Snap Inc. Report: A Melancholy Day for Big Stocks The Post-Earnings Fall: Snap Inc. and Other Big Stocks Hit a Slump

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By Ronald Tech

U.S. stock futures were mixed this morning, with the Dow futures trading almost flat on Wednesday.

The investment community woke to a chilly morning as shares of Snap Inc. plummeted in today’s pre-market trading following the release of its fourth-quarter results.

Snap’s fourth-quarter revenue inched up 5% year-over-year to $1.361 billion, a slight miss on the consensus estimate of $1.38 billion. The company did manage to report quarterly adjusted earnings of 8 cents per share, outstripping analyst estimates of 6 cents per share.

Despite the upbeat earnings, Snap’s guidance for the first-quarter revenue of $1.095 billion to $1.135 billion, vis-à-vis estimates of $1.12 billion, served as a wet blanket. The first-quarter adjusted EBITDA is expected to be between negative $55 million and negative $99 million, a revelation that seemed to significantly impact shares after hours.

Snap shares took a beating, dipping 31.3% to $11.99 in pre-market trading.

The pain was widespread as other major stocks suffered losses in today’s pre-market trading session.

  • fuboTV Inc. FUBO shares plummeted 11.2% to $2.23 in pre-market trading following a 4% gain on the preceding day.
  • Diversified Energy Company PLC DEC shares fell 9.9% to $11.69 in pre-market trading after a 12% gain previously.
  • New York Community Bancorp, Inc. NYCB shares fell 9.3% to $3.81 in pre-market trading. Moody’s downgraded New York Community Bancorp’s credit rating to junk.
  • Cognizant Technology Solutions Corporation CTSH shares tumbled 9.3% to $71.44 in pre-market trading following the company’s fourth-quarter results and guidance.
  • KKR Real Estate Finance Trust Inc. KREF shares dipped 8.8% to $10.74 in pre-market trading following fourth-quarter results.
  • Nyxoah S.A. NYXH fell 8.8% to $10.15 in pre-market trading.
  • V.F. Corporation VFC shares declined 7.8% to $15.63 in pre-market trading after the company reported worse-than-expected third-quarter financial results.
  • ePlus inc. PLUS shares fell 6.1% to $73.54 in pre-market trading after the company reported worse-than-expected third-quarter results.
  • Weibo Corporation WB shares fell 5.1% to $8.58 in pre-market trading after an 8% rise on the previous day.
  • Pinterest, Inc. PINS shares declined 4% to $39.41 in pre-market trading.
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