Stock futures indicate a sluggish start for Wall Street on Friday, following the S&P 500’s streak of eight consecutive sessions of finishing higher. The market slump on Thursday can be attributed to the rising bond yields and Federal Reserve Chairman Jerome Powell’s comments regarding the central bank’s lack of confidence in its ability to effectively combat inflation and meet its goal of 2%.
Stocks to Watch
Here are some stocks that are expected to make significant moves on Friday:
Plug Power (PLUG)
Hydrogen fuel cell specialist Plug Power reported a wider loss in the third quarter compared to the previous year, along with revenue that fell short of analysts’ expectations. The company cited unprecedented supply challenges in the hydrogen network in North America as the primary reason for its negative impact. As a result, Plug Power’s stock plummeted by 29%.
Trade Desk (TTD)
Internet advertising platform company Trade Desk witnessed a significant drop in stock price as its fourth-quarter outlook failed to meet analysts’ expectations. The company anticipates revenue of at least $580 million, which is below the estimated $610 million. Additionally, Trade Desk forecasted adjusted earnings before interest, taxes, depreciation, and amortization of approximately $270 million, falling short of Wall Street’s estimated $291 million. Consequently, its stock tumbled by 28%.
Doximity (DOCS)
Wynn Resorts (WYNN)
Casino operator Wynn Resorts reported adjusted earnings of 99 cents per share for the third quarter, surpassing analysts’ estimates of 74 cents. The company’s revenue also witnessed substantial growth, increasing from $889.7 million to $1.67 billion compared to the previous year. While Wynn remains in negotiations with the Culinary and Bartenders unions ahead of a strike deadline on Friday, its stock experienced a decline of 5.5%.
Illumina Expecting Revenue Decline in 2023
Illumina (NYSE: ILMN), a leading DNA sequencing company, has revised its revenue projections for 2023. Instead of the previously anticipated growth of about 1%, the company now expects a decline in revenue between 2% and 3%. Additionally, the adjusted earnings per share are predicted to be in the range of 60 cents to 70 cents, lower than the prior expectations of 75 cents to 90 cents. As a result of this announcement, the stock experienced a decline of 9%.
Unity Software Faces Challenges Amidst Assessment
Unity Software (NYSE: U) witnessed a 14% drop in its stock price following the release of its third-quarter financial results. The company reported revenue of $544.2 million, which fell short of analysts’ estimates. In addition, Unity Software announced that it would not provide guidance for the fourth quarter or full year, as it has commenced a thorough evaluation of its product portfolio. This comprehensive assessment is likely to lead to the discontinuation of certain product offerings, workforce reduction, and downsizing of office space, according to a letter addressed to shareholders.
Diageo Expects Slow Growth in Latin America and the Caribbean
Shares of Diageo (NYSE: DEO) traded down by 13% as the company provided an update on its first-half fiscal year performance. Diageo, the producer of renowned alcoholic beverages such as Johnnie Walker whisky, Tanqueray gin, Smirnoff vodka, and Guinness beer, stated that it foresees a slowdown in growth during this period due to weaker performance in Latin America and the Caribbean.
Groupon Faces Business Challenges and Revenue Decline
Groupon (NASDAQ: GRPN) reported a significant decline in its stock price, plummeting by 32%. Interim CEO Dusan Senkypl acknowledged the challenges faced by the e-commerce company, stating that its “business continues to be challenged.” Groupon expects its fourth-quarter revenue to decline between 7% and 14%. Furthermore, the company announced its intention to raise approximately $100 million through a fully backstopped equity rights offering and the sale of non-core assets.