Top 10 Market Movers: Stocks Up on U.S.-Iran Hopes, Strong Earnings; DuPont Down

My top 10 things to watch Tuesday, Aug. 4.

1. Stock futures are up Tuesday as oil prices slide on hopes that a U.S.-Iran deal to reopen the Strait of Hormuz could be on the horizon. Stronger quarterly earnings from blue-chip companies like Palantir and Caterpillar also supported the run. The S & P 500 is on track to hit a new record high.

2. DuPont is down over 6% premarket despite reporting better-than-expected profits and sales for the second quarter. The maker of medical packaging, clean-water technology and building materials also raised its full-year EPS and organic growth targets. The issue seems to be a slightly soft second-half outlook. Plus, its water business continues to face challenges in the Middle East. Not an ideal print.

3. Better news over at Qnity Electronics, the DuPont spin-off that supplies chemicals and other materials used to make and package semiconductors. Shares are soaring over 5% after crushing estimates and hiking its full-year outlook across the board (sales, EPS, free cash flow). Underrated winner from the AI boom.

4. Palantir shares are up sharply after the enterprise software maker delivered better-than-expected results with a great but abrasive earnings call as always. Management is still going with Rule of 40 stuff — revenue growth + profit margin equals 40% or better — that shows it can grow quickly and still generate free cash. That SaaS metric was the kiss of death when failed hedge fund Situational Awareness and momentum investing ruled the roost, but may matter again as investors return to fundamentals.

5. Caterpillar is up huge on the data center buildout, which is driving demand for its construction and backup power equipment. In the second quarter, it booked orders worth $9.4 billion, bringing its order backlog to a record $72.1 billion. The company earned an adjusted $8.17 per share on revenue of $20.54 billion versus estimates of $6.20 per share on revenue of $19.34 billion. Shares are up more than 11% in the premarket.

6. Merck hiked its full-year revenue guidance after reporting a loss of 13 cents per share on revenue of $16.61 billion. Analysts forecast a loss of 27 cents per share on revenue of $16.36 billion. CEO Rob David is on 'Mad Money' tonight.

7. Jefferies upped its price target on Cloudflare to $290 from $225, and kept a hold rating on shares. Analysts said the cybersecurity company's second-quarter revenue growth guide of 30% at the midpoint looks achievable. In cyber, the Club owns Palo Alto Networks and CrowdStrike.

8. Nike downgraded to a sell from hold at JPMorgan. Analysts cut their second-half 2027 and 2028 earnings estimates to 20% below consensus, citing the financial impact of Nike's 'Win Now' turnaround strategy under CEO Elliott Hill. JPMorgan also pointed to a $1 billion revenue drag in China. Shares are down more than 3% premarket.

9. Pfizer raised the low end of its full-year sales guidance after posting a top- and bottom-line beat. The drugmaker earned an adjusted 77 cents per share on revenue of $15.03 billion. Analysts expected a profit of 68 cents per share on revenue of $14.41 billion.

10. Wolfe Research started SK Hynix with a buy rating and a $200 price target, implying a roughly 40% upside from yesterday's close. Analysts said that the stock's recent pullback has created 'a favorable valuation' and cited increased demand from the memory shortage. SK Hynix is one of the world's largest memory chip manufacturers, operating alongside industry giants like Micron and Samsung.

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