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Why Is Keysight (KEYS) Stock Rocketing Higher Today
Shares of electronic measurement provider Keysight (NYSE:KEYS) jumped 11.7% in the morning session after the company reported strong third-quarter results, exceeding Wall Street's sales and earnings forecasts. Orders were strong, up sequentially, and ahead of analysts' expectations, driven by robust AI-related demand and strong year-end bookings in U.S. Aerospace, Defense, and Government businesses. However, there was a slight shortfall in backlogs compared to expectations, though it did not offset the positive momentum. Management noted that the demand environment might remain mixed, at least in the short term. Encouragingly, the company was able to provide solid guidance for the next quarter, with sales and EPS forecasts ahead of consensus estimates. Zooming out, we think this was a very solid quarter, highlighting the company's strong execution and resilience.
Why Qualcomm (QCOM) Stock Is Nosediving
Shares of wireless chipmaker Qualcomm (NASDAQ:QCOM) fell 6.2% in the morning session after the company announced its plans to diversify from the smartphone market by the end of the decade during its IoT and Automotive Diversification Investor Day event. However, the stock's reaction suggests markets are struggling to digest the short-term hit to revenues as Qualcomm shifts its focus from producing chips for the smartphone market—including big players like Apple. Qualcomm added that Apple could stop buying its chips as early as 2027.
Why Is Williams-Sonoma (WSM) Stock Rocketing Higher Today
Shares of kitchenware and home goods retailer Williams-Sonoma (NYSE:WSM) jumped 30.5% in the afternoon session after the company reported impressive third-quarter results. Revenue beat slightly, and gross margin improved relative to the previous year, enabling the company to deliver a solid earnings beat. The rate of growth decline has moderated relative to the previous year as the company observed improved sales trends and market-share gains. Given the improved momentum and optimistic trends, management raised full-year revenue and operating profit guidance. The Board of Directors also approved a new $1 billion stock repurchase program to demonstrate the company's focus on returning value to shareholders. Overall, we think this was a strong quarter.
Why Target (TGT) Shares Are Getting Obliterated Today
Shares of general merchandise retailer Target (NYSE:TGT) fell 22.4% in the afternoon session after the company reported weak third-quarter results. Despite a modest increase in comparable sales driven by strong guest traffic and digital sales, same-store sales declined by 1.9%, reflecting a drop in in-store purchases. Profitability also came under pressure, as gross margin fell slightly due to higher supply chain and fulfillment costs. This,combined with elevated operating expenses, contributed to a significant EPS miss. Additionally, Target's full-year EPS guidance was reduced and missed significantly, further disappointing investors. Management called out "unique challenges and cost pressures that impacted our bottom-line performance." Overall, this was a surprisingly bad quarter.
Why Powell (POWL) Shares Are Trading Lower Today
Shares of electrical energy control systems manufacturer Powell (NYSE:POWL) fell 17.6% in the afternoon session after the company reported weak third-quarter results, with sales falling significantly below Wall Street's estimates. New orders came in at $267 million, a significant decline compared to the previous quarter. Total backlogs were also flat quarter on quarter and relative to the previous year. Given the deceleration in some of the forward growth indicators, markets are likely worried about the near-term sales outlook, with management also acknowledging that the first quarter of its fiscal year is "seasonally slower." On a more positive note, gross margin improved due to higher volume levels across all manufacturing facilities, supported by improved operating efficiency and product pricing. As a result, adjusted EBITDA and EPS beat analysts' expectations during the quarter. Overall, this quarter could have been better.
Williams-Sonoma (NYSE:WSM) Posts Better-Than-Expected Sales In Q3, Stock Jumps 20.8%
Kitchenware and home goods retailer Williams-Sonoma (NYSE:WSM) reported Q3 CY2024 results exceeding the market’s revenue expectations, but sales fell by 2.9% year on year to $1.80 billion. Its non-GAAP profit of $1.96 per share was 10.8% above analysts’ consensus estimates.
TJX’s (NYSE:TJX) Q3 Sales Beat Estimates Narrowly
Off-price retail company TJX (NYSE:TJX) reported Q3 CY2024 results topping the market’s revenue expectations, with sales up 6% year on year to $14.06 billion. Its GAAP profit of $1.14 per share was 4% above analysts’ consensus estimates.
Target (NYSE:TGT) Misses Q3 Revenue Estimates, Stock Drops 21.2%
General merchandise retailer Target (NYSE:TGT) missed Wall Street’s revenue expectations in Q3 CY2024 as sales only rose 1.1% year on year to $25.67 billion. Its non-GAAP profit of $1.85 per share was 19.6% below analysts’ consensus estimates.
Dycom (NYSE:DY) Reports Upbeat Q3, Provides Optimistic Revenue Guidance for Next Quarter
Telecommunications company Dycom (NYSE:DY) beat Wall Street’s revenue expectations in Q3 CY2024, with sales up 12% year on year to $1.27 billion. On top of that, next quarter’s revenue guidance ($1.22 billion at the midpoint) was surprisingly good and 13.9% above what analysts were expecting. Its non-GAAP profit of $2.68 per share was 16.1% above analysts’ consensus estimates.
Wix (NASDAQ:WIX) Reports Q3 In Line With Expectations, Stock Jumps 12.1%
Website design and e-commerce platform provider Wix.com (NASDAQ:WIX) met Wall Street’s revenue expectations in Q3 CY2024, with sales up 12.9% year on year to $444.7 million. The company expects next quarter’s revenue to be around $460.5 million, coming in 0.7% above analysts’ estimates. Its non-GAAP profit of $1.50 per share was 5% above analysts’ consensus estimates.