JHVEPhoto/iStock Editorial via Getty ImagesListen below or on the go via Apple Podcasts and SpotifyServiceNow (NOW) crashes as recent acquisitions lead to slightly lower-than-expected margins. (00:14) Tesla (TSLA) pares gain as investors factor in Elon Musk's warning of heavy capex spending. (01:25) Lululemon (LULU) appoints Nike executive Heidi O'Neill as new top boss. (02:38)This is an abridged transcript.ServiceNow (NOW) is down 13% in premarket action.The company reported its first quarter 2026 financial results, which featured a lower-than-expected gross margin outlook.For the quarter ended March 31, ServiceNow reported adjusted earnings per share of $0.97, which matched the consensus estimate. GAAP EPS was $0.45 compared to the $0.53 estimate.Revenue for the quarter increased 22%, or 19% in constant currency, to $3.77B, which was more than the $3.75B estimate.For the full year, ServiceNow expects a subscription adjusted gross margin of 81.5% versus the estimate of 82.1%. The company attributed the lower margin to the recent acquisitions, but that is expected to normalize by 2027.Moreover, during the first quarter, the company said its subscription revenue growth "saw an approximately 75 basis point headwind from delayed closings of several large on-premise deals in the Middle East, due to the ongoing conflict in the region."Tesla (TSLA) pared its earnings rally in postmarket trading on Wednesday as investors gauged the company's Q1 earnings report and business update.During the earnings conference call, CEO Elon Musk said 2026 will be a very exciting year.He said the company's heavy capital expenditure spending of about $25B this year will pay off in the future. Cybercab and Semi truck production will begin this year, although slowly at first, before going exponential at the end of the year and in 2027."There is a large pipeline of significant improvements for FSD, and it will be possible to achieve unsupervised FSD anywhere in the world where it is legally permitted," highlighted Musk.Musk said the company is already making plans for the AI6 chip.Lululemon (LULU) on Wednesday appointed longtime Nike (NKE) executive Heidi O'Neill as its new chief executive officer.O’Neill will start as CEO and join the Board effective September 8, 2026, and will be based in Vancouver, the company said.The shakeup comes at a crucial time as Lulu has been struggling to find its footing due to increased competition from newer rivals such as Vuori and Alo Yoga.If you remember, Chief Executive Calvin McDonald in December said he was leaving the company without a replacement after about seven years at the helm.O’Neill spent over 25 years at Nike. Earlier in her career, she also worked in marketing for the Dockers brand at Levi Strauss & Co. She currently sits on the boards of Spotify Technology, Hyatt Hotels, and automotive retailer Lithia & Driveway.Lulu is down 4% in premarket actionWhat’s Trending on Seeking AlphaBessent says many U.S. allies have asked for currency swaps amid prolonged Iran conflictQuantumScape sees increased demand outside of auto industrySpaceX may make its own GPUs amid AI push - reportBessent says many U.S. allies have asked for currency swaps amid prolonged Iran conflict. QuantumScape sees increased demand outside of the auto industry. SpaceX reportedly may make its own GPUs amid AI push.Catalyst watch:Shareholders with Warner Bros. Discovery (WBD) will vote on the buyout by Paramount (PSKY).Johnson & Johnson (JNJ) will hold its annual meeting. Shareholders will vote on a say-for-pay proposal and an independent board chair proposal.Intel (INTC) will hold its earnings call. Key topics will include updates on supply constraints, margin expectations, and AI-centric computing/data center demand. Options trading implies a 9% share price move after the earnings release.The NFL draft will take place at Acrisure Stadium in Pittsburgh. Betting around the draft has exploded in just the last two years for DraftKings (DKNG), FanDuel (FLUT), and BetMGM (MGM) (GMVHF). This year, prediction markets Kalshi (KALSHI) and Polymarket (POLYMARKET) will be much more involved.Stock index futures are in the red a day after Wall Street edged higher with both the Nasdaq and S&P 500 touching record closes.Traders continue to monitor developments between the U.S. and Iran, with reports suggesting that the second round of talks could come as soon as Friday.Crude oil is up 2.3% at $95. Bitcoin is down 0.7% at $77,000. Gold is down 0.8% at $4,698.The FTSE 100 is down 0.8% and the DAX is down 0.4%.The biggest movers for the day premarket: Texas Instruments (TXN) +11% - Shares jumped after delivering a strong Q1 beat and upbeat guidance, signaling improving demand trends.Economic calendar: