Stock Futures Mixed Friday After Nasdaq's 694-Point Drop: Western Digital and Bloom Energy Slide After Hours Despite Earnings Beats

US stock futures were mixed early Friday, October 23 — Nasdaq-100 futures slightly higher, Dow futures lower — as Wall Street steadied after the Nasdaq Composite's 694-point, 2.6% plunge on Thursday. In after-hours trading, Western Digital and Bloom Energy both fell about 5% despite reporting earnings that beat expectations, a sign of how unforgiving this market has become.

Key Facts

• Friday futures (early): Nasdaq-100 futures up about 0.05–0.18%, S&P 500 futures roughly flat to 0.1% lower, Dow futures down about 0.2–0.4%
• Thursday's damage: Nasdaq Composite fell 694 points (−2.60%) to 26,008.86, its worst day since June; the S&P 500 lost 1.21% to 7,663.43, its worst since July; the Dow edged up 0.02% to 52,867.98
• Western Digital: down about 5% after hours even though adjusted EPS of $4.64 crushed the $4.09 consensus and revenue of $4.38 billion beat the $4.14 billion expected
• Bloom Energy: down about 5% after hours despite adjusted EPS of 94 cents vs. 68 cents expected and revenue of $1.24 billion vs. $1.06 billion expected
• Week so far: the Dow is on track to gain about 1.7% this week, the S&P 500 is roughly flat, and the Nasdaq is down about 0.5%
• Reporting Friday: American Express, SLB and Infosys are due to release results

Why did Western Digital and Bloom Energy fall after beating earnings?

Because in this market, beating estimates is no longer enough. Western Digital's fiscal first quarter was objectively strong — adjusted earnings of $4.64 a share against a $4.09 consensus, on $4.38 billion of revenue versus $4.14 billion expected — yet the stock dropped about 5% in extended trading, dragged down by the day's heavy selling across the AI trade. Bloom Energy's story was similar: adjusted earnings of 94 cents a share trounced the 68-cent consensus, revenue of $1.24 billion beat the $1.06 billion forecast, and full-year guidance came in ahead of estimates too — and the shares still fell about 5%. When sentiment turns against a whole theme, investors sell first and read the earnings reports later.

What happened on Thursday?

Thursday's selloff was driven by fears that the AI spending boom — hundreds of billions of dollars for data centers and chips — may be outrunning the funding and the returns behind it. Chip stocks led the decline, with the semiconductor index down 6.7%; Nvidia fell 4.4%, Alphabet lost 3.2% and AMD dropped 8.1%. The Dow, with less tech exposure, actually finished slightly higher. Not everything fell: as bond yields slid, homebuilders, banks and real estate stocks rose, a rotation that shows investors moving toward rate-sensitive value rather than leaving the market altogether. Oil remains the other live wire — Brent crude was up about 0.7% near $114 a barrel early Friday after settling at $113.17, its highest since May.

What should investors watch on Friday?

Three things. First, earnings: American Express will offer a read on US consumer spending, SLB on the energy sector, and Infosys on global tech services demand. Second, the data: flash PMI readings and the final University of Michigan consumer sentiment report land during the morning. Third, whether the overnight calm holds — futures pointing to a flat-to-mixed open suggest traders are pausing rather than panicking, but with the Federal Reserve's October 28 decision looming and oil above $113, any headline can restart the swings. For long-term investors, one violent week changes little; for anyone holding the high-flying AI names, Thursday was a reminder of what these stocks can do on the way down.

Frequently Asked Questions

Are stock futures up or down this morning?

Mixed. In early Friday trading, Nasdaq-100 futures were slightly positive (up roughly 0.05% to 0.18% across overnight snapshots), S&P 500 futures were flat to slightly lower, and Dow futures were down roughly 0.2% to 0.4%.

Why did the Nasdaq fall 694 points on Thursday?

Investors sold technology and AI stocks on concerns that massive data-center spending may not pay off, with chip shares leading the drop. The Nasdaq's 2.6% fall was its steepest since June; the Dow, less tech-heavy, finished slightly higher.

Which big companies report earnings on Friday, October 23?

American Express, oilfield services giant SLB, and Indian tech major Infosys are scheduled to report, giving investors fresh reads on consumers, energy and global tech demand.

Futures levels are early-morning snapshots and change continuously before the 9:30 a.m. ET open. This article is information only, not investment advice.