By George Glover and Kit Norton

The artificial-intelligence rally may be grinding to a halt.

Technology stocks were getting hit hard Thursday after mediocre revenue guidance from Broadcom caused investors to question how fast AI demand will accelerate.

The S&P 500 fell 0.1% and the tech-heavy Nasdaq Composite declined 0.8%. The Dow Jones Industrial Average rose 1.4%.

Broadcom's shares slumped 15% following the tepid outlook, making the chip maker one of the S&P 500's worst performers in Thursday's session.

Other AI stocks also were taking a hit: memory-chip maker Micron Technology dropped 6.7%, chips-and-networking company Marvell Technology tumbled 5.3%, and server maker Super Micro Computer declined 2.5%. Flash memory product supplier Sandisk moved 1.8% lower.

Nvidia fell 0.6%, putting the stock on pace to close lower for a third consecutive trading session.

These stocks also were making moves:

Robinhood Markets gained 2.4% and Strategy advanced 1.6% even as Bitcoin prices declined. Coinbase fell 0.7%.

CrowdStrike sank 8.3% after the cybersecurity company's first-quarter earnings only just beat expectations, leading to investors taking some profit following a stellar run for shares.

PVH cratered 27% after the Tommy Hilfiger and Calvin Klein owner cut its fiscal-year revenue guidance, citing the war in Iran.

Netskope dropped 19%. The cybersecurity company reported mixed fiscal 2027 first-quarter earnings, with underwhelming new annual recurring revenue. A slew of Wall Street firms lowered price targets on the stock.

Ciena tumbled 19% after the networking company reported better-than-expected earnings and revenue in its fiscal second quarter. Ciena lifted sales guidance for the fiscal year to $6.3 billion, plus or minus $100 million. Analysts were looking for $6.18 billion in revenue heading into the report Thursday. Investors may have wanted stronger guidance.

Write to George Glover at george.glover@dowjones.com and Kit Norton at kit.norton@barrons.com

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(END) Dow Jones Newswires

June 04, 2026 10:08 ET (14:08 GMT)

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