U.S. Movers: Cadence Design, D.R. Horton, McDonald's, MicroStrategy

Scott Peters
29 Oct, 2024
New York City

More than 700 companies this week are set to release their quarterly results as the busiest week of the current earnings season continues. 

Crocs, Shutterstock, D.R. Horton, Alphabet, AMD, Chipotle Mexican Grill, and Snap are among the 178 companies scheduled to release their results Tuesday. 

D.R. Horton plunged more than 10% after the company reported weaker-than-expected results, and Shutterstock jumped 13% after revenues were ahead of market expectations. 

MicroStrategy advanced 4.2% to $266.08 ahead of the company's quarterly results on Wednesday. 

The software company is also favorites among high-risk traders looking to benefit from the Bitcoin investment, which topped $70,000 in Monday's trading. 

HSBC Holdings increased 4.3% to $47.12 after the UK- and Hong Kong-based bank reported rising revenue and earnings in the September quarter. 

Revenue increased 5% to $17.21 billion from $16.7 billion, and net income advanced 8% to $6.7 billion from $6.2 billion a year ago, respectively. 

The largest European bank also announced a stock repurchase plan of $3 billion. 

McDonald's increased 0.7% to $299.07 after the fast food chain reported better-than-expected quarterly results. 

Consolidated revenue in the third quarter increased 3% to $6.9 billion from $6.7 billion, net income fell 3% to $2.25 billion from $2.32 billion, and earnings per share fell 1% to $3.13 from $3.17 a year ago. 

Global comparable sales declined 1.5% in the quarter, but sales in the U.S. rose 0.5%. 

However, the latest E. coli outbreak in 13 states linked to the company's Quarter Pounder burger is likely to dent sales in the current quarter. 

Cadence Design Systems jumped 10.5% to $279.24 after the chip design software company reported better-than-expected quarterly results. 

Revenue in the third quarter increased to $1.21 billion from $1.02 billion, net income decreased to $238.1 million from $254.3 million, and diluted earnings per share fell to 87 cents from 94 cents a year ago. 

The company reiterated its full-year 2024 revenue to range between $4.61 billion and $4.65 billion and diluted net income per share between $3.70 and $3.76. 

D.R. Horton plunged 9.6% to $163.05 after the homebuilder reported weaker-than-expected quarterly results. 

Revenue in the fiscal fourth quarter ending in September declined to $10.0 billion from $10.5 billion, net income fell to $1.3 billion from $1.5 billion, and diluted earnings per share dropped to $3.92 from $4.45 a year ago. 

The homebuilder offered weak annual revenue and unit home sale outlook as buyers struggle with affordability issues.

The company estimated fiscal year 2025 revenue between $36 billion and $37.5 billion, home completions between 90,000 and 92,000 units, stock repurchase of $2.4 billion, and dividend payment of $500 million.