Stock Market Update

[BRIEFING.COM] The major averages continue to drift higher as tech gains overshadow weakness in the broader market.

AeroVironment (AVAV 159.82, +20.82, +14.98%) is soaring higher today after this supplier of drones and tactical missile systems delivered a blowout fiscal Q4 (Apr), snapping a string of three consecutive EPS misses with a decisive beat as revenue more than doubled year-over-year and comfortably exceeded expectations. While FY27 EPS guidance came in below consensus, investors are looking through the shortfall because it reflects higher non-cash depreciation and amortization tied to aggressive capacity investments rather than deteriorating operating fundamentals.

Meanwhile, Concentrix (CNXC 20.96, -4.27, -16.92%) is under heavy pressure following its Q2 (May) report last night. The company missed EPS expectations by a penny, marking its second consecutive miss, while revenue increased 1.9% year-pver-year to $2.46 billion, essentially in line. Guidance is likely driving the bulk of the disappointment, with Q3 EPS guidance of $2.65-2.77 and revenue guidance of $2.465-2.490 billion both well below consensus. CNXC also cut its FY26 outlook to EPS of $10.83-11.18 and revenue of $9.925-10.025 billion, down from its prior outlook of $11.48-12.07 and $10.035-10.180 billion, respectively.