Market Summary - May 29, 2026
US Market Overview
The US stock markets are experiencing a positive trend as the S&P 500 and Nasdaq 100 futures are up by 0.1%, while the Dow Jones is gaining 0.2%. This upward movement comes as the final trading session of May approaches, a month that has shown strong performance for the markets. The primary catalyst for this surge is the AI narrative, significantly influenced by Dell Technologies' impressive after-hours results.
Dell Technologies' Performance
Dell reported a remarkable year-over-year increase in AI revenue, nearly ninefold, and raised its full-year revenue guidance to between $165 billion and $169 billion, surpassing analysts' expectations of $142.5 billion. The earnings per share (EPS) forecast was also raised to $17.90, well above the anticipated $13.09. Analysts are referring to this as a "breakout quarter," likening Dell to other tech giants like Intel and Cisco, who have successfully pivoted to capitalize on the AI boom.
Sector Performance
The technology and computer hardware sectors are leading the market gains, with notable performances from:
- Dell (DELL): +35%
- Hewlett Packard Enterprise (HPE): +17%
- NetApp (NTAP): +19%
- Super Micro Computer (SMCI): +10%
- HP Inc. (HP): +7%
Conversely, several companies faced declines, particularly in the space and apparel sectors:
- Gap Inc. (GAP): -15%
- American Eagle Outfitters: -11%
- SentinelOne (S): -16%
- AST SpaceMobile (ASTS): -15%
- Rocket Lab: -5.5%
Company Highlights
Gap Inc.
Gap lowered its full-year sales growth forecast to 1-2%, down from 2-3%, and reported Q1 revenue of $3.50 billion, slightly below the expected $3.52 billion. The struggling Old Navy brand has been a significant factor in this disappointing performance.
SentinelOne
The cybersecurity firm disappointed investors with a Q2 revenue forecast of $289-291 million, below the expected $292 million, and announced an 8% reduction in its workforce, leading to a sharp sell-off in its shares.
AST SpaceMobile
Shares of AST SpaceMobile plummeted following the explosion of a Blue Origin rocket during a ground test, impacting other space-related stocks like EchoStar and Rocket Lab.
NetApp and Okta
Both companies exceeded market expectations with their results. NetApp reported solid growth in its storage segment and raised its full-year guidance, while Okta, a leader in identity management, also raised its revenue guidance and beat consensus on all metrics.