Microsoft (NASDAQ:MSFT) – A widespread failure in Microsoft’s services affects many large companies globally. The outage, which extended from the U.S. to Asia, impacted the operations of many companies, causing issues from customer service to banking and airline operations, including McDonald’s, the London Stock Exchange, Bank of Israel. American, Delta, United, and Allegiant Air suspended flights due to communication problems. Zurich Airport and others also had to conduct manual check-ins due to the issue. Players faced difficulties accessing services in Nintendo’s online store. Banks, media, and telecommunications companies were also affected. The problem, related to Crowdstrike’s “Falcon Sensor” software, caused failures in Microsoft Windows. Shares fell 2.47% pre-market.
CrowdStrike (NASDAQ:CRWD) – Currently, CrowdStrike is working to roll back this update worldwide, following numerous reports of technical failures globally. Shares fell 14.56% pre-market.
OpenAI, Broadcom (NASDAQ:AVGO) – OpenAI is in talks with chip designers, including Broadcom, to create a new artificial intelligence chip, aiming to overcome the shortage of graphics processing units needed to develop models like ChatGPT, GPT-4, and DALL-E3. OpenAI seeks to expand access to AI infrastructure more affordably. Additionally, OpenAI launched GPT-4o mini, a more affordable and simpler version of its advanced AI model, targeting developers and businesses. Available to users and corporate clients, GPT-4o mini offers similar functionalities to the larger model but at a reduced cost. Broadcom’s shares fell 0.02% pre-market.
McDonald’s Corp. (NYSE:MCD) – On Friday, McDonald’s in Japan closed about 30% of its stores due to a system failure, mainly affecting cash registers early in the day. The cause and resolution timeframe are still under investigation. The failure caused great disappointment among customers and became a popular topic on the social network X in Japan.
Apple (NASDAQ:AAPL) – Apple is negotiating to license more Hollywood films to expand its streaming portfolio. Following the success of a recent deal for 50 films, Apple TV+ aims to increase its content, diversifying beyond its original productions to attract more subscribers in a competitive market. Shares fell 0.70% pre-market.
Alphabet (NASDAQ:GOOGL), Comcast (NASDAQ:CMCSA) – Google, NBCUniversal, and the U.S. Olympic Committee will use AI to enhance coverage of the Paris Olympics in the U.S. The technology will provide automated explanations and summaries of competitions, with sports commentators using AI to offer detailed insights. This is the first AI partnership with the sports organization. Alphabet shares rose 0.68% pre-market, while Comcast shares remained stable.
Meta Platforms (NASDAQ:META), EssilorLuxottica (EU:EL) – Meta Platforms is negotiating to buy about 5% of EssilorLuxottica, its partner in the manufacture of Ray-Ban smart glasses. The stake could be worth about $4.73 billion, giving Meta more influence in the development of these products. Meta shares rose 0.14% pre-market.
Amazon (NASDAQ:AMZN) – Consumers spent a record $14.2 billion online during the 48-hour Amazon Prime Day. The increase in sales was driven by back-to-school purchases and electronics deals. The event turned July, traditionally slow for retailers, into a busy season. In other news, a British union sued Amazon, alleging the company unduly influenced its workers to vote against unionization. The vote in Coventry failed by a few votes, and the GMB union accuses Amazon of pressuring employees and promoting the cancellation of union memberships with posters. Shares rose 0.44% pre-market.
Amphenol (NYSE:APH), CommScope Holding Co. (NASDAQ:COMM) – Amphenol agreed to acquire CommScope’s wireless network and distributed antenna systems businesses for $2.1 billion. The transaction represents the largest acquisition ever made by Amphenol, consolidating its position in the electrical equipment and connectivity market. CommScope shares fell 1.71% pre-market.
SunPower (NASDAQ:SPWR) – SunPower saw its shares plummet on Thursday after announcing a pause in several operations, including leasing contracts and power purchases. The company faces financial and market difficulties, exacerbated by regulatory reforms in California that affected the demand for residential solar energy. Shares fell 10.60% pre-market.
ConocoPhillips (NYSE:COP) – The Supreme Court of Trinidad and Tobago confirmed that ConocoPhillips can execute arbitration against Venezuela, blocking payments related to joint gas projects. The decision allows ConocoPhillips to collect $1.33 billion for past expropriations, affecting shared gas projects between the countries. Shares rose 1.19% pre-market.
Johnson Controls International (NYSE:JCI), Robert Bosch GmbH (TG:A351UK) – Robert Bosch GmbH is leading negotiations to acquire Johnson Controls International Plc’s heating and ventilation assets in a potential deal that could be worth billions of dollars. Bosch competed with other companies like Lennox International Inc. and Samsung Electronics Co., but a final agreement is yet to be confirmed.
Plug Power (NASDAQ:PLUG) – The company launched a public offering of $200 million in common stock, with a 30-day option to sell up to an additional $30 million. The money raised will be used for general corporate purposes, with Morgan Stanley acting as the sole book-running manager of the offering, which is subject to market conditions. Plug Power shares fell 9.25% pre-market, trading below $3 per share, set to register its fourth consecutive year of losses.
Allegiant Travel (NASDAQ:ALGT) – Allegiant Travel shares plummeted on Thursday after the company announced the immediate suspension of its dividends and the change of CEO on the same day. The decision to cut the 60-cent-per-share payment reflects capital needs for fleet investments. The CEO change will occur in September, with Gregory Anderson taking over from Maury Gallagher.
Boeing (NYSE:BA) – The U.S. Department of Justice announced it is significantly advancing a final agreement with Boeing, expecting to finalize it by July 24. Boeing agreed to plead guilty to criminal conspiracy, paying a $243.6 million fine related to the 737 MAX failures following fatal accidents. Shares rose 0.34% pre-market.
Embraer (NYSE:ERJ) – Embraer announced the delivery of 47 aircraft in the second quarter of 2024, an 88% increase compared to the previous year, reaffirming its forecasts for the whole year despite supply chain challenges. With a firm order backlog of $21.1 billion, the company expects growing demand for its E2 and executive jets.
Tesla (NASDAQ:TSLA) – Tesla’s sales in California fell 24% between April and June, marking the third consecutive quarterly decline. Rising interest rates and strong competition weakened demand for electric vehicles. The brand also faces challenges due to controversies surrounding CEO Elon Musk. Additionally, British builder Harmony Energy is constructing the largest battery storage center in France. This 100-megawatt system, located in Nantes, will be equipped with Tesla’s Megapack products and will have the capacity to provide energy to 170,000 homes for two hours. Shares fell 0.29% pre-market.
Ford Motor (NYSE:F) – Ford announced plans to use its Canadian factory dedicated to electric vehicles to produce larger gasoline versions of the F-Series pickup truck. This comes after delaying electric SUVs and facing challenges in EV profitability. The expansion focuses on meeting global demand for Super Duty pickups while maintaining its commitment to future electric vehicles. Shares fell 0.62% pre-market.
Stellantis (NYSE:STLA) – Stellantis issued a global recall for approximately 24,000 Chrysler Pacifica plug-in hybrid minivans due to the risk of battery fires. Owners were advised to park outdoors and not recharge the vehicles until a software update is installed, following reports of incidents involving vehicle shutdowns and recharging. Shares fell 1.22% pre-market.
Block (NYSE:SQ) – Block announced that its payment service, Cash App, will cease operations in the United Kingdom on September 15, after six years in the country. The company decided to focus on the United States, discontinuing global expansion. This decision affects customers, partners, and employees involved in the project in the UK.
Citigroup (NYSE:C) – Citigroup agreed to pay a fine of $138,000 to the Montreal Exchange for failing to properly report positions in options contracts that exceeded established limits. This penalty follows previous fines in the U.S. of $136 million for data management deficiencies. In other news, former Citigroup director Kathleen Martin accused COO Anand Selva of deliberately attempting to misreport the bank’s metrics to deceive federal regulators. She claims this could benefit the bank but also mislead shareholders and the public. Citigroup denies the allegations and plans to contest them legally.
Abbott Laboratories (NYSE:ABT) – Abbott Laboratories is considering discontinuing its special infant formula for premature babies after legal concerns about the product’s safety. CEO Robert Ford indicated that lawsuits and criticism over failing to communicate risks to parents could lead to the product’s withdrawal. The formula, intended for premature babies under medical care, is under scrutiny for possibly increasing the risk of severe intestinal damage.
Hasbro (NASDAQ:HAS) – Hasbro appointed John Hight, a veteran video game executive known for his leadership in Microsoft’s World of Warcraft franchise, as president of Wizards of the Coast and the digital gaming division. He will oversee game studios and digital agreements, in addition to strategies for Magic: The Gathering and Dungeons & Dragons, while digital games represent a significant portion of Hasbro’s revenue.
Vista Outdoor (NYSE:VSTO) – Glass Lewis recommended Vista Outdoor shareholders vote in favor of merging the ammunition unit with the Czechoslovak Group (CSG), highlighting an increase in CSG’s offer as a reason to support the deal, despite objections from other proxy advisory firms.
Enhabit (NYSE:EHAB) – Glass Lewis recommended Enhabit shareholders choose three AREX Capital Management candidates for the company’s board due to Enhabit’s poor financial performance and strategic errors. The decision will be made on July 25, and AREX seeks to replace seven of the current nine directors.
LATAM Airlines – LATAM Airlines plans to list its shares on the New York Stock Exchange, potentially reaching a valuation of $8.5 billion. The Chilean-based company aims to raise over $533 million from the stock sale, which would be listed as ADSs under the symbol “LTM.” The company, which emerged from bankruptcy in 2022, will not receive proceeds from the sale.
Ardent Health Partners (NYSE:ARDT) – Ardent Health Partners’ shares saw little change on the first trading day on Thursday, closing at $16.06, almost equal to the IPO price of $16. The healthcare services provider raised $192 million after reducing the offering size and pricing below the expected range. This was its second IPO attempt, succeeding after withdrawing the first in 2020.
TWFG Insurance (NASDAQ:TWFG) – TWFG Insurance shares, a Texas-based insurance brokerage, rose about 30% on its first day on the Nasdaq, closing at $22.10, after being priced at $17 each. The company, a Texas-based insurance brokerage, expected to raise $170 million from the IPO.
Earnings
Netflix (NASDAQ:NFLX) – Netflix reported a net profit of $2.15 billion, or $4.88 per share, with revenue of $9.56 billion, exceeding analysts’ forecasts of $4.74 per share and $9.53 billion in revenue. Netflix saw a 16.5% increase in global paid subscriptions, reaching 278 million, surpassing the expected 274.4 million. Ad-supported subscriptions grew 34% compared to the same quarter last year. The company now expects annual revenue growth between 14% and 15%, compared to the previous forecast of 13% to 15%. Shares fell 1.45% pre-market.
PPG Industries (NYSE:PPG) – In the second quarter, PPG Industries reported a decline in profit and revenue due to lower global automobile production. The company posted a profit of $528 million, or $2.24 per share, exceeding adjusted expectations of $2.48. Revenue fell 2% to $4.79 billion, below the expected $4.93 billion. PPG reduced its 2024 profit forecast to $8.15 to $8.30 per share, previously estimated between $8.34 and $8.59. Shares fell 2.82% pre-market.
Intuitive Surgical (NASDAQ:ISRG) – The medical technology, robotics, and surgical innovation company announced adjusted earnings of $1.78 per share with revenue of $2.01 billion. Analysts polled by LSEG had forecast earnings of $1.54 per share and revenue of $1.97 billion. Shares rose 6.69% pre-market.
Western Alliance (NYSE:WAL) – Western Alliance reported earnings of $1.75 per share with revenue of $772 million. Analysts expected earnings of $1.71 per share and revenue of $738 million, according to LSEG.