Early Movers: Disney in focus as 'Black Panther' and 'Incredibles 2' power quarterly profits while Yelp plunges

Finisar, which provides parts to Apple, is also pushing higher on news of its takeover by II-VI

Black Panther
The tremendous success of "Black Panther" and other movies drove Disney's profits to $2.32 billion in its latest quarter

US stocks are set to open lower, but Disney shares (NYSE:DIS) are breaking away from the pack and pushing higher in Friday’s pre-market session.

Indeed, the success of “Black Panther”, “Star Wars: The Last Jedi”, and “Incredibles 2” drove Disney’s profits in its latest quarter to $2.32 billion, or $1.55 per share, and its revenue to $14.3 billion.

Stripping out items, Disney earned $1.48 per share. Its results surpassed the expectations of analysts who called for Disney to earn $1.34 per share on an adjusted basis and for sales of $13.73 billion.

“Black Panther”, “Avengers: Infinity War” and “The Incredibles 2” collected almost $2 billion in ticket sales in North America alone. Disney shares traded 1.8% higher to hit $118.09 in pre-market action.

Also on the rise was Finisar (NASDAQ:FNSR). Shares in the optical communication components manufacturer which provides parts to Apple, jumped 23% to $23.25 on news that it will be bought by II-VI Inc for roughly $3.2 billion. II-VI will pay Finisar shareholders $26 per share in cash and stock.

The takeover of Finisar, which manufactures the lasers used in Apple’s iPhone cameras, will crack the door open for the laser and optical components maker II-VI to prepare for the coming launch of the 5G wireless network.  

Elsewhere, shares of Dropbox Inc (NASDAQ:DBX) traded 7.7% higher to hit $26.64. Investors came away impressed after the San Francisco-based provider of data storage and business services, reported adjusted earnings of $45 million, or $0.11 per share, compared with adjusted net income of $23.5 million, or $0.07 per share in the year-ago period.

Its revenue also beat market expectations, coming in at $360.3 million. Analysts had expected Dropbox to earn $0.06 per share on sales of $352.8 million.

Taking a hammering before the opening bell, meanwhile, was the search service group Yelp (NYSE:YELP). Its shares plunged 31% to $29.96 in the wake of the unveiling of its third-quarter results.

The company posted sales of $241 million in the quarter, missing analysts’ estimates of $245 million. It also lowered its revenue forecast for the year to a range of $938 million to $942 million, down from its previous forecast of $952 million to $967 million.

Lastly, Activision Blizzard (NASDAQ:ATVI) also endured a beating before the bell, with its shares down 11% to $55.80. The video game maker unnerved investors by posting its third consecutive quarter of falling monthly users.

While the maker of Call of Duty and World of Warcraft’s results for its latest quarter surpassed analysts’ expectations, its monthly active users dropped again to 345 million, down from 352 million in the previous quarter.

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