Nasdaq Composite Takes Off as Tech Bulls Retake Control on Strong Earnings, M&A

By Gerelyn Terzo Published May 1, 9:49AM EDT

Quick Read

Apple (AAPL) reported fiscal Q2 revenue of $111.184B, up 17% year-over-year, with EPS of $2.01 beating the $1.94 estimate.
SanDisk (SNDK) posted Q3 revenue of roughly $6B, surging 251% year-over-year, with Datacenter revenue exploding 645% and EPS of $23.41 crushing the $14.66 expectation.
Nvidia (NVDA) dipped 5% Thursday on AI spending concerns despite being up 83% year-to-date.

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Nasdaq Composite Takes Off as Tech Bulls Retake Control on Strong Earnings, M&A — © 24/7 Wall St.

The Nasdaq Composite (NASDAQ: ^IXIC) heads into May with record-setting momentum, closing April with a 15% monthly gain, its biggest since April 2020. Thursday’s nearly 1% advance capped the run, and after-the-bell earnings from Apple and SanDisk are the biggest forces shaping today’s open. Tech earnings are still writing the story as geopolitical headlines take a backseat for now. The Nasdaq Composite (NASDAQ: ^IXIC) is now hovering in record territory and is looking to build on those levels, up 0.73% in early morning trading.

What is pushing the index this morning

Apple (NASDAQ: AAPL | AAPL Price Prediction) is the heavyweight. Fiscal Q2 revenue of $111.184 billion grew 17% year over year, EPS of $2.01 beat the $1.94 estimate, and the board authorized a fresh $100 billion buyback alongside a 4% dividend bump. iPhone alone delivered $56.994 billion. Tim Cook called demand for the iPhone 17 lineup “off the charts”, and AAPL traded up roughly 3% in the hour after the print. Capital return sealed investor enthusiasm. The board authorized a fresh $100 billion buyback, while guidance for 14% to 17% revenue growth this quarter ran ahead of Street expectations. Shares rose more than 3% in premarket in premarket trading.

SanDisk (NASDAQ: SNDK) is the shock. Q3 revenue of about $6 billion rose 251% year over year on a Datacenter segment that grew 645%, with EPS of $23.41 versus $14.66 expected. CEO David Goeckeler called it “a fundamental inflection point” for AI memory demand. SNDK is up 362% year to date.

In M&A, Nebius (Nasdaq: NBIS) unveiled plans to scoop up Eigen AI in a transaction worth over $640 million. The stock is up over 6% this morning.

The offset weighing on the index

Meta Platforms (NASDAQ: META) closed Thursday down 9% after raising 2026 capex guidance to $125 billion to $145 billion, and shares of the Windows maker slid 4% on similar AI-spend concerns. Alphabet (NASDAQ: GOOGL) went the other way, jumping 10% Wednesday on Google Cloud revenue of $20.03 billion, up 63%. NVIDIA (NASDAQ: NVDA) dipped 5% Thursday in the same capex-anxiety trade, even as it sits up 83% on the year.

What today tells investors

The split tape matters. Buyers are paying for AI revenue that has already shown up (Apple’s iPhone cycle, Google Cloud’s backlog, SanDisk’s datacenter mix) and selling the names where the spending side is outrunning visible returns. The VIX near 19 sits in the normal 15 to 20 band, so this looks like rotation inside a calm market. With WTI back near $100 after spiking to about $115 earlier this month, the energy overhang has eased.

What to keep an eye on

Watch how the Apple and SanDisk reactions hold through Friday’s close, whether NVIDIA recovers the capex-day selloff, and any commentary from Cleveland Fed’s Hammack or Minneapolis Fed’s Kashkari, who pushed back this week on the latest dovish Fed statement. The May data calendar restarts next week.

About the Author Gerelyn Terzo →

Gerelyn Terzo is the author of dividend investing handbook "Dividend Investing Strategies: How to Have Your Cake & Eat It Too." A veteran financial journalist, she covers agri-finance for outlets like Global AgInvesting and the broader stock market and personal finance for 24/7 Wall Street. She began at CNBC and later helped launch Fox Business in New York. Gerelyn currently resides in Woodland Park, Colorado and dabbles in nature photography as a hobby.