Several companies made headlines before the market opened. Procter & Gamble’s stock decreased by 0.8% following a revenue report that did not meet expectations. The household goods company reported revenue of $21.74 billion, while analysts surveyed by LSEG had predicted $21.91 billion. This shortfall was attributed to decreased demand in China. However, the company’s adjusted earnings per share were $1.93, surpassing the estimated $1.90.
Netflix experienced a 6.3% increase in shares after surpassing Wall Street’s third-quarter expectations. The streaming service reported earnings per share of $5.40 and revenue of $9.83 billion, exceeding LSEG’s predictions of $5.12 per share and $9.77 billion in revenue. Additionally, Netflix’s ad-supported membership tier grew by 34% quarter-over-quarter.
CVS Health shares plummeted by 11% following the announcement that David Joyner would replace Karen Lynch as CEO. The company also provided a third-quarter earnings per share guidance of between $1.05 and $1.10, which was below the $1.69 expected by analysts surveyed by FactSet.
WD-40’s shares fell by 4% after reporting disappointing earnings for the fiscal fourth quarter. The company announced earnings per share of $1.23, missing the FactSet consensus estimate of $1.34. Its full-year earnings guidance of $5.20 to $5.45 per share also fell short of the projected $5.69 per share.
Western Alliance Bancorp’s stock dropped more than 4%, despite exceeding top-line revenue expectations of $823 million compared to LSEG’s $808 million estimate. The bank’s net interest income fell by 3% in the third quarter.
American Express shares decreased by 3.4% due to a mixed earnings report. Its revenue of $16.64 billion did not meet the LSEG consensus forecast of $16.67 billion, although its earnings per share of $3.49 surpassed estimates of $3.28.
Apple’s stock rose by 2% after reports from Bloomberg indicated that iPhone sales in China increased by 20% year-over-year in the initial three weeks of sales.
Coherent’s shares dropped more than 5% after B. Riley downgraded the stock from ‘buy’ to ‘neutral,’ citing limited potential growth after a 142% surge in 2024.
SLB shares dipped 1.7% when Schlumberger’s third-quarter revenue fell short of expectations. It reported revenue of $9.16 billion, which was below the $9.25 billion LSEG consensus. Nevertheless, adjusted earnings of 89 cents per share exceeded the anticipated 88 cents.
Intuitive Surgical’s stock gained over 6% after outperforming expectations in both revenue and earnings for the third quarter. The company earned $1.84 per share on $2.04 billion in revenue, compared to LSEG’s forecasts of $1.63 per share and $2 billion in revenue.
Ally Financial’s shares declined nearly 1%, even though its third-quarter earnings outpaced analysts’ estimates. The digital bank announced adjusted earnings per share of 95 cents on $2.1 billion in revenue, surpassing FactSet’s expectation of 52 cents per share and $2.03 billion in revenue.
Crown Holdings saw a rise of more than 4% in shares after increasing its full-year earnings guidance. The company now anticipates adjusted earnings per share of $6.25 to $6.35, above FactSet’s estimate of $6.15. Third-quarter adjusted earnings exceeded expectations, while revenue was consistent with forecasts.
Comerica’s shares rose nearly 1% following a stronger-than-expected third-quarter report. The mid-sized bank reported earnings per share of $1.33 on $534 million in revenue, outperforming the FactSet expectations of $1.17 per share and $527.9 million in revenue, despite a year-over-year decline in net income.
The report included contributions from CNBC’s Pia Singh, Sarah Min, Jesse Pound, and Michelle Fox.
