Kim Kahn

Today's plunge has wiped out nearly $400 billion in Microsoft's market cap.

If it holds, it would be the second largest single-day loss for a U.S.

company behind last January's NVIDIA drop, when a 17% slide erased nearly $600 billion.

Evercore analyst Kirk Materne says the debate is no longer about demand, it is about capacity, timing, and perhaps allocation.

While Azure growth at these levels remains impressive and continues to suggest market share gains, CapEx rose 66% year over year, and investors are increasingly looking for clearer evidence that this elevated investment is translating into incremental Azure acceleration.

he added.

The real trigger, though, may have been ServiceNow, down more than 10% despite strong results.

Analysts noted that 21.5% subscription revenue growth did not quite represent acceleration, but were broadly positive.

Citizens reiterated its market outperform rating, pointing to revenue growth, free cash flow margin, and a strong leadership team.

Even so, the stock has now shed about 50% of its value over the past year.

Also heavily in the red are Atlassian, Salesforce, Workday, and Datadog.

Among other active stocks, Caterpillar continues to benefit from AI, specifically data center demand, with Q4 results meeting expectations.

Cat said fourth quarter sales rose to $19.1 billion, above the $17.76 billion consensus.

Adjusted EPS came in at $5.16, easily topping the $4.71 expected.

Power and energy sales climbed 23% to $9.4 billion.

Within that segment, power generation revenue jumped 44% to $3.24 billion, driven by higher sales of large reciprocating engines that the company said were primarily tied to data center applications, as the AI build-out keeps echoing through demand.

Altria is under pressure after slightly missing profit estimates in Q4.

The tobacco giant said it's targeting mid-single-digit annual dividend per share growth through 2028.

And Joby Aviation is sinking after pricing and offering.

The electric vertical takeoff and landing company will issue $600 million of 0.75% convertible senior notes due 2032 and sell about 52.9 million shares of common stock at $11.35 per share.