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Markets Keep Rally Going; DIS, UBER, TWLO Up on Beats
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Indexes closed near session highs Wednesday, on having already baked-in a 25 basis-point rate hike for March (but not a 50-bps raise) and a waning Omicron variant opening yet another light at the end of the tunnel. The Dow rose another +306 points, +0.86% on the day; the Nasdaq performed even better: +296 points or +2.08%; the S&P 500 put up another +1.45% of its own; and the Russell 2000 rides a now-four-day winning streak, +1.86%.
Wholesale inventories for December were revised down from +2.5% last reported to +2.2% this time around — demonstrating a slight loosening of goods availability that may lead to softer pricing in the near future. The 10-year Treasury yield continues to moderate at 1.95%, while the 2-year is now at 1.37%. Pricing in the hike, these are now not unexpected moves. Even more importantly, they are now more or less accounted for in the greater indexes.
The Walt Disney Company (DIS - Free Report) shares rose +8.5% after Wednesday’s close on much better earnings and sales than expected in its fiscal Q1: earnings of $1.06 per share zoomed past the 57 cents in the Zacks consensus (and more than tripled the 32 cents per share reported in the year-ago quarter), on revenues of $21.8 billion, which beat the $21.2 billion our analysts were expecting.
Disney+ subscriber numbers came in higher than anticipated: 129.8 million versus 125.8 million expected. Its Parks, Experiences and Products segment jumped on looser pandemic policies, with growth of over 100% year over year. The company never gives guidance, but has now beaten earnings estimates in six of the past seven quarters.
Uber (UBER - Free Report) also enjoys a nice bump post-earnings release, +6.5% after gaining +4.8% in anticipation of its Q4 report: swinging to earnings of 44 cents per share from an expected -33 cents, the ride-share leader also accelerated past expectations on the top-line: $5.78 billion versus $5.39 billion. Q4 Gross Bookings outpaced expectations, while Delivery and Trips came up a tad short estimates. Freight, on the other hand, brought in $1.08 billion for the quarter, from an expected $807.8 million.
Cloud software firm Twilio (TWLO - Free Report) shares rocketed +23% following its Q4 report, after a basically as-expected -20 cents per share on the bottom line was eclipsed by a big beat on the top-line: $842.8 million versus $768.9 million in the Zacks consensus. Guidance for Q1 was more of the same: lower on the bottom line but higher on the top. And with a growth tech company like Twilio, revenues are far more important than earnings at its current stage.
Image: Bigstock
Markets Keep Rally Going; DIS, UBER, TWLO Up on Beats
Indexes closed near session highs Wednesday, on having already baked-in a 25 basis-point rate hike for March (but not a 50-bps raise) and a waning Omicron variant opening yet another light at the end of the tunnel. The Dow rose another +306 points, +0.86% on the day; the Nasdaq performed even better: +296 points or +2.08%; the S&P 500 put up another +1.45% of its own; and the Russell 2000 rides a now-four-day winning streak, +1.86%.
Wholesale inventories for December were revised down from +2.5% last reported to +2.2% this time around — demonstrating a slight loosening of goods availability that may lead to softer pricing in the near future. The 10-year Treasury yield continues to moderate at 1.95%, while the 2-year is now at 1.37%. Pricing in the hike, these are now not unexpected moves. Even more importantly, they are now more or less accounted for in the greater indexes.
The Walt Disney Company (DIS - Free Report) shares rose +8.5% after Wednesday’s close on much better earnings and sales than expected in its fiscal Q1: earnings of $1.06 per share zoomed past the 57 cents in the Zacks consensus (and more than tripled the 32 cents per share reported in the year-ago quarter), on revenues of $21.8 billion, which beat the $21.2 billion our analysts were expecting.
Disney+ subscriber numbers came in higher than anticipated: 129.8 million versus 125.8 million expected. Its Parks, Experiences and Products segment jumped on looser pandemic policies, with growth of over 100% year over year. The company never gives guidance, but has now beaten earnings estimates in six of the past seven quarters.
Uber (UBER - Free Report) also enjoys a nice bump post-earnings release, +6.5% after gaining +4.8% in anticipation of its Q4 report: swinging to earnings of 44 cents per share from an expected -33 cents, the ride-share leader also accelerated past expectations on the top-line: $5.78 billion versus $5.39 billion. Q4 Gross Bookings outpaced expectations, while Delivery and Trips came up a tad short estimates. Freight, on the other hand, brought in $1.08 billion for the quarter, from an expected $807.8 million.
Cloud software firm Twilio (TWLO - Free Report) shares rocketed +23% following its Q4 report, after a basically as-expected -20 cents per share on the bottom line was eclipsed by a big beat on the top-line: $842.8 million versus $768.9 million in the Zacks consensus. Guidance for Q1 was more of the same: lower on the bottom line but higher on the top. And with a growth tech company like Twilio, revenues are far more important than earnings at its current stage.
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