Movers: Accenture, CarMax, Starbucks

Scott Peters
23 Jun, 2023
New York City

CarMax, Inc increased 9% to $85.37 after the used car retailer reported better-than-expected quarterly results. 

Revenue in the fiscal first quarter 2024 ending in May decreased 17.4% to $7.7 billion after retail unit sales fell 9.6% and same store unit sales dropped 11.4% and wholesale unit eased 13.6% from a year ago. 

Net earnings declined to $228.3 million from $252.2 million and diluted earnings per share fell to $1.44 from $1.56 a year  ago. 

Average selling retail price of a used car decreased 5.5% to $27,258 from $28,844 and wholesale price fell 17.9% to $9,024 from $10,996 a year ago. 

During the first quarter, the company did not repurchase its common stock and still had $2.45 billion available in its stock repurchase plan.    

Starbucks Corporation declined 2.4% to $98.42 after a union representing workers said about 150 stores are ready to strike beginning Friday after the company disallowed Pride month decor in its stores.

Accenture Plc declined 1.9% to 301.38 a day after the information technology services provider reported better-than-expected sales and earnings but trimmed its annual revenue growth outlook slightly.  

Revenue in the fiscal third quarter ending in May increased 3% to $16.6 billion and 5% in local currency. 

New bookings in the quarter totaled $17.2 billion, including consulting bookings of $8.9 billion and  managed services bookings of $8.3 billion.

Net income increased to $2.0 billion from $1.78 billion and diluted earnings per share rose to $3.15 from $2.79 a year ago. 

The company forecasted fiscal fourth quarter revenue between $15.75 billion and $16.35 billion, an increase between 2% and 6% in local currency. 

The company trimmed its full-year revenue growth estimate to a new range between 8% and 9%, from the previous range between 8% and 10%. 

The company increased its quarterly dividend by 15% to $1.12 a share to holders of stock on July 13 payable on August 15. 

Accenture repurchased 2.8 million of its own shares for $789 million during the fiscal third quarter and about $3.5 billion are still available for its stock repurchase at the end of May.