Welcome to our premarket trading roundup, where we highlight the top companies making waves before the market opens. In this edition, we’ll take a look at the latest movements of Home Depot, Super Micro Computer, Walmart, Caterpillar, Medtronic, US Foods, Intel, Capital One, Discover Financial Services, and Arm Holdings.
Home Depot kicked off the day with a 2.5% slip in shares after beating its fiscal fourth quarter estimates but issuing lower-than-expected guidance. The company forecasted full-year revenue growth of 1%, falling short of analysts’ expectations. Both net income and sales also saw a decline throughout the quarter.
On the other hand, Super Micro Computer saw a 2% climb in stock after Rosenblatt nearly doubled its price target, calling for a 62% upside moving forward. Walmart also reported a positive fourth-quarter performance with shares adding about 3% after the retail giant beat analyst expectations for adjusted earnings and revenue. In addition, Walmart announced its acquisition of TV maker Vizio for $2.3 billion.
Caterpillar, however, faced a 2% pullback in shares following a downgrade to in-line from Evercore ISI, which expressed concern over a longer-than-expected outlook for earnings growth. Medtronic, a medical device company, saw a 4% gain in shares after beating Wall Street expectations and issuing higher-than-expected full-year earnings guidance.
US Foods also experienced a 1.4% rise in shares after Piper Sandler upgraded the food company to overweight from neutral, citing a “relatively clear path” for the stock to hit the high $50s or low $60s. Meanwhile, Intel saw a 3.3% increase in shares after news broke that the Biden Administration is in talks to award it more than $10 billion in Chips Act subsidies in the coming weeks.
In the financial sector, Discover Financial Services soared more than 14% after news of its acquisition by Capital One in an all-stock deal worth $35.3 billion. Lastly, Arm Holdings saw a 4% slide in stock as investors pulled back bets on the stock after its massive rally.
Overall, it has been a mixed bag for these companies in premarket trading, with some seeing gains and others facing losses. It will be interesting to see how these movements play out once the market opens.
Stay tuned for more updates on these companies and their performance in the market. Thanks to CNBC’s Pia Singh, Sarah Min, Michelle Fox, and Jesse Pound for contributing to our reporting.
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