Everyone is staring at Nvidia tonight, but the chart that actually tells the story is the software sector getting dismantled while nobody watches.
Intuit dropped nearly 12% in pre-market. That's not a haircut — that's a growth scare wearing a guidance problem. Fourth-quarter fiscal results beat expectations, yet fiscal 2027 revenue and earnings guidance fell significantly short of Wall Street forecasts. When a company beats and still gets punished this hard, the market is telling you it has lost faith in the growth narrative, not just the quarter.
Zoom tells a similar story from a different angle. Revenue grew 4.9% year-over-year to $1.277 billion and adjusted EPS came in at $1.55, both slightly above consensus. But third-quarter adjusted EPS guidance of $1.46 to $1.48 landed below the $1.50 the Street wanted. The raised full-year guidance got completely ignored. This is what a market looks like when forward expectations have been priced to perfection and the slightest shortfall triggers revaluation.
The broader software tape confirms it. ServiceNow and Adobe each fell about 2.5%, Salesforce dropped 2.18%, Palantir slipped 1.07%. These aren't isolated reactions. When the entire cohort moves in the same direction on the same day, it's a risk posture shift — not stock-specific noise.
The visual I'd save to my chartbook: a relative strength line of software versus semis over the last five sessions. That divergence is where the real information lives.
Intuit dropped nearly 12% in pre-market. That's not a haircut — that's a growth scare wearing a guidance problem. Fourth-quarter fiscal results beat expectations, yet fiscal 2027 revenue and earnings guidance fell significantly short of Wall Street forecasts. When a company beats and still gets punished this hard, the market is telling you it has lost faith in the growth narrative, not just the quarter.
Zoom tells a similar story from a different angle. Revenue grew 4.9% year-over-year to $1.277 billion and adjusted EPS came in at $1.55, both slightly above consensus. But third-quarter adjusted EPS guidance of $1.46 to $1.48 landed below the $1.50 the Street wanted. The raised full-year guidance got completely ignored. This is what a market looks like when forward expectations have been priced to perfection and the slightest shortfall triggers revaluation.
The broader software tape confirms it. ServiceNow and Adobe each fell about 2.5%, Salesforce dropped 2.18%, Palantir slipped 1.07%. These aren't isolated reactions. When the entire cohort moves in the same direction on the same day, it's a risk posture shift — not stock-specific noise.
The visual I'd save to my chartbook: a relative strength line of software versus semis over the last five sessions. That divergence is where the real information lives.
