Today’s Premarket shows Middle East tensions sent stock futures down.
Top stock gainers
Sony Pictures Entertainment (SONY) is in talks to purchase Paramount Global (NASDAQ:PARA), sending its shares up 10%. The New York Times claimed that Sony (SONY) and Apollo Global Management (APO) are discussing a joint bid for Paramount.
Top stock losses
Netflix (NASDAQ:NFLX) shares fell 6% after revealing it would stop releasing quarterly subscriber counts in a year, despite above estimates in Q1. The streaming behemoth ceased estimating subscriber numbers when it added advertising to membership fees and focused on revenue and operating margin.
Premarket
Gainers
After Reuters reported Sony (NYSE:SONY) Pictures Entertainment and Apollo Global Management (NYSE:APO) are considering a joint proposal for Paramount Global (NASDAQ:PARA), the shares rose 9.6%.
Losers
Netflix stock slumped 6.2% as the streaming giant anticipated weaker-than-expected revenue for the current quarter due to slower net adds, overshadowing better-than-expected first-quarter profits after blowout subscriber growth.
After the NHTSA recalled 3,878 Cybertrucks, Tesla (NASDAQ:TSLA) shares plummeted 2%. The accelerator pedal pad could dislodge and become caught by the inside trim.
Schlumberger (NYSE:SLB) stock declined 1.4% as the oil services business announced a weaker North American market despite 18% international revenue growth.
American Express (NYSE:AXP) stock dipped 1.1% despite announcing a quarterly profit beat due to an acceleration in new card acquisitions, but it simply maintained its full-year outlook.
After missing estimates in the first quarter with $20.2 billion in revenue, Procter & Gamble (NYSE:PG) stock dipped 0.8%. However, the company boosted its EPS growth projection while keeping its fiscal year top-line outlook.
Stock in focus
Morgan Stanley upgraded Shopify (SHOP) to Overweight from Equal Weight, sending U.S.-listed shares up more than 3% pre-market. The brokerage expects the Canadian e-commerce company to maintain a +20% compound annual growth rate through fiscal year 2030 by moving up market and growing internationally. Morgan Stanley said Shopify’s (SHOP) normalized free cash flow valuation was fair. Shopify (SHOP) topped gross merchandise volume quarterly in February and anticipated low-20% Y/Y revenue growth.
Procter & Gamble (PG) stock fell nearly 2% before the opening bell as its quarterly revenue miss outweighed a fiscal 2024 core profit guidance hike. The Cincinnati, Ohio-based company of Gillette, Pampers, Tide, and Ariel saw FQ3 2024 net sales rise 1% Y/Y to $20.2B, but it was $240M below expectations. P&G (PG) expects fiscal 2024 core net earnings per share Y/Y growth of 10% to 11%, up from 8% to 9%. Chart PG’s performance.
American Express (AXP) shares rose marginally before market open. Credit card issuer’s quarterly network payment volume missed consensus. It reported $419B Q1 network volume, compared to $421B Visible Alpha estimate. However, the Dow 30 component’s quarterly revenue increased 11% and net profits 34%. “Our continued investments in our value propositions, marketing, brand, and technology capabilities have helped drive high levels of engagement with our premium customers,” stated American Express (AXP) CEO Stephen Squeri. Chart AXP’s performance.
In pre-market trading, SLB (SLB) stock fell more than 1% despite the company’s Q1 sales beat and promises to achieve $7B in shareholder returns over two years. SLB (SLB), previously Schlumberger, is the largest oilfield services and equipment company. Q1 revenue grew 13% Y/Y to $8.71B, with overseas sales up 18% offsetting a 6% North American drop. Chief executive Olivier Le Peuch said SLB was “confident” in 2024 worldwide revenue growth. Charts show SLB performance.
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After reporting 8% Y/Y subscription revenue growth in 4Q24, DocuSign (NASDAQ:DOCU) shares rose 10%. Electronic signature business predicts 1Q25 revenue of $704M to $708M, above analysts’ $699.1M forecast. DocuSign expects sales of $2.91B to $2.92B this year, with consensus of $2.91B. Customer adoption of Contract Lifecycle Management and eSignature in StateRAMP-authorized environments was also emphasized by the organization.
MongoDB (NASDAQ:MDB) shares fell 8% after exceeding Q4 profit and sales forecasts owing to its dovish FY2025 outlook. MongoDB expects revenues of $436M to $440M in Q1, below the average expectation of $449.08M. Below the estimate of $0.61, non-GAAP EPS is expected to be $0.34–$0.39. The business estimates FY2024 sales between $1.9B and $1.93B, below the average of $2.03B. Unlike the consensus of $3.22, non-GAAP EPS is expected to be $2.27 to $2.49.
Marvell Technology (NASDAQ:MRVL) shares fell over 7% after solid Q4 earnings due to a dismal Q1 guidance. The business predicts Q1 sales of $1.15B, plus or less 5%, behind analysts’ $1.36B. Marvell predicts adjusted gross margins of 62% to 63% and adjusted earnings of $0.18 to $0.28 per share, significantly below the average forecast of $0.40. Marvell announced $3B in stock buybacks.
Despite a 5.7% Y/Y rise, Costco Wholesale’s NASDAQ:COST shares plummeted roughly 4% as its FQ2 earnings reports fell short of the top-line estimate. Comparable sales increased by 5.6% during the quarter, above the 5.1% estimate.
MongoDB (NASDAQ:MDB) shares fell 8% after exceeding Q4 profit and sales forecasts owing to its dovish FY2025 outlook. MongoDB expects revenues of $436M to $440M in Q1, below the average expectation of $449.08M. Below the estimate of $0.61, non-GAAP EPS is expected to be $0.34–$0.39. The business estimates FY2024 sales between $1.9B and $1.93B, below the average of $2.03B. Unlike the consensus of $3.22, non-GAAP EPS is expected to be $2.27 to $2.49.
Marvell Technology (NASDAQ:MRVL) shares fell over 7% after solid Q4 earnings due to a dismal Q1 guidance. The business predicts Q1 sales of $1.15B, plus or less 5%, behind analysts’ $1.36B. Marvell predicts adjusted gross margins of 62% to 63% and adjusted earnings of $0.18 to $0.28 per share, significantly below the average forecast of $0.40. Marvell announced $3B in stock buybacks.
Despite a 5.7% Y/Y rise, Costco Wholesale’s NASDAQ:COST shares plummeted roughly 4% as its FQ2 earnings reports fell short of the top-line estimate. Comparable sales increased by 5.6% during the quarter, above the 5.1% estimate.