S&P futures are down 1.5% in Thursday morning trading, near their worst levels. This follows a sharp selloff in US equities on Wednesday when both the S&P 500 and NASDAQ ended down more than 4%.
Indeed, the S&P suffered its biggest one-day decline since June 2020, leaving it down nearly 18% year-to-date, the second-worst start to a year in history.
Oil down, gold up and Bitcoin (BTC) down.
Here are some of today's trending stocks:
Cisco Systems Inc (NASDAQ: CSCO)
Cisco Systems Inc (NASDAQ: CSCO) posted a significant revenue miss and guided down in its fiscal Q3. CSCO shares are trading down 11.3% in pre-market trading.
The company blames supply chain constraints from China shutdowns and the impact of the war in Ukraine on its guidance cut.
Last month analysts at Citigroup said rivals are taking the networking switch market from Cisco. Still, the company insisted its results are not demand-driven and pushed back against concerns about market share losses.
Over the past year, Cisco Systems Inc (CSCO) has traded between $47.47 and $64.29. Today it's fallen below $43.
Canada Goose Holdings (NYSE: GOOS, TSX: GOOS)
Today, Canada Goose Holdings (NYSE: GOOS, TSX: GOOS) reported Q4 fiscal 2022. GOOS share price is up 13% in pre-market trading after falling 8.6% yesterday.
Q4 Highlights
Total revenue: $223.1m
Net loss $9.1m, or $(0.09) per diluted share
Dani Reiss, the CEO, said:
We closed fiscal 2022 with record sales for the year and confidence in our ability to accelerate earnings growth in Fiscal 2023 and beyond. We are expanding to new markets with new partnerships and stores complemented by a laser focus on customer experience. At the same time, we are leveraging our successful playbook to continue to expand product categories and year-round product relevance. Our brand momentum, team and track record of execution gives us the ultimate conviction in the road ahead.
Kohl's Corporation (NYSE: KSS)
Today, Kohl's Corp (NYSE: KSS) reported results for the quarter ended April 30, 2022.
Q1 Highlights
Net Sales and Comparable Sales: $3.7bn (-5.2% Y/Y)
Diluted Earnings Per Share (EPS): $0.11
FY2022 Financial Outlook
Net sales are expected to be in the range of 0% to 1% as compared to the prior year.
The operating margin is now expected to be in the range of 7% to 7.2%
EPS is now expected to be in the range of $6.45 to $6.85, excluding any non-recurring charges
Michelle Gass, the CEO of Kohl's, said:
The year has started out below our expectations. Following a strong start to the quarter with positive low-single digits comps through late March, sales considerably weakened in April as we encountered macro headwinds related to lapping last year’s stimulus and an inflationary consumer environment.
The CEO expects the business to improve as the year progresses. With the rollout of 400 additional Sephora stores, it hopes to benefit in the second half of 2022.
As discussed in our earnings preview, an activist investor has recently shaken things up at Kohl's with pressure to overhaul the board or sell the company.
Gass continued:
Regarding our review of strategic alternatives, we continue to engage with multiple interested parties. We have formally communicated the specific procedures for the submission of actionable bids due in the coming weeks. We continue with our detailed diligence phase and are pleased with the number of parties who recognize the value of our business and plan,
The board engaged Goldman Sachs to conduct a comprehensive process to explore strategic alternatives, which has included engagement with over 25 parties. Multiple bidders have been invited to a data room containing over 550,000 pages across over 55,000 documents and meetings with management. While preliminary, non-binding proposals have been received, further diligence is ongoing, and the board has requested fully-financed final bids to be submitted in the coming weeks.
As previously announced, Kohl's Board of Directors declared a quarterly cash dividend on the company's common stock of $0.50 per share. The dividend is payable June 22, 2022, to shareholders of record at the close of business on June 8, 2022.
Synopsys, Inc. (NASDAQ: SNPS)
Synopsys, Inc. (NASDAQ: SNPS) is an American electronic design automation company. SNPS share price is up 4% in pre-market trading, showing signs of recovery.
This welcome bump comes in response to the company posting a positive earnings report. Beating Wall Street estimates, the company posted revenue for the quarter, rising 25.5% to $1.28bn from $1.02bn last year. This led the bottom line to come in at $294.78m, or $1.89 per share. It's a big improvement on last year's quarter which came in at $195.08m, or $1.24 per share.
These results provide a positive outlook for the company after a difficult start to the year, with the stock dropping -24.52% year-to-date.
Bath & Body Works (NYSE: BBWI)
Bath & Body Works (NYSE: BBWI), a specialty retailer based in Ohio, is enduring a pre-market slump, with its share price down 9%.
Although the company reported strong financial results for Q1, it cut FY earnings guidance below analyst estimates. The company earned $155m, or 64 cents a share, in Q1, compared with $277m, or 97 cents a share, Y/Y. Sales fell 1% to $1.45bn. FactSet consensus called for earnings of 53 cents a share on sales of $1.43bn.
These results led to mixed price projections from analysts. Morgan Stanley is increasing its price target from $90 to $95. In comparison, a Credit Suisse research report shows that it has lowered its estimate from $64 to $49 and set a "neutral" rating on the stock.
The current pre-market BBWI share price is $39.22, and its 52-week range is $42.46 - $82.00. BBWI stock appears to be in a slump, and investors are pessimistic about its outlook.