Earnings Recap – 05/04/23

There were a metric ton of earnings reports out today, with many stocks moving significantly. We summarize some of the biggest names and their results down below. 👇

Ferrari profits soared 24% as the luxury goods market remained solid, pushing the company’s waiting list into 2025. Investors pay close attention to its EBIT profit margin, which rose one percentage point to 26.9%. $RACE shares rose 5%. 🏎️

Lyft reported first-quarter results that beat expectations, but its second-quarter forecast was short of estimates. Ridership and average revenue per active rider both missed expectations as well. While its main competitor Uber diversified its business with delivery services, Lyft has remained focused on ridesharing but continues to lose market share, according to research firm YipitData. $LYFT shares fell 10% after hours. 🚗

DraftKings says it’s efficiently acquiring new customers and retaining customers in more mature markets, even as it decreases promotional activity. Looking at the remainder of 2023, its CEO is confident the company can achieve profitability on an adjusted EBITDA basis in the near term. The company also raised its full-year revenue guidance. $DKNG jumped 9% on the news. 🎰

Peloton’s loss per share exceeded estimates as it shifted its product mix to lower-priced hardware and fitness subscriptions. Overall membership was flat QoQ at 6.7 million total members and down about 4% YoY. $PTON shares fell 13% and are approaching their all-time lows again. 🚴

Paramount Global reported weaker-than-expected revenue and earnings and cut its quarterly dividend. It’s the first time since 2009 that Paramount has reduced its dividend, cutting it from $0.24 to $0.05 per share. It’s cutting costs, divesting non-core assets, and giving itself more runway to invest in its streaming business which it expects to be cash-flow positive and profitable by the end of 2024. $PARA fell 28%, posting its worst one-day historical decline. 📺

Shake Shack beat revenue estimates and reported a narrower-than-expected loss as same-store sales growth of 10.3% beat the forecasted 8.7%. Total expenses grew less than revenue YoY, relieving some of the margin pressure the burger chain felt. $SHAK shared jumped 16% on the news. 🍔

Coinbase’s first-quarter results came in better than expected, but executives acknowledged that the environment for crypto remains extremely volatile. Executives said, “While we can’t predict the outcomes of these events, we continue to focus on our cost-reduction efforts while trying to boost adjusted profits.”$COIN shares rebounded 7% after hours. ₿

Moderna topped revenue and earnings expectations after a resurgence of Covid cases buoyed sales. The company maintained its full-year guidance of $5 billion in Covid vaccine revenue, which remains its only marketable product. $MRNA shares rose 3%. 💉

Shell’s profit sits near record highs at $9.6 billion, with net debt falling to $44.2 billion. Despite its cash-rich position, it made no changes to its $4 billion buyback program and dividend of $0.2875 per share. $SHEL shares rose 1%. 🛢️

SolarEdge Technologies, which makes products and software for the solar energy industries, signaled that supply-chain challenges are gradually improving. That helped drive an earnings and revenue beat, while its second-quarter revenue forecast was slightly lighter than anticipated. $SEDG rose 6% on the day. 🌞

Papa John’s International reported a better-than-expected profit, but its revenue and same-store sales fell short of estimates. Like its peers, rising costs and changes in consumer spending habits are factors the company is continuing to combat. $PZZA shares rose 1%. 🍕

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