Nike's stock plunged nearly 7% in pre-market trading following the company's announcement that it expects sales to decline in the current quarter. Even with this decline, Nike was able to exceed analyst consensus expectations on revenue and earnings by a wide margin. Now, the company has lowered its sales expectations. This is all happening amid a growing industry uncertainty, as automakers are cutting their orders because they’re feeling the effects of former President Donald Trump’s tariff policies.
Micron Technology beat the street’s expectations handily, coming in at $1.56 adjusted earnings per share, on revenue of $8.05 billion. These numbers were higher than analysts predicted. Analysts were expecting earnings of $1.42 per share and revenue of $7.89 billion, based on LSEG polling. The strong earnings report led to a strong overall market reaction and more specifically demonstrated Micron’s capacity to beat industry expectations into the ground.
Adaptive Biotechnologies (ADPT) surged almost 4% after Goldman Sachs upgraded the genomic medicines firm from neutral to buy. This upgrade has gotten investors' attention, showing a strong sign of confidence in the company’s short-term performance.
U.S. Steel’s stock fell almost 1% after the company provided disappointing guidance for Q1. U.S. Steel had forecast a loss per share of 49 cents to 53 cents. That’s better than the 32 cents per share loss that analysts polled by FactSet had expected. This new guidance has sent shockwaves through the company’s near-term financial viability.
Lennar Corporation’s shares fell close to 4%. This decline was in line with the company’s guidance, which had called for new orders in the range of 22,500 to 23,500 for its fiscal second quarter. This forecast was well below the StreetAccount consensus estimate of 23,802 new orders. The reiterated guidance raises some red flags about the company’s ability to meet growing market expectations.
FedEx shares plummeted more than 8% after the package-delivery company slashed its full-year guidance. They cited a lack of demand and “weakness” in the U.S. industrial economy as one of the principal rationales behind this decision. That positive reception has since soured into investor trepidation about the company’s competence in braving a turbulent economic climate for the long haul.