We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Microsoft Shed $430B Today, as AI Spending Worries Return
Apple Outpaced Estimates on Strong China Growth
Visa and SanDisk Also Post Earnings Beats After the Close
Thursday, January 29th, 2026
Market trading closed off session lows today across major indexes — kicking off the trading today flattish but sinking like a stone — particularly the tech-heavy Nasdaq, which fell -2.5% before lunchtime and recovering somewhat. The Dow closed +55 points, +0.11%, while the S&P 500 was -0.13%. The Nasdaq surrendered -172 points, -0.72%, and the small-cap Russell 2000 gained 1 point.
Microsoft (MSFT - Free Report) selling off was the big story today, as investors attempted to digest the AI spending and OpenAI exposure that was multitudes higher than anticipated. Even though the company ultimately posted beats on top and bottom lines for its fiscal Q2, the outlook appears riskier on the AI-spending front. What results was the second-largest erasure of market-cap in one day’s worth of trading: -$430 billion in one day.
Compare this to a company like Meta Platforms (META - Free Report) , which was up +10.4% today and also indicated it would continue spending big on AI. Because Meta is already to realize some gains from its AI investment, as it goes toward advertising and marketing efforts in the hot social media space, whereas Microsoft’s mainstay is software, which is taking a hit in the current tech environment.
Earnings Reports After the Close: AAPL, V, SNDK
Apple (AAPL - Free Report) outperformed expectations in its fiscal Q3 report this afternoon, with earnings of $2.84 per share easily surpassing the $2.65 Zacks consensus (and the $2.40 per share reported in the year-ago quarter). Revenues of $143.76 billion outpaced the $137.81 billion analysts were expecting, and increased +16% year over year.
The company won’t provide guidance until the conference call coming up, but the quarter had plenty of goodies without it: iPhone sales rose +23% year over year to $85.27 billion, higher than expected on a surprise +38% surge in China sales for the quarter. Services were slightly below projections but still +14% to $30.01 billion. Shares are up +1% on the news, but still down -4% from the start of the year.
Visa (V - Free Report) , which literally never misses earnings estimates (but has only outperformed by +2.7% on average over the previous four quarters) posted $3.17 per share, a three-cent beat. Revenues of $10.9 billion also exceeded expectations of $10.7 billion, +15% from a year ago. The shadow over Visa’s future growth is President Trump’s idea to cap credit card rates going forward. Shares are down -1.8% in late trading.
Most impressive is SanDisk’s (SNDK - Free Report) huge earnings beat: $6.20 per share versus $3.54 anticipated, at least partially justifying the stock’s +120% jump in the past month of trading. Revenues of $3.03 billion improved over the $2.67 billion, with next-quarter earnings guidance catapulting to $12-14 per share, way up from the $5.36 in the Zacks consensus. SanDisk, which spun off from Western Digital (WDC - Free Report) , saw +64% growth in its Data Center business quarter over quarter.
Image: Bigstock
Cold Feet Over AI Spending Brings Nasdaq Down
Key Takeaways
Thursday, January 29th, 2026
Market trading closed off session lows today across major indexes — kicking off the trading today flattish but sinking like a stone — particularly the tech-heavy Nasdaq, which fell -2.5% before lunchtime and recovering somewhat. The Dow closed +55 points, +0.11%, while the S&P 500 was -0.13%. The Nasdaq surrendered -172 points, -0.72%, and the small-cap Russell 2000 gained 1 point.
Microsoft (MSFT - Free Report) selling off was the big story today, as investors attempted to digest the AI spending and OpenAI exposure that was multitudes higher than anticipated. Even though the company ultimately posted beats on top and bottom lines for its fiscal Q2, the outlook appears riskier on the AI-spending front. What results was the second-largest erasure of market-cap in one day’s worth of trading: -$430 billion in one day.
Compare this to a company like Meta Platforms (META - Free Report) , which was up +10.4% today and also indicated it would continue spending big on AI. Because Meta is already to realize some gains from its AI investment, as it goes toward advertising and marketing efforts in the hot social media space, whereas Microsoft’s mainstay is software, which is taking a hit in the current tech environment.
Earnings Reports After the Close: AAPL, V, SNDK
Apple (AAPL - Free Report) outperformed expectations in its fiscal Q3 report this afternoon, with earnings of $2.84 per share easily surpassing the $2.65 Zacks consensus (and the $2.40 per share reported in the year-ago quarter). Revenues of $143.76 billion outpaced the $137.81 billion analysts were expecting, and increased +16% year over year.
The company won’t provide guidance until the conference call coming up, but the quarter had plenty of goodies without it: iPhone sales rose +23% year over year to $85.27 billion, higher than expected on a surprise +38% surge in China sales for the quarter. Services were slightly below projections but still +14% to $30.01 billion. Shares are up +1% on the news, but still down -4% from the start of the year.
Visa (V - Free Report) , which literally never misses earnings estimates (but has only outperformed by +2.7% on average over the previous four quarters) posted $3.17 per share, a three-cent beat. Revenues of $10.9 billion also exceeded expectations of $10.7 billion, +15% from a year ago. The shadow over Visa’s future growth is President Trump’s idea to cap credit card rates going forward. Shares are down -1.8% in late trading.
Most impressive is SanDisk’s (SNDK - Free Report) huge earnings beat: $6.20 per share versus $3.54 anticipated, at least partially justifying the stock’s +120% jump in the past month of trading. Revenues of $3.03 billion improved over the $2.67 billion, with next-quarter earnings guidance catapulting to $12-14 per share, way up from the $5.36 in the Zacks consensus. SanDisk, which spun off from Western Digital (WDC - Free Report) , saw +64% growth in its Data Center business quarter over quarter.
Questions or comments about this article and/or author? Click here>>