U.S. stock index futures edged lower on Friday. Payrolls rose by 263,000 in November, more than expected despite Fed rate hikes.
Market Snapshot
Dow e-minis were down 452 points, or 1.31%, S&P 500 e-minis were down 56.5 points, or 1.38%, and Nasdaq 100 e-minis were down 260.25 points, or 2.16%.
Pre-Market Movers
Marvell Technology – The chip maker’s stock slid 4.9% in the premarket after quarterly sales and profit fell short of Wall Street estimates. Marvell also issued a weaker than expected outlook. Inventory
Zscaler – The cloud security company reported a better than expected quarter, but its stock slumped 9.1% in premarket trading following conservative guidance. Zscaler said customers are taking longer to close new deals, and that it faces other headwinds as well.
Horizon Therapeutics – The drug maker’s shares added 3.2% in premarket action afterSanofi(SNY) said that if it decided to make an offer for Horizon, it would be an all-cash offer. Horizon shares had soared 27.3% last Friday on news that it was in talks with several potential takeover partners.
DoorDash – DoorDash shares fell 2.8% in premarket trading after RBC Capital Markets downgraded the stock to “sector perform” from “outperform.” RBC praises the delivery service’s execution and management but says it is uncomfortable with the current valuation given the potential for order deceleration.
Rigel Pharma – Rigel’s stock soared 34% in the premarket after the FDA approved its drug to treat a certain type of leukemia.
Opendoor Technologies – The digital real estate platform operator named Chief Financial Officer Carrie Wheeler as its new CEO, replacing company co-founder Eric Wu. Wu will transition into the role of “president of marketplace.” Opendoor lost 2.7% in premarket action.
PagerDuty – The cloud computing company’s stock jumped 6.6% in premarket trading after it reported an unexpected quarterly profit.
Asana – The work management platform operator forecast weaker than expected current quarter sales, stemming from what it called “macroeconomic cross currents.” Asana slumped 14.4% in the premarket.
Owens Corning – The building and construction materials maker announced a 50% quarterly dividend increase to 52 cents per share, as well as a buyback program of up to 10 million shares.
Market News
Buffett-Backed BYD Reported Nov Sales Growth of ~153% Y/Y
BYD sold 230,427 new energy vehicles (NEVs) in November, a new all-time high and the third consecutive month of over 200,000 units.
This is up 152.61 percent from 91,219 vehicles in the same month last year and up 5.8 percent from 217,816 vehicles in October, according to an HKEX announcement today.
Tesla Delivers First Semi Truck to PepsiCo
Tesla announced at an event late on Thursday the delivery of its first electric semis to PepsiCo.
The 500-mile range Tesla Semi features three electric motors, with one of them driving the truck for most of a trip and the other two used mostly for acceleration, torque and hard pulling. Tesla Semi Program manager Dan Priestley detailed that the three motors are used to create a smooth driving experience that will be unique for a Class 8 truck. The company has said previously the Semi can achieve better than 2 kWh-per-mile efficiency, which works out to about $70K in fuel savings per year depending on their cost of electricity.
RBC Capital Downgrades DoorDash Due to Tough 2023 Setup
DoorDash fell in early trading on Friday after RBC Capital Markets cut its rating on the food delivery specialist to Sector Perform from Outperform.
Analyst Brad Erickson and team said they are not playing themacro card with the downgrade but pointed to a combination of evidence of slowing core order growth, limited EBITDA downside support and channel checks that indicated Uber is competing better in Manhattan as a proxy for overall performance.
Marvell Stock Sinks as Earnings Fall Short
Marvell Technology shares were sinking 6% premarket after the data-center semiconductor firm’s earnings and outlook disappointed Wall Street. The company said makers of storage equipment are reducing their stockpiles of chips, hurting its near-term results.
Marvell reported October quarter non-GAAP net income of $491.5 million, or 57 cents a share. Analysts polled by FactSet had forecast adjusted earnings of 59 cents a share. Revenue of $1.54 billion was a touch below estimates of $1.55 billion.
UiPath Stock Pops 14% Premarket As Results Top Street View
UiPath Inc. shares rallied 9.8% in premarket trading after the “software robot” provider’s quarterly results and outlook topped Wall Street estimates.
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