LOS ANGELES — ServiceTitan shares collapsed Wednesday after the trades-software company beat fiscal second-quarter estimates and still told Wall Street the next quarter would be smaller than the last.

The stock traded at $57.32 around 12:06 p.m. Eastern, down $24.27, or 29.74%, from Tuesday’s close of $81.58. Intraday it printed as low as about $55.55. Volume ran many times a typical session. Barron’s, citing Dow Jones data, said a close near $57 would be the largest one-day percentage drop since the December 2024 listing and the weakest finish since mid-May.

The numbers that went out Tuesday after the close looked fine in isolation. Revenue for the quarter ended July 31 was $292.8 million, up 21% from a year earlier and above a consensus near $286 million. Adjusted earnings were 40 cents a share versus 35 cents expected. Platform revenue rose 22% to $284.5 million. Gross transaction volume — invoices run through the system, the company’s proxy for customer sales — increased 17% to $26.8 billion. Non-GAAP operating income was $44.4 million. Non-GAAP free cash flow was $50.5 million. The GAAP operating loss narrowed to $27.6 million; the net loss was $24.9 million, or 26 cents a share.

Then came the guide. Fiscal third-quarter revenue was put at $285 million to $287 million. The midpoint sits under the roughly $288 million FactSet estimate and under the quarter just reported. Full-year fiscal 2027 revenue was raised only a notch, to $1.139 billion–$1.144 billion from $1.130 billion–$1.140 billion, a touch above the Street’s $1.138 billion. Non-GAAP operating income for the year was guided at $152 million to $154 million; for the third quarter, $29 million to $30 million.

That combination — beat the last quarter, miss the next one’s sales print by a few million, and freeze growth in the mid-teens for the back half — is how a software name with a rich multiple loses a third of its value before lunch. Robert W. Baird cut its target to $85 from $101. Other desks still carried Buy ratings and targets clustered near $100, which only underlined how far the tape had run ahead of a one-quarter wobble.

Co-founder and Chief Executive Ara Mahdessian tried to keep the story on artificial intelligence. “Our strong momentum delivering the Agentic Operating System to the Trades resulted in 21% year-over-year revenue growth and over $50 million of non-GAAP free cash flow this quarter,” he said in the release. “Delivering this Agentic Operating System to our customers and leveraging AI to further enhance our organizational velocity are once in a lifetime opportunities to execute against.”

President and co-founder Vahe Kuzoyan said execution on Max, the company’s agentic product, was ahead of plan. “We exceeded our goal of doubling Max locations during Q2,” he said. “As a result of strong execution with existing customers and progress with select new customers, we now expect to end this fiscal year with over 700 enrolled Max locations.” The company said it had doubled enrolled Max sites toward just over 100 earlier in the year and would double again. Research spending rose about 38% to staff that push. Net dollar retention stayed above 110%. Active customers were about 10,800; more than 2,000 book more than $100,000 a year.

Chief Financial Officer Dave S. told analysts the third-quarter step-down had a calendar excuse: one fewer business day than a year earlier. Max revenue, he said, should start to show more clearly in the fourth quarter. He also said the firm’s habit is to beat its own midpoint by $9 million to $10 million when usage and GTV run hot — and that the inverse can happen, which is what occurred in the second quarter’s mix. Incremental margins of 25% are now framed as a yearly floor, not a stretch goal; the company pointed to 33% incremental margins in the current year plan.

Investors heard something else: management is narrowing, not widening. The company said it is concentrating on existing commercial trades and residential roofing rather than opening new verticals, so it can upsell Max instead of chasing logos. A chief revenue officer change traveled with the print. For a platform sold as the operating system of HVAC, plumbing and electrical shops, a CRO exit plus a sequential revenue dip reads as a sales-engine question, not a rounding error.

ServiceTitan exists because those shops still run on clipboards. Founders Mahdessian and Kuzoyan, sons of trades owners, built scheduling, dispatch, invoicing and payments for an industry that invoices tens of billions through the product each quarter. Subscriptions were $212.4 million, up 22%. Usage revenue was $72.1 million, up 24%. Platform gross margin was about 79%. That is a real business. It is also a business whose growth rate is being asked to fund AI headcount while GTV growth cools from the mid-20s toward the high teens.

The 52-week range of about $54 to $120 is the map. Wednesday’s print sat on the floor of that range because software buyers punish guidance that does not compound. A $6 million raise to the full-year sales box does not offset a quarter guided below both consensus and the prior period. Insider sales of tens of millions of dollars over recent months did not help the tape.

None of that makes the beat fake. Cash flow of $50 million and a 21% top line are not distress. They are not the 30% growth the multiple once assumed, either. Mahdessian called the agentic stack a once-in-a-lifetime chance. The market priced the next 90 days as a lifetime of slower invoices. The third-quarter report will decide which reading lasts.

While tariffs can end up hitting consumers in the pocket, there are other impacts on households.

Import taxes can complicate trade for businesses that have cross-border supply. As well as the higher costs, the uncertainty created by the trade war could put off investment plans and stunt job creation.

Saunders suggests the biggest impact on households may not just be through prices, but job losses instead.

“If you’re, let’s say, a bespoke furniture producer in BC [British Columbia], you’re now facing a 50% tariff on your exports to the US – that could really shut the business down. I think that would be more the direct impact on households as opposed to these retaliatory measures.”

Canada’s forest industry employs almost 200,000 people and has called on the government to boost domestic demand through federal housing programs to make greater use of Canadian wood, though it admits “no support package can replace reliable access to our largest export market”.

When it comes to US, consumers are unlikely to see much of a difference in terms of the cost of living as result of this latest battle with Canada, but frictions to trade can have longer-term economic impacts.

Such tensions also feed into concerns over the free-trade agreement between Canada, the US and Mexico, known as the USMCA. Both Canada and Mexico have said they want the USMCA extended for another 16 years, but the US has said it will not renew in its current form.

Despite the deal remaining operational, tariffs risk putting off talks in the near future, creating more uncertainty for cross-border trade.

John Iselin, associate director at the Budget Lab at Yale, estimates the cost will only be about $3 per American household on average, but when taking into account Trump’s wider trade war with the rest of the world, and particularly China, the added costs rise to about $1,000 for the average family.

“It’s hard to view this particular instance with Canada in isolation because we’ve had similar interactions with a range of other countries, all of which makes doing business harder. It’s just another in a series of tariff shocks.”

Logistics company OneRail is launching a platform using Nvidia‘s artificial intelligence software to help retailers make faster decisions on the most efficient delivery options at scale, CNBC has learned.

The new platform, called OmniStar, allows retailers to use AI to evaluate all of their delivery options and identify the best one for each individual order, using OneRail’s proprietary data.

The last-mile delivery company told CNBC the new platform will allow smaller companies to deliver at scale and improve margins to compete with the retail giants of the world, including Amazon and Walmart.

As e-commerce grows, retailers have had to keep up with surging demand and invest in nimble supply chains to optimize their efficiency. But those manual processes are often fragmented across the retailer and the logistics businesses.

“If you don’t have the ability to make lightning-fast decisions, you’re giving up margin,” OneRail CEO Bill Catania told CNBC. “Last-mile fulfillment is expensive.”

Where choosing the best routing for a package may have previously taken 20 minutes, OneRail said its platform can do it in 2½ minutes leveraging AI. That time saved means retailers can operate larger, faster and more precise supply chains, Catania said.

“That’s where the artificial intelligence comes in. It’s making those kinds of decisions extremely rapidly, and so to do that, that’s where the Nvidia hardware and the software comes in and really makes this thing work at scale,” said David Daeschler, the head of AI at OneRail.

Daeschler said the company began partnering with Nvidia three years ago to explore ways to incorporate AI into the logistics process.

“The result is a real-time decision layer that can route an order to the right carrier and delivery mode at the right cost, rather than relying on static rules or manual planning,” said Azita Martin, Nvidia’s vice president and general manager of retail and consumer packaged goods.

Catania said OneRail’s proprietary data, which includes a network of more than 12 million drivers and over 1,000 logistics partners, is being used to train the AI on the most efficient routes and delivery options.

“It’s for the benefit of them and us: We operate more efficiently. They save money and provide a better customer experience,” Daeschler said.

The company told CNBC its platform has already been deployed with some customers, including a large tire distributor that saw OmniStar save the company a run rate of $40 million over three years because it’s able to use its resources more efficiently.

It’s also estimating the platform will surpass $6 billion in gross merchandise volume in the fourth quarter.

Nvidia’s Martin said the platform will allow retailers to make much faster decisions.

“For retailers, the bigger value is the ability to evaluate more scenarios, respond more quickly as conditions change and improve delivery economics without sacrificing service,” Martin said.

OneRail said the platform could help smaller retailers compete more effectively on delivery speed and efficiency.

OneRail announced a partnership earlier this year with FedEx to bring same-day delivery services to all of its customers, joining a rush of retailers trying to offer their customers the best and fastest delivery options. That partnership will now allow OneRail to better work with smaller businesses as well, Catania added.

“We’re kind of doing for delivery what ChatGPT and Anthropic have done for words – it all works the same way,” Daeschler said. “They give people more access to knowledge. We’re giving people access to being able to do delivery in a way that’s affordable. … That’s all done based on original models, training on data that we have, just like words on the internet.”

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The Treasury Department on Wednesday revealed that it will buy back up as much as $6 billion in longer-dated U.S. debt in an operation this week.

The agency’s Bureau of the Fiscal Service announced that it will purchase up to $6 billion in 10-year notes and 20-year bonds in an operation. The securities that will be bought in the operation, which is scheduled to occur from 1:40 p.m. to 2 p.m. ET on Thursday, have maturity dates ranging from February 2037 and August 2046.

The buybacks follow Treasury Secretary Scott Bessent’s announcement that Treasury’s buyback operations would be at least $4 billion until early November, an increase from the $2 billion that the agency would typically buy back in an operation.

Yields on Treasurys have been elevated in recent years due to stubborn inflation, which has been exacerbated by the Iran war and has caused interest rates to rise further.

BESSENT SAYS TREASURY AUCTIONS WILL CONTINUE AS USUAL DESPITE EXPANDED BUYBACK PROGRAM

Treasury Secretary Scott Bessent announced the larger buybacks last month. (Krisanne Johnson/Bloomberg via Getty Images)

Treasury framed the buyback in its August announcement as intended to “provide greater liquidity support in longer-dated nominal sectors where there is consistent strong sponsorship from market participants, as evidenced by the significant volume of high-quality offers Treasury routinely receives in longer-dated buyback operations.”

Yields on both the 10-year note and 20-year bond rose following the announcement.

The yield on the 10-year note rose to the highest level since 2023, climbing to above 4.85% during Wednesday’s trading session. The 20-year bond yield also rose above 5.3%.

TREASURY YIELDS HOVER NEAR MULTI-YEAR HIGHS AS ENERGY PRICES AND GOVERNMENT DEBT FUEL BOND SELL-OFF

The Treasury announced a $6 billion buyback of long-dated Treasurys this week. (Michael Nagle/Bloomberg via Getty Images)

Matt Cole, CEO of Strive Asset Management, told FOX Business in an interview that the “market’s calling a bluff because these [buybacks] are very small sizes.”

Cole said buybacks of $2 billion or $6 billion pale in comparison to both the gross national debt of more than $40 trillion and the level of debt issuance that’s expected to continue in the future with annual deficits projected to rise above $2 trillion.

“There’s so much debt out there, and there’s so much need over the next couple of years to issue more debt out there, that the market is just saying this is not enough,” he explained. “I think that’s the signal, and ultimately it’s not going to be fixed if he raises it from $6 billion to $12 billion.”

US NATIONAL DEBT HITS $40 TRILLION MILESTONE FOR FIRST TIME EVER

He noted that most developed countries are facing similar debt problems, while corporate debt issuance is also rising to help finance the artificial intelligence (AI) buildout with yields that are competing with the debt issued by Treasury and foreign governments.

Bessent noted that dynamic in remarks on Tuesday, saying that if markets were concerned about U.S. bonds and default risks, they would be turning to German or Japanese bonds – but that the U.S. bond market has outperformed those.

Fed Chair Kevin Warsh and central bank policymakers will weigh interest rate hikes at their meeting next week. (David Paul Morris/Bloomberg via Getty Images)

Cole added that he thinks Bessent and Federal Reserve Chair Kevin Warsh may be the brightest people to hold their roles but are in a difficult spot given the U.S. government’s fiscal position.

“The problem is not them, the problem is a structural debt crisis playing out,” he said, adding, “I think that they should, to the maximum degree possible, be trying to foster a high-growth environment.”

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“I know Bessent talks about trying to grow his way out of it. I don’t think you actually can grow your way out of it. But I do think it’s the best thing to be trying to do, and at worst, you at least help the U.S. not slow down too much during… an industrial revolution in this AI data center buildup,” Cole said, emphasizing the need for the U.S. to compete and win in AI to drive growth.

“Of all the impossible options, that’s the best to try,” Cole added. “I just think that there’s not a path to be successful here outside of stopping spending, and I just don’t think we will do that.”

Following in China’s footsteps

U.S. live shopping winners

The future of shopping?

The U.S. Mint has begun selling a new gold-colored $1 coin featuring President Donald J. Trump, part of the nation’s preparations to mark its 250th anniversary in 2026.

The coin went on sale September 2 at noon Eastern time and is being offered through the U.S. Mint in rolls and bags aimed at collectors. A roll of 25 costs $61, while a 100-coin bag is priced at $154.50.

Despite being described as a “golden dollar,” the coin contains no actual gold. It is made primarily of copper, along with 6% zinc, 3.5% manganese and 2% nickel.

The obverse features Trump’s likeness, based on an official White House photograph, along with the inscriptions “LIBERTY,” “IN GOD WE TRUST” and “1776 ~ 2026.” Chief Engraver Joseph Menna designed the portrait.

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The reverse side of the coin features the Presidential Seal, with the number “250” added to the eagle’s shield to commemorate the nation’s semiquincentennial.
There is also a detail that could make some of these coins especially interesting to collectors: the Mint is randomly distributing 250,000 coins struck on July 4 with a special “July 4th” privy mark among the rolls and bags sold through its website.

Why is Trump’s face allowed on a coin?

The release has attracted attention because U.S. law has traditionally prohibited the portraits of living people from appearing on U.S. coins and currency.

The Trump administration says the new dollar is permitted under the Circulating Collectible Coin Redesign Act of 2020, which authorized special $1 coins commemorating the 250th anniversary of the United States during 2026.

The precedent for a sitting president appearing on U.S. currency is extremely unusual. In 1926, President Calvin Coolidge appeared alongside George Washington on a commemorative half-dollar marking the 150th anniversary of American independence. Coolidge remains the only other sitting president to have appeared on U.S. currency, reported Euronews.