Rivian Automotive, the EV stock, experienced a nearly 4% increase in premarket trading following an upgrade by Piper Sandler to overweight. This upgrade comes with a higher price target of $21, up from $15, indicating a potential 96% upside from the previous day’s close. Analyst Alexander Potter pointed to Rivian’s new product launch and postponement of capital spending as catalysts for the upgrade.
Micron Technology, a semiconductor company, saw a 2.5% increase in premarket trading after being named one of Citi’s top picks. Citi also raised Micron’s price target to $150 from $95, suggesting a 64% upside potential. The bank highlighted Micron’s increased exposure to artificial intelligence as a reason for the stock to receive a premium.
Adobe shares plummeted by 11% after the software company issued weak revenue guidance for the current quarter. Despite this setback, Adobe surpassed expectations for both earnings and revenue in its fiscal first quarter. The company also announced a $25 billion share buyback, which may help offset the decline in stock price.
Ulta Beauty experienced a 6.5% decline in its stock price after issuing full-year earnings guidance that fell on the lower end of the consensus forecast. However, Ulta reported impressive earnings and revenue numbers for its fourth quarter, which may help alleviate concerns about the future performance of the beauty retailer.
Stocks connected to cryptocurrencies, such as Coinbase, Microstrategy, and Marathon Digital, faced declines as bitcoin retraced from recent highs. Coinbase and Microstrategy saw drops of about 6% and 5%, respectively, while Marathon Digital slipped by 4%. The volatility in the cryptocurrency market continues to impact related stocks.
Cardlytics saw a 50% increase in its stock price after reporting positive adjusted earnings before interest, taxes, depreciation, and amortization for the first time since 2019. The advertising company’s first-quarter forecast also exceeded expectations, further boosting investor confidence in the company’s performance.
PagerDuty, an IT company specializing in incident responses, witnessed an 8.5% drop in its stock price after issuing a weaker-than-expected forecast. Despite beating expectations in its latest quarterly results, PagerDuty’s adjusted per-share earnings for the first quarter are projected to be lower than the consensus estimate. Additionally, the revenue guidance for the upcoming quarter is below analyst expectations.
Smartsheet, a business software provider, experienced an over 8% decline in its stock price after giving revenue guidance that missed analysts’ expectations for both the current quarter and full year. The company’s inability to meet revenue forecasts may raise concerns among investors about its growth prospects.
Zumiez, a specialty retailer, saw an 11% drop in its stock price following a disappointing outlook. The company projected a first-quarter loss significantly higher than the consensus estimate, leading to a negative investor sentiment. Additionally, Zumiez’s revenue guidance also failed to meet analyst expectations, further contributing to the decline in the stock price.
The morning market report showcases a mix of winners and losers in premarket trading, with some stocks soaring on positive news while others face declines due to disappointing outlooks. Investors should closely monitor these developments and adjust their strategies accordingly to navigate the volatile market conditions effectively.