Several companies made headlines in after-hours trading, with Apple taking the lead as its stock price surged by 7%. This increase was fueled by the announcement of a $110 billion share repurchase and the company’s fiscal second-quarter earnings report which showed earnings of $1.53 per share and revenue of $90.75 billion, both beating analysts’ estimates. Expedia, on the other hand, saw its stock drop by approximately 8% after lowering its full-year guidance due to slow growth in its Vrbo business and the rate of acceleration in business-to-consumer so far. Despite this, Expedia reported first-quarter revenue of $2.89 billion, surpassing analysts’ expectations.
Biotech company Amgen experienced a significant surge of 11% in after-hours trading after posting adjusted earnings of $3.96 per share on revenue of $7.45 billion in the first quarter, both exceeding analysts’ estimates. In a strategic move, Amgen announced that it would be moving its injectable obesity drug into a phase 3 trial while discontinuing development of an experimental weight loss pill. However, Fortinet, a security company, witnessed its shares tumble by 8% as its billings guidance for the second quarter and full year fell slightly below analysts’ expectations. In the first quarter, Fortinet reported adjusted earnings of 43 cents per share and revenue of $1.35 billion, slightly beating consensus estimates.
Payment services provider Block saw a 6% increase in its stock price after reporting adjusted earnings of 85 cents per share on revenue of $5.96 billion in the first quarter. Both figures exceeded analysts’ expectations. Cloudflare, a cloud services provider, experienced a 13% decline in its shares after issuing weak revenue guidance for the full year. However, the company’s first-quarter results surpassed the Street’s estimates with adjusted earnings of 16 cents a share on revenue of $379 million, beating consensus estimates. Healthcare provider DaVita saw a 3% increase in its stock price after reporting first-quarter adjusted earnings of $2.38 per share, surpassing analysts’ expectations along with revenue of $3.07 billion.
Overall, the stock movements in after-hours trading were mixed among the companies making headlines. While some, like Apple and Amgen, experienced significant gains following positive earnings reports, others, such as Expedia and Fortinet, saw declines due to lowered guidance or billings falling below expectations. Payment services provider Block and healthcare provider DaVita also posted strong earnings, surpassing analysts’ expectations and leading to increases in their stock prices. These after-hours trading movements highlight the impact that earnings reports and guidance updates can have on investor sentiment and stock performance. Each company’s performance and strategic announcements in the respective earnings reports played a crucial role in determining the market reaction during after-hours trading.
