U.S. stock futures showed mixed sentiment Friday morning, with Dow futures climbing around 100 points while several individual stocks struggled in pre-market action.
The biggest headline belonged to Broadcom Inc. (AVGO), which somehow managed to turn good news into bad. The semiconductor giant delivered a fourth-quarter earnings beat and posted record artificial intelligence revenue, but investors weren't having it. Despite AI sales surging 74%, the market zeroed in on what Broadcom said about the future: shrinking gross margins and a sharply higher tax rate for fiscal 2026. Sometimes it's not about where you've been, but where you're going.
Broadcom shares dropped 5% to $386.28 in pre-market trading, proving once again that guidance can matter more than results.
Other Pre-Market Decliners
Broadcom wasn't alone in the red. Here's who else was moving lower before the opening bell:
Beasley Broadcast Group Inc. (BBGI) continued its rough stretch, declining 12.2% to $7.76 after already tumbling 47% on Thursday. That's the kind of two-day performance that makes you question everything.
CapsoVision, Inc. (CV) fell 9% to $13.13, giving back some of Thursday's 22% gain. What goes up must sometimes come down, apparently.
Fermi Inc. (FRMI) dipped 6.6% to $14.25 without any specific catalyst disclosed.
LightPath Technologies Inc. (LPTH) dropped 6.1% to $8.57 after announcing a proposed public offering of common stock. Dilution concerns tend to have that effect.
Netskope, Inc. (NTSK) fell 5.7% to $22.17 following third-quarter results. The cybersecurity company also issued guidance projecting a fiscal 2025 adjusted loss of 51 to 53 cents per share, with revenue expected between $701 million and $703 million.
Sandisk Corporation (SNDK) declined 3.7% to $232.75 in pre-market action.
Vale SA (VALE) fell 3.6% to $12.81, though it's worth noting that RBC Capital analyst Marina Calero recently upgraded the stock from Sector Perform to Outperform and raised the price target from $11 to $14.20.
