Microsoft Stock Jumps On Earnings Beat Driven By Cloud Segment
20 minutes ago
Microsoft (MSFT) shares rose Friday after the company reported better-than-expected third-quarter earnings driven by its cloud business.
The company’s revenue for the third quarter of fiscal 2024 was $61.9 billion, above analyst expectations and a 17% increase from the year-ago period. That growth came from a 23% year-over-year increase in Microsoft’s cloud revenue to $35.1 billion.
Net income and diluted earnings per share (EPS) were also above analysts’ estimates and grew 20% from a year earlier.
Microsoft shares were up more than 3% at $411.43 Friday morning, bringing the stock’s year-to-date gain to nearly 10%.
-Naomi Buchanan
Alphabet Reclaims Spot in $2 Trillion Club
50 minutes ago
Alphabet shares soared on Friday morning, launching the company into the tiny group of companies worth more than $2 trillion.
It’s not the first time the company’s achieved the milestone. Alphabet became only the third US company, after Apple (AAPL) and Microsoft (MSFT), to cross the $2 trillion mark during intraday trading on November 8, 2021. However, it couldn’t hold on to the day’s gains, ultimately closing below the threshold.
After closing Thursday with a market cap of about $1.95 trillion, the stock needs to rise 2.5% on Friday to close above $2 trillion for the first time. With Friday’s 10% surge, Alphabet’s market value stood at more than $2.14 trillion, giving it a substantial buffer.
Google Parent Alphabet Jumps on Earnings Beat, First-Ever Dividend
1 hr 17 min ago
Google parent Alphabet (GOOGL) saw its shares jump over 10% Friday morning after the tech giant reported first-quarter results well above analysts’ expectations, as well as plans to distribute its first-ever dividend.
Alphabet reported revenue rose 15% year-over-year to $80.54 billion, above analyst estimates compiled by Visible Alpha of $78.8 billion. Alphabet’s profit of $23.66 billion, for diluted earnings per share of $1.89, beat estimates of $18.95 billion, or $1.51 per share.
For the first time in the company’s history, Alphabet’s board announced the approval of a dividend program, with a dividend of 20 cents per share to be paid on June 17 to shareholders of record as of market close June 10.
A massive stock buyback program was also announced, with the company’s board approving $70 billion to repurchase shares.
After falling close to 2% in Thursday session, Alphabet shares skyrocketed 10% Friday to $171, pushing the company’s market cap above $2 trillion.
-Aaron McDade
Stocks Making the Biggest Moves Premarket
2 hours ago
Gains:
- Snap (SNAP): Shares of the social media company surged 25% after it reported a return to double-digit revenue growth in the first quarter.
- Alphabet (GOOGL): Shares of the tech giant jumped 11% after it announced its first dividend, authorized a $70 billion buyback program, and reported blowout first-quarter earnings.
- Microsoft (MSFT): Shares climbed more than 3% after the company reported better-than-expected quarterly results, with cloud revenue increasing more than 20% from the prior year.
Losses:
- Intel (INTC): Shares of the chipmaker tumbled 8% after its current-quarter revenue guidance fell short of Wall Street’s expectations, overshadowing better-than-anticipated earnings.
- Atlassian (TEAM): Shares of the enterprise software maker fell more than 7% after the company said longtime co-CEO Scott Farquhar would step down.
- ExxonMobil (XOM): Shares of the oil giant slid 2% after reporting profit declined more than analysts were expecting in the first quarter, with lower natural gas prices and smarter refinery margins.
Stock Futures Climb Ahead of Inflation Data
2 hrs 54 mins ago
Futures contracts connected to the Dow Jones Industrial Average were up 0.2% in premarket trading on Friday.
S&P 500 futures were 0.8% higher.
Nasdaq 100 futures rose 1% about an hour before markets opened.
