U.S. stock futures were trending higher on Wednesday as investors shrugged off economic data that continues to signal weak economic growth amid a resurgence of COVID-19 cases. Investors also shunned concerns about rising inflation.
Dow futures were up 0.27%, S&P futures were up 0.30%, and Nasdaq futures were up 0.18% at the time of writing.
REX American Resources Corp. (REX), BeyondSpring Inc. (BYSI), and Campbell Soup Co. (CPB) are set to report their quarterly earnings before the market opens. ChargePoint Holdings Inc. (CHPT), eGain Corp. (EGAN), and Five Below Inc. (FIVE) will report after the market close.
Baudax Bio (BXRX) was the most active stock in the pre-market session, with 3.51 million shares exchanging hands at the time of writing. The stock was also up by 17.46%. However, it is unclear what is causing the increased market activity and spike, given the lack of any substantial news being released.
Anaplan Inc. (PLAN) was one of the biggest gainers in the pre-market session, jumping 17.56% at the time of writing. The spike comes on the company delivering better-than-expected second-quarter results characterized by strong subscription revenue growth. The company posted a net loss of $0.09, better than a loss of $0.14 a share that analysts expected.
Cypress Energy (CELP) was the biggest loser in the pre-market session, dropping 11.73% at the time of writing. It is unclear what is causing the stock to drop as there is no substantial news to justify the sell-off.
In M&A news, Blackstone, Inc.’s (BX) affiliates Blackstone Infrastructure Partners, Blackstone Real Estate Income Trust, Inc., and Blackstone Property Partners have completed the acquisition of QTS Realty Trust for $10 billion. The acquisition aligns with the investment firm’s conviction theme that revolves around data proliferation as it moves to address the rising demand for data centers.
Meanwhile, Prosus (PROSF) subsidiary PayU has reached an agreement to acquire Indian payment giant BillDesk for $4.7 billion. The acquisition should strengthen the consumer internet group payment and fintech unit while enhancing its foothold in the Indian payment sector. It also affirms the company’s ambitions of building a global consumer internet business.
Automotive retailer Lithia Motors (LAD) is to expand its footprint into Canada with the acquisition of Toronto-based Pfaff Automotive partners. It marks the company’s first international acquisition and is expected to strengthen its revenue base. The company expects to generate revenues of more than $1 billion from Pfaffs 11 locations.
Apple (AAPL) and Alphabet’s (GOOGL) Google may soon have to open their app stores to other payment systems. According to Bloomberg, the passing of a bill by the National Assembly of South Korea will bar the two tech giants from forcing people to use their payment systems. The new law also threatens to have a ripple effect that could result in other countries forcing the two companies to open up their app stores.
Ambarella (AMBA) shares jumped 6.5% after the company reported better-than-expected second-quarter results for Fiscal 2022. Revenues were up 58% year-over-year to $79.3 million, surpassing consensus estimates of $75.7 million. Adjusted EPS landed at $0.35, ahead of consensus estimates of $0.25.
