Coffee With Greta: Late Earnings Rush


DJIA Futures: -16 (-0.04%)

SPX Futures: -3 (-0.1%)

NASDAQ Futures: -25 (-0.1%)

Good morning friends!

Futures are slipping but still on track for a winning week.

Let’s get right to it!

Nike Falls After Disappointing Guidance

Nike (NKE) shares are down 6.4% ahead of the open after beating fiscal Q3 expectations but issuing disappointing guidance for the year ahead. 

Here’s how the sneaker retailer’s results compared to analysts’ estimates: 

  • EPS: $0.98 vs $0.77 expected
  • Revenue: $12.43 billion vs $12.28 billion expected

Revenue was unchanged year over year as sales slowed in China. 

Nike reiterated its expectation for sales growth of just 1% from a year ago in fiscal Q4. 

On the earnings call, executives said the first half of fiscal 2025 will be challenging with sales expected to be down by low single-digit percentages year over year. 

FedEx Rallies On Profit Beat

FedEx (FDX) shares are jumping 10.4% in premarket trade after topping fiscal Q3 profit expectations. 

Here’s how the shipping giant’s results compared to analysts’ estimates:

  • EPS: $3.86 vs $3.43 expected
  • Revenue: $21.7 billion vs $22 billion expected

Sales were down from $22.2 billion in the same quarter a year ago, the sixth straight quarter of year-over-year declines. 

But it was also the third consecutive quarter of improved operating profit margins. 

FedEx’s operating profit margin rose to 6%, up 1% from a year ago and better than 5.5% expected. 

The company now expects full-year fiscal 2024 EPS between $17.25 and $18.25 vs the prior forecast for $17 to $18.50.

Lululemon Tumbles On Weak Guidance

Lululemon (LULU) shares are tumbling 13.1% ahead of the open after beating Q4 expectations but issuing soft guidance.

Here’s how the athletic apparel retailers results compared to analysts’ estimates: 

  • EPS: $5.29 vs $5.00 expected
  • Revenue: $3.21 billion vs $3.19 billion expected

Revenue rose 16% year over year. 

But sales rose just 9% in the Americas, down sharply from the 29% growth a year ago. 

International sales jumped 54%. 

Lululemon forecast net revenue in Q1 between $2.18 billion and $2.20 billion vs $2.25 billion expected. 

The company expects EPS between $2.35 and $2.40 vs $2.55 expected. 

For the full year, Lululemon sees EPS between $14 and $14.20 on $10.7 billion to $10.8 billion in revenue vs estimates for EPS of $14.13 on $10.9 billion in sales.

Reddit Slips After IPO

Reddit (RDDT) shares are falling 3.3% in premarket trade a day after the company made its debut on Wall Street. 

The stock began trading on the New York Stock Exchange at $47 per share and hit a high of $57.80 mid-session. 

That came after the company priced its IPO at $34 per share on Wednesday. 

RDDT closed at $50.44 per share on Thursday, up more than 48.3% on the day and valuing the company at $9.5 billion. 

Leave a Comment: