Following a raucous trading week that continued into Monday, which demonstrated a big relief rally that came after the 2024 General Election, pre-market futures are flat at this hour. It’s also the single-busiest day of Q3 earnings season, with nearly 800 companies reporting.
We see no economic reports hitting the tape today, though we expect to hear statements from Fed Governor Christopher Waller, Philadelphia Fed President Patrick Harker and Richmond President Tom Barkin. Tomorrow morning we’ll get a new Inflation Rate in the Consumer Price Index (CPI), followed by a Producer Price Index (PPI) and Retail Sales later in the week.
The S&P 500 is up for five straight sessions and pushing new closing highs each session, but the index is -4 points at this hour. The Nasdaq is likewise at all-time highs but -3 points currently. The Dow is +31 points but the small-cap Russell 2000 is -14 points. Bond yields are staying swole as well, +4.392% on the 10-year and +4.334% on the 2-year, respectively.
Q3 Earnings at a Glance: HD, SHOP, TSN
Home Depot HD once again posted beats on both top and bottom lines in its Q3 report released prior to the opening bell today. Earnings of $3.78 per share outperformed the $3.64 in the Zacks consensus (a +3.85% beat) on $40.22 billion in quarterly revenues, +2.17% from expectations. It’s the fourth-straight earnings beat for the home improvement retailer, and shares are up +1.7% on the news, +18% year to date. Home Depot had brought a Zacks Rank #2 (Buy) rating into the release.
Shopify SHOP, also a Zacks Rank #2, is up +22% following its Q3 report this morning, with revenue growth of +26% to $2.16 billion outpacing the $2.11 billion analysts were looking for. Free cash flow margins came in +49% for the quarter. These impressive growth numbers were enough for investors to overlook the penny-miss on the bottom line to 26 cents per share reported. Shares had been +21% year to date.
Tyson Foods TSN posted a very strong quarter as well this morning, with a +43.75% earnings beat — 92 cents per share versus 64 cents expected — on revenues of $13.57 billion, which surpassed expectations for $13.33 billion for the quarter. Gross Margins bloomed to +7.8% in Q3, 2.5x higher than the +3.1% reported in the year-ago quarter. Shares have doubled their year-to-date gains this morning, +6% in today’s pre-market.
5 Stocks Set to Double
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Today, See These 5 Potential Home Runs >>The Home Depot, Inc. (HD) : Free Stock Analysis Report
Tyson Foods, Inc. (TSN) : Free Stock Analysis Report
Shopify Inc. (SHOP) : Free Stock Analysis Report
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