2 hours ago
Stress test results show US banks are in ‘good shape’, says Mike Mayo
US banks are doing well following the results of the Federal Reserve’s stress tests, according to Wells Fargo’s Mike Mayo.
“The Fed has given the banks everything they can,” a top banking analyst said on CNBC’s “Closing Bell.” He added that this hypothetical scenario is “worse” than the 2008 global financial crisis. “U.S. banks are in a very good, resilient position,” he continued.
Mayo also called Citigroup Inc.’s performance in particular a “surprise.” The company’s shares were up slightly during trading hours on Thursday and are up about 19.7% this year.
Sean Conlon
2 hours ago
Accolade and American outdoor brands diverge in long-term transactions
In addition to Nike, other lesser known stocks also made moves after the close following their earnings reports.
Med-tech stock Accolade fell more than 27% after the company issued weaker-than-expected guidance for the current quarter even as its first-quarter adjusted EBITDA and revenue beat analysts’ expectations surveyed by FactSet.
The company now expects an adjusted EBITDA loss of $8 million to $10 million for the quarter, higher than the FactSet consensus estimate of $5.9 million. Accolade also now expects quarterly revenue to be in the range of $104 million to $106 million, below Wall Street’s forecast of $113.2 million.
Meanwhile, American Outdoor Brands Inc.’s shares rose more than 8% after a strong fourth-quarter performance. The outdoor gear maker posted sales of $46.3 million, compared with analysts surveyed by FactSet who expected sales of just $43.1 million.
Alex Harring
3 hours ago
Survey shows most individual investors hold financial stocks
Retail investors may not be as keen on volatile stocks as their reputation would suggest, according to research from eToro.
The brokerage’s second-quarter retail investor survey report found that 54% of retail investors own financial services stocks, while only 49% own technology stocks, a finding that has remained consistent for the past three quarterly surveys.
The survey was conducted in May after the market had experienced a slight sell-off, which Brett Kenwell, US investment analyst at eToro, told CNBC seemed to be impacting younger investor confidence.
“Older investors have the advantage of experience, and younger investors aren’t necessarily scared, but they are generally less experienced and so I think that makes them a little more spooked than older, more experienced investors,” Kenwell said.
Jesse Pound
3 hours ago
Nike shares fall on earnings concerns
Despite the much better-than-expected profit, Nike shares fell about 11 percent in after-hours trading after the company reported its third missed revenue target in the past four quarters and gave a cautious outlook for the new fiscal year.
Taking into account losses in after-hours trading, Nike shares are down about 23% so far this year, and only Intel and Boeing have performed worse in the Dow this year.
A weak consumer environment has weighed on sales, with revenues in North America and Asia/Latin America falling short of Wall Street expectations. “Our fourth-quarter results highlight the challenges that led us to update our fiscal year 2025 outlook,” Chief Financial Officer Matthew Friend said in the earnings release.
— Robert Ham
3 hours ago
Stock futures are almost flat
Stock futures were little changed just after 6 p.m. ET.
Dow futures fell 0.1%, while S&P 500 and Nasdaq 100 futures each rose slightly.
Alex Harring
