Jabil shares gain 4% after company reports better-than-expected earnings, sales

Shares of Jabil Inc. rose more than 4% late Thursday after the St. Peterburg, Fla., company reported fiscal 2018 first-quarter earnings and sales above Wall Street forecasts. Jabil said it earned $64 million, or 35 cents a share, in the quarter, compared with $87 million, or 47 cents a share, in the year-ago period. Adjusted for one-time items, the company earned 80 cents a share, compared with 69 cents a share a year ago. Revenue rose to $5.6 billion in the quarter, from $5.1 billion a year ago. Analysts polled by FactSet had expected adjusted earnings of 79 cents a share on sales of $5.5 billion. For the second quarter, Jabil said it expects revenue between $4.75 billion and $5.05 billion, and adjusted earnings of 50 cents to 74 cents a share. Jabil shares ended the regular trading session Thursday down 3.8%.

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Costco shares rise after retailer’s Q1 earnings beat

Shares of Costco Wholesale Corp. rose 1.1% late Thursday after the retailer reported fiscal first-quarter per-share earnings and revenue above Wall Street estimates. Costco said it earned $640 million, o $1.45 a share, in the quarter, compared with $545 million, or $1.24 a share, in the year-ago period. Revenue rose to $31.81 billion, compared with $28.1 billion a year ago. Analysts polled by FactSet had expected earnings of $1.33 a share on revenue of $31.13 billion. Comparable-store sales rose 10.5%, and e-commerce sales rose 43.5%, Costco said. The stock ended the regular Thursday session down 0.9%.

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Oracle shares slump as earnings beat, but cloud growth misses Street view

Oracle Corp. shares declined in the extended session Thursday after the enterprise software company topped broader Wall Street estimates but fell short of the mark on cloud revenue estimates. Oracle shares fell 4% to $48.20 after hours. The company reported fiscal second-quarter net income of $2.23 billion, or 52 cents a share, compared with $2.03 billion, or 48 cents a share, in the year-ago period. Adjusted earnings were 70 cents a share. Revenue rose to $9.62 billion from $9.04 billion in the year-ago period, or to $9.63 billion from $9.07 billion adjusted. Analysts surveyed by FactSet had estimated earnings of 68 cents a share on revenue of $9.57 billion. Total cloud revenue rose 44% to $1.52 billion while software-as-a-service revenue grew 55% to $1.12 billion. Analysts had forecast total cloud revenue of $1.56 billion, and forecast SaaS revenue of $1.14 billion.

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Adobe shares rise after fourth-quarter earnings beat

Adobe Systems Inc. shares rose in the extended session Thursday after the software maker beat Wall Street sales and earnings expectations. Adobe stock rose 3.5% to $181.23 after hours. The company reported fiscal fourth-quarter net income of $501.6 million, or $1 a share, compared with $399.6 million, or 80 cents a share, in the year-ago period. Adjusted earnings were $1.26 a share. Revenue rose to $2.01 billion from $1.61 billion in the year-ago period. Analysts surveyed by FactSet had estimated adjusted earnings of $1.16 a share on revenue of $1.95 billion. For the first fiscal quarter of 2018, analysts model adjusted earnings of $1.25 a share on revenue of $2.04 billion. Adobe stock has gained 71% this year, with the S&P 500 index rising 19%.

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Russell 2000 closes down 1.1% on tax uncertainty

The Russell 2000 index of small capitalization shares fell sharply on Thursday, seeing a steeper drop than the overall market. The index fell 1.1%, its biggest one-day percentage decline since Nov. 7. The decline accelerated after a report that Senator Marco Rubio would vote against the Republican tax bill unless it includes a larger expansion of the child tax credit, which added to the uncertainty over the bill’s prospects for passing. The Russell is seen as having a higher correlation with the prospects of tax reform, as small companies tend to pay higher rates than their larger, multinational peers. The S&P 500 closed down by 0.4% on Thursday while the Dow Jones Industrial Average ended off 0.3%. The Nasdaq Composite Index dipped 0.3%. Thus far this year, the Russell is up 11%, compared with the 18.5% gain of the S&P, and less than half the Dow’s 24% advance.

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Health-care stock decline knocks Dow industrials lower

The Dow Jones Industrial Average was trading lower Thursday afternoon as health-care stocks pressured the main benchmarks. The Dow was down 54 points, or 0.2%, at 24,530, with shares of UnitedHealth Group Inc. and Johnson & Johnson, trading firmly in negative territory. The pair were among the worst performers of the Dow’s 30 components. The S&P 500 index was off 9 points, or 0.4%, at 2,653, as the health-care sector also weighed on the overall index. A popular health-care exchange-traded fund, the Health Care Select Sector SPDR ETF , was down 1%. Bank stocks and materials contributed to the decline. Meanwhile, the Nasdaq Composite Index was off 0.3% at 6,857.

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Amazon again selling Apple TV and Google Chromecast

Amazon.com Inc. said Thursday that it is again selling streaming devices made by Apple Inc. and Alphabet Inc. . Amazon stock is up nearly 1% to $1,173.68 in afternoon trading. Amazon ceased selling the devices two years ago but last week announced that it would be offering its streaming video service on Apple TV. Last week Alphabet-owned Google pulled YouTube from several of Amazon’s devices. “Given this lack of reciprocity, we are no longer supporting YouTube on Echo Show and Fire TV,” a Google spokeswoman said last week. The company did not immediately return a request for comment about Amazon’s decision. Amazon stock is up 56% this year, as the S&P 500 index has gained 19%.

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Mexico’s peso strengthens as central bank raises interest rates

The Mexican peso rose against the U.S. dollar on Thursday, after Mexico’s central bank, known as Banxico, lifted its overnight interest rate to 7.25% from 7% before, as expected. Mexico’s high interest rate make it an attractive destination for investors looking for emerging-market exposure, while also being tied to the U.S. economy as its main trading partner. The peso began to rally halfway through the U.S. trading day, in anticipation of the rate hike, paring its losses and finally rising against the buck. One dollar last bought 18.9922 pesos, down about 0.1% from 18.9926 pesos late Wednesday.

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Bogus Impac Mortgage CEO Emails Sent to Consumers

Consumers have received emails from someone claiming to be the chief executive officer of Impac Mortgage Corp. and requesting money in order to receive a loan. But the messages are fraudulent.

Unsolicited emails have been sent using the name of Joseph R. Tomkinson, who is the CEO of Impac-parent Impac Mortgage Holdings Inc. But Tomkinson is not the actual sender of the message.

The email offers the recipient loans from the Irvine, California-based mortgage banking firm. But before a home loan is given, money is requested.


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From:: Financing

Rubio a ‘no’ on tax bill without larger expansion of child tax credit: report

Sen. Marco Rubio has told Senate leaders he’ll vote against the Republican tax bill unless it includes a larger expansion of the child tax credit, according to the Washington Post. Rubio and fellow Republican Sen. Mike Lee have pushed a change to the credit that would allow millions more low-income families to take advantage of it.

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