Wall Street's main indexes ended Tuesday's session with gains as investors looked ahead to the Federal Reserve's monetary policy update while they digested a mixed batch of earnings reports.
Market Snapshot
The Dow Jones Industrial Average rose 123.91 points, or 0.38%, to 33,052.87, the S&P 500 gained 26.98 points, or 0.65%, to 4,193.8 and the Nasdaq Composite added 61.76 points, or 0.48%, to 12,851.24.
Market Movers
Caterpillar (CAT) reported third-quarter adjusted earnings of $5.52 a share, better than analysts’ expectations of $4.80. Revenue of $16.81 billion at the construction and mining equipment maker also came in better than expected. The stock, however, closed down 6.7% after backlog declined.
Pfizer (PFE) reported a third-quarter adjusted loss of 17 cents a share, wider than Wall Street estimates that called for a loss of 8 cents. The drugmaker saw more declines for its Covid-19 products. Shares were flat.
Shares of JetBlue Airways (JBLU) fell 10.5% after the carrier reported a third-quarter loss that was wider than forecasts and revenue that missed Wall Street estimates, and warned its fourth-quarter loss also would be wider than expectations.
Arista Networks (ANET) rose 14% and was the best-performing stock in the S&P 500 after the networking-equipment provider reported adjusted earnings in the third quarter of $1.83 a share, better than analysts’ estimates of $1.58. The company said it expects fourth-quarter revenue of $1.5 billion to $1.55 billion versus expectations of $1.47 billion.
Lattice Semiconductor (LSCC) reported better-than-expected adjusted third-quarter earnings but the stock sank 17% after the company said it expects fourth-quarter sales of between $166 million and $186 million, lower than estimates of $196 million.
Sarepta Therapeutics (SRPT) dropped 37% after the biotech company released mixed study results for its gene therapy treatment for Duchenne muscular dystrophy. Catalent (CTLT), the manufacturer of Sarepta’s gene therapy, fell 13.9%.
Pinterest (PINS) reported third-quarter adjusted earnings of 28 cents a share, topping Wall Street estimates of 21 cents. Revenue of $763.2 million was up 11% from a year earlier and also was better than forecasts. The social-media site said it expects fourth-quarter revenue to increase between 11% and 13%. Shares rose 18%.
Wolfspeed (WOLF) reported a fiscal first-quarter loss that was narrower than expected. For the second quarter, Wolfspeed said it anticipates an adjusted loss from continuing operations of 56 cents to 70 cents a share. Analysts forecast a loss of 69 cents. Shares of the silicon-carbide company jumped 22%.
VF Corp. (VFC) missed fiscal second-quarter earnings estimates and pulled its guidance for fiscal 2024, saying that efforts to turn around sales of its Vans brand have been faltering. The stock fell 14% and was the worst performer in the S&P 500.
Third-quarter profit at BP (BP) missed analysts’ expectations and U.S.-listed shares of the the British oil company closed down 4.7%. BP reported an underlying replacement cost profit of $3.29 billion in the quarter, up from $2.59 billion in the second quarter. Analysts were expecting third-quarter underlying replacement cost profit of $4.13 billion.
Anheuser-Busch InBev (BUD) maintained its full-year guidance despite a hit to U.S. sales as some drinkers boycotted Bud Light. Revenue in the U.S. declined by 14% in the third quarter as AB InBev’s flagship American brand Bud Light faced a conservative boycott over its marketing partnership with transgender influencer Dylan Mulvaney. American depositary receipts of AB InBev rose 5.3%.
Market News
WeWork plans to file for bankruptcy as early as next week, source says
WeWork (NYSE: WE) is poised to file for bankruptcy possibly next week, marking a downturn for the once $47 billion-valued flexible-office-space giant, as reported by the Wall Street Journal, which cited people familiar with the matter.
As a result, shares plunged more than 40% after-hours. According to the report, the New York firm is planning a Chapter 11 petition in New Jersey.
Musk says Tesla aims to make 200,000 Cybertrucks a year
Tesla (TSLA.O) is aiming to make 200,000 units of its electric pickup truck, Cybertruck, per year, Chief Executive Officer Elon Musk said on Tuesday. The company had earlier said that Tesla had the capacity to make more than 125,000 Cybertrucks annually, with Musk adding there was potential to lift it to 250,000 in 2025.
The deliveries of the much-awaited pickup truck will begin on Nov. 30, nearly four years after it was unveiled by Musk at an event in Los Angeles, where his head of design cracked the vehicle's "armor glass" window with a metal ball while demonstrating a series of tests to the audience.
