S&P futures are down 0.4% Tuesday morning after U.S. equities finished mostly higher Monday, though leadership remained narrow and AI-driven while the equal-weight S&P 500 declined. Retail was a notable laggard, posting its biggest one-day drop since 2022, as investors focused on the consumer impact from higher gasoline prices. Global risk tone is weaker, with South Korea down more than 2%, Europe off nearly 1%, Treasuries softer with yields up about 2 bp, the dollar up 0.3%, gold down 0.5%, Bitcoin futures off 1.4%, and WTI crude up another 3.3% after Monday’s nearly 3% gain.
The more defensive tone reflects continued pressure from higher oil, higher yields, and limited diplomatic progress around the U.S.-Iran conflict. Markets have been inclined to look through geopolitics, but speculation around renewed military activity and rising gas-price pressure on consumers are making that harder. AI is also a more mixed factor, with South Korean stocks pressured after discussion of a potential citizens’ dividend funded by taxes on AI profits, while U.S. earnings continue to show AI disruption, workforce reductions, and reallocation of savings toward AI-related growth initiatives. Macro is back in focus, with April CPI due today; consensus expects headline CPI up 0.6% m/m after March’s 0.9% jump, while core CPI is expected up 0.3% m/m. Treasury will sell $42B of 10-year notes, Fed’s Goolsbee speaks this afternoon, PPI follows Wednesday, and retail sales, import/export prices, and claims are due Thursday.
Company News
- ASTS: Pressured after Q1 revenue and lower satellite-orbit guidance disappointed.
- HAS: Said it expects Q1 revenue and operating income to come in at the high end of its prior guidance range.
- ACM: Takeaways were mixed following the latest update.
- HIMS: Lower after weaker Q1 EBITDA and a cut to FY EBITDA guidance tied to a strategic shift.
- PLUG: Higher, with takeaways positive on management’s reiterated guidance for margin improvement.
- GTLB: Weaker after an in-line Q1 update, with disappointment tied to a planned workforce reduction, size still TBD, and savings expected to be reinvested in strategic growth initiatives.
- GTM: Down sharply after cutting FY guidance, partly due to AI-related disruption, while also announcing a 20% headcount reduction.
- WEN: Trian is reportedly seeking outside investor support to take Wendy’s private.
- BZH / DFH: Beazer rejected Dream Finders’ $25.75/share takeover bid.
- GPRO: Higher after announcing it is evaluating strategic alternatives following inbound offers.
U.S. equities finished modestly higher Monday, though off best levels, with the Dow +0.19%, S&P 500 +0.19%, Nasdaq +0.10%, and Russell 2000 +0.33%. The market remained resilient despite higher oil, higher yields, and a higher VIX, with investors still inclined to look through Middle East risk ahead of this week’s Trump-Xi summit. Trump said the U.S.-Iran ceasefire is on “life support” after Tehran’s response to Washington’s peace proposal was deemed unacceptable, while reports also flagged possible renewal or expansion of Project Freedom in Hormuz. WTI crude rose 3.0% to $98.25 as supply-disruption concerns persisted, while Treasury yields moved higher, with the 2-year up 6 bp to 3.95%, the 10-year up 4 bp to 4.41%, and the 30-year up 3 bp to 4.98%. The dollar rose 0.1%, gold gained 0.3%, and Bitcoin futures rose 2.3%. Macro data were quiet, with April existing home sales slightly below consensus but still within a tight YTD range. Treasury’s $68B 3-year note auction tailed by 0.6 bp, beginning a week of roughly $140B in note sales. April CPI is the key release Tuesday, followed by PPI Wednesday, retail sales and claims Thursday, and Empire manufacturing and industrial production Friday.
Sector Highlights
Sector performance was mixed despite the positive headline indexes. Energy led, up 2.63%, supported by the rebound in crude. Materials gained 1.43%, Industrials rose 1.01%, Technology added 1.00%, and Utilities gained 0.98%, helped by strength in AI power, memory, semis, E&Cs, machinery, commodity chemicals, copper, aluminum, tech components, networking, and IT equipment. Real Estate rose 0.35%. Communication Services was the clear laggard, down 2.33%, while Consumer Staples fell 0.76%, Consumer Discretionary declined 0.64%, Healthcare lost 0.38%, and Financials slipped 0.17%. Underperformers included cruise lines, airlines, casinos, software, China tech, banks, private equity, discounters, dollar stores, department stores, apparel, homebuilders, building materials, cosmetics, beverages, household/personal care, and auto parts.
Information Technology
- LITE +16.5%: Rose after news it will join the Nasdaq 100 on May 18, replacing CoStar.
- MNDY +6.7%: Q1 revenue, billings, margins, and EPS beat, with revenue up 24% y/y and NNR at 110%. FY26 guidance was raised, with analysts positive on record large deals and AI tailwinds.
- DELL -5.2%: Downgraded to neutral from buy at UBS after shares rose roughly 170% over the past 12 months; the firm said positive earnings revisions are likely already priced in.
- Cerebras: Reportedly considering a higher IPO price range of $150–$160/share, up from the prior $115–$125, and increasing the share count marketed to 30M from 28M.
- Memory / semis: Outperformed again, helped by Samsung strike concerns and continued AI compute/capex demand.
Communication Services
- FOXA +7.6%: Fiscal Q3 revenue and EPS beat. Distribution revenue rose 3% on Cable Network Programming growth, while ad revenue declined due to the absence of last year’s Super Bowl, partly offset by an extra NFL Wild Card game and continued Tubi growth.
- TTD -6.8%: Downgraded to reduce from hold at HSBC, which cited a slowing growth outlook, rising competition from Amazon’s DSP, AI-driven shifts away from the open web, and pressure on ad spend.
- Netflix: Sued by Texas over allegations of spying on consumers and collecting data without consent.
Consumer Discretionary
- BZH +34.0%: Received a $25.75/share all-cash takeover proposal from Dream Finders Homes, representing roughly a 40% premium to Beazer’s May 5 close.
- PRKS -6.9%: Q1 EBITDA was light, with the company blaming unfavorable weather and a decline in international attendance. Forward commentary was more positive, with advanced bookings revenue for Discovery Cove and group business ahead of 2025 levels.
- WEN -7.4%: Downgraded to underweight from neutral at JPMorgan, which cited declining U.S. same-store sales, lack of permanent leadership, and sub-optimal capital allocation.
- Homebuilders / apparel / department stores / discounters / dollar stores: Underperformed as consumer and rate-sensitive areas lagged.
Consumer Staples
- TSN -1.9%: Fell on reports that the White House plans to temporarily lower tariffs on beef imports, potentially pressuring domestic protein pricing.
- Beverages / HPCs / cosmetics: Lagged within Staples as the group underperformed.
Energy
- KGS +8.4%: Q1 adjusted EBITDA and revenue beat, driven by stronger compression demand and better margins. The company introduced in-line FY26 EBITDA guidance, including recently acquired power assets.
- Energy sector +2.63%: Led the market as WTI crude rose nearly 3% on renewed concern around Hormuz, Iran, and global supply disruptions.
Financials
- CRCL +15.9%: Q1 adjusted EBITDA beat, though revenue missed due to circulation below consensus. Analysts were positive on rising volumes, the Agent Stack announcement, and increasing USDC on platform.
- FSK: Net investment income missed and NAV declined nearly 10%, though the company also announced a $300M buyback and $150M tender from KKR.
- APO / MFIC: Apollo reportedly held talks to sell MidCap Financial Investment Corp., its publicly listed BDC.
- SOFI: Reportedly will acquire PrimaryBid assets.
- Banks / private equity: Underperformed as Financials lagged the broader market.
Healthcare
- Healthcare sector -0.38%: Finished lower with limited company-specific news in the recap and broader weakness in risk-sensitive healthcare groups.
Industrials
- BW +30.1%: Big Q1 revenue and EBITDA beat. Bookings rose 1,971% y/y to $2.5B and backlog rose 483% to $2.7B, with management citing strong interest from AI data-center and hyperscaler customers.
- AI power / E&Cs / machinery: Outperformed as investors continued to reward AI infrastructure and power-related exposure.
Materials
- B +9.0%: Q1 beat on higher production and lower costs, with solid performance at NGM and Veladero and ramp-up at Loulo-Gounkoto. FY26 guidance was reaffirmed, the North America IPO remains on track, and the company announced a $3B buyback.
- MOS: Fell after Q1 EBITDA missed, pressured by weaker Phosphate profitability.
- Commodity chemicals / copper / aluminum: Outperformed as Materials rose 1.43%.
Utilities
- CEG -1.3%: Q1 EPS and revenue beat, but FY26 EPS midpoint guidance came in below Street expectations. Analysts noted the absence of a data-center announcement and ongoing regulatory uncertainty around potential deals.
- Utilities sector +0.98%: Outperformed, helped by AI power demand themes despite higher Treasury yields.
Real Estate
- Real Estate sector +0.35%: Posted a modest gain, though the sector trailed other cyclicals and AI infrastructure beneficiaries.
Eco Data Releases | Tuesday May 12th, 2026
S&P 500 Constituent Earnings Announcements | Tuesday May 12th, 2026
Data sourced from FactSet Research Systems Inc.
