Stock Market Summary – June 05, 2025

Apple’s shares fell by 0.7% in trading, following the US appeals court rejection of the company’s plea to halt mandated changes to its App Store that could cost “substantial sums”. This comes as a setback in its long-term legal battle with Epic Games, which asked for Apple to reduce its stronghold on certain in-app purchases. Experts believe that the ruling could put 2% of the company’s earnings per share at risk, as well as 10% of App Store revenue and 3% of their overall revenue. The legal fight with Alphabet’s Google also threatens their services division.

Circle Internet Group’s shares soared by 168% following its initial public offering on the New York Stock Exchange, at one point exceeding the $100 mark. The company, which issued stablecoins as a part of its offering, managed to raise nearly $1.1 billion.

In other news, defense tech startup Anduril Industries raised $2.5 billion in funding at a $30.5 billion valuation. Peter Thiel’s Founders Fund led the funding round and contributed $1 billion.

Meanwhile, satellite imaging company Planet Labs’ shares increased by more than 50% after posting strong first-quarter results. The company reported record revenues and positive free cash flow for the first time.

The financial day also saw positive gains for MongoDB, with a 19% increase, and discount store Five Below having a 10% increase in shares. Apple and Tesla were the main losers of the day, experiencing declines in shares due to various factors, primarily legal battles and tariff issues.

Procter & Gamble announced plans to cut 7,000 jobs as part of a broader two-year restructuring program. The layoffs are expected to affect around 15% of its nonmanufacturing workforce in an effort to offset higher costs due to President Trump’s tariffs. P&G is also expected to raise prices in the next fiscal year and anticipates a $600 million pre-tax headwind due to tariffs by 2026. The company’s shares fell more than 1% on the announcement and have dropped 2% this year.

Broadcom’s stock has surged 31% over the past month ahead of its fiscal Q2 earnings report, with the company expected to report earnings of $1.56 per share on revenues of $14.99 billion, equal to YoY growth of 43% and 20%, respectively. Wall Street banks remain optimistic about the company, especially due to its growing strength in the AI field.

Shares of whiskey-maker Brown-Forman, the producer of Jack Daniel’s, fell more than 18% after delivering a Q4 earnings report below analyst expectations. The drop-off was attributed to tariffs and weak consumer spending on alcohol. The company expects single-digit declines in organic net sales and organic operating income over fiscal 2026.

Other major stock movers include MongoDB, which saw a 16% surge after exceeding Q1 earnings expectations. Tesla’s shares, on the other hand, dropped over 3% after CEO Elon Musk criticized President Trump’s spending bill policies. The document storage and retrieval provider surged 16% after forecasting higher Q1 earnings, while Five Below saw a 7% climb due to positive Q1 earnings. Brown-Forman and the Calvin Klein parent PVH Corp experienced drops by 10% and 18% respectively due to missed earnings expectations.

The American trade deficit fell by a record amount in April as demand for imports decreased. The deficit reduced to $61.6 billion, a decrease of $76.7 billion from the previous month, largely driven by slowing imports and accelerating exports.