Market Update

Movers: American Airlines, Cleveland-Cliffs, Cognizant, Disney, Infosys, KB Home, Logitech

Scott Peters
12 Jan, 2023
New York City

American Airlines Group Inc jumped 5.2% to $16.13 after the airline raised its fourth quarter revenue outlook on higher demand stronger-than-estimated prices. 

The company estimated fourth quarter total revenue to rise between 16% and 17% from the comparable quarter in 2019, higher than its prior guidance of up 11% to 13%.

The airline also lifted its adjusted earnings per share outlook range between $1.12 and $1.17 from 50 cents to 70 cents. 

The company said it has achieved more than half of its goal to reduce total debt by $15 billion by the end of 2025, with total debt down more than $7.5 billion in the first 18 months of the program.

Delta Air, United Airlines and Southwest rose between 2% and 3%.  

Bed Bath & Beyond added 15.5% to $4.02 extended rally to the second day after meme-stocks gained and speculators bid up stock of the struggling retailer. 

Bed Bath & Beyond stock has soared more 170% in the last five trading days. 

Cleveland-Cliffs Inc jumped 4.4% to $20.09 after Morgan Stanley lifted its stock rating to "overweight" from an "equal-weight."

Morgan Stanley analyst lifted its stock price target to $26 from $13.60.  

Revenue in the third quarter ending in September declined to $5.7 billion from $6.0 billion a year ago. Net income fell to $165 million or 29 cents from $1.3 billion or $2.33 a diluted earnings per share. 

Cognizant Technology Solutions Corp soared 8.1% to $66.44 after the company appointed former Infosys president Ravi Kumar as chief executive and a member of the board. 

The company also raised its estimate for the fourth quarter to $4.8 billion from the previous range between $4.72 billion and $4.77 billion. 

The company also estimated full-year 2022 adjusted earnings per share between $4.38 and $4.40 from the previous guidance between $4.43 and $4.46. 

Walt Disney Co increased 3.4% to $99.30 after the company elected independent director Mark Parker as chairman of the board and geared up for a proxy battle with activist investor Nelson Peltz.  

Infosys Ltd ADR increased 0.6% to $18.23 after the India-based tech services provider reported December quarter revenue increased 9.6% to $4.66 billion. 

Net income in the quarter increased to $800 million from $774 million and diluted earnings per share rose to 19 cents from 18 cents a year ago. 

The  company also said it has initiated the purchase of its stock on December 7 and as of today acquired 31.3 million or $600 million worth of its stock. 

The company has acquired 51.5% of total authorization of ?9,300 crore (about $1.15 billion) at an average price of ?1,531 per share (or $18.80), compared to maximum buyback price of ?1,850 per share (or $22.70).

KB Home declined 3.4% to $34.71 after the home-builder reported slightly weaker-than-expected quarterly results. 

Revenue in the fourth quarter 16% to $1.94 billion and homes delivered increased 3% to 3,786 and average selling price rose 13% to $510,400. 

Net income increased to $216.4 million from $174.2 million and diluted earnings per share increased to $2.47 from $1.96 a year ago.

The home-builder estimated revenue in the fiscal first quarter to range between $125 billion and $1.4 billion and average home price to range between $490,000 and $500,000.  

Logitech International SA plunged 17.1% to $56.35 after the computing devices maker lowered its sales outlook. 

Logitech said preliminary revenue in the fiscal third quarter ending In December between $1.26 billion and $1.27 billion, a decline between 22% and 23% in the U.S. dollars.  

Preliminary GAAP operating income is estimated to range between $171 million and $176 million, down between 33% and 35%, compared to $263 million in the same quarter a year ago.

 

Inflation Moderated In December After Energy Prices Declined

Barry Adams
12 Jan, 2023
New York City

Benchmark indexes traded higher after the inflation report came in line with expectations. 

The Consumer Price Index inflation fell 0.1% in December from November and eased to 6.5% on an annual basis, the BLS reported Thursday. 

The inflation index declined for the first time since May 2020 and seems to have peaked at 9.1% in June 2020. 

Energy prices rose 7.3% and food prices advanced 10.4% from a year ago and price increases for both categories were smaller than the rise in November. 

Core inflation accelerated to 0.3% from November and eased to 5.7% from a year ago. 

Cost of shelter stayed elevated and increased 0.8% on a monthly basis and jumped 7.5% from a year ago.  

Despite the easing of inflation, price increases are still significantly ahead of the Federal Reserve's target of 2%. 

 

U.S. Indexes In Review 

Benchmark indexes struggled in early trading after consumer price inflation was in line with expectations.  

The S&P 500 index fell  0.1% to  3,965.62 and the Nasdaq Composite index dropped 0.2% to 10,913.17. 

Crude oil rose 90 cents to $78.31 a barrel and natural gas advanced 11 cents to $3.78 a thermal unit. 

The yield on 2-year Treasury notes eased to 4.21%, 10-year Treasury notes edged lower to 3.50% and 30-year Treasury bonds inched lower to 3.62%. 

 

European Markets 

European markets extended gains to 9-month highs on the expectations of moderating inflation worldwide and ahead of the U.S. inflation report later today. 

The indexes accelerated gains after the U.S. inflation eased to 6.5% in December on the sharp decline in gasoline prices and declined 0.1% from the previous month, the Bureau of Labor Statistics reported Thursday. 

The DAX index increased 0.8% to 15,071.75, the CAC-40 index advanced 1.1% to 6,998.64 and the FTSE 100 index traded higher 0.6% to 7,768.75. 

 Suedzucker AG rose as much as 2% before turning lower 3% to

Japan's Current Account Turned to Surplus, China's Inflation Accelerated

Arjun Pandit
12 Jan, 2023
New York City

The Nikkei 225 index inched up 3.82 points to 26,449.82 traded in a tight range and the yen was in focus ahead of the release of the U.S. inflation data. 

Total bank lending increased 2.7% from a year ago in December and unchanged from November to 596.525 trillion yen, the Bank of Japan said Thursday. 

Overall bank lending in the fourth quarter increased 2.7% from a year ago. 

The yen traded lower to 131.75 against the U.S. dollar and financials and tech stocks led the gainers for the second week in a row. 

Japan's current account surplus rose 16.4% to 1,803.6 billion yen in November, the Ministry of Finance said Thursday. Current account deficit in October was 64.1 billion yen. 

November exports increased 20.7% from a year ago to 9.008 trillion yen and imports soared 33.8% to 10.546 trillion yen resulting in a trade deficit of 1.537 trillion yen.

 

China's December Inflation Accelerates 

China's consumer price index rebounded to 1.8% in December from an 8-month low of 1.6% in November driven by a 4.8% rise in food prices. Core inflation accelerated to 0.7% in December from 0.6% in November.  

The  Shanghai Composite Index edged up 1.61 points to 3,163.45 and the Hang Seng index increased 0.4% or 78.05 points to 21,514.10. 

 

India's Inflation Unexpectedly Falls In December 

The Sensex index in Mumbai edged lower 0.3% or 147.47 points and December inflation unexpectedly eased. 

India's consumer price index eased to 5.72% in December from 5.8% in November after vegetable prices fell 15% but fuel and power prices rose 11%. On a monthly basis, the index fell 0.45%.

India's industrial output rebounded to 7.1% increase in November from a fall of 4.1% in October. Mining output increased 9.7%, power production rose 12.7% and manufacturing advanced 5%. 

HCL said Dec quarter revenue increased 19.6% to ?26,700 crore and net income increased 19% to ?4,096 crore and diluted earnings per share rose 3.7% to ?50.94.

Infosys said December quarter revenues increased 20% to ?38,318 crore and net profit rose 13.4% to ?6,586 crore or earnings per share of  ?15.72.

Investors Bid Up Stocks Ahead Of Inflation Report

Barry Adams
11 Jan, 2023
New York City

Benchmark indexes closed higher and tech heavy indexes rose on the hopes of moderating inflation in December. 

The Nasdaq Composite index increased for the fourth session in a row on the expectations that moderating inflation may slow future rate hikes. 

Investors are looking for inflation to moderate to as low as 6.7% after gasoline prices plunged 12% in December from the previous month. 

On a monthly basis, inflation is expected to be flat after rising for four months in a row and 0.1% increase in November. 

Core inflation which excludes food and energy prices are expected to accelerate on a monthly basis to 0.4% in December from 0.2% in November. 

Consumer price index in November rose 7.1% on an annual basis and core inflation excluding food and energy jumped 6.0%, the Bureau of Labor Statistics reported last month. 

JP Morgan, Wells Fargo, Bank of New York Mellon, Citigroup and Bank of America are scheduled to release earnings on Friday. 

 

U.S. Indexes In Review 

The S&P 500 index increased 1.3% to 3,969.61 and the Nasdaq Composite index rose 1.8% to 10,931.67.

Crude oil prices rose as much as 2% on the hopes of recovering global demand as business activities in China recover and the government takes steps to support higher economic growth. 

Crude oil increased $2.78 to $77.83 a barrel and natural gas rose 5 cents to $3.69 a thermal unit.

Treasury bond yields edged lower ahead of the inflation report as investors estimated moderating of inflation in December after the recent drop in energy prices. 

The yield on 2-year Treasury notes edged lower to 4.22%, 10-year Treasury notes to 3.54% and 30-year Treasury bonds to 3.67%. 

 

European Markets Extend Gains On Moderating Inflation 

European markets extended this year's gains on the hopes of inflation moderation. 

ECB board member Isabel Schnabel and the governing council member Robert Holzmann made comments supporting a gradual increase in rates to restrictive levels to lower inflation to 2%. 

Government bond yields in the region drifted lower and extended the two-week decline on the hopes of moderating rate hikes. 

The yield on Italian government bonds dropped to  4% and the German Bunds traded below 2.2%, away from the 11-year high 2.6% reached on December 30.   

Investors also awaited the release of December month U.S. inflation data on Thursday. 

U.S. consumer price index in November rose 7.1% on an annual basis and core inflation excluding food and energy jumped 6.0%,the Bureau of Labor Statistics reported last month. 

The December month inflation is expected to hover near 7% and core inflation is expected to edge slightly lower. 

JP Morgan, Wells Fargo, Bank of New York Mellon, Citigroup and Bank of America are scheduled to release earnings on Friday. 

 

Italy's Retail Sales Rebounded In November 

Italy's retail sales in November rose 0.8% after falling 0.3%in October, data from the statistical office Istat showed Wednesday. 

Sales of food increased 0.3% and non-food items rose 1.0% on a monthly basis and on an annual basis retail sales jumped 4.4% after rising 1.2% in October. 

Retail sales have been rising since March 2021. 

 

European Bond Yields Slide On Moderating Inflation Hopes 

The yield on 10-year German Bunds decreased to 2.19%, French bonds decreased to 2.67%, UK Gilts to 3.39% and Italian bonds to 4.03%.

The euro edged higher to $1.07 and the British pound increased to $1.21.

 

Crude Oil Advances On China Hopes 

Crude oil prices rose as much as 2% on the hopes of recovering global demand as business activities in China recover and the government takes steps to support higher economic growth. 

Brent crude oil increased $1.37 to $81.45 a barrel and the Dutch TTF natural gas futures contract edged down 6.3% to

Movers: Bed Bath & Beyond, Expedia, Intuitive Surgical, Pool Corp, Tesla, Toll Brothers

Scott Peters
11 Jan, 2023
New York City

Bed Bath & Beyond soared 51% to $3.12 after retail investors bid up stock of the struggling retailer in a speculative frenzy. 

Expedia Group increased 4.5% to $99.24 after Oppenheimer lifted its stock rating of the travel services provider to "outperform" from "perform" citing depressed valuation. 

Intuitive Surgical Inc. declined 4.2% to $259.96 after the surgical systems maker issued a cautious outlook and issued preliminary fourth quarter 2022 results. 

Preliminary fourth quarter revenue increased 7% to $1.66 billion from $1.55 billion a year ago and full-year 2022 revenue jumped 9% to $6.22 billion. 

The da Vinci Surgical Systems installations declined 4% to 369 in the fourth quarter from 385 a year ago and fell 6% to 1,264 in the year 2022. 

Pool Corp rose 5.4% to $342.81 after Deutsche Bank upgraded its rating on the swimming pool supplies provider's stock "buy" from "hold" citing higher-than-expected sales and earnings. 

Tesla Inc gained 2.8% to $122.18 after the electric vehicle maker said it plans to expand its Austin, Texas factory and invest as much as $700 million. 

Toll Brothers increased 2.8% to $55.45 after Bank of America upgraded its view on the stock to "buy" from "hold." 

 

European Bond Yields Drift Lower, Stocks Extend Gains

Bridgette Randall
11 Jan, 2023
Frankfurt

European markets extended this year's gains on the hopes of inflation moderation. 

ECB board member Isabel Schnabel and the governing council member Robert Holzmann made comments supporting a gradual increase in rates to restrictive levels to lower inflation to 2%. 

Government bond yields in the region drifted lower and extended the two-week decline on the hopes of moderating rate hikes. 

The yield on Italian government bonds dropped to  4% and the German Bunds traded below 2.2%, away from the 11-year high 2.6% reached on December 30.   

Investors also awaited the release of December month U.S. inflation data on Thursday. 

U.S. consumer price index in November rose 7.1% on an annual basis and core inflation excluding food and energy jumped 6.0%,the Bureau of Labor Statistics reported last month. 

The December month inflation is expected to hover near 7% and core inflation is expected to edge slightly lower. 

JP Morgan, Wells Fargo, Bank of New York Mellon, Citigroup and Bank of America are scheduled to release earnings on Friday. 

 

Italy's Retail Sales Rebounded In November 

Italy's retail sales in November rose 0.8% after falling 0.3%in October, data from the statistical office Istat showed Wednesday. 

Sales of food increased 0.3% and non-food items rose 1.0% on a monthly basis and on an annual basis retail sales jumped 4.4% after rising 1.2% in October. 

Retail sales have been rising since March 2021. 

 

European Bond Yields Slide On Moderating Inflation Hopes 

The yield on 10-year German Bunds decreased to 2.19%, French bonds decreased to 2.67%, UK Gilts to 3.39% and Italian bonds to 4.03%.

The euro edged higher to $1.07 and the British pound increased to $1.21.

 

Crude Oil Advances On China Hopes 

Crude oil prices rose as much as 2% on the hopes of recovering global demand as business activities in China recover and the government takes steps to support higher economic growth. 

Brent crude oil increased $1.37 to $81.45 a barrel and the Dutch TTF natural gas futures contract edged down 6.3% to

Cautious Optimism Lifts Stocks Higher On Wall Street

Barry Adams
11 Jan, 2023
New York City

Benchmark indexes extended recent gains and investors awaited the release of the inflation report on Thursday and major bank earnings on Friday. 

Consumer price index in November rose 7.1% on an annual basis and core inflation excluding food and energy jumped 6.0%,the Bureau of Labor Statistics reported last month. 

The December month inflation is expected to hover near 7% and core inflation is expected to edge slightly lower. 

JP Morgan, Wells Fargo, Bank of New York Mellon, Citigroup and Bank of America are scheduled to release earnings on Friday. 

 

Indexes In Review 

The S&P 500 index increased 0.6% to 3,941.19 and the Nasdaq Composite index rose 1.0% to 10,845.99.

Crude oil prices rose as much as 2% on the hopes of recovering global demand as business activities in China recover and the government takes steps to support higher economic growth. 

Crude oil increased $1.15 to $78.0 a barrel and natural gas fell 5 cents to $3.58 a thermal unit.

Treasury bond yields edged lower ahead of the inflation report as investors estimated moderating of inflation in December after the recent drop in energy prices. 

The yield on 2-year Treasury notes edged lower to 4.25%, 10-year Treasury notes to 3.57% and 30-year Treasury bonds to 3.69%. 

 

Europe Indexes 

European markets advanced on the hopes of rate hikes to moderate and focused on corporate development. 

Sainsbury eased after the retailer reported earnings near the upper end of the guidance but also highlighted consumer weakness in the face of high prices. 

The DAX index added 1.3% to 10,845.99, the CAC-40 index advanced 1.1% to  6,945.02 and the FTSE 100 index edged up 0.7% to 7,747.83. 

The yield on 10-year German Bunds decreased to 2.19%, French bonds decreased to 2.67%, UK Gilts to 3.39% and Italian bonds to 4.03%. 

The euro edged higher to $1.07 and the British pound increased to $1.21. 

Brent crude oil increased $1.37 to $81.45 a barrel and the Dutch TTF natural gas futures contract edged down 6.3% to

Volatile Indexes Closed Higher Ahead of Inflation Report

Barry Adams
10 Jan, 2023
New York City

Stocks lacked direction but steady buying in the afternoon trading lifted benchmark indexes in the positive territory. 

Investors are awaiting the release of consumer prices index report on Thursday and big bank earnings on Friday and digested latest comments from Fed Chairman Powell. 

 

Powell Highlighted Institutional Independence and Economic Focus 

Chairman Powell stressed the need for the central bank's independence from political interference at the Symposium on Central Bank Independence, Sveriges Riksbank, Stockholm, Sweden.

"The case for monetary policy independence lies in the benefits of insulating monetary policy decisions from short-term political considerations," Powell added. 

The Federal Reserve's mandate is to maintain price stability and generate maximum employment but that also requires making decisions that are not always popular. 

"But restoring price stability when inflation is high can require measures that are not popular in the short term as we raise interest rates to slow the economy.

The absence of direct political control over our decisions allows us to take these necessary measures without considering short-term political factors," Powell said at the gathering in Sweden. 

The Federal Reserve is planning to conduct additional stress tests in evaluating financial readiness of banks in the event of a major hurricane or climate disaster but will refrain from pursuing climate goals and imposing them on banks.

 

U.S. Indexes In Review 

Stocks meandered in early trading after two days of upward trajectory as investors weighed economic slowdown against higher rates in the months to come and awaited the release of the inflation report on Thursday.

Consumer price index in November rose 7.1% on an annual basis and core inflation excluding food and energy jumped 6.0%,the Bureau of Labor Statistics reported last month. 

The December month inflation is expected to hover near 7% and core inflation is expected to edge slightly lower.  

The S&P 500 index increased 0.7% to 3,919.25 and the Nasdaq Composite index added 1.0% to 10,742.63.

Crude oil futures contract increased 7 cents to $74.70 a barrel and natural gas futures contract fell 32 cents to $3.58 a thermal unit.

Bond yields were fairly stable as investors shifted focus to the upcoming corporate earnings and movements in energy markets after China opened its borders and social mobility and gathering restrictions. 

The yield on 2-year Treasury notes increased to 4.24%, 10-year Treasury notes hovered near 3.60% and 30-year Treasury bonds traded near 3.74%. 

 

U.S. Stock Movers 

Coinbase Global Inc increased 4.0% to $39.79 after the cryptocurrency exchange said it plans to lay off additional 950 staff according to a blog post. 

Coinbase said the new layoffs are expected to cost between $149 million and $163 million in the first quarter, according to a regulatory filing. 

The cryptocurrency exchange laid off about 1,000 employees in June 2020. 

Coinbase listed its stock through a direct listing on the Nasdaq on April 14, 2021 at a price of $250and closed at $328.55 valuing the company at close to $86 billion. 

Bed Bath & Beyond Inc soared 30% to $2.12 after the struggling retailer reported wider-than-expected loss. 

Revenue in the fiscal third quarter ending on November 26 declined 33% to $1.26 billion and comparable store sales declined 34% from  a year ago. 

Net loss in the quarter jumped to $392.6 million from $276.4 million or diluted loss per share rose to $4.33 from $2.78 a year ago. 

Sotera Health Company soared 93% to $16.63 after the company said it agreed to settle more than 870 cases pending in two court cases in Illinois related to the release of carcinogen ethylene oxide 

Under the agreements, the company and its subsidiary Sterigenics will pay $408 million to settle the claims. 

 

European Markets Rest After Strong Start In 2023 

European markets traded lower from the recent 7-month highs and investors weighed the possibilities of a soft-landing scenario in the event of continual decline in inflation driven by the fall in energy prices. 

Market indexes were under pressure after two officials at the U.S. Federal Reserve supported the rate to rise above 5% in public comments.

Moreover, Fed chairman Jerome Powell delivered his comments at a gathering organized by the Sverige Riksbank in Stockholm, Sweden. 

Powell stressed the independence of the central bank and added that the Federal Reserve is not interested in pursuing any social goals including climate change and limit its focus in keeping prices stable and creating maximum employment. 

Social goals are best handled by politicians who are empowered by the election results and the central bank's mandate is to focus on keeping inflation in its target range. 

 

French Industrial Output Advanced In November 

France's industrial production increased 2.0% in November, faster-than-expected pace after workers returned from strike, according to data released by the statistical agency INSEE. 

Industrial output increased 2.0% from October when it fell by a revised 2.5% and manufacturing output, a component of total output, increased 2.4% from 2.1% decrease a month ago.

Mining production decline moderated to 0.6% in November after falling sharply at 5.3% in October.  

Refined petroleum and coke production shot up 90.6% after normal production activity resumed following the end of the strike. 

 

Higher Prices Lift British Retail Sales In December

Retail sales in December rose according to the survey released by the British Retail Consortium and accounting firm KPMG.

Comparable December retail sales rose 6.9% compared to 4.2% in November driven by higher prices but unit volumes declined. 

Consumers are battling 4-decade high inflation and are limiting their purchases to essential items.

Prices for food items edged slightly lower to 14.4% in December from 14.6% in November.  

 

European Indexes Edge Lower 

The DAX index fell 0.1% to 14,774.60, the CAC-40 index declined 0.6% to 6,869.14 and the FTSE 100 index decreased 0.4% to 7,694.49. 

The yield on 10-year German Bunds rose to 2.284%,French bonds increased to 2.788%, UK Gilts to 3.58% and Italian bonds to 4.20%. 

Brent crude oil futures contract for immediate month delivery increased 28 cents to $79.95 a barrel and the Dutch TTF natural gas fell 7.9% to

European Indexes Rest, French Industrial Output Rises, Inflation Lifts British Retail Sales

Bridgette Randall
10 Jan, 2023
Frankfurt

European markets traded lower from the recent 7-month highs and investors weighed the possibilities of a soft-landing scenario in the event of continual decline in inflation driven by the fall in energy prices. 

Market indexes were under pressure after two officials at the U.S. Federal Reserve supported the rates to rise above 5% in public comments.

Moreover, Fed chairman Jerome Powell delivered his comments at a gathering organized by the Sverige Riksbank in Stockholm, Sweden. 

Powell stressed the independence of the central bank and added that the Federal Reserve is not interested in pursuing any social goals including climate change and limit its focus to keeping prices stable and creating maximum employment. 

Social goals are best handled by politicians who are empowered by the election results and the central bank's mandate is to focus on keeping inflation in its target range and maximize employment, chairman Powell added.

 

French Industrial Output Advanced In November 

France's industrial production increased 2.0% in November, faster-than-expected pace after workers returned from strike, according to data released by the statistical agency INSEE. 

Industrial output increased 2.0% from October when it fell by a revised 2.5% and manufacturing output, a component of total output, increased 2.4% from 2.1% decrease a month ago.

Mining production decline moderated to 0.6% in November after falling sharply at 5.3% in October.  

Refined petroleum and coke production shot up 90.6% after normal production activity resumed following the end of the strike. 

 

Higher Prices Lift British Retail Sales In December

Retail sales in December rose according to the survey released by the British Retail Consortium and accounting firm KPMG.

Comparable December retail sales rose 6.9% compared to 4.2% in November driven by higher prices but unit volumes declined. 

Consumers are battling 4-decade high inflation and are limiting their purchases to essential items.

Prices for food items edged slightly lower to 14.4% in December from 14.6% in November.  

 

European Indexes Edge Lower 

The DAX index fell 0.1% to 14,774.60, the CAC-40 index declined 0.6% to 6,869.14 and the FTSE 100 index decreased 0.4% to 7,694.49. 

The yield on 10-year German Bunds rose to 2.284%,French bonds increased to 2.788%, UK Gilts to 3.58% and Italian bonds to 4.20%. 

Brent crude oil futures contract for immediate month delivery increased 28 cents to $79.95 a barrel and the Dutch TTF natural gas fell 7.9% to

Bed Bath & Beyond Quarterly Loss Widens, Comparable Sales Drop 32%

Scott Peters
10 Jan, 2023
New York City

Bed Bath & Beyond Inc soared 30% to $2.12 after the struggling retailer reported wider-than-expected loss.

Revenue in the fiscal third quarter ending on November 26 declined 33% to $1.26 billion and comparable store sales declined 34% from  a year ago.

Net loss in the quarter jumped to $392.6 million from $276.4 million or diluted loss per share rose to $4.33 from $2.78 a year ago. 

The company also confirmed its plan to close 150 stores and said it is on track to cut its sales and administration cost in the second-half of the fiscal year by $250 million. 

Comparable sales across all channels declined 32% driven by 31% fall in comparable store sales and 33% decline in online sales.

Bed Bath & Beyond sales declined 34% and BABY store sales fell in the "low twenties."

Net Loss per diluted share of $4.33 for the quarter reflected 68 cents a share of special items for the quarter including $100.7 million of non-cash impairment charges primarily related to  certain store-level assets. 

The company also said its cash is dwindling from the previous quarter. 

Cash, cash equivalents, restricted cash and investments totaled approximately $200 million and total Liquidity was approximately $500 million as of the fiscal 2022 third quarter.

This liquidity  included the company's $1.13 billion asset-backed revolving credit facility and FILO facility less borrowings of $550.0 million and approximately $186.2 million in letters of  credit.

 

Movers: Bed Bath & Beyond, Coinbase, Danaher, Frontline, Euronav, Sotera, Virgin Orbit

Scott Peters
10 Jan, 2023
New York City

Bed Bath & Beyond Inc soared 30% to $2.12 after the struggling retailer reported wider-than-expected loss. 

Revenue in the fiscal third quarter ending on November 26 declined 33% to $1.26 billion and comparable store sales declined 34% from  a year ago. 

Net loss in the quarter jumped to $392.6 million from $276.4 million or diluted loss per share rose to $4.33 from $2.78 a year ago. 

Coinbase Global Inc increased 4.0% to $39.79 after the cryptocurrency exchange said it plans to lay off additional 950 staff according to a blog post. 

Coinbase said the new layoffs are expected to cost between $149 million and $163 million in the first quarter, according to a regulatory filing. 

The cryptocurrency exchange laid off about 1,000 employees in June 2020. 

Coinbase listed its stock through a direct listing on the Nasdaq on April 14, 2021 at a price of $250and closed at $328.55 valuing the company at close to $86 billion. 

Danaher Corp increased 4.3% to $266.0 after the diversified medical and environmental products maker revised higher its fourth quarter outlook. 

The estimated revenues are anticipated to increase in the "low-single digit percent range" from a year ago . 

The estimated non-GAAP core revenue growth in the "high-single digit percent range," higher than the previously announced guidance of "flat to a low single digit percent decline." 

Frontline Ltd increased 21.6% to $13.83 after the oil tanker shipping company said it terminated its merger talks with Euronav NV. 

The merger fell apart after Euronav's largest shareholder Compagnie Maritime Belge controlled by the Saverys family with a stake of 13% lined up additional support from other shareholders to block the deal.  

Euronav dropped 17.1% to $13.22. 

Sotera Health Company soared 93% to $16.63 after the company said it agreed to settle more than 870 cases pending in two court cases in Illinois related to the release of carcinogen ethylene oxide 

Under the agreements, the company and its subsidiary Sterigenics will pay $408 million to settle the claims. 

Virgin Orbit Holdings Inc plunged 12.4% to $1.69 after the satellite launch service provider confirmed that its premier launch from the UK soil failed to reach target  orbit. 

"However, at some point during the firing of the rocket

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