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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Retail

The Premarket: Nvidia, Foot Locker, Peloton, Abercrombie, Apellis, Urban Outfitters, Bath & Body Works and more

Nvidia has market on tenterhooks

Nvidia is the stock that whole market appears to be waiting for, with its quarterly earnings due after Wednesday close. Such is the anticipation, Nvidia begins the day rising 1.65% in early deals to change hands at US$464.20.

Foot Locker reveals a stinking quarter

Foot Locker, Inc. (NYSE:FL) slumped 32% in pre-market trading after reporting a fall in sales, reduced guidance for 2023 and pause its dividend.

The sportswear retailer The footwear retailer reported a 9.9% drop in sales to $1.86 billion, below Street expectations of $1.88 billion, and now expects 2023 sales to fall by 8-9%, compared to a previously issued forecast of a 6.5-8% decline.

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More woes for Peloton

More woes for Pandemic exercise favorite Peloton which sees its stock down 25% in premarket after its latest disappointing set of financials. Revenue missed wall street expectations, which costly equipment recalls are mounting, whilst increasing numbers of users are pausing subscriptions.

It all added up to a loss of US$242 million for the quarter, that’s 68 cents which is significantly higher than Wall Street consensus, pitched at 40 cents per share.

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Apellis rallies on safety update

Apellis Pharmaceuticals Inc (NASDAQ:APLS) jumped some 30% in Wednesday’s premarket after last night updating investors on an ongoing safety review of injection kits, used with SYFOVRE, its treatment for eye disease.

A review was previously launched after reports of rare side effects - a form of eye inflammation known as retinal vasculitis. The market evidently has taken the update as good news, though the process is continuing.

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Bath & Body slides as financials disappoint

Bath & Body Works Inc (NASDAQ:BBWI) stock was down over 12% in Wednesday’s early deals, losing US$4.29 to trade at US$30.65 in premarket, as quarterly results disappointed.

Sales at the specialist retailer amounted to US$1.559 billion, short of the US$1.564 billion forecast by Wall Street analysts, and, below the US$1.618 billion achieved in the same period last year.

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Abercrombie shines, breezed past forecasts

Abercrombie & Fitch (NYSE:ANF) was something of a retail exception on Wednesday as its stock rose sharply, up 15% to US$47.47 in premarket deals, as its quarter exceeded expectations and upgraded guidance.

The designer brand comfortably beat market forecasts with US$935.3 million of second quarter sales, ahead of projections of US$844 million, whilst earnings per share of US$1.10 was in an entirely different realm than the 17 cents forecast amongst analysts.

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Analog warning shot ahead of Nvidia results

Analog Devices provided the market with a semiconductor amuse-bouche ahead of tonight’s hotly anticipated Nvidia results, though stock-watchers might want an alternative palate cleanser.

Analog stock was down 7% in early deals after reporting a 1% dip in sales in the financial third quarter to July 29 to $3.08 billion from $3.11 billion, and, chief executive Vincent Roche warned of “a challenging operating environment”.

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Advance Auto Parts boosted by review

Advance Auto Parts investors are seeing the glass half full, with the stock rising due to the launch of a strategic review and management changes.

The stock was up nearly 2% in early deals, despite lower second-quarter profits and a warning that things will be even tougher over the second half of the year.

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Urban Outfitters back on front foot

Urban Outfitters, Inc. (NASDAQ:URBN) rallied in Wednesday’s early deals, recovering yesterday’s losing and getting on the front foot – rising US$2.41 or 7% in premarket, to trade at US$36.50 per share.

After Tuesday’s close, the retailer reported record second quarter sales and earnings which topped Street estimates. Revenue increased 7.5% year-over-year to $1.27 billion, ahead of estimates of $1.25 billion.

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Investors relaxed on ‘beat’ streak

La-Z-Boy (NYSE:LZB) stock was in the back foot in early deals, down 3.3% at US$28.80 despite a ‘beat’ on first-quarter expectations.

The eponymously named reclining armchair maker reported earnings per share of 62 cents, comfortably beating forecasts for 55 cents, on US$482 million of revenue which was ahead of consensus analyst estimates pitched at US$474 million.

It’s the fourth consecutive quarter in which La-Z Boy has beating market expectations, though evidently investors are staying relaxed and taking it easy – albeit, the stock is up some 33% in the year to date.

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Toll Bros beat, but economy weighs

Toll Brothers Inc traded slightly higher in early deals today, after Tuesday night’s earnings beat albeit concern over the impact of interest rates appears to cap enthusiasm around the stock.

The luxury house builder delivered 2,524 units in the quarter, up 5% year-over-year, as it generated revenue of $2.69 billion, up from $2.49 billion a year earlier and above expectations of $2.41 billion.

Net income came in at $414.8 million, $3.73 per share, up significantly from $273.5 million, $2.35 per share a year ago and easily topping expectations of $2.81 per share.

Nevertheless, the stock was priced a meagre 0.45% higher ahead of Wednesday’s open, at US$76.26, valuing the business at just over US$8.3 billion.

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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK