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Market Data Table

Breakfast News: Atlassian Pops 25% on AI Power

May 1, 2026

Thursday's Markets
S&P 500 7,209 (+1.02%)
Nasdaq 24,892 (+0.89%)
Dow 49,652 (+1.62%)
Bitcoin $76,425 (+1.05%)

Chart showing Atlassian's quarterly revenue over the past three years rise from $939 million in the second quarter of 2023 to $1.79 billion in the first quarter of 2026.

1) Atlassian Climbs as Earnings Soar

Atlassian (NASDAQ:TEAM) -- recommended by both Team Hidden Gems and Team Rule Breakers -- jumped 25% in pre-market trading, on the back of a 32% rise in third-quarter revenue year over year (YOY). Restructuring costs affected profitability, but the cloud-based software developer still posted an 80% jump in non-GAAP earnings per share, as demand for artificial intelligence (AI)-powered services accelerated.

"Lumpiness in that pull-forward effect in data center": CFO James Chuong cautioned, "We now expect a more muted level of data center expansion" from customers transitioning to cloud services -- as the company expects revenue growth to moderate in Q4.
"Atlassian's Jira and Confluence are closer to the engineering process": Ahead of these results, Fool analyst Meilin Quinn noted, "While agents may take over more workflows, they'll still need trusted company knowledge and systems that spell out what agents are allowed to do. That gives Atlassian more to stand on."

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2) Big Fool Movers Following Thursday Results

Reddit (NYSE:RDDT) jumped over 15% in morning trading, after the Rule Breakers rec smashed through Q1 expectations with a 69% leap in YOY revenue. Founder and CEO Steve Huffman called it "a one-of-one business powered by deeply engaged communities and authentic human conversation," with "a unique advantage in the age of AI."
Roblox (NYSE:RBLX) reported 39% revenue growth in fiscal Q1, as the games platform provider saw its daily active user count climb 35% YOY to 132 million. But the stock fell 20% in early trading, as the company -- recommended in SA by Team Rule Breakers -- lowered its bookings growth target for 2026 to between 8% and 12%, from a previous range of 22% to 26%.
Twilio (NYSE:TWLO) -- also recommended by both Team HG and Team RB -- beat its own Q1 guidance, posting a 20% revenue rise YOY alongside a 31% increase in operating income. Upgraded full-year guidance now predicts 14% to 15% revenue growth. The stock spiked over 20% before the market opened.

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3) Markets End the Month on a High

Major stock market indexes hit new record highs yesterday, after "Magnificent Seven" companies showed no sign of any slowdown in AI spending -- with the S&P 500 closing above 7,200 points for the first time ever -- with Apple (NASDAQ:AAPL) setting a record for March-quarter results driven by strong iPhone and Services performance.

No unexpected inflation shocks: The March Personal Consumption Expenditures (PCE) print coming in precisely on expectations at 3.5% year over year helped calm fears, with Core PCE -- excluding volatile food and energy -- also matching expectations at 3.2%.
Iran blockage pushes oil higher: Oil prices hit their highest since 2022 yesterday -- with Brent Crude topping $126 at one point -- before easing a bit by close, as President Donald Trump said the Strait of Hormuz would not reopen anytime soon.

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4) Pick of the Upcoming Foolish Earnings

Chevron (NYSE:CVX) beat Q1 expectations this morning, posting earnings per share of $1.41 -- well above Wall Street's estimated $0.95 -- after rising oil prices boosted upstream earnings 4% YOY to $3.9 billion. The stock ticked up 1% in response. The Dividend Investor rec offers a forecast 3.7% yield.
Moderna (NASDAQ:MRNA) also surpassed Q1 estimates, boosted by strong international COVID-19 vaccine sales. The Rule Breakers rec still reported a net loss, as expected. But the better-than-expected quarter gave the share price an 8% lift in pre-market trading.
Berkshire Hathaway (NYSE:BRKB) will post Q1 earnings Saturday morning, the same day that the longtime SA rec by Team Hidden Gems hosts its 2026 Annual Shareholders Meeting -- the first under new CEO Greg Abel.

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5) Your Take

What earnings reports, economic data, or company developments are you most interested in following this month?

Discuss with friends and family, or become a member to hear what your fellow Fools are saying!

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