This title initially worked when Lyft was up 9% after hours, but now we’re at an impasse with it flipping to -9%. So, let’s start with Lyft earnings and then recap some of the other biggest movers to the upside. 👀
Ridesharing company Lyft reported second-quarter revenue growth of 3% and adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) of $41 million. Both topped estimates, but investors are concerned about the YoY revenue decline per active rider. The company says it is cutting prices for riders to capture market share from rival Uber and forecasted third-quarter revenues and adjusted EBITDA ahead of analyst estimates. $LYFT shares initially popped on the results but faded sharply into the red after hours. 🚗
Moving onto the good stuff, Penn National Gaming shares soared after reporting several developments with its earnings. First, the company announced that it secured exclusive rights to use the “ESPN Bet” trademark for a 10-year term and will rebrand its Barstool Sportsbook app as ESPN Bet. It’s paying Disney $1.5 billion in cash and about $500 million worth of warrants to purchase its shares in exchange for that. 🤝
It’s also divesting Barstool Sports, selling 100% of its stake back to Barstool founder Dave Portnoy for $0 in exchange for non-compete and other restrictive covenants. Longer-term, Penn has the right to receive 50% of the gross proceeds received by Portnoy in any subsequent sale or other monetization event of Barstool. $PENN shares rebounded about 25% after hours. 🎰
Global fitness drink maker Celsius Holdings rose to fresh highs after its second-quarter results topped revenue and earnings estimates by a wide margin. Year-over-year revenue growth of 112% helped reiterate to investors that its rapid growth may continue. As a result, $CELH shares jumped 15% after hours to new all-time highs. 📈
Communications company Twilio is recouping its regular-session losses after reporting earnings and revenue that topped expectations. The company continues to cut costs, helping it raise its full-year adjusted income of $350 to $400 million from its May forecast of $350 million. After two rounds of job cuts, its headcount is now down 29% from its September peak of 8,992. However, its third-quarter revenue forecast fell short of expectations but its profit beat. $TWLO shares rose 7% after hours. 🔺