ServiceNow's AI business crossing $1 billion in annual contract value anchored a split session Friday: enterprise software and hyperscaler names posted strong gains while the broader semiconductor complex fell hard, with the SOXX index down 3.2% as the Trump administration's potential tariff expansion rattled chip equipment names and architecture licensors alike. The Nasdaq Composite slid 0.52% and the S&P 500 eased 0.25% to 7,711 as Federal Reserve Chair Kevin Warsh reinforced a higher-for-longer posture at his Jackson Hole keynote, though all three major indexes still closed the week in the green.
Top AI stocks today: August 28, 2026
| Ticker | Close | Day | 1mo | YTD |
|---|---|---|---|---|
| $NOW | $144.71 | +4.54% | +30.10% | -1.86% |
| $AMZN | $266.43 | +3.97% | -1.90% | +17.63% |
| $BABA | $118.90 | +2.23% | -2.74% | -23.65% |
| $GOOGL | $346.59 | +1.74% | -2.68% | +9.98% |
| $MSFT | $513.53 | +1.68% | +10.50% | +8.58% |
| $ACMR | $74.42 | -7.54% | -5.16% | +65.82% |
| $ARM | $239.05 | -6.33% | -0.27% | +108.36% |
| $OUST | $34.62 | -5.25% | -11.25% | +48.14% |
| $LRCX | $301.90 | -5.24% | +3.03% | +63.14% |
| $TER | $354.97 | -4.59% | -3.46% | +71.02% |
ACM Research plunges 7.5% on post-earnings profit-taking
ACM Research Inc. (NASDAQ: ACMR), the China-focused semiconductor equipment maker, fell 7.5% Friday in the session''s heaviest percentage loss among AI stocks, extending a volatile stretch in August even after the company posted Q2 revenue of $292.9 million and earnings per share both above analyst estimates. Shares have whipsawed throughout the month as investors weigh a genuinely strong fundamental quarter against an increasingly hostile export-control and tariff backdrop that directly threatens ACMR''s primary market. The stock is still up 66% year-to-date, a stretched valuation that leaves little margin for error on regulatory risk. ACM Research is the kind of AI chip stocks name where headline policy risk can override earnings beat momentum in a single session.
ARM Holdings slides 6.3% as semiconductor tariff expansion risk heats up
Arm Holdings PLC (NASDAQ: ARM) dropped 6.3% Friday as reports indicated the Trump administration is weighing an extension of semiconductor tariffs beyond chip dies to products containing chips, including laptops, gaming consoles, and data center servers. That broadened scope would directly pressure ARM''s largest licensees, among them Apple, Qualcomm, and the cloud hyperscalers that deploy ARM-based Graviton and Ampere processors at scale. ARM stock has now fallen in three of the last four sessions and sits well below its spring highs above $280, though the 5-day print shows modest recovery from mid-August lows. The 108% year-to-date gain leaves the stock pricing in a lot of good news, and any policy confirmation of the expanded tariff scope could push more de-rating. ARM is one of the top AI stocks to watch heading into next week: Broadcom''s September 3 print will be read as a proxy for AI chip demand broadly.
ServiceNow jumps 4.5% as AI revenue hits $1 billion milestone
ServiceNow Inc. (NYSE: NOW) extended its August recovery rally 4.5% Friday, driven by continued momentum from the enterprise workflow giant''s Now Assist platform crossing $1 billion in annual contract value during Q2. Total Q2 revenue of $3.99 billion rose 24% year-over-year, with subscription revenue up 24.5%, and management lifted full-year 2026 subscription revenue guidance to $15.76-$15.78 billion, implying roughly 21% constant-currency growth. Bank of America raised its price target to $150, and Wells Fargo set a $175 target, both citing AI-agent monetization as the primary driver. The 30% one-month gain reflects a sharp re-rating as investors recognize that enterprise AI software, unlike AI chip stocks, carries no direct tariff exposure. NOW is the strongest AI stocks story in enterprise SaaS this summer, and the $1B ACV milestone gives management a concrete monetization proof point heading into fall conference season.
Amazon rises 4% as hyperscaler AI thesis holds through chip sell-off
Amazon.com Inc. (NASDAQ: AMZN) gained nearly 4% Friday in one of the clearest illustrations of the 2026 AI trade''s bifurcation. While AI chip stocks tumbled on tariff fears, hyperscalers like Amazon benefit if compute costs fall or if policy pressure forces AI suppliers to absorb tariffs rather than pass them through. AWS AI-related revenues have been a consistent bright spot in recent quarters, and Friday''s gain in AMZN alongside gains in Microsoft Corp. (NASDAQ: MSFT, +1.68%), Alphabet Inc. (NASDAQ: GOOGL, +1.74%), and Meta Platforms Inc. (NASDAQ: META, +1.21%) underlines a broader Magnificent 7 AI stocks rotation into names that own the customer relationship rather than the supply chain. The best AI stocks to buy in 2026 increasingly look like those sitting above the chip layer.