Wednesday’s big stock stories: What’s likely to move the market in the next trading session

Investors are anticipating earnings from McDonald's, Disney, and Uber, whose shares have seen varied recent performance: MCD is down 5% over three months, DIS is up nearly 30%, and UBER is up 5% in the same period. Post-earnings, Advanced Micro Devices (AMD) fell 5% after hours on an EPS miss despite a revenue beat and a 73% three-month surge. Separately, Palantir (PLTR) continues its strong run as the S&P 500's top performer, up nearly 8% Tuesday and 130% year-to-date in 2025.

Analysis

The market is exhibiting divergent performance across key large-cap stocks ahead of and following major earnings reports. Advanced Micro Devices (AMD) provides a cautionary tale, with its stock falling approximately 5% in after-hours trading despite a revenue beat, as the market reacted negatively to an earnings per share miss. This price action is particularly notable given the stock's preceding 73% surge over three months, indicating high investor expectations and sensitivity to profitability metrics. In contrast, Palantir (PLTR) demonstrates extreme bullish momentum, climbing nearly 8% in a single session and marking a 130% year-to-date gain, establishing it as the S&P 500's top performer. Among companies yet to report, investor sentiment and recent performance vary significantly. Disney (DIS) enters its earnings with substantial momentum, having gained nearly 30% in the past three months and outperforming the broader market. Conversely, McDonald's (MCD) faces its report from a position of weakness, with its shares down 5% over the same period. Uber (UBER) presents a more mixed technical picture, showing a strong 53% gain over the past year but an 8.5% pullback from its recent high, making its upcoming CEO commentary a pivotal event for near-term direction.

Key Decisions for Investors

• Scrutinize AMD CEO Lisa Su's commentary for insights into profitability and margin guidance, as the recent EPS miss has made these metrics critical following the stock's 73% three-month surge.
• Given Disney's strong momentum and positive sentiment versus McDonald's recent underperformance, investors should be prepared for potential volatility as high expectations for Disney meet the lower bar set for McDonald's.
• For Palantir, investors should be mindful that its extreme 130% year-to-date rally makes it highly sensitive to any shift in market sentiment or news flow, warranting a review of risk management strategies.
• Focus on Uber's post-earnings guidance to determine if the recent 8.5% pullback from its high represents a consolidation within a strong long-term uptrend or the beginning of a more significant correction.