Pre-Bell|U.S. Stock Futures Rose Slightly Ahead of Apple's Launch Day; NIO Slid Over 5% After a Disappointing Result

Tiger Newspress2022-09-07

U.S. stock futures were flat Wednesday after the major averages added to weeks of losses amid a jump in bond yields in the previous session. Investors are split on how to approach the market entering the first post-Labor Day week in September, a notoriously cruel month for stocks.

Market Snapshot

At 7:50 a.m. ET, Dow e-minis were up 34 points, or 0.11%, S&P 500 e-minis were up 4.75 points, or 0.12%, and Nasdaq 100 e-minis were up 15.25 points, or 0.13%.

Pre-Market Movers

bioAffinity Technologies, Inc. rose 26.4% to $6.81 in pre-market trading after dropping around 24% on Tuesday. The company, last week, priced its IPO at $6.125 per unit.

Spero Therapeutics Inc. shares rose 20.4% to $1.36 in pre-market trading. Spero Therapeutics shares jumped over 55% on Tuesday after the company received minutes from a Type A meeting with the FDA discussing steps required to resubmit the marketing application for tebipenem HBr.

Coupa Software Inc rose 12.2% to $62.60 in pre-market trading as the company posted better-than-expected results for its second quarter and issued strong forecast for FY23. The company also announced a $100 million buyback program.

UiPath fell 21.1% to $12.30 in pre-market trading after the company issued Q3 and FY23 sales guidance below analyst estimates.

Digital World Acquisition Corp fell 6.3% to $20.71 in pre-market trading. DWAC shares dropped over 11% on Tuesday following reports suggesting the shareholders have rejected the special purpose acquisition company's proposal to extend the deadline by a year for its merger with Donald Trump's Trump Media & Technology.

NIO Inc. fell 5.3% to $16.19 in pre-market trading after reporting Q2 results. NIO also said it sees Q3 revenue of $1,918 billion to $2,030 billion.

First Wave BioPharma, Inc. fell 7.8% to $3.89 in pre-market trading after jumping around 33% on Tuesday. First Wave BioPharma recently announced a 1:30 reverse stock split.

Allena Pharmaceuticals Inc. fell 10.9% to $0.0648 in pre-market trading. Allena Pharmaceuticals shares dipped over 30% on Tuesday after the company announced it has filed for bankruptcy.

Market News

Apple’s mega Far Out event is just hours away. This virtual and in-person event will start today at 10am Pacific Time. Though Apple hasn’t given out much, it is anticipated that the company will launch several hardware products, including the much-awaited iPhone 14. 

Tesla Motors shortened the delivery waiting period for its best-selling models to six to 10 weeks. The buyers will still have to wait for 10 to 14 weeks after placing the orders for the long-range version of Model Y; however, this is still significantly lower compared to a previous wait time of 16 to 20 weeks. The reduction came as the company ramped up the output at its Shanghai plant.

A trial over Elon Musk's bid to end his $44 billion deal for Twitter should be delayed by several weeks to allow the billionaire to investigate a whistleblower's claims about security on the social media platform, Musk's lawyer told a judge on Tuesday.

NIO Inc.'s total revenues were RMB10,292.4 million (US$1,536.6 million) in the second quarter of 2022, representing an increase of 21.8% from the second quarter of 2021 and an increase of 3.9% from the first quarter of 2022.Net loss was RMB2,757.5 million (US$411.7 million) in the second quarter of 2022, representing an increase of 369.6% from the second quarter of 2021 and an increase of 54.7% from the first quarter of 2022. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB2,267.0 million (US$338.5 million) in the second quarter of 2022, representing an increase of 575.1% from the second quarter of 2021 and an increase of 73.1% from the first quarter of 2022.

The deal with Tencent Holding Ltd. values Ubisoft at $10 billion, or around 80 euros per share, compared with Tuesday's closing level of 43.5 euros.It makes Tencent Ubisoft's single biggest shareholder with an overall stake of 11% but which Tencent can take as high as 17%. Traders said that removed the speculative appeal of Ubisoft shares.

UiPath forecast third-quarter revenue of $243 million to $245 million and an annualized renewal run rate, or ARR, around $1.09 billion, while analysts had forecast revenue of $269.6 million and ARR around $1.12 billion. For the year, UiPath rolled back its forecast a bit. The company now expects revenue of $1 billion to $1.01 billion and ARR of $1.15 billion to $1.16 billion, compared with its previous forecast of revenue around $1.09 billion and ARR of $1.22 billion to $1.23 billion for the year.

Coupa Software Inc guided for revenue between $211 million to $214 million and adjusted earnings per-share between 8 cents to 10 cents in the third quarter. Analysts polled by FactSet expected $214.1 million in revenue and adjusted earnings of 6 cents a share.The company raised its fiscal 2023 outlook. Coupa said it now expects revenue between $838 million to $844 million and adjusted earnings per-share between 37 cents to 44 cents, up from its prior guidance of revenue between $838 million to $843 million and adjusted earnings per-share between 21 cents to 27 cents.

GitLab, Inc. generated a fiscal second-quarter net loss of $59.0 million, or 40 cents a share, compared with a loss of $40.2 million, or 75 cents a share, in the year-prior quarter. Revenue increased to $101.0 million from $58.1 million, while the FactSet consensus called for $94.4 million.

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