Carvana's Surprise Earnings

Today is Wednesday, July 19, 2023.

The Early Bird Index today is 58.77.

New to this newsletter? Sign up here.

Carvana's Surprise Earnings

Online used car retailer Carvana (NYSE: CVNA) announced a change to its earnings on Tuesday, causing the stock price to drop by 10.18% in after-hours trading.

Details: Carvana moved its earnings up to Wednesday morning, with a conference call and webcast at 8:00 a.m. ET. The company was originally scheduled to report earnings on August 3.

Powering the Story: The sudden decision to move its earnings date up shocked investors. Carvana gave no indication on Tuesday about why it is moving up its earnings to Wednesday morning.

Stock Price: Carvana is down 87% in the past two years, but the stock has been surging since May and is now up 759% in 2023 thanks to a slightly improved forecast.

Final Thoughts: Some view Carvana as just a meme stock. Hopefully, we get some more clarity about Carvana’s plans to turn the company around and improve its finances.

Notables

Notable Earnings Today: Netflix (Nasdaq: NFLX), Tesla (Nasdaq: TSLA), Carvana (NYSE: CVNA), Goldman Sachs (NYSE: GS), ASML (Nasdaq: ASML), Halliburton (NYSE: HAL), United Airlines (Nasdaq: UAL), U.S. Bancorp (NYSE: USB), International Business Machines (NYSE: IBM), Nasdaq (Nasdaq: NDAQ), Zions Bancorp (Nasdaq: ZION), Ally Financial (NYSE: ALLY), Las Vegas Sands (NYSE: LVS), Baker Hughes (Nasdaq: BKR), Alcoa (NYSE: AA), M&T Bank (NYSE: MTB), Steel Dynamics (Nasdaq: STLD), Elevance Health (NYSE: ELV), Discover Financial Services (NYSE: DFS), Citizens Financial Group (NYSE: CFG), Kinder Morgan (NYSE: KMI), Cohen & Steers (NYSE: CNS), Crown Castle (NYSE: CCI), Equifax (NYSE: EFX), First Horizon (NYSE: FHN), Rexford Industrial Realty (NYSE: REXR), SL Green Realty (NYSE: SLG).

Notable IPOs Today: Oddity Tech Ltd (Nasdaq: ODD), Series Portfolios Trust (NYSE Arca: CLOX), Touchstone ETF Trust (NYSE Arca: TSEC).

Notable Equity Crowdfunding Campaigns Ending Today: Orbital Assembly (Silicon Prairie), Colive (SMBX), Azure Printed Homes (Republic). 

Notable Economic Events Today: Building Permits (8:30 a.m. ET), Housing Starts (8:30 a.m. ET), Crude Oil Inventories (10:30 a.m. ET).

J.B. Hunt's Weak Freight Demand

Photo by Sander Yigin / Unsplash

Despite posting bad financial results, shares of J.B. Hunt Transport Services (Nasdaq: JBHT) jumped by 2.57% in after-hours trading on Tuesday.

Financials: J.B. Hunt reported earnings of $1.81 per share in the past quarter and revenue of $3.13 billion; both were lower than expected.

Details: Revenue dropped by 18% and overall operating income declined by 23%. The category of Integrated Capacity Solutions saw revenue decline by 43%. J.B. Hunt blamed “weaker overall freight activity.”

But: The operating income for Final Mile Services grew by 12% and the operating income for Dedicated Contract Services increased by 21%.

Stock Price: J.B. Hunt is up 9% this year, including an 8% increase in the last 30 days.

Final Thoughts: These results show that we could be in a freight recession, which is bad for transportation stocks.

Interactive Brokers' Disappointing Results

Interactive Brokers (Nasdaq: IBKR) dropped by 5.99% in after-hours trading after the company posted financial earnings results that fell short of expectations.

Final Thoughts: Daily average revenue trades for the company fell 14% in the quarter and commission revenue remains unchained. The stock is up 20% this year.

Get the Best in Bitcoin (Sponsored)

Bitcoin Breakdown boasts the highest signal-to-noise ratio in the newsletter space. It is also carefully curated by an alien from the future.Sign up for free! Subscribe Here

Trends to Watch

Thank you for reading!

Forward to a friend and tell them to sign up here.

Want more investing tips? Listen to the podcast.

Show Your Support: Buy Me a Coffee.

Questions or comments? Hit reply to reach out.