Several companies have been making headlines in midday trading. Ulta Beauty saw its shares fall 3% after being downgraded by Jefferies from a buy rating to a hold due to rising competition. Netflix also experienced a decline of more than 7% after announcing it will stop reporting subscriber growth in its quarterly earnings next year, leading to its worst day since July. Conversely, Shopify shares rose 1.8% after Morgan Stanley upgraded the e-commerce company to overweight, citing confidence in its growth potential, particularly in international expansion and operating leverage upside.
Energy stock SLB fell nearly 2% despite reporting first-quarter results that mostly met expectations. With $8.71 billion in revenue, slightly above the $8.69 billion projected by analysts, SLB’s adjusted earnings of 75 cents per share matched expectations. However, the company did note a year-over-year decline in revenue in North America. American Express, on the other hand, saw its shares rise 4.5% after reporting first-quarter diluted earnings per share of $3.33, surpassing the $2.95 expected by analysts. The company also reported revenue of $15.8 billion, exceeding the consensus estimate of $15.79 billion, with U.S. consumer spending increasing by 8% from the previous year.
Super Micro Computer experienced a sharp decline of more than 17% following the announcement that its fiscal third-quarter results will be released on April 30 without any guidance prior to the report. Ibotta, a technology company, saw a nearly 6% drop in its shares the day after its initial public offering, although the stock still remains around 11% above its IPO price. Paramount, on the other hand, saw its shares climb more than 8% after reports indicated that Sony Pictures Entertainment and Apollo Global Management are considering a joint acquisition of the media company. PPG Industries, a materials stock, slumped nearly 3% after missing Wall Street’s revenue estimates in the first quarter due to falling sales volume.
Intuitive Surgical saw its shares tick down nearly 2% despite beating expectations on both the top and bottom lines in the first quarter. The company also raised its full-year procedural growth forecast to 14% to 17%, up from the previous estimate of 13% to 16%. Overall, these companies represent a diverse range of industries and performances in the stock market, with some seeing declines due to various factors such as competition, revenue misses, and lack of guidance, while others experience gains from strong earnings reports and growth prospects. Investors will continue to monitor these companies closely as they navigate the ever-changing market.
