Today, Stock futures were mostly flat in the premarket hours of Wednesday as market participants eagerly awaited Fed minutes and NVIDIA results due.
Top stock gainers
Urban Outfitters (NASDAQ:URBN) shares gained over 9% following optimistic Q1 results powered by more than 10% Y/Y growth at its Anthropologie and Free People segments. CEO Richard A. Hayne commented, “Customer demand is high for our spring and summer apparel, which bodes well for further sales growth in Q2.”
Top stock losses
Viasat (NASDAQ:VSAT) fell approximately 11% after announcing a loss in FQ4 earnings, even though sales climbed 72% year over year. Moreover, the business anticipates flat Y/Y revenue growth for FY2025, excluding the one-time catch-up benefits from the $95M litigation settlement in Q2 FY2024, and low to mid-single-digit Y/Y adjusted EBITDA growth, excluding the one-time benefits from the $86M litigation settlement in Q2 FY2024. Satellite services revenue is predicted to fall low to mid-single digits Y/Y, principally due to a decline in U.S. fixed broadband revenue.
Provider of virtual and in-person outpatient mental health treatment, LifeStance Health Group (NASDAQ:LFST) shares plummeted 11% after pricing a secondary offering of 20M shares at $6.25 per share. Currently, shares are changing hands at $6.50. The offering is expected to settle and close on or before May 24, 2024.
Hudbay Minerals (NYSE:HBM) shares slumped about 9% after announcing plans for a bought-deal offering of 31.6M common shares at US$9.50 per share for aggregate gross proceeds of more than US$300M, with an underwriters option for an additional 15% of the common shares issued. Proceeds from the offering will be used to fund near-term growth initiatives, including “acceleration of mine pre-stripping activities and mill optimization initiatives at Copper Mountain, to enhance balance sheet flexibility through debt repayments as part of its ‘3P’ plan for a sanctioning decision on Copper World, to evaluate mill throughput enhancement opportunities at Constancia and New Britannia, and for general corporate purposes.
Premarket
Gainers
PDD Holdings (NASDAQ:PDD) stock surged 7.3% as the business beat first-quarter sales estimates, powered by strong adoption of its international shopping site, Temu, and as Chinese domestic discount e-commerce platform Pinduoduo (NASDAQ:PDD) attracted more price-conscious customers.
Analog Devices (NASDAQ:ADI) stock climbed 6.4% after the semiconductor anticipated third-quarter sales above estimates, aided by a rebound in demand for its automotive and industrial chips after a prolonged decline.
Urban Outfitters (NASDAQ:URBN) stock increased over 1.7% after the clothing retailer outperformed forecasts on the top and bottom line in its current quarter.
Toll Brothers (NYSE:TOL) stock jumped 1.1% after the housebuilder boosted its full-year delivery guidance, as it announced stronger-than-expected orders with consumers flocking to newly built houses.
Losers
Target (NYSE:TGT) stock slumped 7.6% after the company anticipated current-quarter comparable sales and profit substantially below estimates after sluggish discretionary spending damaged its first-quarter results.
Nvidia (NASDAQ:NVDA) shares dipped 0.1%, steadying ahead of the tech giant’s quarter earnings after surging more than 3% over the prior two days.
Lululemon Athletica (NASDAQ:LULU) stock plummeted 3.9% after the sports gear retailer announced the departure of Chief Product Officer Sun Choe.
Amazon (NASDAQ:AMZN) stock declined 0.3% as the internet giant said that its cloud computing unit AWS will invest roughly $17 billion in data centres in northern Spain, greatly upping its expansion ambitions in the nation.
ViaSat (NASDAQ:VSAT) stock tumbled 11% after the communications company’s quarterly net loss climbed to $90 million, up from $62 million in the same period previous year.
Stocks In Focus
Target (TGT) fell almost 9% before the bell. Q1 net earnings fell Y/Y and profit per share was below estimates for the big-box retailer. Total revenue dipped 3.1% to $24.53B, while comparable sales fell 3.7%. The corporation cited low discretionary spending. Target (TGT) reported that discretionary sales were improving, highlighted by a nearly 4-point apparel sales increase from Q4 2023. Chart TGT’s performance.
In pre-market trading, U.S.-listed PDD (PDD) shares rose nearly 7% after the Chinese online retailer reported Q1 top and bottom line growth that more than quadrupled. PDD (PDD), which operates Pinduoduo and Temu, increased revenue 131% to RMB 86.81B ($12.05B) and adjusted profit per American depositary share to RMB 20.72 ($2.88) from RMB 6.92 a year earlier. Transaction services revenue more than doubled Y/Y to RMB 44.36B ($6.16B).
Nvidia (NVDA) stock will be closely watched following the closing bell for FQ1 2025 results. Wall Street forecasts Jensen Huang’s company to earn $5.58 per share on $24.95B in revenue. Nvidia (NVDA) last year reported blowout earnings that revealed tremendous demand for its artificial intelligence (AI) processors, placing it as the AI leader and igniting a technology sector frenzy. With a market worth above $2T, Nvidia (NVDA) is one of the largest publicly traded corporations. Its report may indicate the AI space, and another monster quarter might boost Wall Street’s rise.
Lululemon Athletica (LULU) shares were more than 4% lower before market open, and another down day would make it a sixth straight red day. Sun Choe, Lululemon’s chief product officer, left the company following hours after Jefferies and Barclays’ dismal ratings and commentary on Tuesday. The yoga apparel maker stated that it would not replace the post and created a new team to “scale its global and regional go-to-market strategies.”
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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.