Amazon drops 7%, Intel slides 25% as earnings rattle tech stocks
What's new: Nasdaq-100 futures fell 2% as investors questioned whether heavy AI spending will deliver returns.
Amazon and Intel shares fell sharply in premarket U.S. trading Friday after both companies posted quarterly results that disappointed investors, adding to a bruising week for big tech. Amazon dropped 7% after missing on third-quarter revenue and profit and reporting a second straight quarter of negative free cash flow, while keeping its 2026 capital spending forecast at $220 billion. Intel plunged 25% after issuing weaker-than-expected guidance and pointing to continued softness in the PC market. The sell-off spread across chip stocks including Micron, Nvidia and Arm, and hit European semiconductor names such as ASML. Nasdaq-100 futures were down 2% in early trading.