Tapestry (NYSE:TPR), Capri (NYSE:CPRI) – A U.S. judge blocked the $8.5 billion merger between Tapestry and Capri, favoring the Federal Trade Commission (FTC) and marking a win for the Biden administration before the elections. The FTC argued the merger would reduce competition among top U.S. handbag makers, raising prices. Tapestry’s shares rose 12.4% pre-market, while Capri’s fell -45.4%.
Apple (NASDAQ:AAPL) – iPhone sales in China dropped 0.3% in Q3 2024, while Huawei’s rose 42%, intensifying competition in the Chinese market. Apple held second place with a 15.6% share, while Huawei was third at 15.3%. Vivo, known for more affordable devices, led with 18.6%. Apple shares fell 1.0% pre-market.
Alphabet (NASDAQ:GOOGL) – Missouri Attorney General Andrew Bailey began an investigation into Google over alleged censorship of conservative speech, an accusation the company denies. Republicans have long claimed bias against conservatives on tech platforms, and Donald Trump has promised to sue Google if he wins the presidential election. Shares rose 0.4% pre-market.
Microsoft (NASDAQ:MSFT) – Microsoft CEO Satya Nadella’s compensation rose 63% in 2024, totaling $79.1 million, mainly driven by stock awards that increased from $39 million to $71 million. Microsoft’s shares gained around 31.2%, and its investment in OpenAI bolstered its role in advancing generative AI. Shares were up 0.4% pre-market.
Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) – TSMC achieved higher initial yields at its Arizona plant compared to Taiwan, marking a significant step in its U.S. expansion despite labor challenges. The facility, producing with 4-nanometer technology, supports the Biden administration’s plan to bolster domestic semiconductor production. Shares rose 1.0% pre-market.
Tesla (NASDAQ:TSLA) – Tesla shares surged nearly 22% on Thursday, marking the biggest one-day gain in over a decade, after Elon Musk forecasted 20%-30% sales growth in 2024 and reported its highest profit in a decade. This increase raised Musk’s fortune by $33.5 billion, now totaling $270.3 billion. Musk promised an affordable vehicle by 2025 and discussed cost reductions that improved Q3 margins, pleasing investors. Ahead of the presidential election, Musk donated an additional $56 million to support Donald Trump and other Republicans, bringing his 2024 campaign contributions to $132 million. His donations include funds to the America PAC, aimed at increasing voter turnout in crucial states, and contributions to Republican Senate committees, enhancing his political influence. Shares dropped 2.3% pre-market.
Boeing (NYSE:BA) – The White House urged Boeing and the machinists union to continue negotiations after the rejection of the latest contract offer. With the strike affecting 737 MAX production, Acting Labor Secretary Julie Su maintains contact with both sides to facilitate an agreement. The union seeks a 40% wage increase and the return of pensions. Shares fell 0.1% pre-market.
Spirit Airlines (NYSE:SAVE) – Spirit Airlines sold 23 Airbus planes for $519 million, boosting its liquidity by $225 million through the end of 2025. The sale comes amid talks of possible bankruptcy to facilitate an acquisition by Frontier after a merger block with JetBlue. Shares rose 14.1% pre-market.
Wells Fargo (NYSE:WFC) – CEO Charlie Scharf of Wells Fargo noted the bank could face $2-$3 billion in losses from commercial real estate loans, though it has reserves for this. Losses are expected over three to four years, despite a recovering commercial real estate sector facing reduced office demand. Shares were up 0.1% pre-market.
Morgan Stanley (NYSE:MS) – Morgan Stanley announced Ted Pick will succeed James Gorman as CEO and chair, with Gorman taking on Disney’s board chair role in January. Gorman will act as an advisor at Morgan Stanley until 2026. This transition upholds Wall Street’s tradition of consolidating CEO and chair roles for swift decision-making.
HSBC Holdings Plc (NYSE:HSBC) – HSBC has joined China’s payment system, facilitating yuan transactions and helping clients utilize the currency in global trade. With countries and companies seeking alternatives to the dollar, the yuan is gaining traction, though its global transaction presence remains minor. Shares rose 0.8% pre-market.
BlackRock (NYSE:BLK) – BlackRock launched three new ETFs: iShares Top 20 US Stocks ETF, iShares Nasdaq Top 30 Stocks ETF, and iShares Nasdaq-100 ex Top 30 ETF. Two target the largest U.S. stocks, and one focuses on smaller companies, catering to diverse investor profiles. These funds leverage megacaps’ popularity and demand for diversification. The firm manages over 1,400 ETFs, with $4.2 trillion in assets.
Santander (NYSE:SAN) – Santander Chair Ana Botin announced the bank will have a fully digital U.S. operation by 2025, offering high-yield savings accounts to fund up to $30 billion in loans and expand its retail sector. Santander, one of few European banks still in the U.S. market, anticipates a mild economic recovery and more investment after the U.S. elections. Shares rose 0.4% pre-market.
Phunware (NASDAQ:PHUN) – Phunware’s shares closed down 40% on Thursday, the steepest drop since January, following CEO Mike Snavely’s exit, with Stephen Chen taking over as interim CEO on October 22. Known for its involvement with Trump’s campaign and recent AI projects, Phunware saw strong gains in 2024. Shares were up 12.7% pre-market.
McDonald’s (NYSE:MCD), Yum Brands (NYSE:YUM) – Colorado resident Eric Stelly sued McDonald’s after contracting E. coli from a Quarter Pounder linked to an outbreak causing one death and sickening 50 others. The lawsuit in Cook County, Illinois, seeks over $50,000 for alleged food handling negligence. Yum Brands announced it would remove fresh onions from select Taco Bell, Pizza Hut, and KFC restaurants as a precaution.
Keurig Dr Pepper (NASDAQ:KDP) – Keurig Dr Pepper acquired the energy drink brand Ghost, expanding its portfolio beyond coffee and sodas, for over $1 billion. The deal involves an initial 60% stake for $990 million, with the remaining 40% to be acquired in 2028, based on Ghost’s 2027 financial performance. Known for flavors like Sour Patch Kids, Ghost will remain led by its founders.
Exxon Mobil (NYSE:XOM) – Federal regulators granted Exxon Mobil and Qatar Energy LNG a three-year extension to complete the Golden Pass LNG plant, following delays due to the March bankruptcy of contractor Zachry Holdings. Located at Sabine Pass, the facility aims to expand U.S. LNG export capacity.
Avangrid (NYSE:AGR), Dominion Energy (NYSE:D) – Avangrid, part of the Iberdrola Group, sold its Kitty Hawk North offshore wind lease to Dominion Energy for $160 million. The deal includes the nearly 40,000-acre site and related assets. Avangrid retains the Kitty Hawk South lease, with potential to generate 2.4 gigawatts.
Earnings
Coursera (NYSE:COUR) – Coursera reported Q3 revenue of $176.1 million, beating FactSet’s $174 million estimate, with a loss per share of 9 cents, better than the forecasted 16-cent loss. However, Coursera revised its 2024 revenue guidance to $690-$694 million, down from the previous $695-$705 million range. Shares fell 18.6% pre-market.
Sanofi (NASDAQ:SNY) – French pharmaceutical company Sanofi saw a 14.4% increase in Q3 operating profit, reaching €4.6 billion ($5 billion), above the €4 billion forecast, due to early vaccine sales, which rose 25.5% to €3.8 billion. The company is also nearing a sale of 50% of its consumer division, valued at €16 billion, to focus on new drugs. Shares rose 2.7% pre-market.
Vale (NYSE:VALE) – Vale reported a 15% drop in Q3 net income due to lower iron ore prices and provisions linked to the Mariana disaster. Nonetheless, net income was $2.41 billion, surpassing expectations of $1.65 billion. Net revenue fell 10% to $9.55 billion. EBITDA dropped 18% YoY to $3.62 billion but was above projections. Shares rose 1.1% pre-market.
Televisa (NYSE:TV) – Televisa CEO Emilio Azcarraga entered “administrative leave” as he awaits results from a U.S. Department of Justice investigation into alleged bribes for securing World Cup rights. Televisa, which agreed to a $95 million investor lawsuit settlement, reported $33.85 million Q3 profit, bolstered by its Univision partnership, although total revenue fell 6% to $780 million, mainly due to SKY unit losses.
Capital One (NYSE:COF) – Capital One reported a 1.6% increase in Q3 net income, aided by high-interest rates boosting credit card debt revenue. Total net revenue rose 7% to $10 billion, while net interest income rose nearly 9% to $8.1 billion. Adjusted net income reached $1.73 billion, or $4.51 per share, with delinquency rising to 3.27%.
L3Harris (NYSE:LHX) – In Q3, L3Harris reported adjusted EPS of $3.34 and sales of $5.29 billion, both slightly above analyst estimates. L3Harris raised its 2024 EPS and revenue guidance, driven by strong demand for weapons and defense spending amid rising global tensions. It now expects adjusted EPS of $12.95-$13.15, with revenue of $21.1-$21.3 billion.
Deckers Outdoor (NYSE:DECK) – Deckers Outdoor exceeded Q2 expectations and raised its annual sales forecast due to high demand for UGG and Hoka brands. Net sales rose 20% to $1.31 billion, and adjusted EPS was $1.59, surpassing the $1.20 billion and $1.23 estimates. Gross margin increased to 55.9%. Deckers now projects a 12% sales growth, reaching $4.8 billion annually. Shares rose 14.7% pre-market.
Dexcom (NASDAQ:DXCM) – Dexcom reported adjusted EPS of 45 cents, beating the 43-cent estimate, with revenue of $994 million, slightly above the $990 million projection. Annual revenue grew 2%, though U.S. market sales fell 2%. Dexcom maintained its annual revenue guidance of $4-$4.05 billion. Shares fell 7.0% pre-market.
Western Digital (NASDAQ:WDC) – Western Digital posted adjusted EPS of $1.78, above the $1.71 forecast, with revenue at $1.10 billion, slightly below the $1.11 billion estimate. Cloud revenue, comprising 54% of the total, rose 153% year-over-year. Next quarter’s guidance includes EPS of $1.75-$2.05 and revenue of $4.20-$4.40 billion. Shares rose 10.6% pre-market.
Skechers (NYSE:SKX) – Skechers reported Q3 sales of $2.35 billion, up 15.9% year-over-year, with diluted EPS of $1.26. For Q4, it projects sales of $2.165-$2.215 billion and EPS of $0.70-$0.75. In 2024, it expects sales of $8.925-$8.975 billion, with EPS of $4.20-$4.25.