In this article, we will take a look at the 10 market movers to watch on Wednesday. If you want to see some more stocks making moves today, go directly to 5 Market Movers to Watch on Wednesday.
Notable stocks from the tech and communication services sectors, including Coupa Software Incorporated (NASDAQ:COUP), GitLab Inc. (NASDAQ:GTLB) and Pinterest, Inc. (NYSE:PINS), were spotted making big moves this morning.
Shares of Coupa Software Incorporated (NASDAQ:COUP) and GitLab Inc. (NASDAQ:GTLB) rose in pre-market trading Wednesday on better-than-expected quarterly performance. On the other hand, Pinterest, Inc. (NYSE:PINS) shares rallied after receiving an upgrade from Wolfe Research.
In addition, shares of Academy Sports and Outdoors, Inc. (NASDAQ:ASO) and United Airlines Holdings, Inc. (NASDAQ:UAL) also rose after the opening bell today. See the full article below to find what brought these stocks on the list of 10 market movers to watch on Wednesday.
10. Korn Ferry (NYSE:KFY)
Number of Hedge Fund Holders: 21
Shares of Korn Ferry (NYSE:KFY) slid over four percent this morning after missing profit expectations for its fiscal first quarter. The management consulting firm’s results were partly affected by a weak operating margin.
Korn Ferry (NYSE:KFY) earned $1.50 per share on an adjusted basis, up from $1.37 per share in the corresponding period of 2021. Revenue increased 19.6 percent versus last year to $703.1 million. Analysts, on average, were looking for earnings of $1.51 per share on revenue of $697 million.
The operating margin for the quarter slipped to 16 percent versus 17.3 percent in the same period last year.
Looking forward, Korn Ferry (NYSE:KFY) projected adjusted earnings in the range of $1.34 – $1.50 per share for its fiscal second quarter. The midpoint of the guidance missed the expectations of $1.50 per share.
9. Newell Brands Inc. (NASDAQ:NWL)
Number of Hedge Fund Holders: 22
Newell Brands Inc. (NASDAQ:NWL) slashed its financial outlook for the full year, citing weak orders and the negative effects of inflation on its business. As a result, its shares hit a new 52-week low in pre-market trading Wednesday.
The consumer and commercial products retailer now expects earnings of $1.56 – $1.70 per share for fiscal 2022, down from its previous projection of $1.79 – $1.86 per share. In addition, Newell Brands Inc. (NASDAQ:NWL) expects to generate revenue of $9.37 – $9.58 billion for the same period, below its earlier forecast of $9.76 – $9.98 billion.
Discussing the revised outlook, CEO of Newell Brands Inc. (NASDAQ:NWL), Ravi Saligram, said in a statement:
“Although we remain enthusiastic about the back-to-school season and continue to see solid growth in the Commercial business, we have experienced a significantly greater than expected pullback in retailer orders and continued inflationary pressures on the consumer. As a result of these developments and our more cautious posture for the balance of the year, we are adjusting our expectations for the second half of 2022.”
Like Newell Brands Inc. (NASDAQ:NWL), Coupa Software Incorporated (NASDAQ:COUP), GitLab Inc. (NASDAQ:GTLB) and Pinterest, Inc. (NYSE:PINS), were also on the list of 10 market movers to watch on Wednesday.
8. UiPath Inc. (NYSE:PATH)
Number of Hedge Fund Holders: 24
UiPath Inc. (NYSE:PATH) announced better-than-expected financial results for its fiscal second quarter. However, its sales projection for the current quarter disappointed investors, sending its shares to a new low 52-week low in pre-market trading Wednesday.
The software company reported an adjusted loss of 2 cents per share, narrower than analysts’ average estimate for a loss of 11 cents. Revenue came in at $242.2 million, while analysts expected UiPath Inc. (NYSE:PATH) to generate revenue of $230.7 million.
For the third quarter, UiPath Inc. (NYSE:PATH) expects revenue in the range of $243 – $245 million, well below the consensus of $269.6 million. UiPath Inc. (NYSE:PATH) blamed currency fluctuation and macroeconomic volatility for the weak guidance.
7. NIO Inc. (NYSE:NIO)
Number of Hedge Fund Holders: 25
NIO Inc. (NYSE:NIO) is next on the list of 10 market movers to watch on Wednesday. The company’s shares fell to a nearly three-month low this morning following its mixed results for the second quarter.
The Chinese electric vehicle maker reported an adjusted loss of 20 cents per share, wider than analysts’ average estimate for a loss of 17 cents per share. In addition, NIO Inc. (NYSE:NIO) posted revenue of $1.54 billion, up 21.8 percent on a year-over-year basis and above the expectations of $1.43 billion.
Among other updates, NIO Inc. (NYSE:NIO) said it delivered 25,059 vehicles in Q2 versus 21,896 in the same quarter of the prior year. On the downside, its gross margin declined to 13 percent, from 18.6 percent in the year-ago period.
Moving forward, NIO Inc. (NYSE:NIO) expects vehicle deliveries in the range of 31,000 – 33,000 and revenue between $1.9 – $2 billion for the third quarter.
6. Guidewire Software, Inc. (NYSE:GWRE)
Number of Hedge Fund Holders: 28
Shares of Guidewire Software, Inc. (NYSE:GWRE) slightly moved down this morning despite beating profit and sales expectations for its fiscal fourth quarter. The software firm reported adjusted earnings of 3 cents per share, contrary to analysts’ expectations for a loss of 1 cent per share.
Revenue increased 7 percent versus last year to $244.6 million, ahead of the expectations of $229.6 million. Guidewire Software, Inc. (NYSE:GWRE) also disclosed its segment-wise sales results.
Revenue from the subscription and support segment climbed 34 percent to $93.6 million, while services revenue jumped 13 percent to $56.2 million in the quarter. On the downside, license revenue fell 14 percent to $94.8 million.
Moving forward, Guidewire Software, Inc. (NYSE:GWRE) expects to generate revenue in the range of $190 – $195 million for its fiscal first quarter and between $885 – $895 million for its fiscal year 2023.
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Disclosure: None. 10 Market Movers to Watch on Wednesday is originally published on Insider Monkey.
