Akamai Technologies gained 5% on Thursday after announcing a seven-year contract and an $11.6 billion deal with Anthropic, according to market reports.
AI Infrastructure Deals Drive Midday Market Gains
Atlas Energy Solutions rallied 17% after announcing that two of its subsidiaries executed separate cost reimbursement agreements with a leading frontier AI lab.
Meanwhile, software giant Microsoft saw its shares climb 3% following the rollout of a refreshed Copilot app. According to company strategy, the update aims to challenge Anthropic’s Claude and secure higher enterprise adoption rates for paid AI tools. Meta Platforms moved in the opposite direction, tumbling more than 3% as traders locked in profits from a recent rally. Meta shares remain on track for a 12% weekly gain fueled by the surging popularity of its consumer AI product Muse.
Analyst Ratings and Retail Performance Shifts
Genius Sports jumped 13% after JPMorgan initiated coverage with an overweight rating. The bank highlighted Genius for offering a scarce combination of diversified above-market growth, strong execution, improving profitability and free cash flow, and an attractive valuation.
Conversely, Twilio tumbled about 6% after HSBC slashed its rating to a sell equivalent. Analyst Sameer Lam wrote that while they retain a premium for Twilio’s AI optionality, the risk-reward profile looks negative following a recent rally, noting the stock appears expensive compared to better-quality alternatives like Microsoft and Salesforce.
In retail and publishing, Costco Wholesale shares rose 2.7% after reporting fiscal fourth-quarter results that beat expectations. Costco earned an adjusted $6.60 per share on revenue of $95.72 billion, topping the average LSEG analyst estimate of a $6.53 per share profit on revenue of $94.86 billion. Scholastic shares slid 9% after posting an adjusted fiscal first-quarter loss of $3.63 per share—worse than the $2.52 per share loss recorded in the year-ago period—alongside a 4% drop in revenue to $216.8 million.
Media Conglomerates and Potential Acquisition Bids
People Inc, Barry Diller’s company which also owns Food & Wine and Southern Living magazines, saw its shares jump 10%. Late Thursday, The Wall Street Journal reported, citing people familiar with the matter, that MGM Resorts is weighing a bid to purchase the publishing giant. The development follows People’s withdrawal of its own proposal to buy the casino operator, while MGM shares traded lower by 2%.
Did You Know?
Frequently Asked Questions
Why did Akamai Technologies shares rise?
Akamai gained 5% after announcing a seven-year contract and an $11.6 billion deal with Anthropic, alongside a warrant granting Anthropic the right to acquire roughly 5% of Akamai shares at $111.33 each.
What drove the rally in Atlas Energy Solutions?
Atlas Energy Solutions rallied 17% after stating that two of its subsidiaries executed separate cost reimbursement agreements with a leading frontier AI lab.
Why did Scholastic shares decline?
Scholastic shares slid 9% after reporting an adjusted fiscal first-quarter loss of $3.63 per share and a 4% decline in revenue to $216.8 million.
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