Dow Drops Despite Solid Earnings from Microsoft

The 澳洲幸运5官方开奖结果体彩网:Dow Jones Industrial Average fell 105 points, or aboutꦏ 0.3%, as Microsoft’s solid earnings report wasn’t enough to counteract the negative sentiment that dragged most stock🍌s lower.

Travelers Companies (TRV) jumped 4.3%, making it the best performer of the Dow 30, after insurance peer Chubb Ltd. (CB) b🌠eat earnings estimates💜 on higher premiums. 

Microsoft (MSFT) shares moved higher by 3.1% after it 澳洲幸运5官方开奖结果体彩网:reported ඣbetter-than-expecte♏d earnings for the 2024 fiscal first quarter, including 29% gro🍃wth in its Azure cloud business. 

Intel (INTC) plunged more than 5.1%, adding to losses suffered earlier in the week on reports Nvidia (NVDA) is developing a computer processing unit with Arm (ARM) designs, challenging Intel’s core PC business.

Shares of Salesforce (CRM) declined 3.5%. The stock fell earlier in the week following a downgrade from Piper Sandler on concerns about over-optimistic AI business forecasts. Dow Inc. (DOW) shares fell 3.5% a day after it𒅌s quarterly earning report revealed lower sales volumes. 

Boeing (BA) shares fell 2.5% after it 澳洲幸运5官方开奖结果体彩网:lowered its 737 Max air🗹craft delivery forec🦄ast for the year as it struggles with productio🎐n defects.

Apple (AAPL) shares declined 1.4% after a representative said it would 澳洲幸运5官方开奖结果体彩网💃:support a national “right-to♊-repair” law that cou💧ld make it easier for independent shops to repair Apple devices.&nb𝄹sp;

Shares of IBM (IBM) slid 0.5% ahead of its earnings report after the bell, while Honeywell (HON) shares fell 1.9% in advance of💞 its report tomorrow🐬 morning.

-Terry Lane

Boomers' Record Wealth Could Be a Boon to Senior-Exposed Stocks

Buy Boomers and sell Millennials. That’s the advice of 🍌Bank of America equity analysts who, in a resear🙈ch note released Wednesday, said investors should consider stocks of businesses that cater to older clientele, whose spending has proved resilient in the face of higher prices and rates.

According to BofA internal data, Baby Boomers and their elders, Traditionalists, are the only generational groups increasing consumption. Meanwhile, Millennials’ spending has recently fallen 澳洲幸运5官方开奖结果体彩网:as their credit card delinquencies have ♔risen.

Boomers’ finances are being girded by the equity they have built up in their houses, which they likely bought with money borrowed at historically low rates. On the flip side, Millennials are the majority of first-time homebuyers in 澳洲幸运5官方开奖结果体彩网:the leas♌t affordable housing market i💦n decades. 

People over 50 are prioritizing travel and entertainment over other forms of discretionary spending like tech and apparel, according to an AARP survey cited by BofA. Cruise lines, which skew older, could benefit the most from Boomers’ healthy personal finances. BofA 𓆉also highlighted health care, senior housing, and death services as potential market bright spots.

Worldline’s Lower Guidan🤡ce Tanks Digital Payments Stocks

Digital payments companies were some of the market’s worst-performing stocks Wednesday after French payments company Worldline SA (WRDLY) cut its revenue outlook, citing a pullback i𓂃n consumer spending in Germany, its largest market. 

Worldline American depositary receipts (ADRs) plunged nearly 60% Wednesday, dragging other fintech firms with them. Affirm Holdings (AFRM) shares fell 15%, while Block (SQ) lost 8% and PayPal (PYPL) dropped 4%. 

Digital payments companies face an uncertain future. Inflation and the Federal Reserve’s interest rate hikes have dramatically increased the cost of living, but most of all for younger consumers who🎉 are the most likely to use digital services.

Their savings have been hit by years of above-trend inflation and market volatility; 澳洲幸运5官方开奖结果体彩网:they’ve just resumed payments on more than $1 trillion in student loans; and 澳洲幸运5官方开奖结果体彩网:rates on mortgages and 澳洲幸运5官方开奖结果体彩网:car loans have jumped t👍o multi-decade highs, furt﷽her squeezing their finances. 

Midday Market Movers

General Dynamics Corp. (GD): Shares of the🐬 defense contractor rose 4% after its third-quarter report topped Wall Street estimates on the top and bottom lines. Strong demand also increased its order backlog to a record of nearly $96 billion.

Moody’s Corp. (MCO): Shares of the credit rating agency rose 3% after it reported revenue grew 15%🃏 in the third quarter and adjusted earnings rose 31% to $✱2.43 a share. Both surpassed analysts’ estimates. 

Affirm Holdings Inc. (AFRM): Shares of the digital payments company fell 16% after French peer Worldline lowered its full-year revenue outlook, tanking payments companies like PayPal Holdings Inc. (PYPL), down 5%, and Block Inc. (SQ), down 8%.

Automatic Data Processing Inc. (ADP): S𓆏hares of the payroll and Human Resources services company fell almost 10% after it lowered its outlook forꦍ its administrative outsourcing unit, saying growth came in under expectations after slowing in the third quarter.

T-Mobile US Beats Earnings Estimates as It Adds Mor🔴e Customers Than Expected

T-Mobile U.S. (TMUS) 澳洲幸运5官方开奖🔜结果体彩网:reported better-than-expected profit and boosted the low end of its guidance as the mobile phone provider🧜 added more customers than antici🏅pated.

The third-largest U.S. wireless company posted third-quarter fiscal 2023 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) of $1.82, beating estimates. Revenue𓂃 fell 1.2% from the same period a year ago to $19.25 billion, in line with forecasts.

T-Mobile added 850,000 postpaid mobile phone customers, while analysts were looking for a gain of 780,400. The company indicated its $4 billion in 澳洲幸运5官方开奖结果体彩网:free cash flow was the highest in its history.

Shares of T-Mobile U.S. whipsawed between losses andဣ gains early in the session before stabilizing to trade little changed midday Wednesday.

-Bill McColl

Waste Management Shares Gain on Price Hikes

Shares of garbage disposal company Waste Management (WM) surged 6% We𒈔dnesday after it beat earnings estimates on wider margins 🌳boosted by price hikes.

Waste Management reported net income of $663 million, a 4% increase from the same quarter last year. Core prices, a measure of the efficacy of the company’s pricing changes, was 6.6% last quarter, outpacing cost increases by about 100 澳洲幸运5官方开奖结果体彩网:basis points—or 1 percentage point. 

Waste Management’s margin expansion underscores the success companies are having passing higher costs along to clients and consumers, who have kept the economy afloat this year with their 澳洲幸运5官方开奖结果体彩网:surprisingly robust spending. 

Visa Narrowly Bea🍒ts Earnings Expectations on Higher Transaction Volume, Resilient Consumer Spending

Visa’s (V) fiscal fourth-quarter 澳洲幸运5官方开奖结果体彩网:earnings results beat anal♏yst predictions as transaction🃏 volume incr♛eased amid an uptick in consumer spending as inflation cools.

Visa earnings by the numbers

• Net income: $4.7 billion vs. $4.7 billion expected, according to analyst estimates compiled by Visible Alpha
• Adjusted earnings per share: $2.33 (in line with expectations)
• Net revenue: $8.6 billion (in line with expectations)
• Payments volume: Up 9% (in line with expectations)

"Throughout the year, we have seen resilient consumer spending, ongoing recovery of cross-border travel spend versus 2019 and continued growth across our new flows and value-added services businesses," CEO Ryan McInerney said in a statement.

One concern for Visa going forward: 澳洲幸运5官方开奖结果体彩网:Credit card delinquencies have risen𝓰 throughout the year and credit card debt in the U.S. topped $1 tri🧜llion for the first time in the second quarter. 

Visa shares were about🧜 1% hꦇigher late Wednesday morning.

-Nathan Reiff

Alphabet Shares Sink on Slower Cloud Growth

Alphabet (GOOGL) shares fell Wednesday after the company rep𝕴orted slower-than-expected growth at its Google Cloud unit, overshadowing a rebound in advertisin🌜g revenue.

Alphabet earnings by the numbers

• Net income: $19.7 billion vs $18.5 billion expected, according to analyst estimates compiled by Visible Alpha.
• Adjusted earnings per share: $1.55 vs. $1.46 expected
• Revenue: $76.7 billion vs. $76 billion expected
• Google advertising revenue: $59.6 billion vs. $59.1 billion expected
• Cloud revenue: $8.4 billion vs. $8.6 billion expected

Alphabet shares sank more than 8% early Wednesday.

Microsoft Shar⛄ꦿes Jump on Earnings Beat, Surprising Cloud Growth

Microsoft's (MSFT) fiscal first-quarter earnings beat anওalystsꦫ' expectations as the company's Azure cloud comp🃏uting segment grew more than predi🏅cted.

Microsoft earnings by the numbers

• Net income: $22.3 billion vs. $19.8 billion expected, according to analyst estimates compiled by Visible Alpha.
• Adjusted earnings per share: $2.99 vs. $2.65 expected
• Revenue: $56.5 billion vs. $54.6 billion expected
• Cloud revenue: $31.8 billion vs. $30.9 billion expected

Shares jumped nearly 4% in early trading Wednesday.

Stocks Making the Biggest Moves Premarket

Gains: 

• Deutsche Bank AG (DB): Shares of the German bank rose more than 6% after it better-than-expected earnings and said it expected full-year sales to come in at the top of its prior guidance. 
• Microsoft Corp. (MSFT): Shares of the tech giant jumped nearly 5% after it 澳洲幸运5官方开奖结果体彩网:reported cl꧋oud growth accelerated last quarter, helping it grow net income by 27% year-over-year. 
• Boeing Co. (BA): Shares of the aircraft maker rose 3% after it reported its net loss narrowed from a year ago, overshadowing a simultaneous announcement that it will deliver fewer 787 Max jets this year than previously expected. 

Losses:

• Texas Instruments Inc. (TXN): Shares of the semiconductor company fell more than 6% after it reported lower-than-expected sales last quarter and forecast a weak fourth quarter. 
• Alphabet Inc. (GOOGL): Shares tumbled more than 5% after the company 澳洲幸运5官方开奖结果体彩🍎网:reported slower-than-𓆉expected growth in its all-important cloud computing unit. 
• Thermo Fisher Scientific Inc. (TMO): The health tech company’s shares fell almost 4% after it lowered its full-year guidance for the second consecutive quarter, citing the “current macroeconomic environment.” The company now expects revenue of $42.7 billion and adjusted earnings per share to total $21.50, compared with estimates of $45.3 billion and $23.70, respectively, at the end of the first quarter.

5 Things to Know Before Markets Open

Here's 澳洲幸运5官方开奖结果体彩网:what investors need to know to start their day:

1. Microsoft (MSFT) 澳洲幸运5官方开奖结果体🎃彩网:grew its 🍷Azure cloud computing segment more than forecasted last quarter, helping boost its earnings and send its stock 5% higher in premarket trading.
2. Shares of Google-parent Alphabet (GOOG) dropped more than 6% in premarket trading after revenue growth at the search giant’s 澳洲幸运5官方开奖结果体彩网:cloud division disappointed.
3. Visa (V) reported a 澳洲幸运5官方开奖结果体彩网:19%ౠ year-over-year increase 🌠in net income to top Wall Street estimates on the top and bottom lines.
4. Shares of Instagram-parent Meta Platforms (META) traded 0.5% lower premarket after a coalition of 33 states sued the tech giant, alleging ༒the company’s 𝕴social media platforms harm children and teenagers.
5. New home sales are expected to have increased slightly in September to an annualized rate of 680,000, from 675,000 in August. That data will be released by the Census Bureau at 10 a.m. ET.

-Terry Lane

ꦑStock Futures Mixed Fol🐻lowing Microsoft, Google Earnings

Futures contracts connected to the Dow Jones Industrial Average were almost 0.3ꦦ% higher in premarket trading, buoyed by Microsoft and Boeing earnings beats.

S&P 500 futures contracts were traded about 0.2% lower, weighed on by Alphab๊et shares galling premarket.

Nasdaq 100 futures fell nearly 0.5%.