Key Takeaways
- All three major U.S. stock indexes, the Dow, S&P 500, and NASDAQ, ended the week with losses.
- FAA traffic cuts at 40 major airports due to unpaid controllers led to airline stock tumbles.
- E.l.f. Beauty's stock plummeted 40% after its annual forecast missed analysts' expectations.
- Palantir Technologies shares fell 11% for the week despite beating earnings, possibly due to high valuation.
Deep Dive
- The FAA ordered a 10% cut in traffic at 40 major airports due to unpaid air traffic controllers.
- Airline stocks tumbled on Thursday, with potential for 15-20% cancellations if the shutdown continues.
- American Airlines shares fell 2% on Thursday but gained 4% for the week.
- The cuts are scheduled to increase incrementally.
- E.l.f. Beauty reported a 14% increase in quarterly sales, partly due to the acquisition of Haley Bieber's line.
- The company's annual forecast for adjusted earnings per share and sales fell short of analysts' expectations.
- Its stock plummeted 35% on Thursday and approximately 40% for the week.
- Palantir Technologies, an AI-driven data analytics company, beat earnings expectations and reported record sales on Monday.
- Investors reacted negatively, causing its shares to fall 8% on Tuesday and 11% for the week.
- The stock's high valuation, having more than doubled in 2025, is a potential reason for investor jitters despite growth.