Stock Market Today: Stocks Erase Nvidia-Inspired Gains
In addition to disclosing blowout first-quarter results, Nvidia said it is splitting its stock and hiking its dividend.


Technology stocks outperformed Thursday thanks to blowout earnings from AI bellwether Nvidia (NVDA). However, the rest of the market lagged as volume thinned ahead of the long holiday weekend.
As a reminder, Monday is a stock market holiday with stock and bond markets closed in observance of Memorial Day.
Indeed, technology was the best-performing of the S&P 500's 11 sectors today, only falling 0.8%. The sector's losses were limited thanks to Magnificent 7 stock Nvidia, which gained 9.3% after its first-quarter earnings report, adding $221 billion in market value. This is roughly equivalent to the entire market cap of fellow chipmaker Qualcomm (QCOM, -0.6%).
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Nvidia's Q1 results show AI momentum remains strong, with revenue spiking to $26 billion from $7.2 billion the year prior and earnings up nearly fivefold to $6.12 per share.
"Death, taxes, and NVDA beats on earnings," says Ryan Detrick, chief market strategist at Carson Group. "Even in the face of huge expectations, the company once again stepped up and delivered. The always important data center revenue was strong, while future revenue was also impressive. Bottom line, the bar was high and cleared it once again."
Nvidia stock split will drastically lower the share price
But there was more in Nvidia's earnings report for investors to smile about. For one, the company announced a 10-for-1 stock split, effective after the June 7 close.
NVDA's stock split won't change anything about the company's fundamentals or market valuation. Rather, a stock split is like making change. In Nvidia's case, it will be equivalent to breaking a $10 bill into 10 $1 bills – or bringing its share price down to around $103.70 from its current $1,037.
Nvidia said it is splitting its stock in order to to "make stock ownership more accessible to employees and investors." The company also said it is hiking its quarterly dividend by 150% to a post-split amount of 1 cent per share.
Boeing slumps on cash flow concerns
Boeing (BA) was also in focus Thursday. BA slumped 7.6%, making it the worst Dow Jones stock today, after the aerospace firm warned cash flow will remain negative for the time being.
Speaking at a Wolfe Research industry conference, Boeing Chief Financial Officer Brian West said the company's second-quarter free cash flow, or the money left over after expenses to run, maintain and expand the business are covered, will likely be similar to or "possibly a little worse" than the negative $4 billion incurred in Q1. West also said aircraft deliveries will remain near a four-year low.
Solid PMI data lowers rate-cut expectations
Some good-news-is-bad-news economic data also served as a headwind for stocks Thursday. Specifically, S&P Global's Flash Services Purchasing Managers Index (PMI) jumped to 54.8 in May from April's reading of 51.8. The Flash Manufacturing PMI also increased, to 52.4 from 51.1.
"This morning's accelerating growth data point to the uncertainty plaguing inflation just as global central bankers inch closer to the scissors," says José Torres, senior economist at Interactive Brokers. "The risks of waiting too long to reach an inflation target include a greater chance of price gains along the road."
At the close, the Dow Jones Industrial Average was down 1.5% at 39,065, while the S&P 500 was off 0.7% at 5,267. And the tech-heavy Nasdaq Composite, which was up more than 1% at its session peak, finished the day down 0.4% at 16,736.
Related content
- DuPont Split Will Create Three Separate Companies: What To Know
- Snowflake Stock Drops After Earnings
- Are Banks Open on Memorial Day in 2024?
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at a local investment research firm. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
Choose a Beneficiary for Your Estate Plan: It's Not 'Duck, Duck, Goose'
Choosing a beneficiary for your 401(k), insurance policy or similar assets is crucial for estate planning. Here is how to do it, and six pitfalls to avoid.
-
T-Mobile's Free iPhone 17 Deal: A Smart Switch or a Hidden Catch?
Receive a free iPhone 17 when you switch to T-Mobile. We'll explain whether the deal is worth it.
-
How an Expired Passport Thwarted Blackmail (and What Other Important Documents You Should Keep)
An optometrist produced his expired passport to foil a blackmail attempt by the daughter of a former employee. After proving he was out of the country on the date of a forged diary entry, he took it a step further.
-
Optimize, Grow, Retain: The Power of Annual Client Reviews
Financial advisers can use annual reviews to help enhance client outcomes, strengthen relationships and build their practice.
-
I'm a Real Estate Investing Pro: This Is What Investors Should Know About Truck Stop Investments
Truck stops might seem like good investments, but they can actually be a risky gamble due to unstable fuel prices, unreliable operators and coming changes in transportation. Instead, consider safer options like industrial or residential properties.
-
How Digital Platforms Are Changing the Way You Invest in Gold
Investing in gold is easier than ever thanks to digital platforms. Learn how online tools are lowering costs, increasing transparency and making gold accessible to all investors.
-
Stocks Rise to Start Fed Week: Stock Market Today
The Nasdaq Composite and S&P 500 hit new record closing highs as Wall Street awaits the Fed's next rate cut.
-
Don't Disinherit Your Grandchildren: The Hidden Risks of Retirement Account Beneficiary Forms
Standard retirement account beneficiary forms may not be flexible enough to ensure your money passes to family members according to your wishes. Naming a trust as the contingent beneficiary can help avoid these issues. Here's how.
-
This Is How Life Insurance Can Fund Your Dreams Now
Beyond a death benefit, life insurance can provide significant financial value and flexibility through 'living benefits' while you are still alive, helping with expenses like education, business ventures or retirement.
-
Potential Trouble for Retirees: A Wealth Adviser's Guide to the OBBB's Impact on Retirement
While some provisions might help, others could push you into a higher tax bracket and raise your costs. Be strategic about Roth conversions, charitable donations, estate tax plans and health care expenditures.