Today, Stock futures were marginally higher in premarket trade as market players eagerly awaited CPI data and the Fed’s interest rate decision.
Top stock gainers
Despite missing the consensus mark in FQ4 earnings, Oracle (NYSE:ORCL) gained 9% as the firm revealed signing record-breaking sales contracts in Q3 and Q4, driven by increased demand for AI language models in the Oracle Cloud. This resulted to a 44% rise in revenue per order (RPO) to $98B. Oracle CEO Safra Catz forecasts ongoing strong AI demand to drive sales and RPO growth in 2025, with each quarter rising faster than the previous one. Additionally, Oracle has teamed with OpenAI to use its cloud infrastructure to enhance the Microsoft Azure (MSFT) AI Platform. Oracle has announced a pact with Google (GOOG) (GOOGL) to develop a multi-cloud collaboration. Google Cloud will offer Oracle Cloud Infrastructure database services and high-speed network connections.
Rentokil Initial (NYSE:RTO) shares rose about 7% on a report that Trian Fund Management, an activist investor, has bought a big interest and is now among the top 10 shareholders in the parent company of the Terminix brand. Trian has reached out to Rentokil to discuss tactics, but the exact magnitude of Trian’s shareholding and future plans are not yet clear.
Casey’s General Stores (NASDAQ:CASY) climbed 6% after posting better-than-expected FQ4 earnings, with profit growth of more than 55% and quarterly dividend growth of 16% to $0.50 from $0.43. Additionally, the company accomplished a record fiscal year, reaching $1B in EBITDA for the first time in the company’s history.
Top stock losses
PetMed Express (NASDAQ:PETS) plunged over 13% following mixed FQ4 results, impacted by a challenging macro environment and industry dynamics, as well as a slowdown in call center response times due to the implementation of the new Order Management System and Autoship platforms during the quarter. The company also reported an adjusted EBITDA drop of 85% Y/Y.
Premarket
Gainers
Oracle (NYSE:ORCL) shares surged 8.2% as the computer technology business announced two new agreements with ChatGPT-maker OpenAI and Google (NASDAQ:GOOGL) Cloud in a bid to broaden the reach of its AI infrastructure, while also announcing a robust prediction for revenue growth in its 2025 fiscal year.
Casey’s General shops (NASDAQ:CASY) stock increased 5% after the retail chain reported 12% growth in net income, supported by the opening of 154 new shops.
Rubrik (NYSE:RBRK) stock jumped 2.4% after the cloud data management business topped first-quarter forecasts on revenue.
FedEx (NYSE:FDX) stock rose 0.2% after the parcel service business stated it is intending to reduce between 1,700 and 2,000 back-office jobs in Europe, as it battles with weak freight demand.
Losers
Nio (NYSE:NIO) ADRs declined 4.5% after the European Union warned it would levy additional duties on Chinese electric vehicle imports, of up to 38%.
Paramount Global (NASDAQ:PARA) stock slumped 1.7% after Reuters reported that Shari Redstone, Paramount;s largest shareholder, had stopped talks with David Ellison’s Skydance Media, canceling the potential sale of a majority position in the media and entertainment behemoth.
GameStop (NYSE:GME) stock dipped 1.3%, handing back some of Tuesday;s outsized gains after the video game retailer said it had completed an equity offering to earn around $2.14 billion in gross proceeds.
Apple (NASDAQ:AAPL) shares dipped 0.4%, handing back some of the previous session’s almost 7% gains as the tech giant introduced long-awaited AI features in its iPhones.
Tesla (NASDAQ:TSLA) stock dipped 0.2%, with Barclays analysts noting that the likely failure to approve Elon Musk’s compensation plan is “a critical source of downside risk” for the electric vehicle maker.
Stock in Focus
After the close, Broadcom (AVGO) will report FQ2 2024 results. Wall Street forecasts $10.84 per share on $12.01B in revenue. Due of AI excitement, Broadcom (AVGO) stock has gone purple in 2024, like much of the semiconductor industry. AI sales and VMware accretion should boost the company’s top and bottom lines Y/Y.
Birkenstock (BIRK) fell more than 1% before the opening bell after Goldman Sachs downgraded it to Neutral from Buy. Since its October market debut, the German footwear maker’s shares has outperformed the premium peer group, leading the brokerage to believe it was highly valued. Goldman Sachs still likes the company’s brand momentum.
FedEx (FDX) stock fluctuated pre-market, closing up 1%. The parcel delivery company stated earlier in the day that it would cut 1.7K to 2K back-office and commercial workers in Europe. “We do not take these decisions lightly, but they are essential to putting FedEx (FDX) on the right path for the future,” said airline and international president and CEO Richard Smith.
Paramount Global‘s class A shares (PARAA) rose about 5% before market open after falling almost 6% the day before. Before opening bell, its class B shares (PARA) fell 3%. Shari Redstone’s National Amusements abruptly ended talks with David Ellison’s Skydance Media on Tuesday, according to multiple media reports. A convoluted $8B merger of Paramount and Skydance relied on the deal.
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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.