U.S. stock index futures rose on Wednesday, with high-growth stocks gaining as a recent rally in Treasury yields paused, while investors took comfort from upbeat earnings reports and signs of easing tensions in Ukraine.
Market Snapshot
At 7:52 a.m. ET, Dow E-minis were up 209 points, or 0.59%, S&P 500 E-minis were up 38 points, or 0.84% and Nasdaq 100 E-minis were up 185.25 points, or 1.26%.
Pre-Market Movers
Peloton (PTON) – Peloton added 1% in premarket trading after surging more than 20% in each of the past two sessions. Yesterday’s gains came after the fitness equipment maker announced that CEO John Foley was stepping down in favor of former Spotify and Netflix CFO Barry McCarthy and that the company would be cutting 20% of its corporate positions.
Canopy Growth (CGC) – The Canada-based cannabis producer’s stock rallied 6% in the premarket after it reported a narrower-than-anticipated loss as well as better-than-expected revenue for its latest quarter. Cannabis sales declined but were offset by growth in its drinks and vapes categories.
Reynolds Consumer Products (REYN) – Reynolds shares fell 1.8% in premarket trading after the consumer products company reported a mixed quarter: beating bottom-line estimates but reporting revenue that fell short of Wall Street forecasts. Reynolds also forecast weaker-than-expected revenue for the current quarter.
Chipotle Mexican Grill (CMG) – Chipotle reported an adjusted quarterly profit of $5.58 per share, beating the $5.25 consensus estimate, with revenue in line with analyst forecasts. The restaurant chain said it was raising menu prices to deal with higher costs for labor and food, and said they would likely be raised again this year. Chipotle jumped 6.1% in the premarket.
Lyft (LYFT) – Lyft earned an adjusted 9 cents per share for its latest quarter, 1 cent above estimates, with the ride-hailing service also reporting better-than-expected revenue. The stock fell 3.7% in the premarket as ridership numbers came in below analyst forecasts, although that was offset by higher fares and longer trips by Lyft customers.
Nikola (NKLA) – Nikola denied a report that it instituted a hiring freeze and that the electric truck maker has lost nearly its entire supply chain leadership. Nikola said its supply chain department is “intact” and it continues to hire. The stock added 1.4% in premarket trading.
Xpeng (XPEV) – Xpeng leaped 6.8% in the premarket after the electric vehicle maker’s Hong Kong shares were included in a trading link to mainland China. Inclusion in the Shenzhen-Hong Kong Stock Connect link allows Chinese investors easier access to those shares.
Enphase Energy (ENPH) – Enphase surged 20.3% in premarket action following a better-than-expected quarterly report from the maker of solar and battery systems. Enphase earned an adjusted 73 cents per share for the quarter, beating the 58-cent consensus estimate.
XPO Logistics (XPO) – The logistics company’s shares jumped 3.4% in the premarket after its quarterly results exceeded analyst forecasts. XPO said strong North American trucking business was among the factors driving those results.
Container Store (TCS) – The specialty retailer’s shares tumbled 26% in the premarket despite better-than-expected profit and sales for the company’s most recent quarter. Overall sales were down 3% from a year ago and online sales tumbled by 36% compared with a year earlier.
NCR (NCR) – The financial technology and services company’s stock soared 11.3% in premarket trading after it said it would conduct a strategic review of its operations, adding that it believes there is substantial shareholder value yet to be unlocked.
Market News
Japan's SoftBank Group Corp said on Wednesday there was no link between Alibaba registering a U.S. share facility and any specific plans to sell down its stake in the Chinese e-commerce giant.
Nikola Corp's supply-chain department is "intact" and it continues to hire, the electric-truck maker said on Tuesday, in response to a report that it had hit pause on hiring amid executive exits.
Bilibili Inc said late on Tuesday it would hire 1,000 new content moderators and more closely monitor the health of its workers, after the death of an employee prompted accusations that it was overworking its staff.
Bitcoin’s “fair value” is around 12% below the current price, based on its volatility in comparison with gold, according to JPMorgan Chase & Co. strategists led by Nikolaos Panigirtzoglou.
Britain's GSK forecast growth in 2022 after racking up 1.4 billion pounds ($1.9 billion) in COVID-related sales in 2021, beating quarterly forecasts in its first earnings report since rejecting Unilever's bid for its consumer arm.
PayPal formed an advisory council to support digital asset-related products and create a digital financial system, according to a release.
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