U.S. stock index futures edged higher on Wednesday, with focus on services activity data due later in the day after a report earlier this week amplified economic slowdown worries, while PayPal gained on raising its profit forecast.
Market Snapshot
At 8:00 a.m. ET, Dow e-minis were up 138 points, or 0.43%, S&P 500 e-minis were up 19 points, or 0.46%, and Nasdaq 100 e-minis were up 59.75 points, or 0.46%.
Pre-Market Movers
CVS Health (CVS) – The drug store operator and pharmacy benefits manager saw its shares rise 3.8% in the premarket afterbeating top- and bottom-line estimatesand raising its full-year earnings forecast. Results were helped by strong sales of over-the-counter Covid-19 tests as well as an upbeat performance by its insurance unit.
Under Armour(UAA) – The athletic apparel maker gained 2% in premarket action despite cutting its full-year earnings forecast. Increased promotional activity and currency headwinds have impacted Under Armour's profit margins, but it did report earnings for its most recent quarter that matched estimates and revenue that was slightly ahead of consensus.
Moderna(MRNA) – The vaccine maker reported better-than-expected profit and revenue for its latest quarter and also announced a $3 billion share repurchase program. Moderna also maintained its full-year sales outlook, and its stock gained 2.6% in premarket action.
Starbucks(SBUX) – Starbucks shares rose 1.8% in the premarket after it reported better-than-expected quarterly profit and revenue. Global comparable store sales did come in below forecasts, however, due to weakness in the locked-down China market.
Sierra Wireless(SWIR) – The provider of connectivity technology agreed to be acquired by Canadian semiconductor makerSemtechfor $31 per share in cash or $1.2 billion. Sierra Wireless surged 7.8% in the premarket, while Semtech shares fell 1.5%.
Dish Network(DISH) – The satellite TV company added 1.3% in premarket trading after reporting better-than-expected quarterly earnings. The bottom-line beat came despite a slight revenue miss and the loss of 257,000 pay TV subscribers during the quarter.
SoFi(SOFI) – The fintech company's stock soared 10.9% in premarket action after it reported a smaller-than-expected loss and better-than-expected revenue. It also issued strong full-year revenue guidance. Results were helped by a 91% jump in personal loan origination volume.
Match Group(MTCH) – Shares of the dating service operator tumbled 21.4% in the premarket after it reported lower-than-expected quarterly results and said top-line growth would be flat during the second half of the year. Match also announced the departure of Renate Nyborg, CEO of its Tinder unit.
Airbnb(ABNB) – Airbnb reported better-than-expected quarterly earnings with its revenue essentially in line, as travel demand boomed. However, the stock slid 7.3% in premarket trading after it issued a lighter-than-expected bookings forecast for the current quarter.
Market News
Uber Sells 7.8% Stake in India's Zomato for $392 Million
Uber Technologies on Wednesday sold its 7.8% stake in Indian food delivery firm Zomato Ltd for $392 million via a block trade on local exchanges, two sources familiar with the matter told Reuters.
The deal was executed at 50.44 rupees per share, they said.
Yum Shares Slid Premarket After Q2 Earnings Fall Short of Estimates
Yum Brands Inc. $(YUM)$ posted weaker-than-expected second-quarter earnings on Wednesday, and sales that fell short of forecasts, sending the stock lower premarket.
The company had net income of $224 million, or 77 cents a share, for the quarter, down from $391 million, or $1.29 a share, in the year-earlier period.
Regeneron Quarterly Profit Slips As COVID Antibody Sales Dry up
Regeneron Pharmaceuticals reported a 72.5% fall in quarterly profit on Wednesday, hurt by lacklustre sales of its COVID-19 antibody cocktail after the U.S. health regulator decided to limit its use earlier this year.
The drugmaker's net profit fell to $852 million, or $7.47 per share, in the second quarter ended June 30, compared with $3.1 billion, or $27.97 per share, a year earlier.
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