Wednesday delivered a curious cocktail of economic data and corporate news that sent investors scrambling in different directions. The headline grabber? U.S. private employers unexpectedly cut 32,000 jobs in November, completely reversing October's gains and raising fresh concerns about labor market softness. ADP's report showed broad-based weakness led by small businesses, with manufacturing and professional services taking particularly hard hits. Pay growth continued its gradual deceleration, and the whole package basically gift-wrapped another rate cut for the Fed's Dec. 10 meeting.
Markets liked that scenario just fine. The Dow Jones Industrial Average surged more than 400 points, closing up nearly 0.9% at 47,882.90. The S&P 500 gained 0.3% to finish at 6,849.72, while the Nasdaq edged up almost 0.2% to 23,454.09. Nothing like the prospect of cheaper money to lift investor spirits.
Here's what happened with the stocks that captured retail traders' attention throughout the session.
Salesforce Delivers AI Growth Story
Salesforce Inc. (CRM) shares climbed 1.71% during regular trading to close at $238.72, then tacked on another 1.8% after hours to reach $243. The stock swung between an intraday high of $239.26 and a low of $231.62, within its 52-week range of $221.96 to $369.
The company reported third-quarter revenue of $10.26 billion, which came in slightly below analyst expectations. But here's where it gets interesting: adjusted earnings hit $3.25 per share, handily topping estimates of $2.86. Remaining performance obligations jumped 11% to $29.4 billion, and the real kicker was that AI-driven products reached $1.4 billion in annual recurring revenue. Management felt confident enough to raise full-year revenue and earnings guidance, which explains the after-hours enthusiasm.
Snowflake's Margin Forecast Cools Things Down
Snowflake Inc. (SNOW) rose 2.05% during the session to close at $265, trading between a high of $267.97 and a low of $256.79. Its 52-week range spans $120.10 to $280.67. But the after-hours action told a different story, with shares dropping 7.9% to $244.05.
The cloud data platform posted third-quarter revenue of $1.21 billion and adjusted earnings of 35 cents per share, both beating estimates. Revenue climbed 29% year-over-year, and remaining performance obligations soared 37% to $7.88 billion. So what spooked investors? The company's forecast for slower fourth-quarter operating margins sent shares tumbling after the closing bell. Sometimes the future matters more than the present, even when the present looks pretty good.
UiPath Automation Gets a Boost
UiPath Inc. (PATH) jumped 3.92% to end the day at $14.86, then gained another 6.5% in after-hours trading to $15.82. During regular hours, the stock hit a high of $15 and a low of $14.17, within its 52-week range of $9.38 to $18.74.
The robotic process automation company crushed expectations with third-quarter revenue of $411 million and adjusted earnings of 16 cents per share. Annual recurring revenue rose 11% year-over-year to $1.78 billion, accompanied by strong margins and positive free cash flow. The after-hours pop came after UiPath issued fourth-quarter revenue guidance roughly in line with analyst estimates, which apparently was good enough for investors who'd been bracing for worse.
iRobot Catches a Political Tailwind
iRobot Corp. (IRBT) was the day's most dramatic mover, soaring 73.85% to close at $3.39. The stock ranged from a high of $3.50 to a low of $2.12, against a 52-week range of $1.40 to $13.06. Shares dipped 2.4% to $3.31 in after-hours trading, but that barely dented the massive regular-session gain.
What caused the explosion? Reports emerged that the incoming Trump administration might issue an executive order designed to boost the robotics industry. That's it. No concrete details, no specific policy proposals, just the possibility of government support for the sector. But when you're a struggling robotics company trading near multi-year lows, that kind of speculation can ignite serious enthusiasm. Investors rushed in on hopes that better days might be ahead for the sector.
Netflix Explores Big Acquisition
Netflix Inc. (NFLX) moved in the opposite direction, falling 4.93% to close at $103.96. The stock traded between an intraday high of $106.87 and a low of $102.03, within its 52-week range of $82.11 to $134.12.
The streaming giant reportedly explored acquiring Warner Bros. Discovery's studios and streaming operations, pitching the potential deal as a consumer-friendly bundle that would pair Netflix with HBO Max. The company framed the merger as pro-competitive to ease regulatory concerns, though insiders acknowledged it wouldn't meaningfully expand Netflix's user base. The talks apparently hit resistance on multiple fronts, including Pentagon criticism of some content and Republican objections about Netflix gaining too much market power. Whether those talks go anywhere remains to be seen, but investors weren't thrilled about the complexity and potential headaches involved.
