Walt Disney’s stock plummeted by 10% after posting fiscal second-quarter results that beat estimates for adjusted earnings but slightly missed revenue expectations. The entertainment giant also reported strong growth in Disney+ subscribers but forecasted a loss within its direct-to-consumer entertainment business for the current quarter. Nvidia shares slipped about 1% after billionaire investor Stanley Druckenmiller revealed that he had reduced his stake in the chipmaker due to concerns about the overhyped nature of artificial intelligence in the short term. Ferrari NV’s U.S.-traded shares fell nearly 5% despite beating Wall Street’s estimates for the first quarter, as the company reaffirmed its previous revenue and earnings per share guidance for the year.
Datadog’s shares tumbled 10% following the announcement that Amit Agarwal would step down as president by year-end. The cloud application maker reported better-than-expected adjusted earnings and revenue for the first quarter, but deferred revenue was below expectations. Lucid Group, a prominent electric vehicle company, saw its stock drop 13% after reporting a larger loss per share than anticipated by FactSet. Palantir Technologies, a defense tech firm, plunged nearly 14% despite topping revenue expectations and meeting estimates for adjusted earnings due to disappointing full-year guidance.
UBS Group’s U.S.-traded shares surged nearly 7% after the bank reported first-quarter results that exceeded expectations, with earnings per share of 52 cents on revenue of $12.74 billion. Rocket Lab’s shares declined nearly 4% after the aerospace manufacturer posted lower-than-expected revenue in the first quarter, with a delay in launching its Neutron rocket until mid-2025. Peloton’s stock rose by 13% following reports that private equity firms were considering taking the company private, while Hims & Hers Health gained 7% on better-than-expected second-quarter revenue guidance.
Target, a retail giant, saw its stock rise 1.3% following bullish analyst calls from Citi and UBS, both of which upgraded the stock and cited positive catalysts ahead of the first quarter earnings report. Simon Property Group, a mall operator, jumped 4% after beating revenue expectations for the first quarter. Overall, the market saw a mixed reaction to various companies’ earnings reports and guidance, with some stocks experiencing significant declines while others received positive analyst evaluations and surpassed revenue expectations.
