MongoDB falls 6% and Oracle slides on AI software profit worries; Micron results due after the bell

MongoDB Inc. (NASDAQ: MDB) tumbled 5.8% and Oracle Corp. (NYSE: ORCL) shed 4.6% on Wednesday as investors questioned whether AI software sector valuations can survive a prolonged wait for material earnings uplift. The S&P 500 slipped 0.1% to 7,358, the Nasdaq Composite fell 0.4% to 25,477, and the SOXX semiconductor ETF edged 0.3% lower to 601.50, with Micron Technology's after-hours quarterly results the session's defining catalyst.

This recap analyzes the top 25 publicly-listed AI stocks selected by these criteria: chips and chip equipment ($NVDA, $AVGO, $AMD, $ARM, $INTC, $TSM, $ASML, $AMAT, $LRCX, $SMCI, $DELL); hyperscalers and AI labs ($MSFT, $GOOGL, $AMZN, $META, $ORCL, $CRM, $NOW); pure-play AI and data infrastructure ($PLTR, $SNOW, $MDB, $DDOG); AI-adjacent security and platform ($CRWD, $NET, $PANW); plus $TSLA for autonomy and $BIDU for the China-AI overhang. Macro reference: $SOXX (semis ETF), S&P 500, Nasdaq Composite. End-of-day prices via Yahoo Finance.

Today's biggest movers

MongoDB slides 6% as post-earnings momentum fades

MongoDB Inc. (NASDAQ: MDB) closed at $302.44 on Wednesday, its sharpest single-session drop in weeks, as sellers unwound a portion of the gains earned after a strong fiscal first quarter. MDB's Q1 2026 results beat on both lines: revenue of $687.6 million outpaced the $664.2 million analyst consensus by 3.5%, and adjusted EPS of $1.32 topped the $1.18 estimate by 11.5%. The stock had run from around $325 to nearly $360 following those results, and Wednesday's move represents a partial give-back as the broader AI software complex softens under macro and valuation pressure. Tigress Financial analyst Ivan Feinseth maintained a Buy rating and raised his price target to $515 from $430 this month. Scotiabank also raised its target, moving to $395 from $310 with an Outperform rating. MDB's next earnings report is scheduled for August 27.

Oracle sheds 5% as AI data-center pivot weighs on near-term margins

Oracle Corp. (NYSE: ORCL) fell 4.6% to $157.53, extending a month-long retreat that has taken the stock down 18.4% in June and 19.5% year-to-date. The company beat its fiscal Q4 2026 earnings estimate - EPS of $2.11 against consensus of $1.89 - and delivered full-year 2026 revenue of $67.36 billion, a 17.4% increase over the prior year. However, Oracle simultaneously announced a 13% workforce reduction as management redirects capital toward a $70 billion AI data-center build-out, a commitment analysts flagged as a meaningful near-term margin headwind with a long payback horizon. The average Wall Street price target of $252.64 implies roughly 60% upside from current levels, reflecting the gap between long-term confidence in Oracle's cloud infrastructure positioning and near-term execution risk. The next earnings call is September 8.

Palantir extends losing streak toward worst monthly drop since early 2021

Palantir Technologies Inc. (NYSE: PLTR) dropped 2.7% to $113.50, and is now down 16.9% for the month, a pace that would mark the stock's steepest monthly decline since February 2021 if it holds. The sell-off sits in stark contrast to the company's operating fundamentals: Q1 2026 revenue grew 85% year-over-year, and management raised its full-year guidance substantially. Rosenblatt Securities analyst John McPeake maintained a Buy rating with a $225 price target, citing Palantir's ontology platform as a durable competitive moat and noting significant upside from prevailing levels. With the stock down 32.4% year-to-date after a dramatic run-up through 2025, investors appear to be resetting expectations around how much of the AI platform narrative was already priced in at the peak. For context on the multi-day AI software rotation affecting Palantir and its peers, see Tuesday's recap on the semiconductor and software sell-off.

Dell bucks the trend as AI server backlog holds firm

Dell Technologies Inc. (NYSE: DELL) added 1.5% to $434.06, the strongest day-session performance in the 25-ticker universe. The company's Q1 2026 results showed revenue growth of 87.5% year-over-year, driven by hyperscaler and enterprise demand for AI-optimized server infrastructure. Analysts covering DELL set an average 12-month price target of $465.95, with the most bullish estimate at $700. Dell is the year's standout AI infrastructure beneficiary, up 239.6% year-to-date, and Wednesday's session offered no new catalyst - simply the quiet bid that tends to accompany a company with a growing AI hardware order book. For more on how Dell has separated from the broader hyperscaler trade this year, see Monday's recap on the hardware-versus-software divergence.

Notable but quieter

$ARM: Arm Holdings plc (NASDAQ: ARM) closed down 2.0% to $359.08 but posted the widest intraday range in the universe, trading from $344.21 to $374.56 - an 8.5% spread relative to close. The stock is still up 213% year-to-date, but New Street Research's downgrade last week (Buy to Neutral, citing a trailing price-to-earnings ratio above 480x following the year's rally) continues to cap near-term enthusiasm. TD Cowen raised its target to $475 and Bernstein moved its target to $500, keeping the bull case intact.

$MSFT: Microsoft Corp. (NASDAQ: MSFT) lost 2.3% to $365.46 and is down 22.7% year-to-date. Goldman Sachs maintained its Buy rating, describing AI tailwinds for Azure as "limitless," but the stock traded in line with the broader software derating.

$SMCI: Super Micro Computer Inc. (NASDAQ: SMCI) slipped 2.6% to $32.45, giving back a portion of the 15.7% surge posted Monday after GF Securities upgraded the stock to Buy with a $48 target. Tech investor Dan Niles disclosed he trimmed semiconductor exposure Wednesday, citing uncertainty over whether hyperscaler capital outlays will generate adequate near-term returns.

$NOW: ServiceNow Inc. (NYSE: NOW) fell 2.2% to $93.80, extending a 36.4% year-to-date drawdown despite Q1 2026 subscription revenue growth of 22.1% and a recently expanded multi-year partnership with IBM connecting the ServiceNow AI Platform to IBM's watsonx and Red Hat infrastructure. Benchmark raised its price target to $130 last week, calling ServiceNow one of the "cleanest operating models in SaaS."

What to watch Thursday

Micron Technology reported its fiscal Q3 2026 results after Wednesday's close, the week's most consequential AI infrastructure data point. Memory pricing and high-bandwidth memory demand from hyperscalers will set the tone for NVDA, SMCI, and the chip equipment cohort ($AMAT, $LRCX, $ASML) at Thursday's open. On the macro side, the May PCE deflator is on the calendar, and any upside surprise there could renew rate pressure on high-multiple AI names across the software stack. Oracle's restructuring progress and further analyst commentary on its $70 billion data-center commitment are also worth tracking into the back half of the week.

Not investment advice.