Today Stock futures are building on premarket gains as investors absorb the latest corporate reports.
Top stock gainers
UBS shares rose 8% after two consecutive quarterly losses after returning to profitability. The firm announced a Q1 profit before tax (PBT) of $2,376M and an underlying PBT of $2,617M, with 15% Q/Q revenue increase and 5% Q/Q operating expense reduction, resulting in strong positive operational leverage and a Q2 forecast.
Rivian Automotive (NASDAQ:RIVN) shares rose 6% before its Q1 earnings report after the bell. Analysts expect EPS of -$1.16 (up 7.2%) and sales of $1.17B (up 77.0%). Last year, RIVN exceeded EPS and sales expectations 75% of the time. SA author Bluesea Research said the firm is improving its supply chain and lowering expenses to make a profit by year-end. Rivian has about $9.4B in cash reserves as of 2023, funding it until 2026.
Top stock losses
Palantir Technologies (NYSE:PLTR) shares fell more than 10% after beating Q1 estimates and raising its FY2024 guidance. From $2.652B to $2.668B, the business now forecasts FY2024 revenues to fall between $2.677B and $2.689B, above the average expectation of $2.68B. Palantir also raised its adjusted income from operations outlook to $868M–$880M from $834M–$850M. For Q2, the business expects sales between $649M and $653M, beating the consensus of $642.75M.
Lucid Group (NASDAQ:LCID) shares fell 8% as Q1 results missed expectations. The business expects to build 9,000 automobiles this year, up from 8,428 last year. Visible Alpha predicted 12,677 units in 2024. “We continue to make significant progress on our cost optimization programs,” claimed Lucid Interim CFO and Principal Accounting Officer Gagan Dhingra. “We’re focused on significant growth as we enter the next transformational phase of Lucid’s end markets while simultaneously driving cost discipline.”
Microchip Technology (NASDAQ:MCHP) shares fell more than 4% after mixed FQ4 earnings and a pessimistic FQ1 forecast due to a tough macroeconomic environment. The business expects sequential revenue increase in September. Microchip expects Q1 earnings per share of $0.48 to $0.56, below the consensus of $0.58, and sales of $1.22B to $1.26B, below the estimate of $1.34B.
Premarket
Gainers
UBS (NYSE:UBS) shares increased 9% after the Swiss bank posted a first-quarter net profit of $1.8 billion, greatly above forecasts and its first quarterly profit since purchasing competitor Credit Suisse in a government-brokered transaction in 2023.
Kenvue (NYSE:KVUE) shares jumped 1.8% after the consumer health firm, a spinoff from Johnson & Johnson (NYSE:JNJ), exceeded Wall Street expectations for first-quarter profit and announced plans to eliminate 4% of its worldwide personnel as part of a cost-cutting strategy.
Apple (NASDAQ:AAPL) shares jumped 0.8% after the Wall Street Journal reported that the iPhone manufacturer is building its own processor to run artificial intelligence software in data centers, citing sources familiar with the topic.
Duke Energy (NYSE:DUK) shares increased 0.3% after the utility exceeded estimates for first-quarter earnings, boosted by higher prices and strong energy demand.
Losers
Palantir Technologies’ (NYSE:PLTR) shares dropped 12% after the data analytics firm’s annual revenue projection fell short of analysts’ expectations.
Lucid Group (NASDAQ:LCID) shares slumped 7.9% after the premium electric car manufacturer forecasted greater capital expenditure this year and maintained a dismal yearly production target amid lower-than-expected EV demand.
Walt Disney’s (NYSE:DIS) shares slid 5.3% despite the entertainment conglomerate reporting its first profit from its streaming arm two quarters ahead of plan and upping its annual profits per share forecast as turnaround efforts yielded results.
BP (NYSE:BP) ADRs declined 2.1% as the energy giant reported a lower-than-expected underlying profit in the first quarter owing to a drop in oil and gas prices.
Boeing (NYSE:BA) shares declined 0.9% after the Federal Aviation Administration began an inquiry into the plane manufacturer’s 787 Dreamliner after the firm stated that certain personnel had engaged in “misconduct” by misrepresenting that some testing had been completed.
Stocks In Focus
Walt Disney (DIS) stock dropped more than 8% before the market opened. This was because the theme park and entertainment giant’s most recent quarterly results showed a drop in income from its traditional television businesses, which was more noticeable than a surprise profit from its streaming platform. Disney’s (DIS) FQ2 2024 linear networks income, which includes its TV businesses, fell 8% year over year to $2.77B. This was mostly due to lower affiliate revenue caused by fewer people watching traditional cable TV. In spite of that, Disney’s (DIS) streaming business made its first profit ever, which is something the company had told Wall Street it would do by September. “We are still on track to make money from our combined streaming businesses in Q4,” said Bob Iger, the company’s CEO. See how DIS did in charts.
Simon Property Group (SPG) stock gained about 2% ahead of the starting bell. The shopping mall REIT announced Q1 fund from operations (FFO) per share that easily beat expectations, helped by greater occupancy at its U.S. malls and premium outlets and a 3% increase in the base minimum rent per square foot. Simon Property Group’s (SPG) Q1 net income was also helped by after-tax net gains of $303.9M, mostly from selling its last bit of investment in Authentic Brands. Simon Property Group (SPG) also raised its forecast for 2024 FFO per share and its quarterly dividend. Check out the charts to see how SPG did.
Class A shares of Datadog (DDOG) fell about 11% before the market opened, even though the cloud monitoring services provider beat estimates on both the top and bottom lines in Q1 and gave mostly positive guidance for the current quarter and the whole year. At the end of the quarter, the business had about 3,34K users bringing in at least $100,000 a year, which is 15% more than the same time last year. The head of Datadog (DDOG), Amit Agarwal, said he would step down. Agarwal has worked in business software for 15 years and has previously worked at Dell (DELL) and IBM (IBM).
Reddit (RDDT) stock will be in focus, with the social media platform set to report its first quarterly numbers since its stellar initial public offering (IPO) in late March. Wall Street predicts Reddit (RDDT) to lose $6.32 per share on revenue of $213.98M. The company’s shares had surged in their market debut on March 21, finally closing about 50% above their IPO price and giving the firm a valuation of nearly $8B. Brokerages and analysts came out mostly bullish on Reddit’s (RDDT) prospects after the quiet time on the stock ended in April.
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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.