Movers: Alphabet, Amazon.com, Apple, Ford, Sally Beauty, Skechers, Starbucks, Qualcomm

Scott Peters
03 Feb, 2023
New York City

Alphabet Inc declined 4% to $103.29 after the parent of Google reported a decline in earnings driven by general weakness in advertising revenue and a larger decline in video ads on its popular YouTube platform. 

Alphabet Inc said revenue in the December quarter rose 1% to $76 billion and net income plunged 34% to $13.6 billion from $20.6 billion and diluted EPS dropped to $1.05 from $1.53 a year ago.

Amazon.com, Inc dropped 6.3% to $112.91 after the online retailer reported a sharp plunge in earnings partly driven by writing down the value of its stake in the electric vehicle maker Rivian Automotive. 

Amazon.com said sales in the fourth quarter increased 9% to $149.2 billion and net income fell to $0.3 billion from $14.3 billion and diluted EPS fell to 3 cents from $1.39 from a year ago.

North America sales increased 13% from a year ago to $315.9 billion and international sales fell 8% to $118.0 billion, or increased 4% excluding  changes in foreign exchange rates.  

AWS segment sales increased 29% from a year ago to $80.1 billion.

Net sales in full-year 2022 increased 9% to $514.0 billion from $469.8 billion in 2021.

Net loss was $2.7 billion in 2022 or $0.27 per diluted share, compared to net income of $33.4 billion, or $3.24 per diluted share in 2021.

Apple Inc declined 1.6% to $148.26 after the computing devices maker reported a rare quarterly revenue decline and fell for the first time since 2019.  

Apple Inc said revenue in the December quarter fell 5% from the previous year to $117.2 billion. 

Net income dropped 13.2% to $30 billion from $34.6 billion and diluted EPS fell to $1.88 from $2.10 a year ago.

Ford Motor Company declined 10% to $12.88 after the automaker missed its quarterly earnings and the management struggles to deal with long-term operating inefficiencies and persistent underperformance. 

Ford Motor said revenue in the December quarter rose 17% from a year ago to $44 billion. 

Net income plunged to $1.3 billion from $12.3 billion and diluted EPS fell to 32 cents from $3.02 a year ago.

Sally Beauty Holdings Inc declined 0.5% to $17.87 after the beauty products retailer reported a drop in earnings because of restructuring charges.  

Sally Beauty said December quarter revenue declined 2.4% from the previous year to $957 million. 

Net income dropped 27% to $50.3 million from $68.8 million and diluted earnings per share fell to 46 cents from 60 cents a year ago.

Skechers USA Inc fell 5.2% to $46.67 after the footwear retailer forecasted first quarter earnings and sales outlook that missed some investors expectations.  

Skechers said the fourth quarter revenue increased 13.5% from a year ago to $1.88 billion.

Net income plunged to $75.5 million from $402.4 million and diluted  earnings per share dropped to 48 cents from $2.56 a year ago.

Skechers guided first quarter revenue between $1.80 billion and $1.85 billion and diluted earnings per share between 55 cents and 60 cents a share and full EPS between $2.80 and $3.0.

Starbucks Corporation declined 3.6% to $105.14 after the coffeehouse chain operator reported weaker-than-expected quarterly results as China's "zero-covid" policy impacted sales. 

Starbucks said revenue in the December quarter rose 8% from the previous year to $8.7 billion. 

Net income increased 4.8% to $855 million from $816 million and diluted earnings per share rose to 74 cents from 69 cents a year ago.

North America and U.S. comparable store sales increased 10%, driven by a 9% increase in average ticket and a 1% increase in comparable transactions.  

International comparable store sales fell 13%, driven by a 12% decline in comparable transactions and a 1% decline in average ticket.

China comparable store sales decreased 29%, driven by a 28% decline in comparable transactions and a 1% decline in average ticket. 

At the end of 2022, stores in the U.S. and China comprised 61% of the company’s global portfolio, with 15,952 stores in the U.S. and 6,090 stores in China. 

Qualcomm Inc fell 0.6% to $135.10 after the chip maker's guidance indicated more struggles for the company reflecting ongoing weakness in the industry. 

Qualcomm said revenue in the December quarter declined 12% to $9.5 billion. 

Net income fell 34% to $2.2 billion and diluted earnings per share dropped to $1.98 from $2.98 a year ago.

In the December quarter, Qualcomm returned $2.1 billion to stockholders, including $842 million, or 75 cents a share in dividends and $1.3 billion through repurchases of 11 million shares.

Qualcomm guided fiscal second quarter revenue between $8.7 billion and $9.5 billion and diluted earnings per share between $1.53 and $1.73.