Dell Technologies Inc. and HP Inc reported quarterly financial results that suggest a long-awaited recovery of the personal computer market is stalling. The shares of each company sank in overnight trading.
Revenue generated by Dell’s PC business declined 1% to $12.1 billion in the fiscal third quarter, falling short of estimates. While sales in HP’s PC unit rose 2% to $9.59 billion in the similar three-month period, that too missed the average analyst estimate.
For the quarter ending in February, Dell gave a revenue outlook of about $24.5 billion. Analysts, on average, projected $25.4 billion. Adjusted earnings will be $2.40 a share to $2.60, compared with the average estimate of $2.66.
HP’s outlook also failed to impress. Earnings, excluding some items, will be 70 cents to 76 cents a share in the period ending in January, the Palo Alto, California-based company said. Analysts, on average, projected 86 cents.
CrowdStrike shares fell 5.4% in overnight trading after the cybersecurity company issued a disappointing fourth-quarter outlook. For the current quarter, CrowdStrike expects to earn between 84 cents and 86 cents per share, while the consensus estimate was 86 cents per share, per LSEG. However, third-quarter earnings and revenue topped Wall Street’s expectations.
Bitcoin has climbed back above $92,000 after briefly dropping to $90,000. Crypto stocks rebounded in overnight trading following sharp declines yesterday. Bit Digital and MicroStrategy rose 4%; CleanSpark rose 3%; Marathon Digital rose 2%; Coinbase and Riot Platforms rose 1%.
Autodesk shares tumbled 8.8% in overnight trading as the software company’s forecast failed to impress investors. Autodesk is calling for fourth-quarter earnings to range from $2.10 to $2.16 per share, excluding items, on revenue of $1.623 billion to $1.638 billion. Analysts polled by LSEG were looking for earnings of $2.12 per share and revenue of $1.62 billion. The company also named Janesh Moorjani as chief financial officer, effective Dec. 16.
Nutanix Inc. shares rise 5% in overnight trading after the cloud infrastructure company offered upbeat guidance for the current quarter. Nutanix sees revenue ranging between $635 million and $645 million in the fiscal second quarter, while consensus estimates per LSEG anticipated $631 million.
Workday stock slid 10.1% in overnight trading after the human resources software company announced that it sees its subscription revenues and its operating margin coming in lower-than-expected for the fourth quarter. Workday forecasted $2.025 billion in subscription revenues and an operating margin of 25% for the period, while analysts polled by StreetAccount estimated $2.04 billion in subscription revenues and an operating margin of 25.5%.
Nordstrom shares slipped 3.7% in overnight trading after the clothing retailer issued a modest sales forecast for the full year. Nordstrom sees revenue growth ranging from flat to 1% for the full year. That compares to an earlier guidance range that called for a decline of 1% to growth of 1%. Revenue for the third quarter topped analysts’ estimates, coming in at $3.46 billion, versus estimates for $3.35 billion, per LSEG.
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