Skip to main content
The Markets by Proactive
Go to Proactive UK
Proactive UK has moved. Proactive’s coverage of London’s small caps continues on proactiveinvestors.com Go there →
Advertisement
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
Advertisement
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Pharma & Biotech

J C Penney taken to the cleaners after a profit warning

J C Penney lowered profits guidance as it is attempting to shift a surfeit of inventory

A look at the day's major movers

RISERS

Axalta Coating Systems Ltd (NYSE:AXTA), up 17% at US$33.20

The chemical coatings company moved into profit in the three months to the end of September. Net income this time round was US$56.3mln versus a loss in the same period last year of US$5.4mln.

Gain Capital Holdings Inc (NYSE:GCAP), up 19% at US$7.33

The financial services company reported adjusted net income of US$2.1mln versus a loss the year before US$5.8mln.

FALLERS

J C Penney Company Inc (NYSE:JCP), down 155 at US$3.12

More trouble for the struggling department stores operator as it issued a profit warning. It now expects an adjusted loss of 40-45 cents per share in the quarter ending October 28 - far bigger than analysts’ average estimate of a loss of 18 cents.

World Fuel Services Corporation (NYSE:INT), down 14% at US$30.93

The energy management company reported a third quarter 2017 net loss of US$38.5mln, which included a non-cash accounting charge of US$76.9mln relating to a U.S. deferred tax valuation allowance

Pre-market

The big acquisition of Whole Foods Markets Inc (NASDAQ:WFM) does not seem to have distracted management at Amazon.com Inc (NASDAQ:AMZN), which reported results last night.

The online retail leviathan's stock was up 8.2% at US$1,052 in after-hours trading after third quarter net income of US$256mln on revenue of US$43.7bn beat market expectations.

Analysts had expected sales to rise from US$32.7bn in the same quarter of last year to US$41.6bn.

Earnings per share of 52 cents were half a dollar above the consensus forecast.

Wedbush Securities said Whole Foods and Prime Day helped drive a revenue beat, resulting in operating income well ahead of Street expectations.

The broker adjusted its forecast to reflect a better-than-expected third quarter and a projected higher operating margin in 2018.

The broker raised its price target to US$1,285 from US$1,250.

Microsoft Corporation (NASDAQ:MSFT) does not bestride the technology world in the way it did a decade or more ago but there is life in the office software and Xbox maker yet.

The shares were up 6.2% at $83.54 in screen-based trading after the third quarter update, released after the end of open outcry trading on Thursday, trumped analysts' estimates.

Net income of US$6.58bn was equivalent to 84 cents a share and up from US$5.67bn (72 cents a share) a year earlier

The median forecast among analysts who follow the stock was for unchanged earnings of 72 cents a share.

Revenue for the third quarter rose 11.9% to US$24.54bn from US$21.93bn the year before.

Completing a trio of tech giants receiving a warm welcome from the market, Google's parent company Alphabet Inc (NASDAQ:GOOGL) saw its shares rise 4% to US$1,031.33 after it reported third quarter net income of US$6.73bn, up from US$6.33bn in the same period of 2016.

Earnings per share rose to US$9.57 from US$7.25 and were comfortably ahead of the consensus forecast of US$8.31.

Revenue rose to US$27.8bn from the previous year's US$26.9bn, and was ahead of expectations of US$25.24bn.

In the more old school world of toys-maker Mattel Inc (NASDAQ:MAT) the party was taking a turn for the worse.

The stock lost a sixth of its value as it suspended its dividend in a shocker of a third quarter trading update.

The company surprised the market by posting a loss of US$603mln for the quarter, which it blamed, among other things, on the bankruptcy of toys retailer toys R Us.

A loss per share of 68 cents was in stark contrast to the positive earnings per share of 57 cents the market had been expecting.

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