Southwest Airlines saw a nearly 14% drop in its shares after announcing a reevaluation of its full-year 2024 guidance. The airline cited delivery delays from Boeing as the primary reason for this reevaluation. Additionally, Southwest revealed that its first-quarter leisure bookings were weaker than anticipated. The company also forecasted a flat to slightly up unit revenue compared to the previous year, a significant decrease from its initial estimate of up to a 4.5% rise back in January.
Oracle experienced an 11% surge in its stock price, marking its best day since December 2021. The increase came after the company posted earnings for the fiscal third quarter that surpassed Wall Street’s expectations. Moreover, Oracle reported a 12% growth in revenue within its cloud services and license support segment, attributing the increase to a spike in demand for AI servers.
Shares of 3M rose by over 3% following the announcement of William Brown, the former CEO of L3Harris Technologies, taking on the role of 3M’s new CEO starting May 1. The leadership change signals a new era for the company and may impact its future direction and strategies.
Asana’s stock declined by approximately 11% after the work management platform issued a disappointing full-year revenue guidance. The company projected revenue between $716 million and $722 million, falling short of the $725 million estimate by analysts. This indicates potential struggles for Asana in meeting market expectations and achieving growth targets.
Microstrategy, the bitcoin developer, saw a 3.5% increase in its stock price following positive feedback from Wall Street analysts. Canaccord Genuity raised its price target to $1,810, emphasizing Microstrategy’s proactive approach amid the ongoing bitcoin rally. This boost in confidence from analysts may drive further investments in the company.
Boeing faced a 4% decrease in its shares after reports emerged of failed audits on its 737 Max jet. The New York Times highlighted 97 cases of alleged noncompliance, raising concerns about the company’s adherence to safety standards. The incident involving a door panel detaching during a flight further exacerbated the scrutiny on Boeing’s aircraft.
Acadia Pharmaceuticals witnessed a significant drop of almost 16% following the halt of trials for its antipsychotic drug, pimavanserin. The decision was made due to the drug’s failure to improve symptoms of schizophrenia, indicating a setback in the company’s research and development efforts. This development may impact Acadia’s future pipeline and potential drug approvals.
American Airlines saw a decline of nearly 4% after providing first-quarter guidance at the lower end of its previous range. The company expects an adjusted loss ranging from 15 cents to 35 cents per share, below the 22 cents loss anticipated by analysts. The blame was placed on higher fuel costs, highlighting the challenges faced by airlines in a volatile market environment.
Shares of Advance Auto Parts surged by 3% following a settlement with activist investors Dan Loeb’s Third Point and activist Saddle Point. The agreement granted them seats on the board of directors, indicating a potential shift in the company’s strategic direction. This settlement may lead to changes in governance practices and operational decisions at Advance Auto Parts.
On Holding experienced a significant decline of 13.6% after reporting underwhelming fourth-quarter earnings that fell short of Wall Street’s expectations. The company recorded a loss of 0.05 Swiss franc per share, while analysts had predicted a profit of 0.10. Additionally, revenue figures also missed consensus forecasts, emphasizing the challenges faced by On Holding in meeting market demands and achieving profitability.
Archer-Daniels-Midland witnessed a 4% increase in its stock price after announcing a plan to address accounting issues that required corrections in its financial results over a six-year period. The company assured investors that these adjustments would not impact its financial statements or cash flows. Moreover, Archer-Daniels-Midland authorized a $2 billion share buyback, signaling confidence in its future prospects.
Shares of New York Community Bancorp rose by more than 4% after finalizing a more than $1 billion equity investment transaction to strengthen its balance sheet. This move is aimed at enhancing the bank’s financial position and capital reserves, positioning it for future growth and expansion opportunities in the competitive banking industry.