Finance

AI-driven capex and cloud budgets lift five tech stocks from Kyndryl to Oracle

AI-driven capex and cloud budgets are driving a rally in select mid- to large-cap tech names. On Monday, investors bid up shares in Kyndryl, Credo, ON Semiconductor, AppLovin, and Oracle as AI deployment and cloud spend prompts higher earnings potential. The backdrop also features mixed fundamentals, with Kyndryl posting a quarter miss and CFO departure, while Oracle and Credo advanced on cloud momentum.

📅 February 10, 2026
⏱️ 2 min read
AI-driven capex and cloud budgets lift five tech stocks from Kyndryl to Oracle

Key Takeaways

  • Major U.S. indices closed higher: Dow +0.04%, S&P 500 +0.47%, Nasdaq +0.90%.
  • Kyndryl (KD) finished at $10.59 after a Q3 miss, outlook trim, and CFO departure; JPMorgan downgraded shares.
  • Credo Technology (CRDO) jumped ~10.8% on strong Q3 guidance of $404–$408 million and expected triple-digit YoY growth.
  • AppLovin (APP) rose ~13.2% on a CapitalWatch report retraction and bullish analyst calls; Oracle (ORCL) up ~9.6% on healthcare cloud progress.
  • ON Semiconductor (ON) slipped 0.15% despite a Q4 beat; CEO Hassane El-Khoury reaffirmed disciplined execution and cloud/AI-focused investments.

People Involved

  • David WyshnerCFO, Kyndryl
  • Hassane El-KhouryCEO, ON Semiconductor
  • Adam ForoughiCEO, AppLovin
  • Hao TangNotable AppLovin shareholder

Entities Involved

  • Kyndryl Holdings (KD)IT services and infrastructure provider
  • Credo Technology Group Holding (CRDO)Connectivity semiconductors company
  • ON Semiconductor (ON)Semiconductor maker focusing on power and sensing
  • AppLovin Corporation (APP)Digital advertising software and mobile gaming platform
  • Oracle Corporation (ORCL)Enterprise software and cloud services provider

MarketMoodz Analysis

The moves underscore how AI-driven capex cycles and cloud spend can translate into earnings power across a broad tech ecosystem. Investors appear to be rotating into names with exposed exposure to AI-enabled efficiency, while navigating earnings trajectories and leadership changes in the near term.

The cross-section—from IT services and connectivity semiconductors to enterprise software—highlights the breadth of AI spend and the potential for multiple stepping stones to higher margins if AI and cloud adoption continues to scale. Historically, such cycles have produced extended periods of multiple expansion for well-positioned players, but also elevated risk if demand slows or earnings disappoint.

What to watch next: Kyndryl's path post-CFO departure, Credo's ability to sustain triple-digit growth, and Oracle's execution of its healthcare cloud strategy, including AI-powered clinical tooling. Monitor macro headwinds, IT capex sentiment, and quarterly earnings signals to gauge duration and magnitude of any rally.

Source: Original Article

Get AI-Powered Market Insights

Stay ahead of market-moving events with our real-time analysis and stock ratings.

Start Your Free Trial