Several companies made headlines before the bell, with Hershey’s shares rising about 1% after the chocolate confectionary maker reported first-quarter earnings that beat expectations. Apple also saw a surge of over 7% after announcing plans to repurchase $110 billion of its own stock and posting a top- and bottom-line beat for the fiscal second quarter. Amgen’s shares soared 13% following a first-quarter earnings and revenue beat, as well as the announcement of moving forward with an injectable obesity drug into a phase 3 trial. Cloudflare, on the other hand, saw its stock plunge 12% after reporting weak full-year guidance despite beating first-quarter earnings and revenue expectations.
Expedia’s shares slipped 11% after issuing lower-than-expected guidance for the fiscal second quarter, with executives attributing the underperformance to its Vrbo segment. Fortinet’s stock dropped 8% after its second-quarter billings forecast midpoint fell short of analyst expectations, even though the company beat expectations for the first quarter. Block, a payment services provider, saw a 9% increase in shares after reporting adjusted earnings of 85 cents per share for the first quarter, surpassing analyst estimates. DaVita, a health-care provider, also saw a 5% increase in shares after posting better-than-expected first-quarter earnings and revenue.
Arista Networks gained almost 4% following an upgrade by Jefferies to a buy rating from hold, with the bank identifying the company as a potential beneficiary of artificial intelligence technology. Coinbase, a cryptocurrency exchange, saw its shares slip 2% after signaling potential rising expenses, despite beating first-quarter revenue expectations. Union Pacific’s shares rose over 1% after being upgraded to buy from hold by Stifel, which also raised its price target and highlighted a positive outlook for the business. Mister Car Wash also saw a 4% increase in its stock following an upgrade by JPMorgan to overweight, citing attractive valuation and improving trends as catalysts for the positive shift in sentiment.
Overall, various companies experienced different reactions in the stock market pre-bell, with some posting strong results that led to share price increases, while others faced challenges such as weaker guidance or forecasts that resulted in stock declines. Market analysts provided insights and upgrades for certain companies based on their performance and future potential, highlighting factors such as earnings beats, strategic moves, and growth opportunities that could impact stock prices in the short term and long term. Investors and traders continued to monitor these companies closely to make informed decisions about buying, selling, or holding positions in their stock portfolios.
