Starbucks, Roku, and Shopify Soar in Midday Trading; SolarEdge and Crocs Experience Declines
In midday trading, several companies are making headlines for their performance in the market. Starbucks shares jumped over 10% after the company reported strong earnings and revenue in the fiscal fourth quarter. Management also noted better-than-expected results in China, its second-largest market.
Roku, the popular streaming video platform, experienced a 25% rally after surpassing analysts’ expectations in its latest quarterly announcement. The company reported third-quarter revenue of $912 million, exceeding the projected $855 million forecast.
On the other hand, SolarEdge, a solar stock, saw a 7.5% decline following disappointing third-quarter results and a downward revision of its revenue outlook for the current quarter. Multiple firms, including Truist, BMO Capital Markets, and Guggenheim, downgraded SolarEdge on the back of its earnings report.
Shopify, an e-commerce company, enjoyed a 21% surge in its share price after beating expectations for third-quarter earnings. The company, which provides tools for online product sales, also delivered upbeat guidance for the remainder of the year. Shopify’s strong performance follows a focus on cost management.
Palantir, known for its AI offerings, experienced a 17.2% surge in shares due to better-than-expected third-quarter results and increased demand for its products. The company, optimistic about its future, raised its revenue guidance for the full year.
Moderna, a drugmaker, saw its shares drop more than 9% due to a steep third-quarter earnings loss. The decline was attributed to a decrease in demand for its Covid vaccine and a large write-down of unused vaccines.
Cosmetics company e.l.f. Beauty added 2.2% to its share price after surpassing analysts’ expectations for its fiscal second quarter. The company also raised its full-year outlook for the second consecutive quarter.
Eli Lilly, a drug maker, experienced a 4% jump in shares following strong demand for its diabetes drug, Mounjaro. The company reported third-quarter revenue and adjusted earnings that exceeded estimates. However, it cut its full-year profit guidance due to charges primarily related to recent acquisitions.
Clorox shares rallied more than 7% after the company announced better-than-expected earnings and revenue for the fiscal first quarter. Although Clorox cut its earnings and general margins guidance for the 2024 fiscal year, it assured investors that there were no structural issues related to a cyberattack earlier in the year.
Penn Entertainment, a sports betting and casino company, saw a 13% increase in shares despite posting a loss in the third quarter. The core beat on margin alleviated concerns, and investors are now anticipating the company’s upcoming digital launch to ESPN.
Affirm Holdings, a digital payments platform, surged 16% on news of its expanded partnership with Amazon, including the inclusion of Amazon Business.
Marriott International shares fell 2.6% after the company provided weak earnings guidance for the fourth quarter. However, its third-quarter earnings were in line with estimates, and revenue surpassed analysts’ expectations.
CyberArk Software, a software solutions company, rose 8% after reporting a beat on both top- and bottom-line in the third quarter. The company’s fourth-quarter and full-year earnings guidance were also higher than analysts’ estimates.
Crocs, the popular shoe company, experienced a 7.5% decline despite posting better-than-expected results for the third quarter. The company lowered its full-year earnings, revenue, and operating margins guidance.
Rockwell Automation dropped over 3% after issuing a weak full-year outlook. While the industrial automation company beat expectations for fourth-quarter earnings and revenue, it projected lower-than-anticipated per-share adjusted earnings and revenue growth for the upcoming year.
Papa John’s International, a pizza chain, declined over 6% and hit a new 52-week low after missing both earnings and revenue expectations in the third quarter. The company also reduced its expectations for North America development due to the dynamic geopolitical environment.
The midday trading session has witnessed notable performances from various companies, with some experiencing significant gains while others have faced challenges. Investors will continue to closely monitor these companies as the trading day progresses.
Disclaimer: The content of this news article is for informational purposes only and is not intended as investment advice or a recommendation to buy or sell any financial instrument.