Stock futures are slightly lower on Wednesday as investors eagerly anticipate remarks from Federal Reserve Chairman Jerome Powell and other central bank officials. Wall Street is looking for any hints or insights regarding the future trajectory of interest rates.
The S&P 500 and Nasdaq Composite recently experienced their longest winning streaks since 2021, setting a positive tone for the market.
Here are the key stocks to watch today:
Rivian Automotive (RIVN)
Electric-vehicle manufacturer Rivian Automotive has raised its production guidance for 2023. Previously expected to produce 52,000 cars, the company now aims to manufacture 54,000 vehicles. Additionally, Rivian reported a narrower loss in the third quarter. This announcement led to a 5.9% increase in premarket trading for Rivian stock.
Lucid Group (LCID)
During the third quarter, Lucid Group missed sales estimates, and as a result, the electric-vehicle start-up adjusted its production guidance for this year. Lucid now anticipates producing 8,000 to 8,500 vehicles, down from the initial forecast of approximately 10,000. Consequently, the shares of Lucid Group fell by 3.3%.
Robinhood Markets (HOOD)
Robinhood Markets disappointed analysts with its third-quarter revenue figures, which fell short of Wall Street’s expectations. Both transaction revenue and monthly active users slowed down for the trading app, causing a 7.8% drop in its shares.
Upstart Holdings (UPST)
Artificial intelligence lending platform Upstart Holdings experienced a significant decline of 22% after posting an adjusted loss of 5 cents per share in the third quarter. Analysts had expected a lower loss of 2 cents. Furthermore, the company’s revenue of $135 million also missed forecasts of $140 million. Upstart’s revenue outlook for the fourth quarter also fell short of estimates.
Cloud-based restaurant operations platform Toast revised its full-year revenue guidance to a range of $3.83 billion to $3.86 billion. This adjustment, although narrower than the previous forecast of $3.81 billion to $3.87 billion, resulted in a 17% decline in Toast’s shares.
Following a record close of $360.53 on Tuesday, software giant Microsoft saw a slight dip in premarket trading. With a winning streak that spans eight consecutive days, this marks Microsoft’s longest winning streak since January 28, 2021.
As investors await further guidance from the Federal Reserve and assess the performance of these key stocks, the market will likely be influenced by the outcome of these events.
EBay (EBAY) Q4 Revenue Guidance
EBay has provided its revenue guidance for the fourth quarter, with a projected range of $2.47 billion to $2.53 billion. The expected growth on a currency-adjusted basis varies from a 1% decline to a 2% increase. This falls slightly below analysts’ estimates, who had anticipated revenue of $2.6 billion. As a result, shares of the online marketplace have dropped by 6.4%.
Array Technologies (ARRY) Issues Weak Full-Year Guidance
Shares of Array Technologies are down by 13% as the company released its full-year guidance, disappointing analysts. For 2023, Array expects revenue to range between $1.525 billion and $1.575 billion, which falls short of the projected revenue of $1.64 billion.
Upwork (UPWK) Exceeds Expectations with Q3 Earnings and Revenue
Upwork experienced a significant surge of 21% following the release of their third-quarter earnings report. The platform for freelancers surpassed Wall Street estimates in terms of both earnings and revenue.
Kyndryl (KD) Beats Analysts’ Estimates with Q3 Revenue
IT infrastructure provider, Kyndryl, has reported third-quarter revenue of $4.1 billion, surpassing analysts’ estimates by approximately $100 million. Additionally, the company’s adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to $574 million, exceeding Wall Street consensus of $487 million. Consequently, the stock has seen a 12% increase.
Sleep Number (SNBR) Faces Financial Challenges in Q3
Sleep Number, a mattress maker, has experienced a decline of 26% after posting an unexpected loss in the third quarter. The company has also predicted a full-year loss of 70 cents per share, which includes restructuring charges resulting from job cuts and store closures announced earlier this week.
Occidental Petroleum (OXY) Exceeds Analysts’ Expectations
Occidental Petroleum has reported third-quarter earnings that fell compared to the previous year. However, the company’s profit on an adjusted basis has surpassed analysts’ estimates. As a result, the stock has seen a 1.5% increase.
Upcoming Earnings Reports
Several companies are scheduled to release their earnings reports on Wednesday. These include Walt Disney (DIS), Arm Holdings (ARM), Biogen (BIIB), Warner Bros. Discovery (WBD), Take-Two Interactive Software (TTWO), Roblox (RBLX), Kellanova (K), Applovin (APP), MGM Resorts (MGM), Unity Software (U), Lyft (LYFT), AMC Entertainment (AMC), Under Armour (UAA), Ralph Lauren (RL), and Affirm Holdings (AFRM).