US stock futures fell on Thursday as rising bond yields and an inflationary outlook curbed investors’ enthusiasm over high equity valuations.
Dow futures lost 0.45%, S&P futures were 0.65% lower and Nasdaq futures were 0.85 weaker at the time of writing.
Companies reporting earnings today include Stellantis (STLA), CRH (CRH) and Kroger (KR) before the bell, while Broadcom (AVGO), Costco (COST) and Cooper (COO) will release their results after the market closes.
Allied Esports Entertainment (AESE) was the most actively traded stock before the bell gaining around 53% at the time of writing. There was no company-specific news reported but trading volumes have been increasing over the past few months. The stock is up almost 60% year-to-date.
AESE was also the biggest gainer in pre-market followed by Super League Gaming (+36%) and Lipocine (+26%), while Viracta Therapeutics (-19%), Yext Inc (-18%) and Genesis Healthcare (-17%) looked set to open weakest.
In corporate earnings news, Splunk (SPLK) jumped over 6% in pre-market trading after reporting Q4 results that topped analysts’ estimates. Revenues of $745 million fell 6% year-on-year but came in ahead of consensus estimates of $682.2 million. Non-GAAP net income per share of $0.38 beat analysts’ expectations of $0.04. Total annualized recurring revenue (ARR) spiked 41% year-on-year to $2.36 billion while cloud business revenues ballooned 72% year-on-year to $171 million.
Dollar Tree (DLTR) gained 3% on Wednesday as a rise in same-store sales and gross margin expansion saw Q4 earnings outperform Wall Street estimates. Adjusted earnings increased 19% year-over-year to $2.13 per share and beat analysts’ estimates of $2.11, while net sales grew 7.2% to $6.77 billion, yet narrowly missed analysts’ expectations of $6.79 billion. The company also increased its share repurchase program by $2 billion.
Meanwhile, shares of online used-car platform, Vroom (VRM), dropped 15% before the open after posting a worse-than-feared Q4 loss. Meanwhile, revenues of $405.8 million came in higher than analysts’ expectations of $402.4 million. The company reported an adjusted loss per share of $0.44 versus analysts’ forecasts of a $0.39 loss per share. Vroom forecasted a Q1 loss per share of between $0.61 and $0.68, significantly wider than analysts’ expectations for a loss of $0.39 per share.
Yext (YEXT) surprised investors with a disappointing revenue outlook sending shares down 13% in pre-market trading. Q1 revenues are projected between $87 million and $89 million, lower than consensus estimates of $93.9 million. For FY22, the company forecasted sales to range between $375 million and $380 million, much lighter than analysts’ expectations of $411 million.
In other news, Green Thumb Industries (GTBIF) has signed an exclusive partnership deal to manufacture and distribute Cann’s line of cannabis-infused sparkling drinks in the US. Distribution will begin in Illinois this spring, with additional markets including New Jersey being added later. New Jersey recently legalized cannabis sales for adult-use. “The cannabis beverage category is poised for growth. Consumers are increasingly entering the market seeking alternatives to alcohol with familiar consumption experiences,” said Green Thumb CEO, Ben Kovler.