U.S. Movers: 3M, General Electric, Halliburton, Logitech, Procter & Gamble, United Airlines

Scott Peters
23 Jan, 2024
New York City

Airline stocks were higher after United Airlines reported strong fourth quarter results, but the company forecasted a loss in the first quarter after the aviation regulator ordered the grounding of 737 Max 9 planes for emergency inspection following the Alaska Airlines midair door incident.

Revenue in the fourth quarter increased 9.9% to $13.6 billion from $12.4 billion, net income declined 28.8% to $600 million from $843 million, and diluted earnings per share dropped to $1.81 from $2.55 a year ago. 

For the full-year 2023, revenue increased 19.5% to $53.7 billion, net income soared nearly four-fold to $2.6 billion, and diluted earnings per share advanced to $7.89 from $2.23 a year ago. 

The airline estimated a loss in the first quarter between 85 cents and 35 cents and revenue per available seat mile to be flat from the previous year. 

United Airlines jumped 6% to $40.97. 

American Airlines rose 3% to $14.02, and Delta Air Lines advanced 2.4% to $37.85 after United reported strong quarterly results.

General Electric declined 3% to $127.30 after the industrial engineering company estimated weaker-than-expected first quarter results.

The company's fourth-quarter results were ahead of market expectations, but investors focused on the current quarter's business conditions.

Total revenue in the fourth quarter increased 15% to $19.4 billion from $16.8 billion, net income declined 28% to $1.6 billion from $2.2 billion, and diluted earnings per share dropped to $1.44 from $1.53 a year ago. 

For the first quarter of 2024, GE expects to deliver "high-single-digit" revenue growth, adjusted earnings per share of 60 cents to 65 cents, and free cash flow "in-line with net income growth." 

The company repurchased approximately 2.2 million common shares  for $0.3 billion in the fourth quarter, bringing the total common shares repurchased under the program in 2023  to approximately 10.6 million shares for $1.1 billion. 

In addition, the company redeemed all outstanding  preferred stock for $5.8 billion during 2023. 

Procter & Gamble gained 1.5% to $150.0 after the consumer products maker reported mixed quarterly results.

3M declined 6.6% to $100.86 after the company estimated weak current quarter and full-year earnings estimates.

Revenue in the fourth quarter was flat at $8.0 billion, net income jumped to $945 million from $541 million, and diluted earnings per share rose to $1.70 from 98 cents a year ago. 

The diversified conglomerate estimated earnings per share in the first quarter between $2.0 and $2.15 and for the full year between $9.35 and $9.75.

Halliburton Company increased 1.5% to $34.95 after the oil field service provider reported mixed quarterly results for its fourth quarter.

Logitech International dropped 6.5% to CHF 77.56 after the computer accessories maker estimated an annual sales decline between 6% and 7%.

Revenue in the fiscal third quarter ending in December declined 1% to $1.26 billion, net income rose to $247.7 million from $140.5 million, and diluted earnings per share rose to $1.57 from 87 cents a year ago.

The company revised its sales outlook for the fiscal year 2024 to range between $4.2 billion and $4.25 billion, a decline between 6% and 7% compared to the previous estimate of between $4.0 and $4.15 billion, a decline between 9% and 12%.