Today’s Market Movers: Atlassian, Cloudflare, and Airbnb Lead Software Stocks Higher

TLDR

• Atlassian surged 30% after reporting 28% revenue growth and strong forward guidance
• Cloudflare jumped 16% after raising its full-year outlook on 36% revenue growth
• Twilio rose 16% after beating Q2 expectations with strong customer expansion
• Airbnb gained 8% after beating earnings and raising its full-year outlook
• The Trade Desk dropped 27% after missing Q2 revenue and earnings estimates

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Software stocks led a broad market rebound on Friday, with earnings reports from several major tech companies driving big moves in both directions.

The gains came ahead of the July nonfarm payrolls report, which investors were watching closely for clues on where the Federal Reserve may take interest rates.

Atlassian Leads the Charge

Atlassian was the standout performer, with shares rising around 30%. The collaborative software company reported fiscal fourth-quarter revenue up 28% year over year.

Atlassian Corporation, TEAM

Remaining performance obligations surged 44% to $4.82 billion, and subscription annual recurring revenue reached $6.6 billion, up 23%.

The company also reached GAAP profitability, posting a 12% operating margin in Q4. For Q1 fiscal 2027, Atlassian guided for revenue of $1.705 billion to $1.715 billion, above the $1.67 billion analyst consensus.

Cloudflare rose 16% after reporting second-quarter revenue of $696.1 million, up 36% year over year. The company raised its full-year 2026 revenue outlook to $2.86 billion to $2.87 billion.

Twilio also gained 16%. Its dollar-based net expansion rate came in at 116%, above the 110% estimate. The company now expects full-year adjusted operating income of $1.14 billion to $1.16 billion.

Akamai Technologies climbed 15% after beating its second-quarter earnings target. JFrog rose 19% on better-than-expected results.

Airbnb Rises, Trade Desk Sinks

Airbnb gained around 8% after reporting second-quarter revenue of $3.6 billion, up 17% year over year. Gross booking value rose 16% to $27.2 billion.

The vacation rental company raised its full-year outlook and now expects mid-teens revenue growth for 2026. Adjusted EBITDA margin is forecast at at least 35.5%.

The Trade Desk was the day’s biggest loser, falling 27%. The digital advertising platform reported Q2 revenue of $715 million, below the $751.4 million consensus.

Adjusted earnings per share of $0.34 also missed the $0.40 estimate. Adjusted EBITDA fell to $241 million from $271 million a year earlier.

Despite the miss, The Trade Desk said customer retention stayed above 95% and pointed to continued investment in AI and measurement tools.

Sezzle dropped 23% even after beating Q2 expectations. Investors focused on rising operating expenses, with non-transaction costs climbing to 29% of revenue from 25.3% in the previous quarter.

DoubleVerify jumped 14% after Nielsen agreed to buy the digital advertising data provider for $13.60 a share, or $2.1 billion in cash.

Markets were watching the jobs report closely, as the data could shape expectations for Federal Reserve rate decisions later in 2026.