Coffee With Greta: Hot Labor Market, Apple Beats
DJIA Futures: +221 (+0.7%)
SPX Futures: +33 (+0.8%)
NASDAQ Futures: +87 (+0.7%)
Good morning friends!
Futures are higher as traders digest a hot jobs report and key earnings.
Let’s get right to it!
Hot Labor Market
The U.S. economy added far more jobs than expected in April.
The Labor Department reported a gain of 253,000 jobs last month vs expectations for 180,000.
The unemployment rate also fell unexpectedly to 3.4% vs expectations for an increase to 3.6%.
That tied for the lowest level since 1969.
Average hourly earnings rose 0.5% monthly and 4.4% annually vs 0.3% monthly and 4.2% annually expected.
The data shows the labor market maintaining strength amid the Fed’s fight against inflation.
Apple Tops Fiscal Q2 Expectations
Apple (AAPL) shares are up 2.9% ahead of the open after reporting better-than-expected fiscal Q2 results, driven by strong iPhone sales.
Here’s how the iPhone maker’s results compared to analysts’ estimates:
- EPS $1.52 vs $1.43 expected
- Revenue: $94.84 billion vs $92.96 billion expected
- Gross margin: 44.3% vs 44.1% expected
Here’s how Apple’s revenue broke down by product:
- iPhone revenue: $51.33 billion vs $48.84 billion expected
- Mac revenue: $7.17 billion vs $7.80 billion expected
- iPad revenue: $6.67 billion vs $6.69 billion expected
- Other products revenue: $8.76 billion vs $8.43 billion expected
- Services revenue: $20.91 billion vs. $20.97 billion expected
Apple did not provide official guidance.
The company’s board authorized up to $90 billion in shares buybacks and hiked its dividend 4% to $0.24 per share.
Coinbase Rallies On Q1 Beat
Coinbase (COIN) shares are rallying 9.6% in premarket trade after beating Q1 expectations.
Here’s how the crypto exchange’s results compared to analysts’ estimates:
- Loss per share: $0.34 vs $1.45 expected
- Revenue: $772.53 million vs $655 million expected
Consumer trading volume plunged 71% year over year but subscription and services revenue more than doubled to $361.7 million.
Coinbase forecast $300 million in Q2 subscription and services revenue and said it plans to focus on cost reduction efforts.
Block Tops Q1 Revenue Expectations
Block (SQ) shares are up 2.8% ahead of the open after beating Q1 revenue expectations.
Here’s how the payments company’s results compared to analysts’ estimates:
- Loss per share: $0.40 vs $0.35 earnings per share expected
- Revenue: $4.99 billion vs $4.6 billion expected
That higher than expected revenue was driven by Block’s Cash App mobile payments platform.
Cash App’s gross profit grew 49% year over year and monthly active card actives jumped 34%.
Block’s point-of-sale system Square’s gross profit increased just 16%.
The company raised its full-year adjusted ebitda forecast to $1.36 billion from $1.3 billion previously.
Lyft Plunges On Weak Guidance
Lyft (LYFT) shares are plunging 15.2% in premarket trade after mixed Q1 results and weak Q2 guidance.
Here’s how the ride-hailing company’s results compared to analysts’ estimates:
- Loss per share: $0.07 vs $0.06 expected
- Revenue: $1 billion vs $981 million expected
Lyft expects Q2 revenue between $1 billion and $1.02 billion vs analysts’ projections for $1.08 billion.
The company anticipates adjusted ebitda between $20 million and $30 million vs analysts’ estimates of $49.3 million.
DoorDash Jumps After Earnings
DoorDash (DASH) shares are up 4.4% ahead of the open after reporting strong Q1 results.
Here’s how the delivery platform’s results compared to analysts’ estimates:
- Loss per share: $0.41 vs $0.58 expected
- Revenue: $2.04 billion vs $1.93 billion expected
Total orders jumped 27% year over year to 512 million vs 493 million expected.
DoorDash hiked its full-year guidance for gross order value to between $63 billion and $64.5 billion, up from $60 billion to $63 billion previously.