Movers: Avis Budget, Caterpillar, Cowen, Pinterest, Royal Caribbean, Simon Property, Uber, ZoomInfo

Barry Adams
02 Aug, 2022
New York City

Stocks rebounded from morning losses after investors digested the latest batch of earnings. 

The S&P 500 index increased 1.34 to 4,120.14 and the Nasdaq Composite index rose 0.3% or 36.97 to 12,407.29. 

Futures of crude oil rose 96 cents to $94.85 a barrel and natural gas fell 42 cents to $7.86 a unit. 

The yield on 10-year U.S. Treasury notes edged up a fraction to 2.706% after tensions between the U.S. and China rose ahead of House Speaker Nancy Pelosi's visit to Taiwan. 

Avis Budget Group, Inc fell 7.6% to $167.83 after the car rental company said second quarter revenues rose 37% to $3.2 billion and net income soared 94% to $774 million from a year ago. 

Diluted earnings per share rose to $15.94 from $5.90 a year ago. 

The U.S. segment revenues rose 30% to $2.6 billion and international revenues surged 71% to $677 million from a year ago. 

Average daily rental revenue increased 9% in constant currency to $78.19 and vehicle fleet expanded 32% to 500,653 units from a year ago.  

Caterpillar Inc fell 3.4% to $188.25 after the heavy equipment maker reported slightly lower than expected quarterly revenues because of its exit from Russia. 

Cowen Inc increased 7.9% to $38.31 after the company agreed to be acquired by Toronto Dominion Bank for $39 a share or $1.3 billion in cash. 

Pinterest Inc rose 12.7% to $22.51 after the photo sharing platform said second quarter revenues increased 9% to $665.9 million and swung to a net loss of $43 million from net income of $69 million a year ago.

Pinterest's global active monthly users declined 5% from a year ago to 433 million.  

The stock jumped after the activist investor Elliott Management confirmed that it is the largest shareholder in the company. 

Royal Caribbean Cruises Ltd gained 4.3% to $37.33 after the company priced its upsized convertible debt offering of $1.0 billion to refinance existing convertible notes. 

 The company intends to use the proceeds from the sale to repurchase $350 million aggregate principal amount of its 2.875% convertible senior notes due November 15, 2023 and $800 million aggregate principal amount of its 4.25% convertible senior notes due June 15, 2023. 

The convertible notes will mature on August 15, 2025 unless earlier converted and the conversion price per $1,000 of notes is 19.9577 shares of common stock, which is equivalent to approximately $50.11 a share, subject to adjustment in certain circumstances. 

The initial conversion price represents a conversion premium of approximately 40% over the last reported sale price of common stock on August 1, 2022.

Simon Property Group fell 1.1% to $107.11 after the largest mall operators reported second quarter revenues edged up to $1.27 billion from $1.25 billion a year ago. 

Net income in the quarter declined to $569 million or $1.51 a diluted share from $706 million or $1.88 a diluted share a year ago. 

The occupancy at the U.S. malls and premium outlets increased to 93.9% at the end of June quarter from 91.8% a year ago.

Base minimum rent per square foot was $54.58 at the end of June. 

The company increased its quarterly dividend by 25 cents from a year ago to $1.75 a share payable on September 30, 2022 to shareholders of record on September 9, 2022. 

Uber Technologies Inc rose 17.1% to $28.81 after the ride hailing platform said it turned cash flow positive for the first time. 

Uber said gross bookings increased 33% from a year ago to $29.1 billion and revenues soared 105% to $8.1 billion and swung to a quarterly loss of $2.6 billion or $1.33 a diluted share driven in part by investment losses of $1.7 billion. 

ZoomInfo Technologies Inc soared 10.9% to $41.88 after the business information provider lifted its full-year guidance. 

Second quarter revenues increased 54% to $267.1 million and net income declined to $15.9 million or 4 cents a diluted share from $24.5 million or 5 cents a diluted a year ago. 

ZoomInfo revised full-year 2022 revenues to between $1.08 billion and $1.09 billion from the previous estimate between $1.06 billion and $1.07 billion. 

For the full-year, adjusted operating income estimated is revised higher between $433 million and $437 million from the previous estimate between $418 million and $424 million.