United's "Impossible" Forecast

And, Interactive Brokers' stock split.

April 16, 2025

Today is Wednesday, April 16, 2025.

The Early Bird Index today is 65.78

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United's "Impossible" Forecast

Even though United Airlines $UAL ( ▲ 1.75% ) produced two completely different 2025 outlooks on Tuesday, shares jumped 6.12% in after-hours trading due to good financial results.

Details: United Airlines reported earnings of 91 cents per share and revenue of $13.2 billion in the last quarter; both were better than expected.

Powering the Story: United said it is “impossible” to predict the macro environment this year. As a result, it gave two different financial outlooks for 2025: one if the economy is stable and the other outlook if there’s a recession.

Yes, But: Investors were pleased to hear that United plans on trimming domestic capacity.

Early Bird’s Nest Egg Gains: Investors appear relatively unconcerned about United Airlines facing a potential recession.

  • Despite economic uncertainty, United reported steady booking trends.

  • United's diversified revenue streams, including cargo and loyalty programs, have shown continued growth.

Final Thoughts: Perhaps we’ll see more companies offer two competing sets of outlooks due to economic uncertainty.

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Notables

Notable Earnings Today: ASML (Nasdaq: ASML), Alcoa (NYSE: AA), U.S. Bancorp (NYSE: USB), CSX (Nasdaq: CSX), Bank OZK (Nasdaq: OZK), Abbott Labs (NYSE: ABT), F.N.B. (NYSE: FNB), First Industrial Realty (NYSE: FR), Liberty Energy (NYSE: LBRT), Home Bancshares (NYSE: HOMB), Travelers (NYSE: TRV), Prologis (NYSE: PLD), Synovus (NYSE: SNV), Autoliv (NYSE: ALV), Rexford Industrial Realty (NYSE: REXR), Citizens Financial Group (NYSE: CFG), Simmons First National (Nasdaq: SFNC), First Horizon (NYSE: FHN), SL Green Realty (NYSE: SLG), Great Southern Bancorp (Nasdaq: GSBC), Kinder Morgan (NYSE: KMI), Movado Group (NYSE: MOV).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: Ecolution Power (StartEngine), Kuleana Spirits (StartEngine), Textpro (StartEngine).

Notable Economic Events Today: Retail Sales / Core Retail Sales (8:30 a.m. ET), Industrial Production (9:15 a.m. ET), Business Inventories (10:00 a.m. ET), Crude Oil Inventories (10:30 a.m. ET), TIC Net Long-Term Transactions (4:00 p.m. ET).

Interactive Brokers' Stock Split

Mixed financial results for Interactive Brokers Group $IBKR ( ▲ 6.27% ) sent the stock down 9.85% in after-hours trading on Tuesday and overshadowed its positive announcement of a four-to-one forward stock split.

Financials: Interactive Brokers reported earnings of $1.88 per share in the past quarter, which was lower than expected. Revenue was $1.42 billion, which was better than expected.

Final Thoughts: The company also raised its dividend, but investors were not impressed.

J.B. Hunt’s Truckload Revenue Decreases

Despite posting good financial earnings results on Tuesday, J.B. Hunt Transport Services $JBHT ( ▲ 9.73% ) fell 6.28% in after-hours trading.

Financials: J.B. Hunt reported earnings of $1.17 per share and revenue of $2.92 billion in the past quarter; both were better than expected.

Final Thoughts: Revenue for the truckload business fell in the quarter, which made investors worried.

Pressure Campaign: U.S. Plans to Use Tariff Negotiations to Isolate China (Wall Street Journal)

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.