD confirmed this uptrend, and with a Golden Cross triggering a large post-earnings move, this stock could surge higher in the next few sessions. The Benzinga Edge Growth score of 88.60 also indicates more upside ahead.



<h2 class="wp-block-heading">United Rentals Inc.&nbsp;</h2>



The largest equipment rental supplier in the country, United Rentals (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/URI#NYSE">URI</a>), reports earnings after the market close on Wednesday, and is looking to build on last quarter's report that saw revenue growth of 6% YOY and strong margins of 45%. The adjusted EBITDA of $1.7 billion was also a record for United Rentals.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcbLQ471ULZ8IrYO90BXLRxJYFGH_M1cffWfsa7G2nBvvHmoLa37ALHJV1KYke3Vh9Na9g2HC_Rb_SoCT1F855_O3rMm_ahm8l9moA-NSSU5An2fVCXsdAur9R3caeIH1-HTb8l?key=jUI_A-c8KWzLrFEjWj61Fg" alt=""/></figure>



The chart is sending some conflicting information about the next move after earnings, but we continue to lean bullish based on recent trends. The stock formed a Golden Cross earlier this month, although this resulted in the RSI spiking over 70, and investors took profits following the post-tariff runup from April. But now that the RSI is comfortably back under 70 with the stock price still firmly above the 50-day and 200-day MAs, any upside earnings surprise will likely trigger another wave of bullish activity.



<h2 class="wp-block-heading">AMETEK Inc.&nbsp;</h2>



AMETEK (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AME#NYSE">AME</a>) is a large-cap industrial firm that's undergone more transformations than a Decepticon. The company planted its roots as a metal and machine shop in 1930 in the Philadelphia suburb of Berwyn and has since evolved into a conglomerate of 40 different industrial businesses, specializing in electronic parts and automated systems. AMETEK went shopping again this month, acquiring FARO Technologies in an <a href="https://www.benzinga.com/m-a/25/07/46430120/faro-shareholders-approve-proposed-merger-with-ametek">all-cash deal worth $920 million</a> and adding it to the Ultra Precision Technologies Division. FARO focuses on 3D imaging and measurement, which has been a key area of focus for AMETEK following its acquisitions of Virtek and Creaform. The stock is down 1.5% YTD, but up over 14% in the last three months, and the daily chart shows a distinct area of interest.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXed_FQIocJHhZZlY5jPv95wo6J2oxo1vgBeFs825olCSPMuSg6grtXeEBiA7J-EyjB5SiamvNhqrGuRV48aMcH0Ivb7Ii4ReMnJwS5Z_SkNi_z1mM6qd6TNXp5uAbN_cNrNcXS4Hg?key=jUI_A-c8KWzLrFEjWj61Fg" alt=""/></figure>



AME shares quickly recovered from the Liberation Day tariff selloff, but have now been stuck in a tight range since early May. However, the consolidation could be coming to an end now that a Golden Cross has formed, and the RSI indicates an upswing would have plenty of room to run. The Benzinga Edge Growth score of 95.62 hints at more upside potential as well. AMETEK has a catalyst coming up when it reports Q2 2025 earnings on July 31 and will look to build on a Q1 release that saw EPS beat expectations but revenue fall slightly short of expectations.



Editorial content from our expert contributors is intended to be information for the general public and not individualized investment advice. Editors/contributors are presenting their individual opinions and strategies, which are neither expressly nor impliedly approved or endorsed by Benzinga.



Image: Shutterstock

Opinion

DDOG

NXPI

5 High-Momentum Stocks With A 'Golden Cross' Buy Signal

Honeywell International Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HON#NASDAQ">HON</a>) on Thursday reported <a target="_blank" href="https://www.benzinga.com/pressreleases/25/07/n46595843/honeywell-reports-second-quarter-results-updates-2025-guidance" rel="noreferrer noopener">second-quarter 2025 results</a> that beat Wall Street expectations and raised its full-year earnings and sales outlook as it continues a sweeping portfolio transformation.



The company posted adjusted earnings of $2.75 per share, topping <a href="https://www.benzinga.com/earnings">analysts&#8217; estimates of $2.65</a>. Revenue for the quarter rose 8% year over year to $10.35 billion, beating expectations of $10.02 billion.



Net income on a GAAP basis was $2.45 per share, up 4% from the prior-year period.



Also Read: <a href="https://www.benzinga.com/analyst-stock-ratings/reiteration/25/07/46400504/honeywell-set-to-soar-analyst-says-smart-price-hikes-solid-backlog-ma-could-drive-big-gains" target="_blank" rel="noreferrer noopener">Honeywell Set To Soar? Analyst Says Smart Price Hikes, Solid Backlog, M&amp;A Could Drive Big Gains</a>



Operating income rose 7% and segment profit increased 8% to $2.4 billion, led by strength in Building Automation and Defense and Space. Operating margin contracted 30 basis points to 20.4% and segment margin contracted 10 basis points to 22.9%.



Operating cash flow was $1.3 billion, down 4% year over year, and free cash flow was $1.0 billion, down 9% year over year.



Segment results were mixed. Aerospace Technologies generated $4.31 billion in sales, up 6% organically, though segment margins declined 170 basis points due to cost inflation and recent acquisitions.



Building Automation posted $1.83 billion in sales with 8% organic growth and a 90 basis-point margin expansion.



Industrial Automation reported $2.38 billion in sales, flat on an organic basis, as gains in sensing and smart energy were offset by declines in warehouse automation and productivity solutions.



Energy and Sustainability Solutions recorded $1.84 billion in sales, up 6% organically, though segment margins contracted due to cost inflation and a customer settlement.



The quarter also marked continued execution on Honeywell&#8217;s portfolio restructuring. The company closed its $2.2 billion <a target="_blank" href="https://www.benzinga.com/25/03/44109915/honeywell-acquires-sundyne-for-216-billion-expanding-energy-and-industrial-equipment-portfolio" rel="noreferrer noopener">acquisition</a> of Sundyne, <a target="_blank" href="https://www.benzinga.com/news/large-cap/25/05/45561483/honeywell-deepens-renewable-fuels-push-with-2-4-billion-deal" rel="noreferrer noopener">announced</a> the £1.8 billion acquisition of Johnson Matthey&#8217;s Catalyst Technologies business, and completed the $1.3 billion sale of its personal protective equipment unit. It also <a target="_blank" href="https://www.benzinga.com/markets/asset-sales/25/07/46297523/honeywell-eyes-strategic-changes-ahead-of-2026-split" rel="noreferrer noopener">initiated</a> a strategic review of its Productivity Solutions and Services and Warehouse and Workflow Solutions segments.



In February, Honeywell <a target="_blank" href="https://www.benzinga.com/news/earnings/25/02/43526541/honeywell-q4-earnings-revenue-and-eps-beat-pursues-planned-split-into-3-public-companies-by-2026" rel="noreferrer noopener">announced</a> it would separate its Automation and Aerospace businesses. The Solstice Advanced Materials spin-off remains on track for the fourth quarter of 2025, with the full restructuring expected to be completed in the second half of 2026.



&#8220;With the announcement of our review of strategic alternatives for our Productivity Solutions and Services and Warehouse and Workflow Solutions businesses, this month also marked the conclusion of the in-depth portfolio review that I initiated early in my tenure as CEO to simplify and optimize Honeywell&#8217;s businesses. As we prepare to separate into three industry-leading public companies, we are confident that our efforts to shape our portfolio have positioned Honeywell to deliver significant value for customers, employees, and shareholders,&#8221; commented Vimal Kapur, chairman and chief executive officer of Honeywell.



<h2 class="wp-block-heading">Outlook 2025</h2>



Honeywell raised its full-year 2025 adjusted earnings guidance to $10.45 to $10.65 per share, up from its prior forecast of $10.20 to $10.50, <a href="https://www.benzinga.com/calendars/guidance">versus the consensus of $10.40</a>.



The company also increased its full-year sales outlook to $40.8 billion and $41.3 billion, up from $39.6 billion to $40.5 billion, versus a consensus of $40.27 billion.



Honeywell expects operating cash flow to be between $6.7 billion and $7.1 billion, and free cash flow between $5.4 billion and $5.8 billion. Excluding the Bombardier settlement, it forecasts 3% to 4% organic sales growth, slightly lower segment margins, and adjusted EPS growth of 1% to 3%.



For the third quarter, Honeywell expects adjusted earnings of $2.50 to $2.60 per share, compared with the analysts&#8217; estimate of $2.54. GAAP earnings are projected to range from $2.30 to $2.40 per share.



Sales are expected to be between $10 billion and $10.3 billion, versus the consensus of $10.02 billion. The updated forecast includes contributions from the Sundyne acquisition and the sale of its personal protective equipment business.



Price Action: At last check Thursday, HON shares were trading lower by 3.04% to $232 premarket.



Read Next:



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<li><a href="https://www.benzinga.com/markets/tech/25/07/46597398/elon-musks-starlink-powered-t-satellite-aims-to-end-dead-zones-but-expert-warns-this-will-bite-t-mobile-after-12-month-deal-ends" target="_blank" rel="noreferrer noopener">Elon Musk&#8217;s Starlink-Powered T-Satellite Aims To End Dead Zones — But Expert Warns: &#8216;This Will Bite T-Mobile&#8217; After 12-Month Deal Ends</a></li>
</ul>



Photo by Piotr Swat via Shutterstock

Honeywell Lifts Outlook As Transformation Picks Up Speed

U.S. stock futures were fluctuating on Thursday after rallying on Wednesday. Futures of major benchmark indices were mixed.



Alphabet Inc. drove gains as Google Search alone brought in <a href="https://www.benzinga.com/markets/tech/25/07/46593735/google-ceo-sundar-pichai-shrugs-off-headling-grabbing-exits-amid-talent-war-hype-we-are-doing-very-well">$54.19 billion in the second quarter</a>, and it raised its capital expenditure forecast for 2025 to around $85 billion, citing &#8220;strong and growing demand&#8221; for its cloud products and services.



Meanwhile, Tesla Inc. dropped after the CEO, Elon Musk, and CFO Vaibhav Taneja warned about the projected impacts from President Donald Trump&#8216;s <a href="https://www.benzinga.com/markets/earnings/25/07/46592460/tesla-stock-drops-after-hours-analysts-lament-lack-of-clear-metrics-balance-sheet-pressure-and-legal-risks-elon-musk-gave-ton-of-ammunition-to-lawyers-suing-him">tax and spending package </a>and the end of the EV tax credit.



Additionally, Trump said that U.S. trading partners will see tariff rates <a href="https://www.benzinga.com/markets/tech/25/07/46593182/trump-signs-new-executive-orders-to-fast-track-ai-dominance-we-will-be-unstoppable-as-a-nation">ranging from 15% to 50%</a> at an AI summit hosted by the Hill &amp; Valley Forum and the &#8220;All-In&#8221; podcast. 



The 10-year Treasury bond yielded 4.40% and the two-year bond was at 3.89%. The CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>&#8216;s projections show markets pricing a 97.4% likelihood of the Federal Reserve keeping the current interest rates unchanged in its July meeting. 



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Futures</td><td>Change (+/-)</td></tr><tr><td>Dow Jones</td><td>-0.31%</td></tr><tr><td>S&amp;P 500</td><td>0.07%</td></tr><tr><td>Nasdaq 100</td><td>0.34%</td></tr><tr><td>Russell 2000</td><td>-0.32%</td></tr></tbody></table></figure>



The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which track the S&amp;P 500 index and Nasdaq 100 index, respectively, were slightly higher in premarket on Thursday. The SPY was up 0.0016% at $634.22, while the QQQ advanced 0.19% to $564.89, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.



Cues From Last Session:



Healthcare, industrials, and energy stocks were among the biggest gainers on the S&amp;P 500 on Wednesday, while utilities and consumer staples bucked the trend and closed lower. Overall, U.S. stocks settled higher, with the S&amp;P 500 recording its 12th record close of the year.



President Trump announced agreements with the Philippines, Indonesia, and, most notably, Japan, while the Financial Times reported an imminent U.S.-EU trade deal, expected to mirror the Tokyo framework. The U.S.-Japan pact raised the baseline tariff on Japanese goods to 15% from 10%, avoiding the previously threatened 25% level.



In corporate news, Thermo Fisher Scientific Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TMO#NYSE">TMO</a>) reported better-than-expected second-quarter financial results on Wednesday.



AT&amp;T Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/T#NYSE">T</a>) also announced strong financial results for its fiscal second quarter of 2025, surpassing analyst expectations for both revenue and earnings.



On the economic data front, U.S. existing-home sales declined 2.7% from the previous month to an annual rate of 3.93 million units in June.



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Index</td><td>Performance (+/-)</td><td>Value</td></tr><tr><td>Nasdaq Composite</td><td>0.61%</td><td>21,020.02</td></tr><tr><td>S&amp;P 500</td><td>0.78%</td><td>6,358.91</td></tr><tr><td>Dow Jones</td><td>1.14%</td><td>45,010.29</td></tr><tr><td>Russell 2000</td><td>1.53%</td><td>2,283.13</td></tr></tbody></table></figure>



Insights From Analysts:



Despite a recent uptick in performance, the fundamentals do not support a favorable rating on U.S. small-cap equities, according to Scott Wren, Senior Global Market Strategist at Wells Fargo Investment Institute. Wren expressed a cautious stance, advising clients to temper expectations for the asset class for the remainder of 2025 and into 2026.



&#8220;We do not believe the fundamentals support a favorable rating on U.S. Small Cap Equities,&#8221; stated Wren, noting that many strategists have struggled to accurately time a resurgence in small-cap stocks relative to their large-cap counterparts over the past few years.



The Russell 2000 Index, a key measure of small-cap performance, has seen a noticeable improvement since the S&amp;P 500 Index hit its year-low on April 7. Since then, the R2K has slightly outperformed the S&amp;P 500, rallying 27.7% compared to the latter&#8217;s 27.2% rise as of July 23.



This recent neck-and-neck performance has drawn attention, particularly given the S&amp;P 500&#8217;s significant outperformance over the past two years. Over the past four years, the S&amp;P 500 is up nearly 55% while the R2K is largely flat.



Wren attributes the historical underperformance and recent improvement to a combination of &#8220;poor fundamentals (in recent years) and market risk tolerance (more recently).&#8221; He elaborated that smaller-cap equities typically possess weaker balance sheets and are more sensitive to interest rates, relying heavily on credit.



Wells Fargo Investment Institute has maintained a neutral weighting for U.S. Small Cap Equities for nearly a year. While investors have recently gravitated towards small caps amid a &#8220;risk-on&#8221; mood and expectations for multiple Federal Reserve interest rate cuts this year, Wren stated, &#8220;We, on the other hand, have stuck with our recommendation to lean toward quality large-cap equities and look for the Fed to cut interest rates only one time this year.&#8221;



As a result, Wells Fargo suggests investors consider trimming their exposure to U.S. Small Cap Equities, either holding those funds for future reinvestment at lower levels or reallocating them to favored sectors that have recently underperformed, such as Energy, Utilities, and Financials.



Meanwhile, Ryan Detrick of Carson Research highlighted that July 2025 was going to match an old record from 1950 to 1961 when the S&amp;P 500 index was up for 11 consecutive Julys. This July would mark the 11th consecutive year as well, starting from 2014.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">With a week to go, the S&amp;P 500 is up a very solid 2.5% in July. This would be the 11th consecutive year stocks were higher in July, tying the longest win streak ever. <a href="https://t.co/5WU1FviJBG">pic.twitter.com/5WU1FviJBG</a>&mdash; Ryan Detrick, CMT (@RyanDetrick) <a href="https://twitter.com/RyanDetrick/status/1948117334314357165?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



See Also: <a href="https://www.benzinga.com/money/how-to-trade-futures">How to Trade Futures </a>



Upcoming Economic Data



Here&#8217;s what investors will keep an eye on Thursday:



<ul class="wp-block-list">
<li>The initial jobless claims data for the week ended July 19 will be announced by 8:30 a.m. ET.</li>
</ul>



<ul class="wp-block-list">
<li>July&#8217;s S&amp;P flash U.S. services and manufacturing PMI will be out by 9:45 a.m., and June&#8217;s new home sales data will be released by 10:00 a.m. ET.</li>
</ul>



Stocks In Focus:



<ul class="wp-block-list">
<li>Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) tumbled 6.09% in premarket on Thursday after reporting weaker-than-expected second-quarter financial results. Its revenue of $22.5 billion was down 12% year-over-year. It missed a Street consensus estimate of $22.8 billion. Its earnings per share were $0.40 in the quarter, missing the Street consensus estimate of $0.42 per share.</li>



<li>Alphabet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) rose 2.89% after reporting better-than-expected second-quarter financial results and increasing its investment in capital expenditures in 2025. Its second-quarter revenue of $96.43 billion beat analyst estimates of $93.72 billion. Its earnings of $2.31 per share beat estimates of $2.16 per share.</li>



<li>American Eagle Outfitters Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AEO#NYSE">AEO</a>) jumped 16.08% following the launch of a new advertising campaign featuring actress Sydney Sweeney.</li>



<li>Intel Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) was up 0.43% as analysts expect it to report earnings of 1 cent per share on revenue of $11.91 billion after the closing bell.</li>



<li>American Airlines Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAL#NASDAQ">AAL</a>) was down 0.79% as it is expected to report earnings before the opening bell. Analysts estimate earnings of 77 cents per share on revenue of $14.30 billion.</li>



<li>Honeywell International Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HON#NASDAQ">HON</a>) advanced 1.12% as analysts expect it to report earnings of $2.65 per share on revenue of $10.02 billion before the opening bell.</li>



<li>Opendoor Technologies Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OPEN#NASDAQ">OPEN</a>) zoomed 8.73% continuing to be driven by retail investor hype and viral buzz across and notable backing from Eric Jackson, founder of EMJ Capital.</li>



<li>Chipotle Mexican Grill Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CMG#NYSE">CMG</a>) dropped 10.44% as its earnings per share exceeded expectations by $0.01, but its revenue fell short of estimates. The company also adjusted its 2025 same-store sales forecast to be flat, which led to the stock price decline.</li>



<li>T-Mobile US Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TMUS#NASDAQ">TMUS</a>) rose 5.16% after a robust second-quarter earnings and the launch of T-Satellite in partnership with Satrlink.</li>
</ul>



Commodities, Gold, And Global Equity Markets:



Crude oil futures were trading higher in the early New York session by 1.15% to hover around $66.00 per barrel.



Gold Spot US Dollar fell 0.59% to hover around $3,367.29 per ounce. Its last record high stood at $3,500.33 per ounce. The U.S. Dollar Index spot was higher by 0.14% at the 97.3490 level.



Asian markets ended on a mixed note on Thursday as Japan's Nikkei 225, South Korea's Kospi, Hong Kong's Hang Seng, and China&#8217;s CSI 300 indices advanced. However, India's S&amp;P BSE Sensex and Australia's ASX 200 indices fell. European markets were higher in early trade.



Read Next:



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<li><a href="https://www.benzinga.com/markets/earnings/25/07/46594057/trumps-big-beautiful-bill-fuels-atts-5g-fiber-expansion-we-intend-to-invest-more-rapidly-in-next-generation-networks">Trump&#8217;s &#8216;Big, Beautiful Bill&#8217; Fuels AT&amp;T&#8217;s 5G, Fiber Expansion: &#8216;We Intend To Invest More Rapidly In Next Generation Networks&#8217;</a></li>
</ul>



Photo courtesy: Shutterstock

Equities

GOOG

GOOGL

INTC

OPEN

TMUS

US Stocks Likely To Open On A Mixed Note After Tesla, Alphabet Earnings: Intel, American Airlines, Honeywell In Focus

Advanced Micro Devices Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>) CEO Lisa Su has projected explosive growth in AI chip demand while warning that the U.S. must rapidly expand its <a href="https://www.benzinga.com/25/04/44770461/intel-on-slump-as-china-hits-us-made-chips-with-tariffs-amd-and-taiwan-semiconductor-rise-on-exemption-boost">manufacturing capacity</a> to stay ahead in the global AI arms race.



What Happened: Speaking at an AI policy summit hosted by the Hill &amp; Valley Forum and the "All-In" podcast on Wednesday, Su said AI chip demand could soar to more than $500 billion within a couple of years, driven by surging infrastructure needs from companies like Elon Musk's xAI and Sam Altman's OpenAI.



"We're imagining that just the accelerator market—so the chips for these AI large computing systems—will be like over $500 billion in a couple of years," Su said, citing the need for rapid scaling in both chip design and manufacturing.



See Also:&nbsp;<a href="https://www.benzinga.com/markets/equities/25/07/46290622/openai-sticks-with-nvidia-chatgpt-maker-says-no-plans-to-use-googles-ai-chips-at-scale" target="_blank" rel="noreferrer noopener">OpenAI Sticks With Nvidia: ChatGPT Maker Says No Plans To Use Google's AI Chips At Scale</a>



She stressed that meeting this demand would require scaling "the entire ecosystem," not just silicon production. "The U.S. is going to be a huge piece of it," she added, calling the Donald Trump administration's AI Action Plan "a really excellent blueprint" for supporting growth.



Su also predicted a "Cambrian explosion" of chip diversity, saying AI's spread across science, manufacturing, personal devices, and more will require various custom-designed chips beyond just GPUs.



"I am a believer in there will be diversity of chips," she said.



Why It's Important: On Wednesday, <a href="https://www.benzinga.com/markets/tech/25/07/46593182/trump-signs-new-executive-orders-to-fast-track-ai-dominance-we-will-be-unstoppable-as-a-nation">Trump unveiled a trio of executive orders</a> as part of his &#8220;AI Action Plan,&#8221; aiming to strengthen U.S. leadership in artificial intelligence.



The orders seek to fast-track data center permitting, launch an American AI Exports Program to promote U.S. AI technology globally, and ban the use of ideologically biased AI—such as systems promoting diversity, equity, and inclusion (DEI)—in federal agencies.



Trump&#8217;s push to reshore manufacturing has prompted major companies to <a href="https://www.benzinga.com/personal-finance/25/05/45600424/trumps-commerce-secretary-says-future-of-american-manufacturing-is-tradecraft-jobs-that-only-require-high-school-education-great-jobs-that-start-in-80000">revamp their strategies</a> and boost investments in the U.S.



Earlier this year, Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) announced a $500 billion investment to expand domestic manufacturing, while Nvidia Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) plans to produce AI servers worth up to $500 billion in the country.



Other tech giants, including Amazon.com, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), Alphabet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) and IBM (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IBM#NYSE">IBM</a>) have also unveiled significant U.S. investment initiatives in response to the policy shift.



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="Winning the AI Race Part 3: Jensen Huang, Lisa Su, James Litinsky, Chase Lochmiller" width="500" height="281" src="https://www.youtube.com/embed/9WkGNe27r_Q?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
</div></figure>



According to Benzinga&#8217;s Edge Stock Rankings, AMD continues to demonstrate strong upward momentum over the short, medium and long term. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound'">More detailed performance metrics are available here</a>.



<figure class="wp-block-image aligncenter size-full"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound'"><img decoding="async" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24042506/Screenshot-2025-07-24-at-1.53.02%E2%80%AFPM.png" alt="" class="wp-image-998579"/></a></figure>



Read Next:&nbsp;



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/tech/25/07/46261478/nvidias-4t-countdown-will-next-weeks-chart-print-a-trillion-dollar-breakout" target="_blank" rel="noreferrer noopener">Nvidia's $4T Countdown: Will Next Week's Chart Print A Trillion-Dollar Breakout?</a></li>
</ul>



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Photo courtesy: jamesonwu1972 On Shutterstock.com

AAPL

AMZN

Lisa Su Says AI Chip Demand Could Top $500 Billion In Just A Few Years — Says US Must Rapidly Scale Manufacturing To Keep Up With Elon Musk, Sam Altman

Vice President JD Vance expressed the President Donald Trump administration&#8217;s determination to lead the global AI race and criticized the European and the former President Joe Biden administration&#8217;s approach to artificial intelligence.



What Happened: On Wednesday, in an interview with the All In Podcast, Vance highlighted the administration&#8217;s strategy to embrace AI and ensure American dominance in the field. He emphasized the need to shift away from the overregulation and fear of the future that characterized the Biden administration&#8217;s approach.



Vance pointed out that the Trump administration acknowledges the challenges of AI, such as consumer protection and data privacy, but also focuses on innovation. He criticized the European approach, which he described as being &#8220;so terrified about the problems with AI&#8221; that they fail to embrace its potential.



He also highlighted the administration&#8217;s focus on technology and development, predicting that this approach would lead to job creation, increased productivity, and a new food revolution.



Vance contrasted this with the Biden administration&#8217;s reliance on importing cheap labor, which he termed a &#8220;dead end.&#8221;



See Also: <a href="https://benzinga.com/markets/cryptocurrency/24/12/42312553/telegram-related-ton-crypto-secures-20-million-raise-from-pantera-capital-down-13-from-all-time-high" target="_blank" rel="noopener">Telegram-Related TON Crypto Secures $20 Million Raise From Pantera Capital, Down 13% From All-Time High</a>



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="Winning the AI Race Part 2: Vice President JD Vance" width="500" height="281" src="https://www.youtube.com/embed/8qT2SAJI_HQ?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
</div></figure>



Why It Matters: In February, the U.S. faced stiff competition in the AI race, particularly from China. China&#8217;s <a href="https://www.benzinga.com/startups/25/02/43423992/ai-could-be-as-deadly-as-nuclear-weapons-how-chinas-advances-change-the-game">AI advances have raised concerns</a> among U.S. security experts, with Beijing potentially reshaping the global AI landscape.



This month, the Trump administration&#8217;s plans to announce <a href="https://www.benzinga.com/markets/tech/25/07/46412125/trumps-latest-move-on-ai-and-china-propels-chip-stocks">substantial AI investments</a> and lift certain chip export restrictions to China led to a surge in AI chip stocks like Nvidia Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Advanced Micro Devices (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), and Taiwan Semiconductor Manufacturing Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>)



Earlier this year, the U.S. and U.K. <a href="https://www.benzinga.com/25/02/43646841/us-and-uk-did-not-sign-ai-safety-pact-at-paris-summitvice-president-jd-vance-says-excessive-regulation-could-kill-the-industry">declined to sign a global AI safety</a> pledge at the Paris AI Action Summit, breaking from prior support. Vance called the agreement overly cautious and a threat to innovation, as 60 other nations, including China and India, endorsed the non-binding deal.



Read Next: 



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<li><a href="https://benzinga.com/news/politics/25/07/46591231/trumps-name-reportedly-found-in-epstein-files-by-justice-department-pam-bondi-says-president-was-ma" target="_blank" rel="noopener">Trump&#8217;s Name Reportedly Found In Epstein Files By Justice Department, Pam Bondi Says President Was Made &#8216;Aware Of The Findings&#8217;</a></li>
</ul>



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Photo Courtesy: Lev Radin on Shutterstock.com

JD Vance Slams Biden And Europe's Fear-Driven AI Policy, Vows US Will Lead Global Tech Race Under Trump With Innovation Over Regulation

The CNN Money Fear and Greed index showed further improvement in the overall market sentiment, while the index moved to the &#8220;Extreme Greed&#8221; zone on Wednesday.



U.S. stocks settled higher on Wednesday, with the Dow Jones index gaining more than 500 points during the session. The S&amp;P 500 also logged its 12th record close of the year.



President Donald Trump announced agreements with the Philippines, Indonesia and—most significantly—Japan, while the Financial Times reported that a U.S.-EU trade deal is imminent, expected to mirror the Tokyo framework.



The U.S.-Japan pact raises the baseline tariff on Japanese goods to 15% from 10%, sidestepping the previously threatened 25% level.



Thermo Fisher Scientific Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TMO#NYSE">TMO</a>) reported better-than-expected second-quarter financial results on Wednesday. AT&amp;T Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/T#NYSE">T</a>) announced strong financial results for its fiscal second quarter of 2025 on Wednesday, surpassing analyst expectations for both revenue and earnings.



On the economic data front, U.S. existing-home sales declined 2.7% from the previous month to an annual rate of 3.93 million units in June.



Most sectors on the S&amp;P 500 closed on a positive note, with healthcare, industrials, and energy stocks recording the biggest gains on Wednesday. However, utilities and consumer staples stocks bucked the overall market trend, closing the session lower.



The Dow Jones closed higher by 508 points to 45,010.29 on Wednesday. The S&amp;P 500 gained 0.78% to 6,358.91, while the Nasdaq Composite gained 0.61% at 21,020.02 during Wednesday's session.



Investors are awaiting earnings results from Honeywell International Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HON#NASDAQ">HON</a>), American Airlines Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAL#NASDAQ">AAL</a>) and Intel Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) today.



What is CNN Business Fear &amp; Greed Index?



At a current reading of 76.3, the index moved to the &#8220;Extreme Greed&#8221; zone on Wednesday, versus a prior reading of 73.5.



The Fear &amp; Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.



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Photo courtesy: Shutterstock

Pre-Market Outlook

Dow Surges 500 Points Amid Trump's Trade Deal Deluge: Investor Sentiment Improves, Fear Index Moves To 'Extreme Greed' Zone

Leading cryptocurrencies diverged from stocks on Wednesday as investors parsed tariff-related developments ahead of the Aug. 1 deadline.



<figure class="wp-block-table"><table class="has-fixed-layout"><thead><tr><th>Cryptocurrency</th><th>Gains +/-</th><th>Price (Recorded at 10:25 p.m. ET)</th></tr></thead><tbody><tr><td>Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>)</td><td>-0.32%</td><td>$118,916.47</td></tr><tr><td>Ethereum (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/eth/usd">ETH</a>) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-2.71%</td><td>$3,642.88</td></tr><tr><td>Dogecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>-8.69%</td><td>$0.2436</td></tr></tbody></table></figure>



What Happened: Overnight, Bitcoin's price rebounded from its intraday low of $117,391.39 to near $119,000. Trading activity dropped, with volumes down by more than 13% in the last 24 hours.&nbsp;



Ethereum followed a similar trajectory, rising from $3,532 to more than $3,600 overnight.



Cryptocurrency liquidations reached $735 million in the last 24 hours, with long-position traders facing the brunt of the losses. A rally to $121,000, however, could erase over $580 million in Bitcoin shorts.



Bitcoin's open interest fell 2.19% in the last 24 hours to $84.26 billion. Interestingly, over 50% of Binance traders with open BTC positions were betting on further declines, according to the Long/Short ratio. 



Top Gainers (24 Hours)



<figure class="wp-block-table"><table class="has-fixed-layout"><thead><tr><th>Cryptocurrency</th><th>Gains +/-</th><th>Price (Recorded at 10:25 p.m. ET)</th></tr></thead><tbody><tr><td>Story (IP)</td><td>+6.21%</td><td>$5.34</td></tr><tr><td>KuCoin Token (KCS)&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+0.77%</td><td>$12.14</td></tr><tr><td>Conflux (CFX)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+0.55%</td><td>$0.1701 </td></tr></tbody></table></figure>



The global cryptocurrency market capitalization stood at $3.95 trillion, following a modest jump of 0.78% from the previous day.



Stocks notched higher in Wednesday's trading. The Dow Jones Industrial Average climbed 507.85 points, or 1.14%, ending at 45,010.29. The S&amp;P 500 lifted 0.78% to end at a new record close of 6,358.91. The tech-heavy Nasdaq Composite spiked 0.61% to end at 21,020.02.



Tariff-related developments were high on investors' radar. A report indicated that the <a href="https://www.benzinga.com/trading-ideas/movers/25/07/46581998/stellantis-shares-surge-on-u-s-eu-tariff-deal-prospects-whats-going-on">U.S. and the EU are nearing an agreement</a> on a new trade deal before the Aug. 1 deadline.&nbsp;



Earlier in the week, President Donald Trump <a href="https://www.benzinga.com/trading-ideas/movers/25/07/46581558/trump-just-announced-a-trade-deal-with-japan-why-this-automotive-stock-is-rallying">finalized</a> a long-anticipated trade agreement with Japan.



See More: <a href="https://www.benzinga.com/money/best-crypto-scanners">Best Cryptocurrency Scanners</a>



Analyst Notes: On-chain analytics firm Santiment noted a significant drop in retail Bitcoin sentiment following its recent highs.



"The dust has settled from the July 14th $123,077 all-time high, and traders have shown signs of doubt," Santiment added. "If this trend continues, it could lead to another quick ATH."



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">&#x1f92b; Bitcoin retail has been quiet, with few calls for higher price levels. The dust has settled from the July 14th $123,077 all-time high, and traders have shown signs of doubt. &#x1f517; If this trend continues, it could lead to another quick ath. Track it here: <a href="https://t.co/y6cJO1fAo9">https://t.co/y6cJO1fAo9</a> <a href="https://t.co/CIHE9E5XHO">pic.twitter.com/CIHE9E5XHO</a>&mdash; Santiment (@santimentfeed) <a href="https://twitter.com/santimentfeed/status/1948050309311598665?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Investor and entrepreneur Ted Pillows said that Ethereum is yet to enter the "banana zone" and anticipated a sideways accumulation before it breaks above $4,100.



"Once that happens, you&#8217;ll see the most violent rally," Pillows projected.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true"><a href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$ETH</a> is yet to enter the banana zone. &#x1f680; Right now, it&#39;s going through a correction after pulling a 70% rally. I think there&#39;ll be some sideways accumulation before ETH breaks above $4,100. Once that happens, you&#39;ll see the most violent rally. <a href="https://t.co/6h01P1qGKz">pic.twitter.com/6h01P1qGKz</a>&mdash; Ted (@TedPillows) <a href="https://twitter.com/TedPillows/status/1948030945019506974?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Photo Courtesy: PeopleImages.com &#8211; Yuri A on Shutterstock.com



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Cryptocurrency

$BTC

$DOGE

$ETH

Bitcoin Consolidates Amid Trump's Tariff Moves; Ethereum, Dogecoin Fall: Analyst Foresees 'Violent' ETH Rally Once It Breaks This Level

Japan&#8217;s Fair Trade Commission has taken its first administrative action against the credit card industry, targeting Visa Worldwide Pte Ltd., a subsidiary of&nbsp;Visa Inc.&#8216;s (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/V#NYSE">V</a>) Singapore operations, over suspected monopolistic practices in the authorization system market.



What Happened: The FTC approved Visa Worldwide&#8217;s voluntary corrective action plan following a probe into allegations that the payment giant effectively forced credit card companies to use its proprietary credit authorization system, <a href="https://ajw-origin.potaufeu.asahi.com/ajw/articles/15922631">reported</a> The Asahi Shimbun. 



The company must report implementation progress to regulators for five years under the commitment procedure based on Japan&#8217;s Anti-Monopoly Law.



Visa, the world&#8217;s largest international credit card network, operates through regional subsidiaries including Singapore-based Visa Worldwide, which manages Asian operations. The company doesn&#8217;t issue cards directly but provides transaction infrastructure, collecting license fees from card issuers and payment processors.



The investigation centered on Visa&#8217;s November 2021 terms changes that rendered credit card companies managing merchant outlets ineligible for commission discounts in certain industries unless they adopted Visa&#8217;s authorization system. According to the FTC, nearly all companies using rival systems switched to Visa&#8217;s platform after the February 2018 announcement.



The authorization system generates approximately 10 billion yen ($68 million) annually in fees from these companies. When consumers make purchases, card companies use this system to verify spending limits and detect potential fraud with cardholders&#8217; issuing banks.



Visa did not immediately respond to <a href="http://pro.benzinga.com/" target="_blank" rel="noreferrer noopener">Benzinga</a>'s request for comment.



See Also:&nbsp;<a href="https://www.benzinga.com/news/topics/25/07/46537910/palantir-veterans-set-to-launch-founders-films-with-pro-america-ai-powered-slate-9-11-rescue-story-in-pipeline-report" target="_blank" rel="noreferrer noopener">Palantir Veterans Set To Launch Founders Films With Pro-America, AI-Powered Slate — 9/11 Rescue Story In Pipeline: Report</a>



Why It Matters: FTC officials concluded the updated terms constituted suspected violations of unfair trade practices by restricting free transactions and excluding rival authorization providers. The watchdog conducted onsite investigations of Visa&#8217;s Japanese subsidiary in July 2024.



This regulatory scrutiny comes as Visa faces mounting competitive <a href="https://www.benzinga.com/crypto/cryptocurrency/25/07/46321038/buckle-up-visa-stablecoins-process-800-billion-in-transactions-per-month-report-finds">pressure from stablecoins and digital payment alternatives</a>. Recent reports indicate stablecoins now process approximately $800 billion monthly in transactions, approaching Visa&#8217;s $1.1 trillion monthly volume. The U.S. Senate&#8217;s passage of the GENIUS Act establishing stablecoin frameworks could intensify competition for traditional card networks.



Japan&#8217;s credit card market represents significant volume, with approximately 116 trillion yen ($788 billion in payments processed in 2024, according to the Japan Consumer Credit Association.



Visa stock has gained over 13% year-to-date, outpacing Mastercard Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MA#NYSE">MA</a>) at 7.60%, though <a href="https://www.benzinga.com/markets/large-cap/25/07/46365557/visa-vs-mastercard">both lag broader technology sector gains.</a> Compare Visa and Mastercard on price trend, growth, momentum, and quality with Benzinga&#8217;s Stock Edge Rankings.



<figure class="wp-block-image size-full is-resized"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-3/#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"><img loading="lazy" decoding="async" width="882" height="628" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24000714/image-347.png" alt="" class="wp-image-998216" style="width:541px;height:auto" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24000714/image-347.png 882w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24000714/image-347-300x214.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/24000714/image-347-768x547.png 768w" sizes="(max-width: 882px) 100vw, 882px" /></a></figure>



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Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Image Via Shutterstock

Visa Hit By Japan's First-Ever Antitrust Action Against Credit Card Industry

Leading analysts react to Tesla Inc.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) second-quarter earnings call, flagging a range of concerns regarding the company and its current direction.



Check out the current price of&nbsp;<a href="https://www.benzinga.com/quote/TSLA" target="_blank" rel="noreferrer noopener">TSLA stock here.</a>



What Happened: On Wednesday, soon after the call, Gene Munster, a managing partner at Deepwater Asset Management, posted on X, noting that the stock was &#8220;down almost 4.3%, compared to flat at the start of the call.&#8221; Munster adds that &#8220;There was no single trigger for the sell-off. It was a steady decline throughout the call.&#8221;



Munster highlighted several red flags in the call, starting with the absence of &#8220;clear metrics about what to expect this quarter from Austin,&#8221; referring to the company&#8217;s robotaxis that were rolled out in the city.



See Also: <a href="https://www.benzinga.com/crypto/cryptocurrency/25/07/46592191/elon-musks-tesla-sits-on-284-million-bitcoin-windfall-in-q2-refuses-to-cash-out">Elon Musk&#8217;s Tesla Sits On $284 Million Bitcoin Windfall In Q2, Refuses to Cash Out</a>



He further expressed concerns that Tesla would need to &#8220;fund autonomy from the balance sheet until it reaches scale,&#8221; which he said &#8220;raise[s] questions about what profits will look like over the next year.&#8221;



<figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">TSLA call just ended. The stock is now down almost 4.3 %, compared to flat at the start of the call. There was no single trigger for the sell off. It was a steady decline throughout the call. Some factors that may have played a part: 1. No clear metrics about what to expect…&mdash; Gene Munster (@munster_gene) <a href="https://twitter.com/munster_gene/status/1948150998742032475?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Investor and podcaster Amit Kukreja posted on X, saying that the call confirmed that &#8220;the affordable model is a smaller model Y,&#8221; fueling concerns of cannibalization.



He also highlights CEO Elon Musk&#8217;s warnings of hiccups for the next four quarters, &#8220;before material unit economic changes from robotaxi.&#8221;



&#8220;If you're a bull, there is nothing that new, if you are a bear, you probably continue to be bearish," he says, calling Tesla &#8220;rangebound until meaningful earnings growth.&#8221;



<figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">so… what did everyone think about the <a href="https://twitter.com/search?q=%24TSLA&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$TSLA</a> call &#x1f976; &#8211; back to prices from last week, down 5% &#8211; elon confirmed the affordable model is a smaller model Y &#8211; optimus 1M/year target now is 2030 &#8211; said that next 4 quarters will have hiccups before material unit economic changes from… <a href="https://t.co/cnC0Sr2OH7">pic.twitter.com/cnC0Sr2OH7</a>&mdash; amit (@amitisinvesting) <a href="https://twitter.com/amitisinvesting/status/1948166112836726788?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



The Editor-in-Chief of Electrek, Fred Lambert, however, had a rather blunt critique of the call. &#8220;What a shit show of a $TSLA call,&#8221; he says, adding that he is &#8220;pretty sure&#8221; that there was &#8220;a lie per minute.&#8221;



He also warned that Musk gave &#8220;a ton of ammunition&#8221; to the lawyers and shareholders who are currently suing him for breach of fiduciary duty &#8220;in the xAI/Tesla case,&#8221; he says.



Lambert also says that the company&#8217;s much-touted autonomous taxi business &#8220;will not be a giant profit center,&#8221; and that scaling in this space would be expensive, with fierce competition.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">What a shit show of a <a href="https://twitter.com/search?q=%24TSLA&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$TSLA</a> call. I&#39;m pretty sure there was a lie per minute. Elon also gave a ton of ammunition to the lawyers of the shareholders suing him for breach of fiduciary duty in the xAI/Tesla case. The next few quarters are going to be hard with or without Elon.…&mdash; Fred Lambert (@FredericLambert) <a href="https://twitter.com/FredericLambert/status/1948149231073526066?ref_src=twsrc%5Etfw">July 23, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Why It Matters: Tesla released its <a href="https://www.benzinga.com/markets/earnings/25/07/46587882/tesla-q2-earnings-highlights-revenue-and-earnings-fall-short-new-models-still-set-for-2025-2026">second-quarter results</a> on Wednesday, reporting $22.5 billion in revenue, down 12% year-over-year, and missing consensus estimates at $22.8 billion. The company reported a profit of $0.40 per share, again missing Street estimates at $0.42. 



Price Action: The company&#8217;s shares were up 0.14% on Wednesday, trading at $332.56, but are down 4.44% after hours, following the earnings call.



<figure class="wp-block-image aligncenter size-full"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"><img loading="lazy" decoding="async" width="759" height="110" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23222247/Screenshot-2025-07-24-at-11.21.42.png" alt="" class="wp-image-998147" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23222247/Screenshot-2025-07-24-at-11.21.42.png 759w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23222247/Screenshot-2025-07-24-at-11.21.42-300x43.png 300w" sizes="(max-width: 759px) 100vw, 759px" /></a></figure>



According to Benzinga&#8217;s Edge Stock Rankings, Tesla shares score well on Growth, but lag on other fronts. They have a favorable price trend in the short, medium and long terms. Click <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound">here</a> for deeper insights into the stock. 



Photo Courtesy: Josiah True on Shutterstock.com



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Large Cap

Markets

Tesla Stock Drops After-Hours, Analysts Lament Lack Of 'Clear Metrics,' Balance Sheet Pressure And Legal Risks: Elon Musk Gave 'Ton Of Ammunition' To Lawyers Suing Him

Alphabet Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) reported financial results for the second quarter after the market close on Wednesday. Here&#8217;s a look at the key details <a href="https://www.benzinga.com/news/25/07/46569664/how-to-earn-500-a-month-from-alphabet-stock-ahead-of-q2-earnings">from the period</a>.



Q2 Earnings:&nbsp;Google parent Alphabet reported second-quarter revenue of $96.43 billion, beating analyst <a href="https://www.benzinga.com/calendars/earnings" target="_blank" rel="noreferrer noopener">estimates</a>&nbsp;of $93.72 billion. The company reported second-quarter earnings of $2.31 per share, beating estimates of $2.16 per share. 



Alphabet has now exceeded analyst expectations on the top and bottom lines in 10 straight quarters, according to <a href="http://pro.benzinga.com">Benzinga Pro</a>.



Alphabet&#8217;s earnings per share were up 22% year-over-year. Total revenue was up 14% year-over-year, driven by &#8220;robust momentum&#8221; across the business. Here&#8217;s a breakdown of revenue by category:



<ul class="wp-block-list">
<li>Google Search: $54.19 billion, up from $48.51 billion year-over-year</li>



<li>YouTube Advertising: $9.8 billion, up from $8.66 billion year-over-year</li>



<li>Google Cloud: $13.62 billion, up from $10.35 billion year-over-year</li>



<li>Google Advertising: $71.34 billion, up from $64.62 billion year-over-year</li>
</ul>



Alphabet ended the quarter with approximately $95.15 billion in cash, cash equivalents and marketable securities. 



&#8220;We are leading at the frontier of AI and shipping at an incredible pace. AI is positively impacting every part of the business, driving strong momentum. Search delivered double-digit revenue growth, and our new features, like AI Overviews and AI Mode, are performing well,&#8221; said&nbsp;Sundar Pichai, CEO of Alphabet.



&#8220;We continue to see strong performance in YouTube as well as subscription offerings. And Cloud had strong growth in revenues, backlog and profitability. Its annual revenue run-rate is now more than $50 billion.&#8221;



Alphabet increased its capital expenditures outlook for 2025 to approximately $85 billion due to &#8220;strong and growing demand&#8221; for cloud products and services. 



Company executives will further discuss the quarter on a call with investors and analysts at 4:30 p.m. ET.



GOOG Price Action: <a href="https://www.benzinga.com/quote/GOOG" target="_blank" rel="noreferrer noopener">Alphabet shares</a> were down 1.82% in after-hours, trading at $186.77 at the time of publication on Wednesday, according to <a href="https://benzinga.grsm.io/gxjhpowx7zks" target="_blank" rel="noreferrer noopener">Benzinga Pro</a>.



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Photo: Shutterstock.

Alphabet Q2 Earnings: Revenue, EPS Beat Estimates, Google Parent Raises CapEx Outlook Due To 'Strong And Growing' Cloud Demand

Electric vehicle giant Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) reported second-quarter financial results <a href="https://www.benzinga.com/earnings">after market close Wednesday.</a>



What Happened: Tesla reported second-quarter revenue of $22.5 billion, down 12% year-over-year. The revenue missed a Street consensus estimate of $22.8 billion according to data <a href="https://pro.benzinga.com/">from Benzinga Pro.</a>



The company reported Automotive revenue of $16.66 billion, down 16% year-over-year.



Tesla's earnings per share were 40 cents in the quarter, missing a Street consensus estimate of 42 cents per share.



The company said revenue declined due to lower deliveries, lower regulatory credit revenue and lower average selling prices, offset slightly by growth in services and other revenue.



Operating income was $0.9 billion in the quarter, down 42% year-over-year. Tesla's operating margin was 4.1% for the quarter.



Tesla previously reported <a href="https://www.benzinga.com/trading-ideas/movers/25/07/46221375/tesla-stock-jumps-on-strong-q2-deliveries" target="_blank" rel="noreferrer noopener">second-quarter deliveries</a> of 384,122, down from 443,956 in the same quarter last year. Production of 410,244 units in the quarter was down slightly from 410,831 in last year&#8217;s second quarter.



The company called the second quarter a "seminal point" in history as the beginning of a transition from leading the electric vehicle and renewable energy industries to also becoming a leader in AI and robotics.



Tesla highlighted the launch of its first Robotaxi service in Austin, Texas in June.



The company ended the quarter with $1.24 billion in digital assets on the balance sheet, likely related to its Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) holdings. The value increased from $951 million in the previous quarter, following Tesla&#8217;s recent adoption of a new reporting method for valuing its cryptocurrency holdings.



Tesla ended the quarter with $36.8 billion in cash and investments.



What's Next: Tesla said it continues to expand its vehicle offerings with the first builds of a more affordable model in June and volume production planned for the second half of 2025. Tesla is also continuing the progress of the Tesla Semi and Cybercab, both planned for volume production in 2026.



"Despite a sustained uncertain macroeconomic environment resulting from shifting tariffs, unclear impacts from changes to fiscal policy and political sentiment, we continue to make high value investments in CapEx and R&amp;D, while ensuring a strong balance sheet," the company said.



Tesla said its priorities remain as delivering affordable autonomy-capable vehicles, growing the Energy business and advancing robotic efforts.



The company said it has enough liquidity to fund its product roadmap.



"We are making prudent investments that will set up both our vehicle and energy businesses for growth, the actual results will depend on a variety of factors, including the broader macroeconomic environment, the rate of acceleration of our autonomy efforts and production ramp at our factories."



TSLA Price Action: Tesla stock is down 0.3% to $331.55 in after-hours trading Wednesday versus a 52-week trading range of $182.00 to $488.54.



Read Next: 



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<li><a href="https://www.benzinga.com/news/restaurants/25/07/46553838/tesla-musk-jump-into-make-america-healthy-again-with-beef-tallow-fries-at-diner" target="_blank" rel="noreferrer noopener">Tesla, Musk Jump Into Make America Healthy Again With Beef Tallow Fries At Diner</a></li>
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<iframe loading="lazy" title="&#x1f534; WATCH LIVE: Tesla Q2 2025 Earnings Call &#x7C; $TSLA" width="500" height="281" src="https://www.youtube.com/embed/EZgIOYlWDcY?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen></iframe>
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Image created using artificial intelligence via Midjourney.

Tesla Q2 Earnings Highlights: Revenue And Earnings Fall Short; New Models Still Set For 2025–2026

The Nasdaq 100's monster rally from April's tariff-induced panic has entered rarefied territory, with one technical streak not seen since the heart of the dot-com boom in 1999 now lighting up—and history suggests it may have <a href="https://www.benzinga.com/topic/technology-stocks">more room to run.</a>



After plunging in April under the weight of renewed trade war fears, the Invesco QQQ Trust (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>)—which tracks the Nasdaq 100—has stormed back with a stunning 38% gain through July 22.



That alone is impressive. But under the surface, technical analysts are buzzing about something even more remarkable: the index has now traded above its 20-day moving average for 61 consecutive sessions, a bullish streak not seen since 1999.



That's right—this kind of strength has only occurred during some of the most powerful tech bull runs in history.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="560" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-1024x560.png" alt="" class="wp-image-997112" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-1024x560.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-300x164.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-768x420.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-1536x840.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23084734/image-329-2048x1120.png 2048w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



<h2 class="wp-block-heading">Only 1999 Beats This Tech Momentum Run</h2>



To find a longer stretch of daily closes above the 20-day moving average, you have to go back to late 1998 into early 1999. That run lasted 76 trading sessions, from mid-October 1998 to early February 1999.



And what came next?



Between Feb. 5, 1999 and Feb. 8, 2000, the Nasdaq 100 skyrocketed 104%, delivering one of its biggest rolling-year gains ever. 



The NASDAQ Composite, heavily weighted with tech and internet stocks, peaked at 5,048.62 on March 10, 2000, before plunging nearly 80% by October 2002. The broader market, including the S&amp;P 500, also declined during this period, though less severely.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="560" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-1024x560.png" alt="" class="wp-image-997129" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-1024x560.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-300x164.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-768x420.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-1536x840.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23085858/image-331-2048x1120.png 2048w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



<h3 class="wp-block-heading">Golden Cross: Another Bullish Boost</h3>



In late June, the Nasdaq 100 also triggered a golden cross, a classic bullish signal in technical analysis where the 50-day moving average rises above the 200-day moving average.



According to a backtest using the Technology Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLK#NYSE">XLK</a>), a buy-on-golden-cross, sell-on-death-cross strategy has posted strong results since 2009.



Out of nine trades, eight were profitable, most delivering double-digit returns. That makes the golden cross a historically consistent bullish indicator during strong uptrends, such as the one we're seeing now.



Read Also: <a href="https://www.benzinga.com/markets/tech/25/06/46180484/nvidia-palantir-tech-stocks-to-buy-q3-2025-sectors">Nvidia, Palantir Fuel Historic Tech Rally — And It&#8217;s Far From Done</a>



<h3 class="wp-block-heading">What Happens Next? Look To Momentum—And History</h3>



While nothing is guaranteed, this type of sustained momentum—combined with bullish technical signals—often lays the groundwork for further upside, especially in a market driven by mega-cap tech and AI optimism.



Even if today's rally doesn't mirror the full scale of the late-90s boom, it's hard to ignore that similar conditions are stacking up: rapid price gains, strong breadth, and powerful trend signals.



History suggests the bulls remain firmly in control.



Now Read



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/trading-ideas/technicals/25/07/46556295/dow-jones-technical-analysis-july-forecasts-seasonality">The Dow Jones Just Saw A Coveted Golden Cross — But There&#8217;s A Plot Twist This Time</a></li>
</ul>



Image: Shutterstock

Broad U.S. Equity ETFs

ETFs

This Nasdaq 100 Signal Last Flashed In 1999—What Came Next Was Insane

A wave of U.S. trade deals with key allies over the past 24 hours reignited Wall Street's rally and boosted investor risk <a href="https://www.benzinga.com/markets">appetite across global markets.</a>



President Donald Trump announced agreements with the Philippines, Indonesia and—most significantly—Japan, while the <a href="https://www.ft.com/content/460b7784-88d7-4324-9e4d-dc9692d15e72">Financial Times</a> reported that a U.S.-EU trade deal is imminent, expected to mirror the Tokyo framework.



The U.S.-Japan pact raises the baseline tariff on Japanese goods to 15% from 10%, sidestepping the previously threatened 25% level. Tariffs on Japanese autos have been cut from 25% to 15%. In return, Japan committed to investing $550 billion in the U.S. and easing access to American agricultural and industrial goods.



Markets cheered the progress. The S&amp;P 500 rose 0.5% to a new record high of 6,350, while the Dow Jones Industrial Average surged nearly 1%, or 450 points, nearing its own record. Small-cap stocks led the charge, with the Russell 2000 also jumping 1.0% to its highest level since February.



International equities soared even more. The iShares MSCI Japan Index Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWJ#NYSE">EWJ</a>) rallied 4.9% to an all-time high, the SPDR DJ Euro STOXX 50 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FEZ#NYSE">FEZ</a>) climbed nearly 2%, and the iShares MSCI Mexico ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWW#NYSE">EWW</a>) gained 2.1%.



As optimism over global trade thawed investor caution, demand for safe-haven assets dropped. Gold slid 1.4% to $3,383 per ounce, while silver dipped 0.3%. Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) fell 2% to $117,760. 



Next up: a major earnings test. Alphabet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>), Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), ServiceNow Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NOW#NYSE">NOW</a>) and IBM (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IBM#NYSE">IBM</a>) are all set to report results after Wednesday's close.



<h2 class="wp-block-heading">Wednesday&#8217;s Performance Of US Indices, ETFs</h2>



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Major Indices</td><td>Price</td><td>% Chg</td></tr><tr><td>Russell 2000</td><td>2,272.31</td><td>1.0%</td></tr><tr><td>Dow Jones</td><td>44,892.90</td><td>0.9%</td></tr><tr><td>S&amp;P 500</td><td>6,340.17</td><td>0.5%</td></tr><tr><td>Nasdaq 100</td><td>23,077.71</td><td>0.1%</td></tr></tbody></table><figcaption class="wp-element-caption">Updated by 12:40 p.m. ET</figcaption></figure>



According to&nbsp;<a href="https://www.benzinga.com/pro/?utm_source=BZprocontent&amp;t=be2bearmibe3na1">Benzinga Pro</a>&nbsp;data:



<ul class="wp-block-list">
<li>The&nbsp;Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>) rose 0.5% to $580.89.</li>



<li>The&nbsp;SPDR Dow Jones Industrial Average&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIA#NYSE">DIA</a>) rose 0.9% to $448.95.</li>



<li>The tech-heavy&nbsp;Invesco QQQ Trust Series&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>)&nbsp;held steady at $561.44.</li>



<li>The&nbsp;iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>) soared 1.1% to $225.66.</li>



<li>The&nbsp;Industrials&nbsp;Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLI#NYSE">XLI</a>) outperformed, up 1.8%; the&nbsp;Utilities&nbsp;Select Sector SPDR Fund&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLU#NYSE">XLU</a>) lagged, down 0.8%.</li>
</ul>



<h3 class="wp-block-heading">Wednesday&#8217;s Stocks Movers</h3>



<ul class="wp-block-list">
<li>GE Vernova Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GEV#NYSE">GEV</a>) soared 13% after beating the Street&#8217;s estimates last quarter.</li>
</ul>



Other stocks reacting to earnings reports included:



<ul class="wp-block-list">
<li>Intuitive Surgical Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ISRG#NASDAQ">ISRG</a>) down 3.54%</li>



<li>Texas Instruments Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TXN#NASDAQ">TXN</a>) down 11.80%</li>



<li>Boston Scientific Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BSX#NYSE">BSX</a>) up 3.94%</li>



<li>NextEra Energy Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NEE#NYSE">NEE</a>) down 6.62%</li>



<li>Amphenol Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/APH#NYSE">APH</a>) up 3.15%</li>



<li>CME Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CME#NASDAQ">CME</a>) up 1.32%</li>



<li>Moody's Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MCO#NYSE">MCO</a>) up 2.14%</li>



<li>Capital One Financial Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/COF#NYSE">COF</a>) up 2.30%</li>



<li>General Dynamics Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GD#NYSE">GD</a>) up 6.47%</li>



<li>Fiserv Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FI#NASDAQ">FI</a>) down 16.10%</li>



<li>Infosys Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/INFY#NYSE">INFY</a>) up 1.66%</li>



<li>Freeport-McMoRan Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FCX#NYSE">FCX</a>) down 1.84%</li>



<li>Hilton Worldwide Holdings Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HLT#NYSE">HLT</a>) down 2.04%</li>



<li>TE Connectivity plc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TEL#NYSE">TEL</a>) up 10.30%</li>



<li>CoStar Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CSGP#NASDAQ">CSGP</a>) up 6.34%</li>



<li>Otis Worldwide Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OTIS#NYSE">OTIS</a>) down 10.32%</li>



<li>Teledyne Technologies Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TDY#NYSE">TDY</a>) down 3.76%</li>



<li>Lennox International Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LII#NYSE">LII</a>) up 8.84%</li>



<li>Northern Trust Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NTRS#NASDAQ">NTRS</a>) down 3.53%</li>



<li>Rogers Communications Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RCI#NYSE">RCI</a>) up 0.29%</li>



<li>East West Bancorp Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/EWBC#NASDAQ">EWBC</a>) down 2.16%</li>



<li>Mr. Cooper Group Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COOP#NASDAQ">COOP</a>) up 0.90%</li>



<li>Hasbro Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HAS#NASDAQ">HAS</a>) down 0.73%</li>



<li>Lamb Weston Holdings Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LW#NYSE">LW</a>) up 16.08%</li>
</ul>



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/news/politics/25/07/46557704/trump-america-first-agenda-ai-industrial-stocks-defense-sector">Trump&#8217;s Sledgehammer Policies Have Ignited Wall Street&#8217;s Hottest Trade—And It&#8217;s Not AI </a></li>
</ul>



Image created using artificial intelligence via Midjourney.

Government

Macro Economic Events

Regulations

Sector ETFs

Emerging Market ETFs

Commodities

Economics

COOP

CSGP

EWBC

INFY

ISRG

NTRS

OTIS

Stocks Jump On Trump's Trade Deal Deluge Ahead Of Big Tech Earnings: What's Moving Markets Wednesday?

Even with shares down 12% this year, Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) still carries an <a href="https://www.benzinga.com/report/TSLA">out-of-this-world price-to-earnings ratio</a> of 189x. That's not just lofty—it's meme-level.



<h2 class="wp-block-heading">Tesla's Valuation Is Still From Another Planet</h2>



For context, Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) and Amazon.com Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) sit around 39x and 37x (per <a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0723">Benzinga Pro</a> data), while Toyota Motor Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TM#NYSE">TM</a>) and General Motors Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>) trade at just 7 times earnings. Somehow, Tesla is still priced like it&#8217;s leading a future that hasn't quite arrived.



That future was easier to believe in back in 2020, when Tesla shares soared nearly 700% and the company truly dominated the EV narrative. But the landscape has shifted &#8211; and fast.



Read Also: <a href="https://www.benzinga.com/trading-ideas/long-ideas/25/07/46569949/trump-just-hammered-us-cars-with-tariffs-toyota-says-thanks">Trump Just Hammered US Cars With Tariffs &#8211; Toyota Says Thanks</a>



<h2 class="wp-block-heading">Competition Isn't Creeping—It's Sprinting</h2>



On Tuesday, GM reported that its electric vehicle sales surged 111% year-over-year in the second quarter. Sure, it's off a smaller base, but the trajectory is undeniable. 



Meanwhile, Tesla's own second-quarter vehicle sales fell 14%. In a market that once gave Tesla credit for being the only EV in town, that's a glaring reversal.



GM isn't the only challenger. Chinese automakers are rapidly scaling up production and expanding their global reach, offering more affordable alternatives with comparable technology. Tesla no longer feels like a monopoly. It feels like a frontrunner being caught from all sides.



<h2 class="wp-block-heading">Can Hype Still Outrun The Numbers?</h2>



Elon Musk is still Elon Musk—and few CEOs can spin a narrative quite like him. He's teased robotaxis, humanoid robots, and full autonomy as Tesla's next growth engine. But with <a href="https://www.benzinga.com/quote/TSLA/earnings">each sales miss</a>, the pressure mounts to deliver something—anything—that justifies the valuation.



Tesla's earnings call on Wednesday may offer another round of ambitious promises. But this time, with competitors closing in and fundamentals weakening, even the meme premium may need a reality check.



For now, Tesla is still trading like it's 2020. The rest of the EV world, however, is firmly in 2025.



TSLA Price Action: Tesla shares were up 0.31% at $333.13 on Wednesday, <a href="https://www.benzinga.com/pro/" target="_blank" rel="noreferrer noopener">according to Benzinga Pro.</a>



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/tech/25/07/46549038/teslas-battery-boom-faces-a-global-shockwave-thanks-to-trump">Tesla&#8217;s Battery Boom Faces A Global Shockwave—Thanks To Trump</a></li>
</ul>



Photo: Shutterstock

Long Ideas

MSFT

Tesla Is Still Selling Glossy Future - GM Just Shipped 111% More EVs

Fiserv,&nbsp;Inc&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FI#NYSE">FI</a>)&nbsp;stock tumbled Wednesday after it&nbsp;reported&nbsp;<a target="_blank" href="https://www.benzinga.com/pressreleases/25/07/b46567723/fiserv-reports-second-quarter-2025-results" rel="noreferrer noopener">fiscal second-quarter</a> 2025&nbsp;results.



The company reported quarterly revenue growth of 8%&nbsp;year-over-year&nbsp;to $5.52 billion, beating the&nbsp;analyst consensus estimate of $5.20 billion. Growth was 10% in the Merchant Solutions segment and 7% in the Financial Solutions segment. Adjusted revenue increased&nbsp;8%&nbsp;year-over-year&nbsp;to $5.20 billion.&nbsp;



The financial technology and services&nbsp;provider's adjusted EPS of $2.47 beat the&nbsp;<a target="_blank" href="https://www.benzinga.com/calendars/earnings" rel="noreferrer noopener">analyst consensus estimate</a> of $2.43.&nbsp;The quarterly adjusted EPS increased by 16% over the same period last year.&nbsp;



Also Read: <a target="_blank" href="https://www.benzinga.com/trading-ideas/movers/25/06/46073930/fiserv-shares-are-trading-higher-tuesday-heres-why" rel="noreferrer noopener">Fiserv Stock Jumps After Mastercard Embraces Its New Stablecoin, Bringing FIUSD to 150 Million Merchants Worldwide</a>



Organic revenue grew 8%, led by 9% growth in Merchant Solutions and 7% in Financial Solutions.



The adjusted operating margin increased by 120 bps Y/Y to 39.6%.&nbsp;Adjusted operating margin decreased 200 basis points Y/Y to 34.6% in the Merchant Solutions segment. The margin increased 280 bps Y/Y to 48.7% in the Financial Solutions segment.



<h2 class="wp-block-heading">Acquistion</h2>



Fiserv <a target="_blank" href="https://www.benzinga.com/pressreleases/25/07/b46568275/fiserv-announces-strategic-relationship-with-td" rel="noreferrer noopener">expanded its presence</a> in Canada by signing a multi-year Strategic Managed Services agreement with TD Bank Group. The agreement enables TD Merchant Solutions to adopt Fiserv's technology, including the Clover point-of-sale system, for its merchant operations. The deal strengthens Fiserv's Canadian ties and opens new opportunities to scale Clover hardware and software solutions.



Fiserv also signed a purchase agreement to acquire part of TD's Canadian merchant processing business, adding about 3,400 merchant relationships and 30,000 locations to its portfolio. These merchants will migrate to Fiserv's processing platform and use Clover, reinforcing the company's commitment to serving small and mid-sized businesses with innovative technology.



The companies expect the transaction to close later this year, pending customary approvals. Financial details remain undisclosed.



<h2 class="wp-block-heading">FY25 Outlook</h2>



Fiserv&nbsp;expects organic revenue growth of approximately 10% (<a target="_blank" href="https://www.benzinga.com/news/earnings/25/04/44980804/fiserv-delivers-solid-q1-strong-margins-and-client-wins-but-stock-slides" rel="noreferrer noopener">prior 10%-12%</a>) and adjusted EPS outlook of $10.15-$10.30 (prior $10.10-$10.30), representing&nbsp;growth of 15%-17% Y/Y versus the&nbsp;$10.20&nbsp;<a target="_blank" href="https://www.benzinga.com/calendars/guidance" rel="noreferrer noopener">analyst consensus estimate</a>.



Fiserv stock plunged over 19% year-to-date. S&amp;P 500 Index (where Fiserv is a constituent) gained over 7%. <a target="_blank" href="https://www.benzinga.com/quote/FI/analyst-ratings" rel="noreferrer noopener">Multiple Wall Street firms</a> slashed their price forecasts on the stock in 2025.



Price Action: FI stock is down 21.30% at $130.65 at last check Wednesday.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/analyst-stock-ratings/reiteration/25/07/46555679/why-this-analog-semiconductor-stock-is-a-top-undervalued-pick" target="_blank" rel="noreferrer noopener">Why This Analog Semiconductor Stock Is A Top Undervalued Pick</a></li>
</ul>



Photo via Shutterstock

Fintech

Fiserv Stock Tumbles As Outlook Softens Despite Deal With TD

Shares of GE Vernova Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GEV#NYSE">GEV</a>) rose Wednesday after the company posted better-than-expected <a target="_blank" href="https://www.gevernova.com/news/press-releases/ge-vernova-reports-second-quarter-2025-financial-results" rel="noreferrer noopener">second-quarter 2025 earnings</a> and raised its full-year guidance.



The energy transition company reported second-quarter earnings per share of $1.86, beating the <a target="_blank" href="https://www.benzinga.com/earnings" rel="noreferrer noopener">consensus estimate of $1.69</a>.



Revenue came in at $9.11 billion, exceeding Wall Street&#8217;s expectations of $8.78 billion. That marks an 11% increase from a year ago and 12% on an organic basis, driven by continued strength in both equipment and services.



Also Read: <a target="_blank" href="https://www.benzinga.com/analyst-stock-ratings/price-target/25/07/46563985/ge-vernova-gears-up-for-q2-print-here-are-the-recent-forecast-changes-from-wal" rel="noreferrer noopener">GE Vernova Gears Up For Q2 Print; Here Are The Recent Forecast Changes From Wall Street&#8217;s Most Accurate Analysts</a>



Net income for the quarter was $492 million, with a net margin of 5.4% down 1020 bps. Adjusted EBITDA rose to $770 million, with an Adj. EBITDA margin of 8.5%, up from 6.4% a year ago.



Operating cash flow totaled $367 million, down from $978 million YoY, while free cash flow was $194 million for the quarter. The company ended the quarter with $7.9 billion in cash.



&#8220;We had a productive second quarter, positioning us well to accelerate growth and margin expansion,&#8221; said CEO Scott Strazik. &#8220;We grew our backlog by more than $5 billion and increased Gas Power slot reservation agreements from 50 to 55 gigawatts.&#8221;



GE Vernova&#8217;s backlog rose by $5.2 billion during the quarter, fueled by gains in equipment and service contracts. Gas Power equipment backlog remained at 29 gigawatts, while slot reservation agreements increased to 25 gigawatts. The company also received final investment approval from the Ontario government to build the first small modular reactor (SMR) in the Western world.



<h2 class="wp-block-heading">Segment Highlights</h2>



Power:



<ul class="wp-block-list">
<li>Orders: $7.088 billion, +44% organically.</li>



<li>Revenue: $4.758 billion, up 7% year-over-year, 9% organically.</li>



<li>Segment EBITDA margin expanded by 260 basis points to 16.4%.</li>



<li>Signed 9 GW in new gas equipment contracts, including 7 GW in slot reservations.</li>
</ul>



Wind:



<ul class="wp-block-list">
<li>Orders: Down 5% organically to $2.06 billion.</li>



<li>Revenue: $2.245 billion, up 9% from a year ago, driven by Onshore Wind deliveries.</li>



<li>Segment losses increased due to Offshore Wind tariffs and service costs, partly offset by higher Onshore equipment volume.</li>



<li>Invested over $100 million in its 57,000-unit turbine fleet.</li>
</ul>



Electrification:



<ul class="wp-block-list">
<li>Orders: $3.34 billion, down 31% organically.</li>



<li>Revenue: $2.2 billion, up 23%, led by Grid Solutions.</li>



<li>Segment EBITDA margin improved by 740 basis points to 14.6%.</li>



<li>Equipment backlog grew sequentially by $2 billion across North America, Europe, and Asia.</li>
</ul>



GE Vernova repurchased 1.2 million shares during the quarter and has bought back 5.2 million shares year-to-date through June 30 at an average price of $306.



The Board declared a 25-cent per share dividend, payable August 18 to shareholders of record as of July 21.



<h2 class="wp-block-heading">Updated 2025 Outlook</h2>



GE Vernova raised its 2025 guidance, expecting revenue to trend toward the higher end of its $36 billion to $37 billion range versus $36.952 billion estimate. The company also lifted its adjusted EBITDA margin forecast to 8% to 9%, up from high-single-digit estimates. It also increased its free cash flow guidance from $3.0 billion to $3.5 billion, from the prior $2.0 billion to $2.5 billion range.



Segment guidance includes:



<ul class="wp-block-list">
<li>Power: 6%-7% organic revenue growth and 14%-15% EBITDA margin.</li>



<li>Wind: Mid-single-digit organic revenue decline with $200 million-$400 million in segment losses, trending toward the lower end.</li>



<li>Electrification: ~20% organic revenue growth and 13%-15% EBITDA margin.</li>
</ul>



GE Vernova said its guidance includes the impact of tariffs and inflation, now estimated toward the lower end of $300 million to $400 million, net of mitigation.



CFO Ken Parks said the company is trending toward the higher end of its targets. &#8220;We&#8217;re delivering disciplined revenue growth, margin expansion and positive free cash flow while returning capital to shareholders and maintaining a solid balance sheet,&#8221; Parks said.



Price Action: GEV shares are trading higher by 7.47% to $589.99 premarket at last check Wednesday.



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Photo by T. Schneider via Shutterstock

GE Vernova Lifts Outlook As Revenue And Orders Surge

Tesla Inc.'s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) <a href="https://www.benzinga.com/markets/tech/25/07/46436501/ev-prices-drop-2-8-in-june-as-incentives-surge-amid-tumbling-tesla-sales">sales woes continue</a> as the electric vehicle giant recorded a 21% year-over-year decline in sales in the state of California.



Check out the current price of<a href="https://benzinga.com/quote/tsla"> TSLA stock here</a>.



What Happened: The data, released by the California New Car Dealers Association, or CNCDA, on Tuesday, showcased that the automaker recorded over 41,138 new registrations in the second quarter, a 21.1% decline from the previous year's figure of 52,119 registrations.



Tesla's year-to-date sales through June fell 18.3% compared to the same period in 2024, with registrations dropping to 83,375 from 101,991. The decline also pushed Tesla's market share down to 45.3% from 53.4% a year earlier — an 8.1% slide.



Tesla's second-quarter market share stands at 8.5%, down 2.9% from last year's 11.4% in California. However, the Model Y and the Model 3 continued to be top-selling EVs in the state, with 44,112 units and 31,394 units sold in the state, respectively.



Why It Matters: The news comes in as Tesla is readying itself for the company's second quarter earnings call scheduled to take place on Wednesday after market close. Analysts expect the company to report a second-quarter <a href="https://www.benzinga.com/analyst-stock-ratings/analyst-color/25/07/46560027/tesla-q2-earnings-preview-will-robotaxis-ai-wartime-ceo-elon-musk-deliver">revenue of $22.79 billion</a>.



Bank Of America also raised <a href="https://www.benzinga.com/markets/tech/25/07/46536517/bank-of-america-sees-11-upside-for-tesla-stock-despite-ev-credit-phase-out-tariff-risks-promise-to-deliver-unsupervised-fsd">Tesla's price target</a> to $341 ahead of the earnings call, citing confidence from the Robotaxi launch in Austin, which could help the company deliver on the Unsupervised FSD promise by the end of the year.



Piper Sandler analyst Alex Potter also reiterated the $500 price target for the company, saying that President Donald Trump's <a href="https://www.benzinga.com/markets/tech/25/07/46536292/trumps-new-zev-credit-regulations-arent-as-bad-for-elon-musk-says-piper-sandler-tesla-will-still-book-around-3-billion">ZEV regulations</a> wouldn't affect the company as adversely as feared.&nbsp;



Elsewhere, Tesla finally <a href="https://www.benzinga.com/news/restaurants/25/07/46553838/tesla-musk-jump-into-make-america-healthy-again-with-beef-tallow-fries-at-diner">opened the doors</a> to its diner in LA, with the company's Supercharger cum Drive-In Theater cum Diner best described as Hitchhiker&#8217;s Galaxy meets Buc-ee&#8217;s meets EV charging.



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="210" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1-1024x210.jpg" alt="" class="wp-image-996565" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1-1024x210.jpg 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1-300x61.jpg 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1-768x157.jpg 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1-1536x314.jpg 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/07/23025231/TSLA-JUL-23-2025-1.jpg 1549w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>



Tesla offers Satisfactory Momentum and Quality, while scoring well on the Growth metric, but offering poor Value. For more such insights, sign up for<a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"> Benzinga Edge Stock Rankings</a> today!



Check out more of Benzinga&#8217;s Future Of Mobility coverage by<a href="https://www.benzinga.com/topic/mobility"> following this link.</a>



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Photo Courtesy: Around the World Photos On Shutterstock.com

Tesla Sales Drop 21% In California Ahead Of Q2 Earnings — Market Share Slips Even As Model Y, Model 3 Remain Top EVs

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