SMCI and Applied Materials lead AI equipment surge at Computex, SOXX +5.79%

Semiconductor equipment stocks surged on Tuesday as Nvidia Corp.’s chief executive Jensen Huang confirmed at Computex 2026 in Taipei that Vera Rubin, the successor to Blackwell, has entered full production, lifting Super Micro Computer Inc. (NASDAQ: SMCI) 7.02%, Applied Materials Inc. (NASDAQ: AMAT) 6.96%, and the iShares Semiconductor ETF 5.79%. The S&P 500 added 0.13% to a fresh record close of 7,609.78, while the Nasdaq Composite edged up 0.03% to 27,093.90 in a split session that rewarded chip equipment names at the expense of enterprise software.

Today’s biggest movers

Super Micro jumps 7% as HPE earnings and SK Hynix expansion confirm AI server demand

Shares of Super Micro Computer Inc. (NASDAQ: SMCI) closed up 7.02% at $50.17, the session’s top AI-universe performer, driven by a convergence of three positive catalysts. Hewlett Packard Enterprise reported Q2 results that beat consensus estimates and disclosed a surge in AI server orders, validating the thesis that enterprise AI infrastructure spending is broadening beyond the largest cloud providers. Memory-chip maker SK Hynix separately announced plans to double its wafer production capacity over the next five years, removing a key supply-side bottleneck for AI server builders. Those signals reinforced Super Micro’s own guidance raise from earlier in the year, when management lifted fiscal 2026 revenue outlook to at least $36 billion from a prior floor of $33 billion. SMCI has gained 62% year to date, though the stock still trades sharply below its 2024 highs; analyst consensus sits at Hold with an average price target near $38.

Applied Materials gains 7% on Computex wave and fresh analyst price target increases

Applied Materials Inc. (NASDAQ: AMAT) added 6.96% to close at $490.05, powered by a fresh round of analyst price target increases tied to accelerating wafer fab equipment demand. Mizuho raised its target to $540 with an Outperform rating, citing rising forecasts for AI-driven foundry capacity; Cantor Fitzgerald lifted to $575 from $550 with Overweight; Deutsche Bank moved to $550 from $450 with Buy. The catalytic trigger was Jensen Huang’s keynote at Computex 2026, where he confirmed Vera Rubin, the next-generation GPU after Blackwell, has entered full production, delivering a 10x reduction in inference token cost and requiring four times fewer GPUs per equivalent training workload. Analysts read that specification shift as a direct demand driver for the etch and deposition equipment Applied Materials supplies to advanced foundries. AMAT is up 82% year to date.

Broadcom rises 4.7% as investors position ahead of Wednesday earnings test

Broadcom Inc. (NASDAQ: AVGO) closed up 4.70% at $481.57 ahead of its fiscal Q2 2026 results due after Wednesday’s close, with Wall Street treating the report as a real-time gauge of AI chip demand beyond Nvidia. Consensus expects revenue of roughly $22 billion, up 47% year on year, with AI semiconductor revenue alone projected at $10.7 billion, a 140% year-on-year increase. Chief executive Hock Tan stated on the March earnings call that the company has a “line of sight to achieve AI revenue from chips, just chips, in excess of $100 billion in 2027.” Investors will focus on custom accelerator shipment volumes from Google, Meta, and other hyperscale customers, updated second-half guidance, and the VMware integration margin. AVGO is up 38.5% year to date. See yesterday’s recap for the broader Computex-driven rally that set the tone for today’s session.

Snowflake falls 6.8% at Investor Day after 63% post-earnings run

Snowflake Inc. (NYSE: SNOW) dropped 6.79% to $261.14 as investors used the company’s Investor Day as an exit point after a run that had taken the stock up roughly 63% in the week following its fiscal Q1 2027 results. That quarter delivered revenue of $1.39 billion, a 33% year-on-year gain that beat the $1.32 billion consensus, with adjusted EPS of $0.39 against an estimate of $0.32. At the Investor Day, Snowflake highlighted that Cortex Code, its AI coding agent, reached 7,100 active accounts by quarter-end after launching in February; the company also announced a $6 billion multi-year infrastructure commitment to Amazon Web Services. Tuesday’s decline reflects a classic earnings-cycle dynamic: positive fundamentals had been priced in during the preceding surge, leaving little incremental reason to hold into the event itself. SNOW still carries an 81% one-month gain. Our May 28 recap covered the initial market reaction to Snowflake’s earnings beat.

Dell gives back 6.6% after record close, AI server backlog stands at $51 billion

Dell Technologies Inc. (NYSE: DELL) fell 6.58% to $435.31, retracing part of the surge that had pushed the stock to an all-time high of $467 on Monday following its fiscal Q1 2027 results. The quarter delivered revenue of $43.8 billion, up 88% year on year; non-GAAP EPS of $4.86 crushed the $2.92 consensus by 66%; AI server revenue of $16.1 billion represented a 757% year-on-year increase; and the company booked $24.4 billion in new AI orders during Q1, exiting with a record $51.3 billion backlog. Tuesday’s pullback reflects institutional profit-taking after a move that already exceeded 330% from the 52-week low, with no change to the underlying demand outlook. Dell remains up 241% year to date. See our May 29 recap for the initial post-earnings breakout analysis.

Notable but quieter

Lam Research Corp. (NASDAQ: LRCX) gained 5.45% to $334.41, a new 52-week high, on the same Computex-driven re-rating that lifted peers; Vera Rubin’s production confirmation implies sustained demand for the etch and deposition equipment Lam supplies. The stock is up 81% year to date. ASML Holding N.V. (NASDAQ: ASML) added 4.72% to $1,705.37, extending a recovery grounded in strong Q1 results of €10.3 billion in revenue and a 53% gross margin, with management revising full-year guidance upward; a €45 billion backlog provides multi-year revenue visibility despite export restriction exposure to China. Palantir Technologies Inc. (NYSE: PLTR) fell 5.28% to $152.17 despite the company having recently raised 2026 revenue guidance to $7.65 billion, representing roughly 71% year-on-year growth; the decline tracks analyst concern over valuation multiples relative to intrinsic value models, compounded by competitive risk from Microsoft Azure, AWS, and Google Cloud in the government and commercial AI data platform market. ServiceNow Inc. (NYSE: NOW) lost 6.04% to $127.65 with no company-specific catalyst identified; the move reflects sector rotation out of enterprise software and into semiconductor equipment on Computex day. Analyst consensus on ServiceNow remains Buy with an average price target near $143. Alphabet Inc. (NASDAQ: GOOGL) declined 3.86% to $361.85 after Reuters reported that Google is planning an $80 billion equity issuance, a dilutive move that pushed institutional capital toward hardware-side AI names. Microsoft Corp. (NASDAQ: MSFT) lost 4.17% to $441.31 in sympathy with the broader software rotation.

What to watch Wednesday

Broadcom’s fiscal Q2 earnings after the close are the central event, with consensus expecting $22 billion in revenue and $10.7 billion in AI semiconductor revenue; any shortfall would likely weigh across the equipment and fabless complex. Computex 2026 continues through June 5 with product presentations from AMD, Intel, and Qualcomm. The Federal Reserve’s Beige Book is due Wednesday afternoon; markets will watch for any language shift around services inflation that could affect rate-cut expectations. Nvidia’s own fiscal Q1 2027 earnings are expected within three weeks; Broadcom’s guidance update Wednesday will sharpen the positioning setup heading into that print.

Not investment advice.