Several companies were making headlines before the bell, with McDonald’s shares dipping nearly 2% after the fast-food chain missed analysts’ quarterly earnings estimates. Despite a 1.9% increase in worldwide sales, the growth fell short of the 2.1% expected by analysts. Stellantis, the Jeep maker formerly known as Chrysler, also saw a decline of 3.6% in shares as first-quarter revenue came in lower than expected, with a 12% slide due to lower sales and foreign exchange effects.
Coca-Cola, on the other hand, dipped about 0.4% after reporting first-quarter results slightly ahead of expectations, with adjusted earnings per share of 72 cents on $11.30 billion of revenue. The increases in price and product mix were key drivers of revenue growth according to the soft drink maker. Tesla lost 1.9% in premarket trading after soaring 15.3% the previous day when it won approval from China to roll out its advanced driver-assistance service technology. Meanwhile, HSBC, Europe’s largest bank by assets, added 4.2% after beating first-quarter earnings expectations and announcing the departure of its Group CEO, Noel Quinn.
Eli Lilly shares popped nearly 7% after reporting first-quarter adjusted earnings of $2.58 per share, beating the consensus estimate of $2.46. The maker of the Mounjaro diabetes and weight loss drug also increased its full-year guidance for adjusted earnings and revenue, exceeding analysts’ expectations. 3M shares advanced 7.7% after the industrial products maker posted earnings of $2.39 per share on revenues of $7.72 billion, exceeding analysts’ estimates. 3M also announced a cut to its dividend, which it had raised for 64 consecutive years, after spinning off its healthcare unit earlier in the month.
Overall, the companies making headlines before the bell had mixed performances, with some surpassing expectations and others falling short. Companies like McDonald’s and Stellantis saw declines in share prices after missing quarterly earnings estimates, while Coca-Cola and Tesla had mixed performances. HSBC’s announcement of first-quarter earnings beating expectations led to a rise in shares, along with the news of the departure of its Group CEO. Eli Lilly and 3M both exceeded analysts’ expectations in their first-quarter results, leading to positive reactions in their share prices. The market reactions varied based on each company’s individual performance and outlook.
