Market Update
Stock Movers: Intuit, Walmart, Zoom Communications
Scott Peters
22 Aug, 2025
New York City
Walmart Inc. dropped 4.9% to $97.59 despite the retailer reporting a 52% increase in net income in the fiscal second quarter ending in July.
Consolidated revenue increased 4.8% to $177.4 billion from $169.3 billion, net income jumped 51.8% to $7.02 billion from $4.5 billion, and diluted earnings per share rose to 88 cents from 56 cents a year ago.
"We've continued to see our costs increase each week, which we expect will continue into the third and fourth quarters," said CEO Doug McMillon on an earnings call with investors.
But broadly speaking, shopper behavior hasn't changed drastically because of higher tariffs, McMillon added.
Walmart returned a total of $6.2 billion to shareholders through the repurchase of 67.4 million shares.
The general merchandise retailer guided fiscal third-quarter net sales to increase between 3.75% and 4.75%, operating income to rise between 3% and 6%, and adjusted earnings per share to range between $0.58 and $0.60.
The company guided full-year net sales to increase between 3.75% and 4.75%, operating income to rise between 3.5% and 5.5%, and adjusted earnings per share to range between $2.52 and $2.62.
The retail giant, which imports about one-third of its goods from overseas, said it is absorbing higher import duties for now, helping it to gain market share and increase sales.
Walmart U.S. sales, excluding fuel sales, rose 4.8% to $120.9 billion, driven by a rise of 4.6% in comparable same-store sales, a total transaction increase of 1.5%, and an advance of 3.1% in average ticket sales.
Intuit Inc. declined 5.6% to $659 despite the financial technology platform operator’s net income swinging to a profit in the fiscal fourth quarter.
Consolidated revenue inched higher to $3.8 billion from $3.2 billion, net income swung to a profit of $381 million from a loss of $20 million, and diluted income per share swung to a profit of $1.35 from a loss of 7 cents a year ago.
Intuit repurchased $2.8 billion of its stock during the fiscal year; additionally, the board approved a new $3.2 billion share repurchase authorization, increasing the company’s total authorized repurchases to $5.3 billion.
The company's board approved a quarterly dividend of $1.20 per share, payable on October 17 to shareholders on record on
As of July 31, the company reported a total cash and investments balance of approximately $4.6 billion and total debt of $6.0 billion.
Intuit provided GAAP guidance for the fiscal first-quarter revenue to be between $3.74 billion and $3.78 billion, operating income between $440 million and $460 million, and diluted earnings per share between $1.19 and $1.26.
Intuit provided non-GAAP guidance for the fiscal first-quarter revenue to be between $3.74 billion and $3.78 billion, operating income between $1.15 billion and $3.18 million, and diluted earnings per share between $3.05 and $3.12.
Intuit provided GAAP guidance for full-year revenue to be between $21 billion and $21.2 billion, operating income between $5.78 billion and $5.86 billion, and diluted earnings per share between $15.49 and $15.69.
The software and the lending company estimated non-GAAP full-year revenue to be between $21 billion and $21.2 billion, operating income between $8.61 billion and $8.69 billion, and diluted earnings per share to range between $22.98 and $23.18.
Zoom Communications Inc. jumped 5.7% to $77.35 after the communication platform operator reported an 8% rise in its earnings in the fiscal second quarter ending in July.
Consolidated revenue edged higher to $1.22 billion from $1.16 billion, net income advanced to $471.3 million from $436.4 million, and diluted earnings per share rose to $1.16 from 70 cents a year ago.
Zoom Communications guided third-quarter revenue to be between $1,210 million and $1,215 million, non-GAAP operating income between $465 million and $470 million, and non-GAAP earnings per share between $1.42 and $1.44.
Zoom Communications guided full-year revenue to be between $4.82 billion and $4.83 billion, non-GAAP operating income between $1.91 billion and $1.92 billion, and non-GAAP earnings per share between $5.81 and $5.84.
Stock Movers: Intuit, Walmart, Zoom Communications
Scott Peters
22 Aug, 2025
New York City
Walmart Inc. dropped 4.9% to $97.59 despite the retailer reporting a 52% increase in net income in the fiscal second quarter ending in July.
Consolidated revenue increased 4.8% to $177.4 billion from $169.3 billion, net income jumped 51.8% to $7.02 billion from $4.5 billion, and diluted earnings per share rose to 88 cents from 56 cents a year ago.
Walmart returned a total of $6.2 billion to shareholders through the repurchase of 67.4 million shares.
The general merchandise retailer guided fiscal third-quarter net sales to increase between 3.75% and 4.75%, operating income to rise between 3% and 6%, and adjusted earnings per share to range between $0.58 and $0.60.
The company guided full-year net sales to increase between 3.75% and 4.75%, operating income to rise between 3.5% and 5.5%, and adjusted earnings per share to range between $2.52 and $2.62.
The retail giant, which imports about one-third of its goods from overseas, said it is absorbing higher import duties for now, helping it to gain market share and increase sales.
Walmart U.S. sales, excluding fuel sales, rose 4.8% to $120.9 billion, driven by a rise of 4.6% in comparable same-store sales, a total transaction increase of 1.5%, and an advance of 3.1% in average ticket sales.
Intuit Inc. declined 5.6% to $659 despite the financial technology platform operator’s net income swinging to a profit in the fiscal fourth quarter.
Consolidated revenue inched higher to $3.8 billion from $3.2 billion, net income swung to a profit of $381 million from a loss of $20 million, and diluted income per share swung to a profit of $1.35 from a loss of 7 cents a year ago.
Intuit repurchased $2.8 billion of its stock during the fiscal year; additionally, the board approved a new $3.2 billion share repurchase authorization, increasing the company’s total authorized repurchases to $5.3 billion.
The company's board approved a quarterly dividend of $1.20 per share, payable on October 17 to shareholders on record on
As of July 31, the company reported a total cash and investments balance of approximately $4.6 billion and total debt of $6.0 billion.
Intuit provided GAAP guidance for first-quarter revenue to be between $3.74 billion and $3.78 billion, operating income between $440 million and $460 million, and diluted earnings per share between $1.19 and $1.26.
Intuit provided non-GAAP guidance for first-quarter revenue to be between $3.74 billion and $3.78 billion, operating income between $1.15 billion and $3.18 million, and diluted earnings per share between $3.05 and $3.12.
Intuit provided GAAP guidance for full-year revenue to be between $21 billion and $21.2 billion, operating income between $5.78 billion and $5.86 billion, and diluted earnings per share between $15.49 and $15.69.
The software and the lending company estimated non-GAAP full-year revenue to be between $21 billion and $21.2 billion, operating income between $8.61 billion and $8.69 billion, and diluted earnings per share to range between $22.98 and $23.18.
Zoom Communications Inc. jumped 5.7% to $77.35 after the communication platform operator reported an 8% rise in its earnings in the fiscal second quarter ending in July.
Consolidated revenue edged higher to $1.22 billion from $1.16 billion, net income advanced to $471.3 million from $436.4 million, and diluted earnings per share rose to $1.16 from 70 cents a year ago.
Zoom Communications guided third-quarter revenue to be between $1,210 million and $1,215 million, non-GAAP operating income between $465 million and $470 million, and non-GAAP earnings per share between $1.42 and $1.44.
Zoom Communications guided full-year revenue to be between $4.82 billion and $4.83 billion, non-GAAP operating income between $1.91 billion and $1.92 billion, and non-GAAP earnings per share between $5.81 and $5.84.
Japan's Core Inflation Remained Elevated, Driven by Persistent Food Price Inflation
Akira Ito
22 Aug, 2025
Tokyo
Stock market indexes in Tokyo lacked direction on Friday, and investors reviewed the latest inflation update.
The Nikkei 225 Stock Average edged down a fraction and struggled to stay above the flatline, and the broader Topix gained 0.4%.
For the week, the Nikkei 225 Stock Average decreased 2.4% to 3,096.60, and the Topix fell 0.8%.
Market sentiment turned cautious after overall inflation and the core inflation rate slowed to 3.1% in July but stayed well above the Bank of Japan's target rate of 2%.
Overall inflation eased to 3.1% from 3.3% in June, after electricity prices fell 0.7% compared to an increase of 5.5%, and gas prices were unchanged after rising 2.7% in the previous month, respectively.
Food price inflation accelerated to 7.6% from 7.2% in the previous month, driven by a 90.7% increase in rice prices despite the government's release of rice from emergency stockpiles.
The headline inflation declined for the fifth month in a row, largely because of the decline in energy prices and weaker services inflation.
The core rate of inflation, which excludes food prices, eased to 3.1% from 3.3% in June and fell to a five-month low, the Ministry of Internal Affairs and Communications said.
Core-core rate of inflation, which excludes food and energy prices, increased 3.4% in July, according to the ministry.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.1% to 42,556.85, and the broader Topix added 0.4% to 3,096.60.
Semiconductor equipment makers lacked direction, following another day of decline in tech stocks in overnight trading on Wall Street.
Tokyo Electron decreased 1.6% to ¥20,095.0, Advantest Corp. fell 1.6% to ¥10,765.0, and Disco Corp. edged up 0.1% to ¥38,640.0.
Vehicle makers were under pressure after the European Union and the U.S. released details of tariffs under the trade framework agreed upon a few weeks ago in Scotland.
Vehicles shipped to the U.S. from the European Union will continue to face a higher import duty of 25% until the EU introduces legislation to eliminate all duties on U.S. industrial products.
The joint EU-US announcement said the tariffs will drop to 15% after the European Union leaders introduce legislation to remove import duties on industrial products and give wider access to US agriculture products.
Toyota Motor Corp. gained 1.4% to ¥2,943.0, Honda Motor Corp. advanced 0.6% to ¥1,679.0, and Nissan Motor Corp. decreased 0.4% to ¥351.90.
Japan's Core Inflation Remained Elevated, Driven by Persistent Food Price Inflation
Akira Ito
22 Aug, 2025
Tokyo
Stock market indexes in Tokyo lacked direction on Friday, and investors reviewed the latest inflation update.
The Nikkei 225 Stock Average edged down a fraction and struggled to stay above the flatline, and the broader Topix gained 0.4%.
For the week, the Nikkei 225 Stock Average decreased 2.4% to 3,096.60, and the Topix fell 0.8%.
Market sentiment turned cautious after overall inflation and the core inflation rate slowed to 3.1% in July but stayed well above the Bank of Japan's target rate of 2%.
Overall inflation eased to 3.1% from 3.3% in June, after electricity prices fell 0.7% compared to an increase of 5.5%, and gas prices were unchanged after rising 2.7% in the previous month, respectively.
Food price inflation accelerated to 7.6% from 7.2% in the previous month, driven by a 90.7% increase in rice prices despite the government's release of rice from emergency stockpiles.
The headline inflation declined for the fifth month in a row, largely because of the decline in energy prices and weaker services inflation.
The core rate of inflation, which excludes food prices, eased to 3.1% from 3.3% in June and fell to a five-month low, the Ministry of Internal Affairs and Communications said.
Core-core rate of inflation, which excludes food and energy prices, increased 3.4% in July, according to the ministry.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.1% to 42,556.85, and the broader Topix added 0.4% to 3,096.60.
Semiconductor equipment makers lacked direction, following another day of decline in tech stocks in overnight trading on Wall Street.
Tokyo Electron decreased 1.6% to ¥20,095.0, Advantest Corp. fell 1.6% to ¥10,765.0, and Disco Corp. edged up 0.1% to ¥38,640.0.
Vehicle makers were under pressure after the European Union and the U.S. released details of tariffs under the trade framework agreed upon a few weeks ago in Scotland.
Vehicles shipped to the U.S. from the European Union will continue to face a higher import duty of 25% until the EU introduces legislation to eliminate all duties on U.S. industrial products.
The joint EU-US announcement said the tariffs will drop to 15% after the European Union leaders introduce legislation to remove import duties on industrial products and give wider access to US agriculture products.
Toyota Motor Corp. gained 1.4% to ¥2,943.0, Honda Motor Corp. advanced 0.6% to ¥1,679.0, and Nissan Motor Corp. decreased 0.4% to ¥351.90.
Japan FRIDAY
Akira Ito
22 Aug, 2025
Tokyo
Stock market indexes in Tokyo lacked direction on Friday, and investors reviewed the latest inflation update.
The Nikkei 225 Stock Average edged down a fraction and struggled to stay above the flatline, and the broader Topix gained 0.4%.
For the week, the Nikkei 225 Stock Average decreased 2.4% to 3,096.60, and the Topix fell 0.8%.
Japan's Inflation Sayed Above BoJ Target Rate In July
Market sentiment turned cautious after overall inflation and the core inflation rate slowed to 3.1% in July but stayed well above the Bank of Japan's target rate of 2%.
Overall inflation eased to 3.1% from 3.3% in June, after electricity prices fell 0.7% compared to an increase of 5.5%, and gas prices were unchanged after rising 2.7% in the previous month, respectively.
Food price inflation accelerated to 7.6% from 7.2% in the previous month, driven by a 90.7% increase in rice prices despite the government's release of rice from emergency stockpiles.
The headline inflation declined for the fifth month in a row, largely because of the decline in energy prices and weaker services inflation.
The core rate of inflation, which excludes food prices, eased to 3.1% from 3.3% in June and fell to a five-month low, the Ministry of Internal Affairs and Communications said.
Core-core rate of inflation, which excludes food and energy prices, increased 3.4% in July, according to the ministry.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.1% to 42,556.85, and the broader Topix added 0.4% to 3,096.60.
Semiconductor equipment makers lacked direction, following another day of decline in tech stocks in overnight trading on Wall Street.
Tokyo Electron decreased 1.6% to ¥20,095.0, Advantest Corp. fell 1.6% to ¥10,765.0, and Disco Corp. edged up 0.1% to ¥38,640.0.
Vehicle makers were under pressure after the European Union and the U.S. released details of tariffs under the trade framework agreed upon a few weeks ago in Scotland.
Vehicles shipped to the U.S. from the European Union will continue to face a higher import duty of 25% until the EU introduces legislation to eliminate all duties on U.S. industrial products.
The joint EU-US announcement said the tariffs will drop to 15% after the European Union leaders introduce legislation to remove import duties on industrial products and give wider access to US agriculture products.
Toyota Motor Corp. gained 1.4% to ¥2,943.0, Honda Motor Corp. advanced 0.6% to ¥1,679.0, and Nissan Motor Corp. decreased 0.4% to ¥351.90.
Mainland China Investors' Continued Asset Rotation to Stocks Extended Weekly Gains to 3%
Li Chen
22 Aug, 2025
Hong Kong
Benchmark indexes in China and Hong Kong resumed their upward march, as investors sought bargains and chased returns.
The Hang Seng Index edged up 0.3%, the mainland-focused CSI 300 index gained 1.1%, and investors rotated into stock from fixed-income securities.
The low interest rates, persistent malaise in the property market, and record-high prices in gold have driven investors to riskier assets.
Investors are rotating out of fixed-income securities and products and increasing exposure to stocks.
Foreign investors have been increasing exposure to China stocks trading in Hong Kong amid low valuation and a stable earnings growth outlook.
Economists are estimating that China's economy will deliver the growth rate of 5% set by the government, despite the ongoing trade tensions with the U.S.
State-controlled financial companies are increasing their exposure to mainland-China-based stocks as well.
China Indexes and Stocks
The Hang Seng Index increased 0.3% to 25,184.66, and the CSI 300 Index rose 1.1% to 4,338.65.
For the week, the CSI 300 index gained 2.9% and the Hang Seng trimmed losses to 0.5%.
Kuaishou Technology gained 3.5% to HK $74.60, and the short-video sharing platform operator reported better-than-expected profit in the latest quarter and declared a special dividend.
Semiconductor Manufacturing International gained 6.5% to HK $54.95 after a report suggested that Nvidia is looking to halt production of the China-focused H20 chip for artificial intelligence applications.
Stock brokerage firms advanced as investors rotated their investments from fixed-income securities into stocks.
CSC Financial added 3.9% to HK $14.75, Everbright Securities gained 2.8% to HK $11.59, and China Galaxy Securities added 0.2% to HK $12.30.
Mainland China Asset Rotation to Stocks Extended Weekly Gains to 3%
Li Chen
22 Aug, 2025
Hong Kong
Benchmark indexes in China and Hong Kong resumed their upward march, as investors sought bargains and chased returns.
The Hang Seng Index edged up 0.3%, the mainland-focused CSI 300 index gained 1.1%, and investors rotated into stock from fixed-income securities.
The low interest rates, persistent malaise in the property market, and record-high prices in gold have driven investors to riskier assets.
Investors are rotating out of fixed-income securities and products and increasing exposure to stocks.
Foreign investors have been increasing exposure to China stocks trading in Hong Kong amid low valuation and a stable earnings growth outlook.
Economists are estimating that China's economy will deliver the growth rate of 5% set by the government, despite the ongoing trade tensions with the U.S.
State-controlled financial companies are increasing their exposure to mainland-China-based stocks as well.
China Indexes and Stocks
The Hang Seng Index increased 0.3% to 25,184.66, and the CSI 300 Index rose 1.1% to 4,338.65.
For the week, the CSI 300 index gained 2.9% and the Hang Seng trimmed losses to 0.5%.
Kuaishou Technology gained 3.5% to HK $74.60, and the short-video sharing platform operator reported better-than-expected profit in the latest quarter and declared a special dividend.
Semiconductor Manufacturing International gained 6.5% to HK $54.95 after a report suggested that Nvidia is looking to halt production of the China-focused H20 chip for artificial intelligence applications.
Stock brokerage firms advanced as investors rotated their investments from fixed-income securities into stocks.
CSC Financial added 3.9% to HK $14.75, Everbright Securities gained 2.8% to HK $11.59, and China Galaxy Securities added 0.2% to HK $12.30.
Stock Movers: Lowe's, Target Corp., TJX
Scott Peters
21 Aug, 2025
New York City
TJX Companies Inc. inched higher 2.2% to $139.24, and the off-price apparel and home fashion retailer reported a 9% increase in its earnings in the latest quarter.
Consolidated revenue in the fiscal second quarter ending on August 2 increased 4% to $14.4 billion from $13.5 billion, net income jumped to $1.2 billion from $1.1 billion, and diluted earnings per share rose to $1.10 from 96 paise a year ago.
Consolidated comparable same-store sales rose 4% from a year ago, surpassing the management's expectations.
Comparable store sales at the U.S. Marmaxx locations, which include Marshalls and TJ Maxx stores, rose 5% compared to 3%; Home Goods slowed to 2% from 5%; and in Canada eased to 2% from 9% a year ago, respectively.
During the second quarter, TJX returned a total of $1.0 billion to shareholders through share repurchases and dividends, including the repurchase of 4.1 million shares for $515 million, and paid $474 million in shareholder dividends.
During the first half of fiscal 2026, TJX returned a total of $2.0 billion to shareholders through share repurchases and dividends, including the repurchase of 9.2 million shares for $1.1 billion, and paid $894 million in shareholder dividends.
TJX guided fiscal third-quarter consolidated comparable sales to increase between 2% and 3%, with a pretax profit margin between 12.0% and 12.1%, and diluted earnings per share between $1.17 and $1.19 a quarter ago.
TJX guided full-year consolidated comparable sales to increase by 3%, with a pretax profit margin between 11.4% and 11.5%, and diluted earnings per share between $4.52 and $4.57 a year ago.
The company projects share repurchases between $2.0 and $2.5 billion during the fiscal year ending January 31, 2026.
Lowe's Companies Inc. rose 2.5% to $264.13, and the home improvement retailer reported a rise in net income in the second quarter.
Consolidated revenue inched higher to $24 billion from $23.6 billion, net income climbed to $2.40 billion from $2.38 billion, and diluted earnings per share soared to $4.28 from $4.18 a year ago.
During the quarter, the company invested $1.3 billion for the acquisition of Artisan Design Group and paid $645 million in dividends.
Lowe's estimated full-year total sales to be between $84.5 billion and $85.5 billion, comparable sales to increase by 1%, and diluted earnings per share to be between $12.10 and $12.35, with the effective tax rate to be approximately 24.5% and the operating margin to range between 12.1% and 12.2% a year earlier, respectively.
Target Corp. plunged 9.5% to $96.90 after the big-box retailer reported a decline in sales in the second quarter, and same-store sales and consumer transactions also declined.
Consolidated revenue in the fiscal second quarter ending on August 2 edged down 0.9% to $25.2 billion from $25.4 billion, net income plunged 22% to $935 million from $1.2 billion, and diluted earnings per share fell to $2.06 from $2.58 a year ago.
During the second quarter, Target increased dividends per share by 1.8% and paid $509 million to its shareholders.
Comparable sales declined 1.9% in the fiscal second quarter, driven by a 3.2% drop in comparable store sales, partially offset by a 4.3% increase in comparable digital sales.
For the fiscal year, the company retained its outlook of a single-digit decline in sales and earnings per share between $8.0 and $10.0.
The retailer estimated adjusted earnings per share, which excludes gains from litigation settlements in the first quarter, to fall between $7.0 and $9.0.
In addition, the company announced that the longtime CEO Brian Cornell would retire in February, and chief operating officer Michael Fiddelke, a two-decade veteran at the company, will assume the post on February 1.
Stock Movers: Lowe's, Target Corp., TJX
Scott Peters
20 Aug, 2025
New York City
TJX Companies Inc. inched higher 2.2% to $139.24, and the off-price apparel and home fashion retailer reported a 9% increase in its earnings in the latest quarter.
Consolidated revenue in the fiscal second quarter ending on August 2 increased 4% to $14.4 billion from $13.5 billion, net income jumped to $1.2 billion from $1.1 billion, and diluted earnings per share rose to $1.10 from 96 paise a year ago.
Consolidated comparable same-store sales rose 4% from a year ago, surpassing the management's expectations.
Comparable store sales at the U.S. Marmaxx locations, which include Marshalls and TJ Maxx stores, rose 5% compared to 3%; Home Goods slowed to 2% from 5%; and in Canada eased to 2% from 9% a year ago, respectively.
During the second quarter, TJX returned a total of $1.0 billion to shareholders through share repurchases and dividends, including the repurchase of 4.1 million shares for $515 million, and paid $474 million in shareholder dividends.
During the first half of fiscal 2026, TJX returned a total of $2.0 billion to shareholders through share repurchases and dividends, including the repurchase of 9.2 million shares for $1.1 billion, and paid $894 million in shareholder dividends.
TJX guided fiscal third-quarter consolidated comparable sales to increase between 2% and 3%, with a pretax profit margin between 12.0% and 12.1%, and diluted earnings per share between $1.17 and $1.19 a quarter ago.
TJX guided full-year consolidated comparable sales to increase by 3%, with a pretax profit margin between 11.4% and 11.5%, and diluted earnings per share between $4.52 and $4.57 a year ago.
The company projects share repurchases between $2.0 and $2.5 billion during the fiscal year ending January 31, 2026.
Lowe's Companies Inc. rose 2.5% to $264.13, and the home improvement retailer reported a rise in net income in the second quarter.
Consolidated revenue inched higher to $24 billion from $23.6 billion, net income climbed to $2.40 billion from $2.38 billion, and diluted earnings per share soared to $4.28 from $4.18 a year ago.
During the quarter, the company invested $1.3 billion for the acquisition of Artisan Design Group and paid $645 million in dividends.
Lowe's estimated full-year total sales to be between $84.5 billion and $85.5 billion, comparable sales to increase by 1%, and diluted earnings per share to be between $12.10 and $12.35, with the effective tax rate to be approximately 24.5% and the operating margin to range between 12.1% and 12.2% a year earlier, respectively.
Target Corp. plunged 9.5% to $96.90 after the big-box retailer reported a decline in sales in the second quarter, and same-store sales and consumer transactions also declined.
Consolidated revenue in the fiscal second quarter ending on August 2 edged down 0.9% to $25.2 billion from $25.4 billion, net income plunged 22% to $935 million from $1.2 billion, and diluted earnings per share fell to $2.06 from $2.58 a year ago.
During the second quarter, Target increased dividends per share by 1.8% and paid $509 million to its shareholders.
Comparable sales declined 1.9% in the fiscal second quarter, driven by a 3.2% drop in comparable store sales, partially offset by a 4.3% increase in comparable digital sales.
For the fiscal year, the company retained its outlook of a single-digit decline in sales and earnings per share between $8.0 and $10.0.
The retailer estimated adjusted earnings per share, which excludes gains from litigation settlements in the first quarter, to fall between $7.0 and $9.0.
In addition, the company announced that the longtime CEO Brian Cornell would retire in February, and chief operating officer Michael Fiddelke, a two-decade veteran at the company, will assume the post on February 1.
Tech Weakness Drags Down U.S. Averages for the Fifth Session In a Row
Barry Adams
21 Aug, 2025
New York City
The U.S. benchmark indexes extended losses to the fifth session in a row, driven by a sell-off in tech stocks.
The S&P 500 index declined 0.2%, and the tech-heavy Nasdaq Composite decreased 0.3%, as investors booked profit in high-flying tech stocks.
The leading technology stocks have rebounded as much as 80% from the lows reached on April 21, after worries of a global trade war receded.
Despite the sharp rebound, tariff uncertainty looms, and the de minimis exemption of $800 per day is set to expire today.
U.S. EU Shed More Light on Tariff Details, High Auto Duties to Stay for Now
The U.S. and the European Union announced more details about the trade framework agreed upon in July.
The U.S. is committed to “apply the higher of either the U.S. Most Favored Nation (MFN) tariff rate or a tariff rate of 15%, comprised of the MFN tariff and a reciprocal tariff, on originating goods of the European Union.”
Most goods shipped from the European Union will attract 15% tariffs, including lumber, pharmaceuticals, and semiconductors.
The U.S. tariffs on vehicles shipped from the European Union could drop to 15% from 25% once the EU introduces legislation to remove all tariffs on U.S. industrial goods.
In addition, the European Union will eliminate tariffs on all U.S. industrial goods and provide "preferential market access" to a wider range of U.S. agricultural products and seafood.
Continuing Jobless Claims Near Two Million Mark
Initial jobless claims for the week ending on August 16 advanced to 235,000, an increase of 11,000 from the previous week, according to the U.S. Department of Labor.
Continuing claims, which lags by one week, rose by 30,000 to 1.97 million, and reached the highest level since November 6, 2021.
The jobless claims report provides another data point to policymakers, and confirms the muted hiring activity amid a slowdown in the labor market as businesses struggle with uncertainty stemming from the constantly changing U.S. trade policy.
U.S. Stock Movers
Coty Inc. dropped 21% to $3.85, and the cosmetic company reported weaker-than-expected fiscal first-quarter results.
In addition, the retailer said sales and earnings in the first half are likely to remain depressed before they recover in the second half.
Walmart Inc. decreased 3.2% to $99.36, and the retailer's fiscal second-quarter earnings fell short of market expectations.
Tech Weakness Ext U.S. Averages for the Fifth Session In a Row
Barry Adams
21 Aug, 2025
New York City
The U.S. benchmark indexes extended losses to the fifth session in a row, driven by a sell-off in tech stocks.
The S&P 500 index declined 0.2%, and the tech-heavy Nasdaq Composite decreased 0.3%, as investors booked profit in high-flying tech stocks.
The leading technology stocks have rebounded as much as 80% from the lows reached on April 21, after worries of a global trade war receded.
Despite the sharp rebound, tariff uncertainty looms, and the de minimis exemption of $800 per day is set to expire today.
The U.S. and the European Union announced more details about the trade framework agreed upon in July.
The U.S. is committed to “apply the higher of either the U.S. Most Favored Nation (MFN) tariff rate or a tariff rate of 15%, comprised of the MFN tariff and a reciprocal tariff, on originating goods of the European Union.”
Most goods shipped from the European Union will attract 15% tariffs, including lumber, pharmaceuticals, and semiconductors.
The U.S. tariffs on vehicles shipped from the European Union could drop to 15% from 25% once the EU introduces legislation to remove all tariffs on U.S. industrial goods.
In addition, the European Union will eliminate tariffs on all U.S. industrial goods and provide "preferential market access" to a wider range of U.S. agricultural products and seafood.
U.S. Stock Movers
Coty Inc. dropped 21% to $3.85, and the cosmetic company reported weaker-than-expected fiscal first-quarter results.
In addition, the retailer said sales and earnings in the first half are likely to remain depressed before they recover in the second half.
Walmart Inc. decreased 3.2% to $99.36, and the retailer's fiscal second-quarter earnings fell short of market expectations.
Stock Movers: Home Depot, Medtronic, Toll Brothers
Scott Peters
20 Aug, 2025
New York City
Home Depot Inc. increased 0.1% to $407.69 after the home improvement retailer reported a slight increase in revenue and a marginal decline in net income in the latest quarter.
Consolidated revenue increased 4.9% to $45.3 billion from $43.2 billion, net income inched lower 0.2% to $4.55 billion from $4.56 billion, and diluted earnings per share edged down 0.4% to $4.58 from $4.60 a year ago.
Home Depot estimated full-year total sales to increase by 2.8%, comparable sales to increase by 1%, but diluted earnings per share to decline by 3% from a year ago to $14.91.
The company said it plans to open approximately 13 new stores during the fiscal year 2025.
Medtronic Plc. rose 0.2% to $90.04 after the medical device maker reported a marginal decline in profit in the fiscal first quarter ending on July 25.
Consolidated revenue in the quarter increased 8.4% to $8.6 billion from $7.9 billion, net income inched lower to $1.047 billion from $1.049 billion, and diluted earnings per share edged higher to 81 cents from 80 cents a year ago.
The company guided full-year revenue to rise between 6.5% and 6.8% and non-GAAP earnings per share to rise approximately 4.5% and range between $5.60 and $5.66.
Toll Brothers Inc. declined 1.7% to $130, and the expensive home builder reported a decline in profit in the fiscal third quarter ending in July.
Consolidated revenue in the quarter increased to $2.95 billion from $2.72 billion, net income declined to $369.6 million from $374.6 million, and diluted earnings per share edged higher to $3.73 from $3.60 a year ago.
On July 25, the company paid a quarterly dividend of $0.25 per share to shareholders on record on July 11.
During the fiscal third quarter, Toll Brothers returned a total of $226 million to shareholders through share repurchases and dividends, including the repurchase of 1.8 million shares at an average price of $112.40 per share.
For the fiscal fourth quarter, Toll Brothers expects the average delivered price per home to be between $0.97 million and $0.98 million, the adjusted home sales gross margin to be 27%, and SG&A to be 8.3% of revenue.
The company delivered 2,959 homes at an average price of $974,000, generating record fiscal third-quarter home sales revenue of $2.9 billion, said chairman and chief executive officer Douglas C. Yearley Jr.
In the quarter, the company signed home sales contracts worth $2.41 billion, matching the contract value a year ago, but contracted home units fell 4% to 2,388.
The average sale price of a new home contract was $1.0 million, up 4.5% from a year ago.
The backlog value decreased 10% to $6.38 billion at the end of the third quarter, and homes in backlog were 5,492, down 19% from a year ago, respectively.
Stock Movers: Home Depot, Medtronic, Toll Brothers
Scott Peters
20 Aug, 2025
New York City
Home Depot Inc. increased 0.1% to $407.69 after the home improvement retailer reported a slight increase in revenue and a marginal decline in net income in the latest quarter.
Consolidated revenue increased 4.9% to $45.3 billion from $43.2 billion, net income inched lower 0.2% to $4.55 billion from $4.56 billion, and diluted earnings per share edged down 0.4% to $4.58 from $4.60 a year ago.
Home Depot estimated full-year total sales to increase by 2.8%, comparable sales to increase by 1%, but diluted earnings per share to decline by 3% from a year ago to $14.91.
The company said it plans to open approximately 13 new stores during the fiscal year 2025.
Medtronic Plc. rose 0.2% to $90.04 after the medical device maker reported a marginal decline in profit in the fiscal first quarter ending on July 25.
Consolidated revenue in the quarter increased 8.4% to $8.6 billion from $7.9 billion, net income inched lower to $1.047 billion from $1.049 billion, and diluted earnings per share edged higher to 81 cents from 80 cents a year ago.
The company guided full-year revenue to rise between 6.5% and 6.8% and non-GAAP earnings per share to rise approximately 4.5% and range between $5.60 and $5.66.
Toll Brothers Inc. declined 1.7% to $130, and the expensive home builder reported a decline in profit in the fiscal third quarter ending in July.
Consolidated revenue in the quarter increased to $2.95 billion from $2.72 billion, net income declined to $369.6 million from $374.6 million, and diluted earnings per share edged higher to $3.73 from $3.60 a year ago.
On July 25, the company paid a quarterly dividend of $0.25 per share to shareholders on record on July 11.
During the fiscal third quarter, Toll Brothers returned a total of $226 million to shareholders through share repurchases and dividends, including the repurchase of 1.8 million shares at an average price of $112.40 per share.
For the fiscal fourth quarter, Toll Brothers expects the average delivered price per home to be between $0.97 million and $0.98 million, the adjusted home sales gross margin to be 27%, and SG&A to be 8.3% of revenue.
The company delivered 2,959 homes at an average price of $974,000, generating record fiscal third-quarter home sales revenue of $2.9 billion, said chairman and chief executive officer Douglas C. Yearley Jr.
In the quarter, the company signed home sales contracts worth $2.41 billion, matching the contract value a year ago, but contracted home units fell 4% to 2,388.
The average sale price of a new home contract was $1.0 million, up 4.5% from a year ago.
The backlog value decreased 10% to $6.38 billion at the end of the third quarter, and homes in backlog were 5,492, down 19% from a year ago, respectively.