markets

Luke Kawa12/16/24

Super Micro the worst performer in the Nasdaq 100 right before it’s booted from the index

Super Micro Computer is taking one on the chin this morning after the Nasdaq announced that its stock would be removed from its closely followed Nasdaq 100 Index.

CEO Charles Liang said he was “confident” the company would stay in the index last week, while investors voted with their feet and the stock suffered a 17% shellacking.

The move is emblematic of how dramatic the reversal in the server company’s fortunes have been this year: from a more than 300% year-to-date gain by its mid-March zenith that saw Super Micro Computer get added to the Nasdaq 100 in mid-July, to a drawdown that saw the stock down more than 80% amid alleged accounting irregularities, delays in filing key financial reports, and the resignation of its auditor.

The stock has doubled on three separate occasions this year, but is now up less than 10% year to date.

Its ouster is a big deal because hundreds of billions of assets are effectively tied to the Nasdaq 100, most notably the Invesco QQQ Trust, commonly known as the QQQ, which, loosely speaking, flows out of the exiled and into the new entrants. That’s the benefit of being added to major indexes — the quiet part said out loud by a Palantir board member ahead of its addition to the Nasdaq 100, also announced on Friday.

Super Micro’s Monday blues also stand in stark contrast to the pops in the other two stocks kicked out of the tech-heavy gauge (Moderna and Illumina) on market open.

In early trading, the stock is the worst-performing member of the index it’ll soon be booted from.

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Tasha Matsumoto

Stocks fall after new Fed Chair Warsh’s first policy meeting as traders worry about a rate hike

While the Fed left rates unchanged (as expected) a hawkish dot plot has traders bracing themselves for a rate hike this year.

Brown bear on a rock

Federal Reserve removes easing bias, policymakers see a hike as more likely than a cut this year

The knee-jerk move for stocks was to the downside.

Kevin Warsh closeup

markets

Helena Cheng19h

Figma rises on Citi’s Buy rating and $36 price target

Figma shares are rising moderately in pre-market trading after Citigroup initiated coverage with a Buy rating, saying demand tied to AI could help fuel the design software company’s next phase of growth, according to the note provided by Bloomberg.

Citi set a $36 price target on the stock and said Figma is well-positioned to offset AI disruption concerns through its own AI-driven consumption growth.

"Our proprietary customer and go-to-market (GTM) checks with hyperscalers and large financial services (FS) firms suggest strong seat upgrades & credit pack utilization, which offer positive reads on AI-monetization strategy," analyst Tyler Radke commented.

The company has been moving to roll out AI-native features in recent months, including developer-focused tools and in-house Figma agent aimed at making Figma a more central operating layer between product teams, engineers and AI systems.

Citi also pointed to upcoming product launches and potential monetization tied to Figma’s Model Context Protocol server which is an emerging framework that could allow AI systems to interact more directly with design environments.

Figma’s most recent earnings posted stronger-than-expected revenue growth while management raised its full-year guidance, saying that AI-related products were seeing encouraging adoption.

Still, the company that went public in 2025 has faced intense pressure with stock tumbling more than 50% this year-to-date over fears that automated AI code-generation tools and design alternatives from competitors like Anthropic might squeeze the need for seat-based design software.

Tasha Matsumoto

Semiconductors slump, dragging down stocks

The S&P 500 and Nasdaq 100 fell as chip stocks and AI-linked names lost steam. Oil prices slid on the prospect of the Strait of Hormuz reopening.

Grizzly bear growling USA.

markets

Paige Oamek6/16/26

Lionsgate closes higher on Netflix acquisition rumor, streaming giant denies report

Shares for the film production company Lionsgate soared on Tuesday following rumors of a potential buyout.

According to a person familiar with the possible merger and acquisitions deal, streaming giant Netflix is one of the companies that may be interested in buying Lionsgate Studios, per reporting by Semafor. A Netflix spokesperson denied the rumor to Deadline.

Neither Lionsgate nor Netflix confirmed the news, but nevertheless the stock climbed, closing up 14%. The stock fell 4.6% in premarket trading after Netflix denied the rumor.

Netflix closed lower on news that Fox will acquire Roku in an approximately $22 billion deal after it was also rumored that the streaming company was interested in that acquisition. “Netflix did not make a bid for Roku,” a spokesperson told Semafor. This comes after Netflix withdrew its buyout bid for Warner Bros. Discovery earlier this year.

Lionsgate’s shares are up 77% since January. Lionsgate owns massive franchises like “John Wick” and “The Hunger Games.” The film company has a market cap of approximately $4.7 billion, making it roughly 5x smaller than Roku and 13x smaller than Warner Bros.

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