Market Movements and Company Updates
Several companies are making significant headlines as the market opens. Tilray Brands saw a remarkable surge of 28% after a report from the Washington Post indicated that the Trump administration might ease federal regulations on marijuana. Additionally, the Amplify Alternative Harvest ETF (MJ) rose by 20%.
Lululemon, the popular athleisure brand, jumped 9.4% following the announcement of CEO Calvin McDonald’s resignation. The company also exceeded Wall Street’s expectations across both product lines.
RH, a home furnishings firm, experienced a 3% increase after sharing mixed results for the third quarter. The company’s revenue reached $884 million, aligning with LSEG’s consensus estimate. However, they did lower their EBITDA margin and sales forecast for the next quarter.
Citigroup’s stock rose by more than 1% after being upgraded to overweight by JPMorgan. Analysts noted that they anticipate Citigroup will benefit more from a strong economy and market activity due to its concentrated earnings.
Costco’s stock dipped 0.2% despite the company surpassing earnings and sales estimates for its fiscal first quarter. The earnings per share were reported at $4.50, exceeding analysts’ expectations of $4.27, and the sales reached $67.31 billion, slightly above the forecast of $67.14 billion. Still, the stock price has declined over 3% this year.
Broadcom’s shares fell 6% even after reporting fourth-quarter results that were better than analysts had anticipated. Excluding certain items, the company announced a revenue of $1.95 per share from $18.02 billion in revenue, surpassing the expectations of $1.86 per share from $17.49 billion. They also raised their dividend from 59 cents to 65 cents per share and increased the first-quarter revenue forecast from $18.27 billion to $19.1 billion.
Lastly, shares of Fermi plummeted by 33% after the energy and mega-development firm revealed the loss of a $150 million financing deal with the potential first tenant of the Matador power grid. This grid aims to support the growing AI data center complex with 11 gigawatts, helping reduce reliance on the already overburdened public power grid.
