Midday Trading Highlights: Corporate Performance Snapshot
Investors are closely watching key players making waves in the stock market today. Here’s a look at how certain companies are faring:
Alcoa
Alcoa’s share price experienced a decline of 1.1% following CEO William Oplinger’s announcement that U.S. tariffs on Canadian imports would result in an increase of aluminum costs ranging from $1.5 billion to $2 billion annually. The CEO emphasized that these trade costs would adversely impact both the domestic supply chain and the automotive sector, highlighting Alcoa’s position as the largest aluminum producer in the U.S.
American Airlines
Shares of American Airlines fell sharply by 8.7% after the airline reported a disappointing outlook for the first quarter. The airline anticipates an adjusted loss between 20 to 40 cents per share, which is significantly worse than analysts’ expectations of a loss of just 4 cents per share.
Elevance Health
Contrasting the downward trends, Elevance Health saw its shares rise by 2.7% after surpassing fourth-quarter expectations. The health insurance company reported adjusted earnings of $3.84 per share on $45 billion in revenue, slightly exceeding the FactSet consensus, which anticipated earnings of $3.81 per share with revenue of $44.92 billion.
Electronic Arts
In the gaming sector, Electronic Arts faced a tough day, with shares plunging 16.7%. The company reduced its net bookings forecast for both the third quarter and the full year, attributing the decline to weaker-than-expected performance from key titles, including its soccer games.
Plexus
Plexus also faced challenges, with shares dropping nearly 10.1% after it issued a lackluster revenue forecast for the second quarter. The expectation of revenue between $960 million to $1 billion fell short of the $1.02 billion that analysts had anticipated.
AST SpaceMobile
Another stock on the decline is AST SpaceMobile, which saw its shares decrease by 11.9% after announcing a $400 million convertible note offering, raising concerns among investors.
GE Aerospace
On a more positive note, GE Aerospace witnessed a 6.6% increase in its stock price following impressive fourth-quarter earnings and revenue. The defense and aerospace giant reported adjusted earnings of $1.32 per share, exceeding the $1.04 forecast by analysts, along with revenue of $9.88 billion, which outstripped the $9.51 billion expectation.
Guidewire Software
Guidewire Software’s shares soared 11.5% after Goldman Sachs initiated coverage with a buy rating. The firm’s emphasis on the company’s potential in providing cloud software solutions for the property and casualty insurance sector aligns with the growing trend of cloud adoption among insurers.
Union Pacific
Union Pacific enjoyed a share price boost of 5.2% after releasing fourth-quarter earnings that beat Wall Street’s predictions. The company reported earnings of $2.91 per share, compared to the anticipated $2.78 per share. However, its revenue slightly missed expectations at $6.12 billion, compared to the expected $6.14 billion.
Alaska Air
Lastly, Alaska Air saw a modest increase of about 2.1% in its stock price after announcing fourth-quarter adjusted earnings of 97 cents per share, significantly higher than the 47 cents projected by analysts.
