GoPro Shares Fall After Hours Despite Q2 Beat
GoPro Shares Fall After Hours Despite Q2 Beat
Amazon Earnings Drive S&P 500, Nasdaq to All-Time Highs
Unlock your personal NFL Now stream by signing in to NFL.com
GoPro filed its first earnings report since going public in late June, beating Wall Street estimates on both the top and the bottom line. Earnings of 8 cents a share were 2 cents a share higher than expectations. Revenue of $244.6 million also beat estimates and was 38% higher compared to the second quarter of 2013. Sales growth for the quarter was driven by increased demand for both the Hero 3+ Black Edition and accessory products. But, many investors are worried about how long GoPro can maintain its leadership position in the market. GoPro CEO Nick Woodman was optimistic about the impact the huge growth in user generated content on YouTube would have on future sales. GoPro is up 53% since its IPO in late June. TheStreet's Whalen MacHale reports from New York.
The S&P 500 and Nasdaq closed at new all-time highs on Friday as an earnings-driven rally in shares of Amazon (AMZN), Google (GOOGL) and Microsoft (MSFT) pushed markets higher. Amazon was the best performer on the S&P 500. Wall Street was pleased after the tech giant reported a double-digit increase in quarterly revenue. Xerox (XRX) was the worst performer on the S&P 500, tripping more than 8% after cutting its profit outlook on a stronger dollar. Microsoft led the Dow, reporting strong growth in hardware and cloud computing and beating both earnings and sales estimates in its first quarter. Exxon Mobil (XOM) was among the worst performers on the Dow.
The Nasdaq was the clear winner on markets Friday. The tech-heavy index spiked into record territory as Amazon (AMZN), Microsoft (MSFT) and Google (GOOGL) rallied after reporting earnings. Starbucks (SBUX) was also helping to boost the Nasdaq. The coffee chain generated sales nearly 20% higher than a year earlier as store traffic increased worldwide. Juniper Networks (JNPR) was the second-best performer on the S&P 500, trailing Amazon. Shares rose as the company beat estimates in its first quarter and provided an upbeat outlook for its current quarter. Xerox (XRX) was the worst performer on the S&P 500.
The Nasdaq hit new intraday records as Amazon (AMZN) rocketed higher. The company reported a 15% surge in sales and, for the first time, broke out numbers for its cloud computing business. Investors were excited about the division's performance after revenue jumped 49%. Microsoft (MSFT) also benefited from its cloud computing division as overall profit and sales beat estimates. Microsoft said sales climbed nearly 7% over the quarter. Google (GOOGL) was higher despite missing earnings and sales estimates. The search giant said sales were hurt by a strong dollar with growth of 12% in actual dollars and 17% in constant currency.
Comcast (CMSCA) could announce as early as today that its giving up on buying Time Warner Cable (TWC). There are just too many regulators roadblocks to the $45 billion deal. Criticism of the deal reached a frenzy this week as lawmakers, consumer groups, and the Department of Justice balked because the combined company would have too much control over the TV and Internet businesses. Amazon (AMZN) says its cloud business is growing. It had net sales of $1.6 billion in the quarter. Known as Amazon Web Services, or AWS, it allows companies to rent storage and processing power instead of paying to build their own data centers.
For Friday, April 24 we outline the key earnings reports and economic data to keep an eye on. On the earnings front, we watch for quarterly financial results from drug maker Biogen Inc (BIIB), copy machine company Xerox Corp (XRX), and American Airlines Group Inc (AAL). All three companies are scheduled to report before the market opens. American Airlines is expected to earn $1.2 billion for the first quarter, which would set a new company record. Still, the carrier said it expects a decline in passenger-revenue-per-available-seat-mile for the period. On the economic calendar, we look to the Commerce Department for durable goods orders. TheStreet's Kurumi Fukushima reports in New York.
China says no to funeral strippers, Groupon has a condom problem & more weird business news
Nobel prize-winner Stiglitz on inequality, 2016 election
Nobel prize-winner Stiglitz: Three steps to solve income inequality
How your financial adviser may be ripping you off
Why Ted Cruz, Rand Paul — and Russian oligarchs — love the flat tax
TD Ameritrade CEO believes rate hike coming in December
How OPEC could lose the oil wars
How Michelle Phan went from food stamps to the most popular woman on YouTube
T-Mobile Company Summary Apr 16, 2015
Charter eyes new high on deal; Movado's big Q4 profits; Priceline upgraded
Tiny Meerkat live video app taking Twitter by storm
Class of 2014, You're hired!
Nasdaq set to top record; Apple Watch deliveries; Comcast abandons merger
Cablevision to offer 'cord cutters' package
Comcast abandons Time Warner Cable merger
Chipotle begins delivery
Amazon hits new high; Google, Microsoft and Starbucks zoom higher
Big earnings day; Facebook investors 'unlike'; cable merger woes