A stellar earnings report after the close of trading on Thursday propelled Snap up 24% to a new record high of $77.97. Trading volume was more than five times its normal level. Investors took the frenzy as a validating sign for other social media firms. Facebook stock hit record territory, gaining more than 5% to close at $369.79. Twitter also perked up 3% to $71.69 and Pinterest popped 6%.
Roku shares, which have tripled over the past year as the streaming provider has increased its user base and bulked up its advertising efforts, surged almost 13% to finish at $473.65. With Roku not due to report earnings until August 4, there were a few indirect reasons for investor enthusiasm. Among them: the start of the Tokyo Olympics (Roku has a deal with Comcast pegged to it and also carries the Peacock app); a positive analyst note; and a rise in options activity tied to an expiration date.
Among other tech leaders, Alphabet gained 3%, Amazon and Netflix rose a fraction and Apple climbed 1%.
Wall Street in general posted an overall up day, with the Nasdaq, S&P and Dow Jones Industrial Average all decidedly positive. The Dow closed above 35,000 points for the first time, putting Monday’s selloff decidedly in the rear-view mirror.
Despite the dazzling show by some tech issues, media and entertainment stocks had a mixed session. Disney and Netflix each gained a fraction. Comcast rose 1% to $58.36, near its 52-week high.
Notable losers included exhibitor Cinemark and streaming specialist Chicken Soup for the Soul Entertainment, each down 3%. AMC Networks gave up more than 2%.