Amazon's Stock Drops Ahead of Earnings Report
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 05 2026
0mins
Source: CNBC
- Amazon Earnings Preview: Amazon is set to release its earnings report on Thursday, with its stock dropping 2.4% ahead of the announcement, indicating cautious investor sentiment that may impact short-term market confidence.
- Alphabet's Strong Performance: Alphabet exceeded Wall Street expectations in its fourth-quarter earnings report released on Wednesday, although its stock fell about 1% in after-hours trading; the projected capital expenditures for 2026 are expected to reach between $175 billion and $185 billion, nearly double that of 2025, reflecting a strong commitment to future growth.
- Qualcomm's Disappointing Guidance: Qualcomm reported quarterly earnings that surpassed expectations, yet its stock fell 9% in after-hours trading due to disappointing forward guidance, highlighting investor concerns about future performance, with shares down nearly 13% year-to-date in 2026.
- Strong Consumer Staples Sector: The Consumer Staples Select Sector SPDR ETF (XLP) has risen for four consecutive days, gaining over 1% each day and hitting new highs in the past three sessions, indicating strong performance in 2026 with over 12% growth year-to-date, making it the third-best performing sector in the market.
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Analyst Views on NVS
Wall Street analysts forecast NVS stock price to fall
6 Analyst Rating
1 Buy
4 Hold
1 Sell
Hold
Current: 161.180
Low
112.00
Averages
127.75
High
143.00
Current: 161.180
Low
112.00
Averages
127.75
High
143.00
About NVS
Novartis AG is a Switzerland-based pharmaceutical company. The Company develops, manufactures, and markets branded and generic prescription drugs, active pharmaceutical ingredients (APIs), biosimilars and ophthalmic products. The Company uses science and digital technologies for treatments in the disease areas of immunology, dermatology, cancer, ophthalmology, neuroscience, respiratory, cardiovascular, renal and metabolism. The business activities of the Company are divided into two segments: Innovative Medicines, which includes innovative patent-protected prescription medicines for blood pressure, cancer and other ailments, and Sandoz, which includes generic pharmaceuticals and biosimilars.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Accelerated Approval Context: Vanrafia received accelerated approval from the FDA last April for proteinuria reduction in IgA nephropathy patients and has recently been granted similar approval in China, highlighting its global market potential.
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- Increased Investor Attention: With ongoing innovations and policy support in the health care industry, investor attention towards health care stocks has significantly increased, potentially attracting more capital into the sector and driving stock prices higher.
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- Accelerated Approval Context: Vanrafia received accelerated approval in April 2025 in the U.S. and China for reducing proteinuria in IgAN patients, with Novartis planning to submit for traditional approval in 2026 to further validate its clinical benefits.
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- Strong ETF Performance: The SPDR Portfolio Developed World ex-US ETF climbed over 30% in the past year, holding more than 2,300 developed-market stocks, positioning it prominently within the international recovery narrative while maintaining low fees.
- Currency Dynamics Impact: The weakening U.S. dollar boosted returns for overseas assets, particularly in Europe, where Spain's IBEX 35 index jumped around 50% and Germany's DAX rose about 23%, reflecting the positive effects of fiscal stimulus and a rebound in financial stocks.
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- Ad Performance: According to USA Today's Ad Meter, brands like Anheuser-Busch, Lay's, and Dunkin' resonated well with viewers again this year, indicating effective emotional and comedic messaging strategies that continue to engage audiences.
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- Accelerated Approval Context: Vanrafia received accelerated approval from the FDA last April for proteinuria reduction in IgA nephropathy patients and has recently been granted similar approval in China, highlighting its global market potential.
- Market Performance: Novartis reported a core net income of $17.41 billion for full-year 2025, with earnings per share of $8.98, reflecting an increase from $15.76 billion and $7.81 per share in 2024, showcasing strong performance in drug development and sales.
- Future Plans: Novartis intends to seek traditional approval for Vanrafia this year, further solidifying its market position in kidney disease treatment and laying the groundwork for future revenue growth.
See More
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- Strong Performance in Health Care: Health care stocks rose on Friday afternoon, with the NYSE Health Care Index gaining 1.1%, reflecting increased investor confidence in the sector, likely driven by an overall improvement in market sentiment.
- Market Sentiment Recovery: The rise in health care stocks may be correlated with a broader market recovery trend, as investors reassess the investment value of the health care sector after recent volatility, indicating optimism about future growth potential.
- Increased Investor Attention: With ongoing innovations and policy support in the health care industry, investor attention towards health care stocks has significantly increased, potentially attracting more capital into the sector and driving stock prices higher.
- Optimistic Industry Outlook: The growth potential and stability of the health care sector make it attractive amid economic uncertainties, leading investors to view it as a safe haven, further propelling the upward trend in health care stocks.
See More
Novartis Vanrafia Study Results Support Slowing Kidney Function Decline
- Study Overview: Novartis's ALIGN study indicates that Vanrafia (atrasentan) slows the decline of kidney function in IgA nephropathy patients, with a clinically meaningful eGFR change of 2.39 ml/min/1.73m² compared to placebo, highlighting its potential in chronic kidney disease management.
- Accelerated Approval Context: Vanrafia received accelerated approval in April 2025 in the U.S. and China for reducing proteinuria in IgAN patients, with Novartis planning to submit for traditional approval in 2026 to further validate its clinical benefits.
- Long-Term Follow-Up Advantage: The ALIGN study provides the longest follow-up period in pivotal Phase 3 studies for IgAN, ensuring a thorough assessment of Vanrafia's long-term effects, with safety consistent with previous findings, bolstering confidence in its market prospects.
- Market Reaction: Novartis shares rose 0.42% to $161.86 in premarket trading on Friday, nearing its 52-week high of $162.31, reflecting positive market expectations regarding the potential success of the drug.
See More
Global Equities Rebound, International ETFs Gain Attention
- International Market Recovery: In 2025, the global market index surged approximately 32%, nearly double the U.S. market benchmark's 17% return, indicating a potential portfolio rotation that has caught investors' attention.
- Strong ETF Performance: The SPDR Portfolio Developed World ex-US ETF climbed over 30% in the past year, holding more than 2,300 developed-market stocks, positioning it prominently within the international recovery narrative while maintaining low fees.
- Currency Dynamics Impact: The weakening U.S. dollar boosted returns for overseas assets, particularly in Europe, where Spain's IBEX 35 index jumped around 50% and Germany's DAX rose about 23%, reflecting the positive effects of fiscal stimulus and a rebound in financial stocks.
- Potential Long-Term Trend: While American tech giants remain dominant, analysts suggest that international equities still trade at a valuation discount, and higher dividend yields abroad strengthen the case for diversification, indicating that the resurgence of international ETFs may represent a durable trend.
See More
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- Game Outcome: On February 8, 2026, Super Bowl LX saw the Seattle Seahawks defeat the New England Patriots 29-13, with 30 of the 42 total points scored in the fourth quarter, highlighting the game's intensity and enhancing the Seahawks' brand image.
- Ad Performance: According to USA Today's Ad Meter, brands like Anheuser-Busch, Lay's, and Dunkin' resonated well with viewers again this year, indicating effective emotional and comedic messaging strategies that continue to engage audiences.
- Viewer Feedback: Some ads featuring AI tools failed to win over viewers, reflecting a limited acceptance of technology-driven advertising among consumers, suggesting that companies need to reassess their advertising strategies to improve effectiveness.
- Market Impact: The Super Bowl remains a crucial platform for brand marketing, where successful ads can significantly boost brand visibility and directly influence sales performance, prompting companies to increase their advertising budgets in future campaigns.
See More
Novartis Breaks Ground on San Diego Biomedical Research Center
- New Research Center: Novartis has broken ground on a 466,000-square-foot biomedical research center in San Diego, expected to begin operations in 2029 and employ 1,000 workers, significantly enhancing its R&D capabilities in the biomedical field.
- AI Utilization: The center will leverage artificial intelligence, data, and computational capabilities to drive innovation in biomedical research, thereby boosting Novartis's competitiveness in the global pharmaceutical industry.
- Massive Investment Plan: Novartis announced a $23 billion investment in the U.S., which includes a new manufacturing facility in North Carolina and a radioligand therapy manufacturing facility in Carlsbad, California, demonstrating its commitment to the U.S. market.
- Manufacturing Expansion: The company is also planning new radioligand therapy manufacturing locations in Florida and Texas to meet the growing market demand, further solidifying its leadership position in the biopharmaceutical sector.
See More
