Stock futures inched up on Tuesday, following a slip in the S&P 500 from its record high as investors await key economic data. This includes the Federal Reserve’s preferred inflation gauge due to be released later this week.
Workday Shows Strength
Workday impressed with better-than-expected fourth-quarter results. The enterprise software company reported adjusted earnings and revenue that slightly surpassed analysts’ estimates. Additionally, Workday reaffirmed its outlook for fiscal 2025, expecting subscription revenue to reach $7.73 billion to $7.78 billion, representing growth between 17% to 18%. Moreover, Workday unveiled an acquisition deal with HiredScore, a New York-based start-up specializing in “AI-powered” talent software. Despite these positive developments, Workday’s shares experienced a 7.6% decline.
Zoom Video Communication Soars
Unity Software Faces Challenges
In contrast, Unity Software saw a 17% decline as it projected lower-than-expected fiscal first-quarter earnings. Expecting between $45 million to $50 million in adjusted EBITDA, Unity fell short of analysts’ projections of $112 million. The company announced its focus on the core components of its business—engine, cloud, and monetization units—referred to as its strategic portfolio. Unity anticipates revenue for this segment to range from $415 million to $420 million, below the anticipated $534 million by analysts.
Stay tuned for more updates on these tech stocks and their market performance.
CarGurus Reports Better-Than-Expected Q4, Disappoints with Q1 Forecast
CarGurus, the online car-selling platform, exceeded expectations with its fourth-quarter adjusted earnings and revenue. However, the company fell short of Wall Street estimates with its fiscal first-quarter forecast. CarGurus anticipates adjusted profit in Q1 to be between 24 cents and 29 cents per share, below the anticipated 31 cents. This news caused shares to drop by 14%.
Hims & Hers Health Soars on Strong FY Revenue Expectations
Hims & Hers Health experienced an 18% surge after announcing its expectation of fiscal-year revenue ranging from $1.17 billion to $1.2 billion. These estimates exceeded analysts’ projections of $1.11 billion. Additionally, the company foresees adjusted earnings before interest, taxes, depreciation, and amortization for the year to fall within the range of $100 million to $120 million. Hims & Hers posted earnings per share of 1 cent in Q4, surpassing the expected loss of 2 cents.
Coinbase Global Rises as Bitcoin Surges
Coinbase Global, a cryptocurrency broker, saw a 5.3% increase in premarket trading following a 17% jump the previous day due to a Bitcoin rally. The leading digital asset, Bitcoin, has climbed by 10% in the past 24 hours to reach $56,322. In addition to Coinbase, other crypto-related stocks such as MicroStrategy and Marathon Digital also experienced positive growth.
Upcoming Earnings Reports
Earnings reports scheduled for Tuesday include Lowe’s, American Tower, AutoZone, Agilent Technologies, eBay, First Solar, J.M. Smucker, Klaviyo, and Norwegian Cruise Line Holdings.
Lowe’s Anticipates Q4 Earnings Release
Lowe’s is expected to release its fourth-quarter earnings report with analysts projecting adjusted earnings of $1.68 per share on revenue totaling $18.5 billion. The retailer also faces an estimated 7% decline in same-store sales.
