All posts by Greta Wall
Coffee With Greta: Earnings Continue
DJIA Futures: -27 (-0.1%) SPX Futures: +6 (+0.1%) NASDAQ Futures: +49 (+0.3%) Good morning friends! Futures are mixed as traders digest the latest batch of earnings and look ahead to key data. Let’s get right to it! Lowe’s Falls On Outlook Lowe’s (LOW) shares are down 1.1% ahead of the open after beating Q4 expectations but issuing guidance for revenue to fall. Here’s how the home improvement retailer’s results compared to analysts’ estimates: EPS: $1.77 vs $1.68 expected Revenue: $18.60 billion vs $18.45 billion expected Comparable sales dropped 6.2% year over year as DIY demand fell and poor weather in January impacted sales. Lowe’s forecast revenue between $84 billion and $85 billion in fiscal 2024, down from $86.38 billion last year. The company expects comparable sales to decline between 2% and 3% this year and EPS of $12 to $12.30. Macy’s Falls On Weak Q4 Macy’s (M) shares are sliding 2.2% in premarket trade after reporting mixed Q4 results. Here’s how the department store chain’s results compared to analysts’ estimates: Adjusted EPS: $2.45 vs $1.96 expected Revenue: $8.12 billion vs $8.15 billion expected Sales fell nearly 2% from a year ago during the quarter. Macy’s said it expects sales to remain stagnant this year, forecasting revenue between $22.2 billion and $22.9 billion this fiscal year vs $23.09 billion last year. The company said it expects comparable sales to range between a 1.5% decline and 1.5% gain year over year. As part of its strategy to return to growth, Macy’s plans to close about 150 stores. Zoom Pops On Strong Q4 Zoom Video Communications (ZM) shares are up 8.2% ahead of the open after beating Q4 expectations on the top and bottom line. Here’s how the video chat software company’s results compared to analysts’ estimates: Adjusted EPS: $1.22 vs $1.15 expected Revenue: $1.15 billion vs $1.13 billion expected Revenue rose less than 3% year over year. The company had 220,400 enterprise customers at the end of the quarter, up from 219,700 at the end of Q3. Zoom forecast Q1 adjusted EPS between $1.18 and $1.20 on $1.125 billion in revenue. Analysts were anticipating a forecast for $1.13 in adjusted EPS on $1.13 billion in revenue. For the full fiscal year, Zoom expects adjusted EPS of $4.85 to $4.88 on $4.60 billion in revenue vs $4.71 EPS on $4.65 billion in revenue expected. In Case You Missed It New home sales were weaker than expected in January. The Census Bureau reported sales of newly built homes rose 1.5% to a seasonally adjusted annual rate of 661,000 units vs 680,000 expected. Most of the country reported growth in new sales except for the South where new sales dropped 15.6%. December’s data was also revised lower to a 7.2% increase from 8% originally. The median price of a new home sold in January rose to $420,700.
Continue Reading -->Coffee With Greta: Awaiting Key Data Ahead
DJIA Futures: +6 (+0.02%) SPX Futures: +3 (+0.1%) NASDAQ Futures: +23 (+0.1%) Good morning friends! Futures are higher but flat as traders digest last week’s record-breaking moves and look ahead to key inflation data this week. Let’s get right to it! New Week Traders will get a quieter start to the week before some important economic data is released in the days ahead. The Census Bureau reports new home sales for January at 10:00 a.m. ET today. Tuesday’s data includes durable and core durable goods orders, plus the S&P Case-Shiller home price index before the market open followed by the Conference Board’s consumer confidence index at 10:00 a.m. ET. On Wednesday, traders will get the first revision of Q4 GDP, advanced goods trade balance, advanced retail inventories, and advanced wholesale inventories all at 8:30 a.m. ET. Thursday is the busiest day with weekly jobless claims, the PCE and core PCE price index, personal income, and personal spending at 8:30 a.m. ET. The core PCE price index is the Fed’s preferred inflation gauge. Then the National Association of Realtors reports pending home sales for January at 10:00 a.m. ET. Friday closes out the week with the S&P manufacturing PMI, ISM manufacturing PMI, construction spending, and revised consumer sentiment. There are several Fed speakers scheduled on Wednesday, Thursday, and Friday as well. Domino’s Jumps On Profit Beat Domino’s Pizza (DPS) shares are up 6.7% ahead of the open after beating Q4 profit expectations. Here’s how the pizza chain’s results compared to analysts’ estimates: EPS: $4.48 vs $4.38 expected Revenue: $1.40 billion vs $1.42 billion expected Same-store sales in the U.S. grew 2.8% year over year vs 2.2% growth expected. The company said its board of directors approved a 25% increase to its quarterly dividend on February 21. The $1.51 per share dividend will be paid on March 29 to shareholders of record as of March 15. Domino’s also announced a $1 billion buyback, increasing its total authorization for repurchases to $1.14 billion. Amazon Joins The DJIA Amazon (AMZN) shares are up 0.7% in premarket trade as the mega-cap tech stock is set to join the Dow Jones Industrial Average today. Amazon will replace Walgreens Boots Alliance (WBA) on the blue-chip index. The e-commerce giant will increase the 30-stock Dow’s exposure to the tech and consumer retail sectors.
Continue Reading -->Coffee With Greta: Extending NVDA’s Boost
DJIA Futures: +54 (+0.1%) SPX Futures: +8 (+0.2%) NASDAQ Futures: +17 (+0.1%) Good morning friends! Futures are higher after the S&P 500 closed at a fresh record-high on Thursday. Let’s get right to it! S&P Hits New Record The S&P 500 and Nasdaq both logged their best days since early 2023 on Thursday, fueled by Nvidia (NVDA)’s post-earnings rally. The S&P closed 2.1% higher, its best day since January 2023. The Nasdaq climbed 3%, its best session since February 2023. While the S&P closed at a new record-high, the Nasdaq is now within striking distance of its prior closing record of 16,057.44. It was a broad-based rally with 10 of the 11 sectors in the S&P positive on Thursday. Block Rallies On Surprise Profit Block (SQ) shares are rallying 17.3% ahead of the open after reporting a surprise profit in the fourth quarter. Here’s how the digital payments company’s results compared to analysts’ estimates: Adjusted EPS: $0.45, not comparable to estimates Revenue: $5.77 billion vs $5.7 billion expected Block’s $2.03 billion in gross profit was up 22% from a year ago. The company hiked its adjusted EBITDA forecast for the current quarter to at least $2.63 billion from $2.4 billion previously. Carvana Surges After First Annual Profit Carvana (CVNA) shares are surging 26.7% in premarket trade after reporting its first ever annual profit and issuing strong guidance. Here’s how the used car retailer’s Q4 results compared to analysts’ estimates: Loss per share: $1 vs $0.85 expected Revenue: $2.424 billion vs $2.562 billion expected For the full year, Carvana reported $450 million in net income vs the $1.59 billion loss in 2022. It was the company’s first-ever annual profit as it focused on streamlining operations. The company sold 76,090 units in Q4, down 13% year over year. Carvana forecast Q1 adjusted EBITDA “significantly above $100 million” vs $70.5 million expected. In Case You Missed It Existing home sales rose more than expected in January. The National Association of Realtors reported existing sales jumped 3.1% last month to a seasonally adjusted annual rate of 4 million units vs 3.97 million expected. Sales were down 1.7% year over year. Inventory also increased with 1.01 million homes for sale at the end of January, up 3.1% compared to a year ago. That marked a three-month supply at the current sales pace. The median price of an existing home sold last month rose 5.1% year over year to $379,100, marking an all-time high for the month of January.
Continue Reading -->Coffee With Greta: After NVDA
DJIA Futures: +208 (+0.5%) SPX Futures: +68 (+1.4%) NASDAQ Futures: +363 (+2.1%) Good morning friends! Futures are rallying as tech stocks jump on the heels of Nvidia’s strong earnings report. Let’s get right to it! Nvidia Rallies On Blockbuster Quarter Nvidia (NVDA) shares are rallying 11.8% ahead of the open after crushing quarterly estimates yet again. Here’s how the chipmaker’s results compared to analysts’ expectations: Adjusted EPS: $5.65 vs $4.64 expected Revenue: $22.10 billion vs $20.62 billion expected EPS surged 769% year over year while revenue jumped 265%. The company said, “Strong demand was driven by enterprise software and consumer internet applications, and multiple industry verticals including automotive, financial services, and healthcare Nvidia forecast Q1 sales of $24 billion vs $22.17 billion expected. CEO Jensen Huang expressed optimism the company will continue to expand through 2025 and beyond saying, “Fundamentally, the conditions are excellent for continued growth.” Rivian Plunges On Earnings Miss, Weak Guidance Rivian (RIVN) shares are tumbling 19.2% in premarket trade after missing Q4 expectations and issuing weak guidance. Here’s how the electric vehicle maker’s results compared to analysts’ estimates: Per share loss: $1.58 vs $1.35 expected Revenue: $1.3 billion, as expected Rivian forecast production will total 57,000 vehicles in 2024 vs 81,700 expected and down from 57,232 in 2023. The CEO said, “We firmly believe in the full electrification of the automotive industry, but recognize in the short-term, the challenging macro-economic conditions.” Rivian also announced it will cut its workforce by 10%. Moderna Pops On Surprise Profit Moderna (MRNA) shares are up 6.1% ahead of the open after reporting a surprise profit in the fourth quarter. Here’s how the pharmaceutical giant’s results compared to analysts’ estimates: EPS: $0.55 vs $0.97 loss expected Revenue: $2.81 billion vs $2.5 billion expected The company’s Covid vaccine sales dropped 43% year over year. Moderna booked $6.7 billion total in revenue from the Covid vaccine in 2023, down from $18 billion in 2022. The CFO said, “We started to see some fruits of productivity in the fourth quarter, and so that’s what we’re happy about.” Moderna reiterated its 2024 guidance for revenue of roughly $4 billion. Weekly Jobless Claims Weekly jobless claims fell more than expected last week as the labor market continues to maintain strength. The Labor Department reported 201,000 Americans filed initial claims for unemployment benefits. That was down by 12,000 from the week before and lower than 216,000 expected. It was the lowest level of claims in five-weeks. Continuing claims also fell by 27,000 to 1.86 million in the week ending February 10.
Continue Reading -->Coffee With Greta: NVDA Earnings Day
DJIA Futures: -80 (-0.2%) SPX Futures: -15 (-0.3%) NASDAQ Futures: -108 (-0.6%) Good morning friends! Futures are slipping as traders look ahead to the Fed minutes this afternoon and Nvidia (NVDA)’s earnings after the close. Let’s get right to it! Nvidia Earnings Day Nvidia (NVDA) shares are down 2% ahead of the open as traders look ahead to the company’s earnings report after the market close. The chipmaker is expected to report $20.6 billion in revenue for the fourth quarter, marking 240% growth year over year. It would be the second straight quarter of over 200% growth. The stock has been falling since it peaked at a high over $742 per share on February 14. Traders will be focused on the CEO’s comments about how long the company will be able to maintain such blockbuster growth. In 2023, Nvidia hiked guidance by large margins several times. Palo Alto Plunges Palo Alto Networks (PANW) shares are plunging 24.9% in premarket trade after beating fiscal Q2 expectations but cutting guidance. Here’s how the cybersecurity company’s results compared to analysts’ estimates: Adjusted EPS: $1.46 vs $1.30 expected Revenue: $1.98 billion vs $1.97 billion expected The company forecast revenue between $1.95 billion and $1.98 billion in the current quarter vs $2.04 billion expected. For the full year, Palo Alto expected total billings between $10.1 and $10.2 billion vs $10.7 to $10.8 billion previously. The company sees full year revenue ranging between $7.95 and $8 billion vs prior guidance for $8.15 to $8.2 billion. The CEO blamed the lowered guidance on a “shift” in strategy, “wanting to accelerate growth, our platform migration and consolidation and activating AI leadership.” Mortgage Demand Tumbles Mortgage demand dropped sharply last week as rates jumped back above 7%. The Mortgage Bankers Association reported total application volume fell 10.6% from the previous week. Purchase applications fell 10% weekly and 13% year over year. Refinance applications fell 11% weekly and were 0.1% higher annually. The average 30-year fixed contract rate rose to 7.06% from 6.87%. Rates have continued to move higher this week with the latest quote from Mortgage News Daily showing an average of 7.11%.
Continue Reading -->Coffee With Greta: Short Week, NVDA In Focus
DJIA Futures: -116 (-0.3%) SPX Futures: -16 (-0.3%) NASDAQ Futures: -65 (-0.4%) Good morning friends! Futures are slipping as the holiday-shortened week of trade begins. Let’s get right to it! Walmart Jumps On Earnings Beat Walmart (WMT) shares are up 4.9% ahead of the open after beating Q4 expectations on the top and bottom line. Here’s how the retail giant’s results compared to analysts’ estimates: Adjusted EPS: $1.80 vs $1.65 expected Revenue: $173.39 billion vs $170.71 billion expected Revenue rose 6% year over year. Global e-commerce sales surged 23%, topping $100 billion total. U.S. e-commerce sales rose 17%. Walmart forecast EPS of $1.48 to $1.56 in Q1 on a pre-stock split basis. The company expects consolidated net sales to rise 4% to 5% during the quarter. Walmart also announced today it will acquire smart TV maker Vizio for $2.3 billion or $11.50 per share. Home Depot Slips As Sales Decline Home Depot (HD) shares are falling 2.5% in premarket trade despite beating Q4 expectations as revenue declined year over year. Here’s how the home improvement retailer’s results compared to analysts’ estimates: EPS: $2.82 vs $2.77 expected Revenue: $34.79 billion vs $34.64 billion expected Sales declined nearly 3% from a year ago as demand slipped and higher rates caused homeowners to put off large projects. But the CFO said the company sees a chance to return to growth this year. He told CNBC, “Our market is on its way back to normal demand conditions. We’re not quite there yet, but the pressures we saw in 2023 are receding.” Home Depot forecast sales growth of about 1% in fiscal 2024 vs 1.6% expected. Nvidia Earnings Week Nvidia (NVDA) shares are down 1.3% ahead of the open as the market awaits the company’s earnings report this week. The chipmaker is scheduled to report Q4 earnings after the market close on Wednesday. Analysts are expecting the company to report $20.6 billion in revenue, up 240% year over year. . This will be Nvidia’s first earnings report since its market cap surpassed those of Alphabet (GOOGL) and Amazon (AMZN) last week.
Continue Reading -->Coffee With Greta: PPI Runs Hot
DJIA Futures: -103 (-0.3%) SPX Futures: -4 (-0.1%) NASDAQ Futures: +32 (+0.2%) Good morning friends! Futures are mixed after the release of more hot inflation data. Let’s get right to it! Yields Spike After Hot PPI Treasury yields are popping this morning after more hot inflation data was released. The Bureau of Labor Statistics’ producer price index rose 0.3% monthly and 0.9% annually. That was higher than expectations for a 0.1% monthly and 0.6% annual increase. The core PPI rose 0.5% monthly vs 0.1% expected. This data comes days after the CPI also increased more than expected. The PPI is a leading indicator for consumer prices, signaling inflation may not be slowing as quickly as the Fed was hoping. The 10-year Treasury yield is up nine basis points at 4.32% while the 2-year yield is up 10 basis points at 4.68%. Housing Starts, Building Permits Fall New home construction slowed more than expected at the start of the year. The Census Bureau reported housing starts dropped 14.8% in January to a seasonally adjusted annual rate of 1.33 million units. It was the lowest level of starts since August 2023 and slower than expectations for a rate of 1.45 million units. Single-family starts fell 4.7% while multi-family starts tumbled 35.8%. The number of new permits issued last month also dropped more than expected. Permits fell 1.5% to a seasonally adjusted annual rate of 1.47 million units vs 1.5 million expected. Single-family permits rose 1.6% while multi-family permits dropped 9%. Coinbase Jumps After Surprise Profit Coinbase (COIN) shares are up 13.5% ahead of the open after reporting a surprise profit in Q4. Here’s how the crypto platform’s results compared to analysts’ estimates: EPS: $1.04 vs $0.01 loss expected Revenue: $954 million vs $822 million expected It’s the first time Coinbase has reported a profit since Q4 2021. Net revenue jumped nearly 50% year over year. Trading volume nearly doubled from Q3 to $154 billion, including $29 billion from retail traders and $125 billion from institutions. That topped expectations for overall volume of $142.7 billion. Roku Tumbles After Q4 Miss Roku (ROKU) shares are plunging 17.9% in premarket trade after reporting a wider-than-expected loss in the fourth quarter. Here’s how the streaming platform’s results compared to analysts’ estimates: Loss per share: $0.55 vs $0.52 expected Revenue: $984 million vs $968 million expected Roku forecast $850 million in Q1 revenue and expects to break even on adjusted ebitda. That was better than analysts’ estimates for $829 million in revenue and an $11 million adjusted ebitda loss. In a letter to shareholders the company said, “We plan to increase revenue and free cash flow and achieve profitability over time. At the same time, we remain mindful of near-term challenges in the macro environment and an uneven ad-market recovery.” DoorDash Drops After Earnings DoorDash (DASH) shares are down 9% ahead of the open after reporting mixed Q4 results. Here’s how the delivery company’s results compared to analysts’ estimates: Per share loss: $0.39 vs $0.16 expected Revenue: $2.3 billion vs $2.25 billion expected Revenue jumped 23% year over year. Gross order volume rose 22% to $17.6 billion vs $17.29 billion expected. Total orders rose 23% to 574 million vs 561 million expected. DoorDash forecast Q1 gross order volume of between $18.5 billion and $18.9 billion with adjusted ebitda between $320 million and $380 million. Analysts were anticipating $18.6 billion in gross orders and $362 million in adjusted ebitda. For the full-year, the company expects gross order volume between $74 billion and $78 billion, with adjusted Ebitda ranging from $1.5 billion to $1.9 billion. Analysts are expecting $76.8 billion in gross orders and adjusted ebitda of $1.63 billion. DoorDash also announced a $1.1 billion stock buyback. The company said, “In 2024, our focus will not change. We will invest to build tools that solve problems for consumers, merchants, and Dashers, while expanding the scale, breadth, and profit potential of our business. We look forward to the work.” In Case You Missed It Homebuilder confidence rose more than expected this month. The National Association of Homebuilders sentiment index rose four points to 48 vs 46 expected. This marked the third straight monthly increase and is the highest reading since August 2023. Sentiment about current sales conditions increased four points to 52, six-month sales expectations rose three points to 60, and buyer traffic increased four points to 33.
Continue Reading -->Coffee With Greta: Hanging On To Gains
DJIA Futures: +63 (+0.2%) SPX Futures: +5 (+0.1%) NASDAQ Futures: +14 (+0.1%) Good morning friends! Futures are rising as the market rally attempts to hang on. Let’s get right to it! Retail Sales Tumble Retail sales dropped far more than expected in January. The Commerce Department reported retail sales fell 0.8% last month to $700.3 billion. That was steeper than economists’ expectations for a 0.3% decline. Excluding autos, core retail sales dropped 0.6% vs expectations for a 0.2% gain. Year over year, sales were up 0.6% in January. Sales at building material and garden retailers tumbled 4.1% in January, miscellaneous sales dropped 3%, gasoline sales fell 1.7%, and sales at car dealers and auto parts stores dropped 1.7%. Sales were 1.5% higher at furniture stores, up 0.6% at grocery stores, and 0.7% higher at restaurants and bars. Weekly Jobless Claims Fall Weekly jobless claims fell more than expected last week as the labor market remains strong. The Labor Department reported 212,000 Americans filed initial claims for unemployment benefits last week. That was down by 8,000 from the previous week and lower than 220,000 expected. Continuing jobless claims rose by 30,000 to 1.895 million vs 1.880 million expected in the week ending February 3. Cisco Drops After Light Guidance Cisco (CSCO) shares are down 4.0% ahead of the open after beating fiscal Q2 expectations but issuing weak guidance. Here’s how the company’s results compared to analysts’ estimates: Adjusted EPS: $0.87 vs $0.84 expected Revenue: $12.8 billion vs $12.7 billion expected Revenue was down 6% year over year. Cisco also announced plans to reduce its workforce by 5% as part of a restructuring plan “ to realign the organization and enable further investment in key priority areas.” The company forecast fiscal Q3 revenue between $12.1 billion and $12.3 billion, marking a 16% decline year over year at the middle of the range. Analysts were expecting guidance of $13.1 billion. Cisco forecast adjusted EPS between $0.84 and $0.86 vs $0.92 expected. For the full fiscal year, the company expects revenue between $51.5 billion and $52.5 billion, lower than its prior forecast of $53.8 billion to $55 billion. Cisco forecast full-year adjusted EPS between $3.68 and $3.74, down from $3.87 to $3.93 previously.
Continue Reading -->Coffee With Greta: Shaking It Off
DJIA Futures: +98 (+0.3%) SPX Futures: +22 (+0.4%) NASDAQ Futures: +98 (+0.6%) Good morning friends! Futures are rising as traders attempt to shake off Tuesday’s inflation-fueled tumble. Let’s get right to it! Airbnb Slips After Earnings Airbnb (ABNB) shares are down 4.2% ahead of the open despite beating Q4 revenue expectations. Here’s how the vacation rental company’s results compared to analysts’ estimates: Loss per share: $0.55, not comparable to estimates Revenue: $2.22 billion vs $2.16 billion expected Nights of accommodation and experiences booked rose 12% year over year to 98.8 million. Airbnb said it expects that growth rate to moderate in Q1. The company forecast Q1 revenue between $2.03 billion and $2.07 billion, up 12% to 14% from a year ago. Lyft Surges On Q4 Beat, Strong Guidance Lyft (LYFT) shares are rallying 21.9% in premarket trade after beating Q4 expectations and issuing better-than-expected guidance. Here’s how the ride-hailing service’s results compared to analysts’ estimates: Adjusted EPS: $0.18 vs $0.08 expected Revenue: $1.22 billion, as expected Revenue increased 4% year over year while gross bookings jumped 17% to $3.7 billion. Lyft initially made a mistake in its earnings press release, saying it expected 5% margin growth in 2024. That prompted the stock to surge more than 60% in after-hours trade on Tuesday. But the CFO corrected that mistake during the earnings call, saying they expect 0.5% growth. The adjusted profit margin as a percentage of bookings is anticipated to be 2.1% this year vs 1.6% in 2023. Lyft expects gross bookings in Q1 to be between $3.5 billion and $3.6 billion, beating expectations for $3.46 billion. Robinhood Soars On Surprise Profit Robinhood (HOOD) shares are up 14.9% ahead of the open after reporting a surprise profit in Q4. Here’s how the online brokerage’s results compared to analysts’ estimates: EPS: $0.03 vs $0.01 loss expected Revenue: $471 million vs $455 million expected Monthly active users rose to 10.9 million from 10.3 million in Q3. Average revenue per user also rose to $81 from $80. Robinhood cited those metrics as signs that retail traders are returning to the market. Mortgage Demand Drops As Rates Surge Homebuyers pulled back last week as mortgage rates jumped higher. The Mortgage Bankers Association reported total application volume dropped 2.3% last week from the previous week. Purchase applications dropped 3% weekly and 12% year over year. Refinance applications fell 2% weekly and were still up 12% compared to the same week a year ago. The decrease in activity came as the average 30-year fixed contract rate rose to 6.87% from 6.80%, the highest since early December. Rates have since pushed back above 7% this week after the hotter-than-expected CPI data on Tuesday.
Continue Reading -->Coffee With Greta: Hot Inflation Stunts Rally
DJIA Futures: -361 (-0.9%) SPX Futures: -63 (-1.3%) NASDAQ Futures: -303 (-1.7%) Good morning friends! Futures are falling after the release of hotter-than-expected inflation data. Let’s get right to it! Yields Jump, Stocks Drop On Hot CPI Treasury yields are rising while stocks are sliding after the January CPI came in hot. The Bureau of Labor Statistics’ consumer price index rose 0.3% last month and 3.1% year over year. That was higher than expectations for a 0.2% monthly and 2.9% annual gain. The core CPI rose 0.4% monthly and 3.9% annually vs 0.3% monthly and 3.7% annually expected. Higher housing prices accounted for much of the increase with shelter prices up 0.6% monthly and 6% annually. Food prices rose 0.4% monthly and energy prices dropped 0.9%. The 10-year Treasury yield is up nine basis points at 4.28% while the 2-year yield is up 11 basis points at 4.6%. Coca-Cola Rises On Sales Beat Coca-Cola (KO) shares are up 1.2% ahead of the open after reporting mixed Q4 results. Here’s how the beverage giant’s results compared to analysts’ estimates: Adjusted EPS: $0.49, in line with expectations Revenue: $10.85 billion vs $10.68 billion expected Total revenue rose 7% year over year while organic revenue jumped 12%. Sales volume in North America shrank 1% but higher prices helped offset that decline. Coke forecast 2024 organic revenue growth of 6% to 7% in 2024 with comparable EPS expected to grow 4% to 5%. Shopify Drops Despite Earnings Beat Shopify (SHOP) shares are tumbling 12.3% in premarket trade despite beating Q4 expectations on the top and bottom line. Here’s how the e-commerce platform’s results compared to analysts’ estimates: Adjusted EPS: $0.34 vs $0.30 expected Revenue: $2.14 billion vs $2.08 billion expected Gross merchandise volume rose 23% to $75.1 billion vs $72.2 billion expected. Shopify forecast 2024 revenue growth year over year at a “low-twenties” percentage rate. Analysts were anticipating revenue of $8.39 billion which implies 19% growth. But the company warned it expects “meaningfully higher” operating expenses in the first quarter, which appears to be weighing on the stock. Hasbro Drops On Q4 Miss, Weak Outlook Hasbro (HAS) shares are down 5.8% ahead of the open after missing Q4 expectations and issuing weak guidance. Here’s how the toy maker’s results compared to analysts’ estimates: Adjusted EPS: $0.38 vs $0.65 expected Revenue: $1.29 billion vs $1.34 billion expected Revenue dropped 23.2% year over year and it was the third straight quarter Hasbro has missed earnings expectations. The company’s Wizards of the Coast and Digital Gaming segments saw revenue rise 10% from a year ago. But Consumer Products revenue dropped 25% as toys and game volume sank 19%. Entertainment revenue also plunged 31%. Hasbro said it expects Wizards of the Coast revenue to fall between 3% and 5% in 2024 with Consumer Products revenue down 7% to 14%.
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