Today’s Top Performers
Stock futures rose premarket Tuesday ahead of a key inflation data that might impact the Federal Reserve’s monetary policy.
Top stock gainers
Oracle’s (NYSE:ORCL) shares rose over 12% after solid FQ3 earnings and a favorable outlook. Remaining Performance Obligations rose 29% to nearly $80B, according to CEO Safra Catz. Catz attributed this rise to new cloud infrastructure contracts and Gen2 AI infrastructure demand exceeding supply. Oracle expects 43% of the $80B commitments to convert to revenue in the next four quarters and ongoing hypergrowth in Gen2 Cloud Infrastructure, up 53% in Q3. Next week, Oracle (ORCL) will announce a cooperation with Nvidia (NVDA).
Bilibili’s (NASDAQ:BILI) shares jumped 6% after JPMorgan upgraded it to Neutral from Underweight and raised the price target to $11. Bilibili expects double-digit revenue growth in 2024, which is in line with consensus (+14% Y/Y). The upgrade balances risk and return. Despite Douyin’s game streaming competition, analysts predict Bilibili’s new game launches to boost income.
Top stock losses
Acadia Pharmaceuticals (NASDAQ:ACAD) shares fell 17% after its late-stage pimavanserin trial for negative schizophrenia symptoms failed to reach its primary goal. No statistically significant improvement over placebo was seen. Acadia will not conduct pimavanserin clinical studies despite its safety.
Vail Resorts (NYSE:MTN) shares fell 6% as FQ2 earnings below expectations. Poor skiing conditions and severe weather reduced season-to-date skier visits by 9.7%. As a result, Vail Resorts cut its 2024 net income projection to $270M to $325M and EBITDA to $849M to $885M. Resort EBITDA margin is expected to be 29.6%, down from 39.4% in the preceding three months. Despite missing earnings, the business raised its dividend by 8%.
Southwest Airlines (NYSE:LUV) shares fell over 7% following Boeing’s aircraft deliveries may reduce FY2024 capacity plans. The airline forecast a flat increase in Revenue per Available Seat Mile and more Available Seat Miles for 1Q24. The business raised its interest expenditure projection by $65M and expects economic gasoline costs of $2.95 to $3. Southwest hopes to return to profitability in March after a 1Q24 deficit.
American Airlines (NASDAQ:AAL) shares plummeted 4% after adjusting its 1Q24 earnings outlook due to higher fuel prices. The carrier expects to pay $2.80–$2.90 per gallon for jet fuel, resulting in a quarterly adjusted diluted EPS of -$0.15–-$0.35, compared to the consensus of -$0.23. AAL still expects Available Seat Miles to expand between +6.5% and +8.5% Y/Y in Q1, but overall revenue per available seat mile to drop between -3.5% and -5.5%. The airline maintained its FY2024 adjusted diluted EPS projection of $2.25–$3.25, compared to the consensus of $2.51.
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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.