Market Movers: Key Companies to Watch Before the Opening Bell
As the trading day approaches, several prominent companies are making headlines with their latest earnings reports and strategic announcements, reflecting significant movements in their stock prices.
United Parcel Service (UPS)
Shares of UPS plummeted over 14% in premarket trading after the delivery giant disclosed an agreement with Amazon, its largest client, which will reduce its shipping volume by more than 50% by mid-2026. In addition, UPS announced a multi-year initiative aimed at cutting costs by $1 billion.
Microsoft
Microsoft’s stock saw a dip of around 4% following its release of financial guidance that fell short of expectations. The tech firm estimated revenue between $67.7 billion and $68.7 billion for the fiscal third quarter, while analysts had predicted $69.78 billion. Nonetheless, the company’s fiscal second-quarter performance surpassed consensus forecasts.
Caterpillar
Caterpillar experienced a 4% drop in share price after reporting fourth-quarter revenues of $16.22 billion, which did not meet the anticipated $16.39 billion. However, it did post earnings of $5.14 per share excluding items, exceeding Wall Street expectations of $5.02.
Comcast
Shares in Comcast fell more than 6% after the company revealed a loss of broadband and cable TV customers. The domestic broadband user base decreased by 139,000, and cable subscriptions decreased by 311,000. Even amidst this decline, Comcast reported earnings that surpassed estimates, with earnings of 96 cents per share and revenue of $31.92 billion, beating the $31.64 billion forecast.
Meta Platforms
On a positive note, Meta’s stock jumped 2% premarket as the company announced that its fourth-quarter earnings exceeded expectations. The company reported a 21% increase in sales year-over-year and a 49% rise in net income, reaching $20.8 billion compared to $14 billion the previous year.
Tesla
Tesla saw its shares rise 4% despite reporting fourth-quarter results that didn’t meet expectations. The company posted adjusted earnings of 73 cents per share against a revenue of $25.71 billion, while analysts had anticipated earnings of 76 cents and revenue of $27.27 billion.
Las Vegas Sands
Shares of Las Vegas Sands soared over 7% after it announced mixed quarterly results. The company reported earnings of 54 cents per share and a revenue of $2.9 billion, slightly below analyst estimates predicting earnings of 58 cents per share on $2.87 billion in revenue.
ServiceNow
ServiceNow’s stock fell nearly 10% following fourth-quarter results that matched analysts’ expectations. It recorded earnings of $3.67 per share on revenue of $2.96 billion, but projections for its full-year subscription revenue were weaker than previously forecasted.
International Business Machines (IBM)
IBM enjoyed a nearly 10% rise in premarket trading after reporting fourth-quarter earnings that outperformed expectations. The firm earned $3.92 per share, exceeding analyst forecasts of $3.78, with a revenue of $17.55 billion that aligned closely with market predictions.
Cigna
Healthcare company Cigna’s shares declined by 11% after its fourth-quarter earnings fell below consensus estimates. The adjusted earnings stood at $6.64 per share, while analysts were forecasting $7.82. However, Cigna’s revenue of $65.65 billion did surpass expectations of $63.36 billion.
Dow Inc.
Dow’s shares dipped around 3% after announcing fourth-quarter operating earnings and revenue that did not meet forecasts, along with a weaker-than-expected revenue guidance for the first quarter. It reported operating earnings of flat with a revenue of $10.41 billion, whereas analysts had expected $10.51 billion.
American Airlines
Shares of American Airlines fell by 4% following a tragic incident where a regional jet operating for the airline collided with an Army helicopter, marking the first fatal commercial airline crash on U.S. soil since 2009.
Southwest Airlines
Southwest Airlines saw its shares drop by 2%. The airline reported fourth-quarter revenue of $6.93 billion, falling short of analyst expectations of $6.96 billion, although its adjusted earnings were 56 cents per share, surpassing the forecast of 46 cents.
Levi Strauss
Levi Strauss experienced a 7% decrease in stock value due to its 2025 earnings forecast, which came in below market expectations. The company projected adjusted earnings between $1.20 and $1.25 per share, influenced by foreign exchange fluctuations and a higher tax rate, while analysts estimated $1.37 per share.
Northrop Grumman
Shares of Northrop Grumman fell 2% after the company missed revenue expectations for its fourth quarter. The reported revenue was $10.69 billion, lower than the anticipated $10.97 billion. However, earnings of $6.39 per share beat the consensus estimate of $6.35, with the company’s CEO expressing optimism regarding continued growth and expansion.
Disclosure: Comcast owns NBCUniversal, the parent company of CNBC.
