Wall Street extended its winning streak on Wednesday, with all of its main indices closing in the green territory, as investors seemed to have already factored in the news of tariffs imposition alongside uncertainties surrounding the Artificial Intelligence industry.

The Dow Jones gained another 0.71 percent, the S&P 500 grew 0.39 percent, and the tech-heavy Nasdaq increased by 0.19 percent.

Ten companies, however, defied a broader market optimism, mostly due to disappointing earnings results. This article details the reasons behind the drop in their share prices and latest earnings performance.

To come up with Wednesday’s biggest losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

10. Varonis Systems Inc. (NASDAQ:VRNS)

Shares of Varonis dropped by 7.41 percent on Wednesday to finish at $43.37 apiece after a number of investment research firms downgraded their outlooks for the company.

Following the release of Varonis’ 2024 performance, UBS lowered its price target for the company to $60 from $70 previously, albeit maintaining a “buy” rating.

Meanwhile, Wells Fargo trimmed its stock price target for Varonis to $46 from $48 previously while retaining an “equal weight” outlook.

During the fourth quarter of the year, Varonis said net loss widened by 1,346 percent to $12.99 million from only $898,000 registered in the same period last year, despite revenues inching up by nearly 3 percent to $158 million from the $154 million registered in the same period a year earlier.

Meanwhile, net loss in full-year 2024 narrowed by 5 percent to $95.76 million from $100.9 million year-on-year, while revenues jumped by 10.37 percent to $550.95 million from $499.16 million in 2023.

9. Uber Technologies Inc. (NYSE:UBER)

Transport network company Uber Technologies saw its share prices decline by 7.56 percent on Wednesday to end at $64.48 apiece as investors shunned the company’s strong 2024 earnings performance and instead took the path from an unclear 2025 outlook guidance.

In a statement, Uber said attributable net income in the fourth quarter of 2024 surged by 381 percent to $6.88 billion from the $1.43 billion registered in the same period in 2023, which includes a $6.4 billion benefit from a tax valuation release and a $556 million benefit due to net unrealized gains related to the revaluation of Uber’s equity investments. Revenues for the quarter increased by 20 percent to $11.96 billion from $9.9 billion year-on-year.

For the full year 2024, attributable net income soared by 422 percent to $9.86 billion from the $1.89 billion registered in 2023, while revenues increased by 18 percent to $43.98 billion from $37.28 billion year-on-year.

For 2025, Uber only provided an outlook of 17 to 21 percent increase in gross bookings to between $42 billion to $43.5 billion, as well as a 30-percent target for adjusted EBITDA between $1.79 billion and $1.89 billion.

8. Match Group Inc. (NASDAQ:MTCH)

Dating apps operator Match Group saw its share prices on Wednesday tumble by 7.92 percent to finish at $33.58 apiece as investor sentiment was weighed down by the company’s pessimistic outlook for 2025.

In a statement, Match Group said it sees between 3 to 5 percent lower revenues for the first quarter of the year at between $820 million to $830 million, as well as a decrease of 3 percent for revenues for the full year to settle at $3.37 billion to $3.5 billion versus 2024.

Last year, full-year revenues increased by 3 percent to $3.48 billion from $3.37 billion in 2023, while revenues for the fourth quarter alone dipped by 0.7 percent to $860 million from $866 million year-on-year.

Match Group is one of the largest online dating app operators which owns brands such as Tinder, Hinge, Match, Meetic, OkCupid, Pairs, PlentyOfFish, Azar, and BLK, among others.

7. Dayforce Inc. (NYSE:DAY)

Dayforce shares dived by 8 percent on Wednesday to end at $66 apiece as investors sold off positions following disappointing earnings performance last year.

In its latest earnings release, Dayforce said net income for the fourth quarter of the year plummeted by 76 percent to $10.8 million from the $45.6 million registered in the same period last year, while net profit for the full year 2024 dived 67 percent to $18.1 million from the $54.8 million registered in 2023.

This came despite achieving a 16-percent increase in revenues for both the fourth quarter and full year 2024.

For this year, however, Dayforce is looking to book total revenues between $421 million and $427 million for the fourth quarter, and a full-year revenue guidance of between $1.75 billion and $1.76 billion.

“We are optimistic about 2025 as current and prospective customers continue to recognize the value the Dayforce platform provides as they streamline HCM processes and navigate compliance complexities,” Dayforce Chairman and CEO David Ossip said.

6. Snap Inc. (NYSE:SNAP)

Snap shares dropped 8.36 percent on Wednesday to end at $10.63 apiece despite announcing improvements in its earnings performance in the fourth quarter and full year of 2024.

In a statement, Snap Inc. said it swung to a net income of $9.1 million in the fourth quarter of 2024, reversing a $248 million net loss in the same period a year earlier. However, it remained at a net loss of $698 million in the full year 2024, albeit a 46-percent improvement from the $1.3 billion net loss in 2023.

Revenues for the quarter increased by 14.7 percent to $1.56 billion from $1.36 billion year-on-year, while revenues for the full year marked a growth of 16.5 percent at $5.36 billion from $4.6 billion in 2023.

For the first quarter of the year, Snap said it projects revenues to settle between $1.33 billion and $1.36 billion, as well as adjusted EBITDA between $40 million and $75 million.

5. Intuitive Machines Inc. (NASDAQ:LUNR)

Intuitive Machines dropped for a second day on Wednesday, losing 9.08 percent to close at $19.62 apiece as investors repositioned portfolios ahead of its scheduled payload launch into the moon over the next few days.

The National Aeronautics and Space Administration (NASA) is set to host a media teleconference on Friday, February 7, to discuss the agency’s science and technology flying aboard Intuitive Machines’ second flight to the Moon. The mission forms part of its Commercial Lunar Payload Services initiative and Artemis campaign to establish a long-term lunar presence.

In other news, Intuitive Machines on Wednesday earned an optimistic outlook from Canaccord Genuity, maintaining its “buy” rating and $26 price target for the company.

The company also announced plans to redeem all outstanding warrants unexercised by March 6, as it aims to simplify its capital structure and increase cash reserves for operations.

4. Capri Holdings Inc. (NYSE:CPRI)

Luxury brands owner Capri Holdings dropped its share prices by 10.07 percent to close at $21.61 apiece as investor sentiment was weighed down by disappointing third-quarter earnings performance for fiscal year 2025.

In a statement posted on its website, Capri Holdings said it swung to a net loss of $547 million from a net income of $105 million in the same period a year earlier, driven by a non-cash impairment charge of $602 million. Total revenues for the same comparable period dropped by 11.6 percent, pulled down by lower retail and wholesale sales.

For the full fiscal year 2025, Capri Holdings said it expects revenues to settle at $4.4 billion, with a significant chunk expected to come from sales in Michael Kors at $3 billion, followed by Versace at $810 million, and Jimmy Choo at $600 million.

Meanwhile, revenue outlook for the fiscal year 2026 was expected to settle at $4.1 billion.

3. Grab Holdings Ltd. (NASDAQ:GRAB)

Grab Holdings’ shares tumbled 10.76 percent to end at $4.56 apiece on Wednesday as investors resorted to profit-taking following gains in the previous trading, while also reacting to a recent downgrade in the company’s rating outlook.

On Wednesday, analysts from JP Morgan downgraded Grab Holdings to “neutral” from “overweight” but maintained a price target of $5.6 apiece.

According to JP Morgan, now suggests a good time for investors to book profits. However, they warned that conservative fiscal year 2025 guidance could temper bullish expectations in the near term.

Recently, reports surged that Grab was taking over one of its competitors, GoTo, for a potential takeover of the latter for $7 billion.

A new round of merger talks was said to have occurred in December 2024, with the two parties eager to officially strike a deal this year.

A report by Reuters citing sources privy to the matter said that an agreement could still be axed as previous negotiations all fell through.

2. New York Times Co. (NYSE:NYT)

Shares of the New York Times dived by 11.92 percent on Wednesday to end at $49.23 apiece as investors appeared to have discounted news of better 2024 earnings performance.

According to Huber Research analyst Doug Arthur, investor attention seemed to have focused instead on the company’s media expenses increasing by 46 percent during the period.

In its latest earnings release, the New York Times said total revenues for the fourth quarter of 2024 increased by 7.5 percent year-on-year to $726.6 million from $676.2 million.

The company added 350,000 digital subscriptions last quarter, pushing its online membership to 10.8 million.

For the first quarter of 2025, New York Times said it projects a 14 to 17 percent increase in digital subscription revenues, to push its total subscription revenues between 7 to 10 percent.

Digital advertising revenues were expected to rise by high single digits, while total advertising revenues were projected to either decrease or increase by low single digits.

1. FMC Corp. (NYSE:FMC)

Chemical manufacturer FMC Corp. nosedived by 33.53 percent on Wednesday to finish at $35.92 apiece following a plunge in its earnings performance in the fourth quarter and full year of 2024.

In a statement, FMC Corp. said net income for the full year 2024 plummeted by 74 percent to $342 million while revenues declined by 5 percent to $4.25 billion.

In the fourth quarter alone, the company swung to a net loss of $16 million, reversing a net income in the same quarter in 2023.

Revenues for the quarter, however, increased by 7 percent to $1.22 billion.

For the full year 2025, the company also posted a conservative outlook, with revenues expected to settle between $4.15 billion and $4.35 billion, flat from 2024.

“While we saw a good increase in volume, the growth was below our expectations as we learned during the quarter that customers in many countries sought to hold significantly less inventory than they have historically. This dynamic, along with more pronounced FX impacts, acted as a headwind to further growth,” said FMC Chairman and CEO Pierre Brondeau.

While we acknowledge the potential of FMC as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than FMC but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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