Today is Wednesday, February 8, 2023.
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For the first time since 2017, Chipotle Mexican Grill (NYSE: CMG) posted an earnings miss. The shares dropped 5.12% in after-hours trading on Tuesday.
Financials: Chipotle reported earnings of $8.29 per share in the quarter and revenue of $2.2 billion; both were below estimates.
Details: The operating margin was 13.6% and the restaurant-level operating margin was 24.0%. Both are up, but analysts expected higher margins.
Outlook: The company expects comparable restaurant sales growth in the high-single-digits during the current quarter.
Also: Chipotle introduced a $200 million stock buyback.
Stock Price: Chipotle’s stock is up 17% in the last 12 months.
Final Thoughts: Chipotle still has a solid balance sheet, but it’s clear that the company’s plan to raise its food prices has scared away customers.
Notable Earnings Today: Walt Disney (NYSE: DIS), Uber Technologies (NYSE: UBER), CVS Health (NYSE: CVS), Affirm (Nasdaq: AFRM), Digital Turbine (Nasdaq: APPS), Dominion Energy (NYSE: D), Robinhood Markets (Nasdaq: HOOD), Yum! Brands (NYSE: YUM), MGM Resorts (NYSE: MGM), Under Armour (NYSE: UAA), Annaly Capital Management (NYSE: NLY), Coherent (Nasdaq: COHR), O'Reilly Automotive (Nasdaq: ORLY), Bunge (NYSE: GB), Goodyear Tire (Nasdaq: GT), Perion Network (Nasdaq: PERI), Impinj (Nasdaq: PI), Capri Holdings (NYSE: CPRI), Axcelis Technologies (Nasdaq: ACLS), AllianceBernstein (NYSE: AB), AppLovin (Nasdaq: APP), AvalonBay (NSYE: AVB), CME Group (Nasdaq: CME), Coty (NYSE: COTY), Eaton (NYSE: ETN), Emerson Electric (NYSE: EMR), Equifax (NYSE: EFX), Fox Corporation (Nasdaq: FOXA), Hudson Pacific Properties (NYSE: HPP), International Flavors & Fragrances (NYSE: IFF), Mattel (Nasdaq: MAT), Molina Healthcare (NYSE: MOH), New York Times (NYSE: NYT), Penske Auto (NYSE: PAG), Performance Food Group (NYSE: PFGC), Radware (Nasdaq: RDWR), Reynolds Consumer Products (Nasdaq: REYN), Sonos (Nasdaq: SONO), Trimble (Nasdaq: TRMB), XPO (NYSE: XPO).
Notable IPOs Today: Bullfrog AI Holdings, Inc. Common Stock (Nasdaq: BFRG).
Notable Equity Crowdfunding Campaigns Ending Today: Mulholland Distilling (StartEngine), MoJoose (StartEngine).
Notable Economic Events Today: Crude Oil Inventories (10:30 a.m. ET), WASDE Report (12:00 p.m. ET).
Lumen Technologies Has a Bad Outlook
Photo by Kirill Sh / Unsplash
Shares of Lumen Technologies (NYSE: LUMN) plummeted by 16.03% in after-hours trading on Tuesday after the company posted mixed financial results.
Financials: Lumen Technologies posted earnings of 43 cents per share in the quarter and revenue of $3.8 billion; both were better than expected.
Outlook: The problem for Lumen Technologies was its guidance for 2023. It expects earnings to be between $4.6 billion to $4.8 billion and a free cash flow of up to $200 million. Analysts expected higher numbers.
Final Thoughts: The stock is down 60% in the last 12 months, but the valuation is low.
VF Corp Survives Dividend Cut
Despite reducing its dividend, VF Corp (NYSE: VFC) ticked up by 1.68% in after-hours trading on Tuesday after posting positive financial earnings results.
Final Thoughts: VF Corp posted earnings of $1.12 per share in the quarter and revenue of $3.5 billion; both were better than expected.
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Trends to Watch
Setting Priorities: Bitcoin Favored Over Ether by CME Traders So Far This Year, Arcane Research Report Shows (CoinDesk)
Bad Bid: Ebay plans to lay off 500 employees, about 4% of its workforce (CNBC)
Approaching Gen Z: Meta Pursues Teen Users as Horizon Metaverse App Struggles to Grow (The Wall Street Journal)
Breaking Promises: BP dials back climate pledge amid soaring oil profits (The Washington Post)
Welcome Back, Investors: OurCrowd Global Investor Summit Returns After Several Years, COVID Induced Hiatus (Crowdfund Insider)
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