Look at the firms generating headlines before the bell:
GameStop — Shares fell more than 20% after the video game retailer announced plans to sell 45 million ordinary shares of its company. It also reported preliminary data for the first quarter, which showed a drop in revenue.
Reddit – The social media company’s stock rose 10.5% after announcing a partnership with OpenAI. Reddit will acquire specific AI features powered by OpenAI, while Chat GPT will gain access to Reddit’s Data application programming interface to train its AI models.
Take-Two Interactive Software — Shares of the video game firm fell more than 2% following an update on the release date of the new Grand Theft Auto game. Take-Two said that the game will now be released in the autumn of 2025. Previous projections called for sometime around 2025.
Snowflake’s stock fell 0.3% after Bloomberg Law reported, citing sources knowledgeable, that the cloud computing company is in talks to acquire startup Reka AI for more than $1 billion.
Doximity – The online networking company’s shares rose about 18% after exceeding expectations on both the top and bottom lines in the fourth quarter. Adjusted earnings per share were 25 cents and revenue of $118 million exceeded LSEG’s analyst projections of 20 cents and $116 million. Doximity also provided consistent revenue guidance for the first quarter.
Globant SA — The stock sank more than 3% after Globant published second-quarter profits and revenue guidance that fell short of estimates, even though first-quarter results were in line with expectations.
Cracker Barrel Old Country Store – Shares fell about 15% after the restaurant company announced it was reducing its dividend to 25 cents from $1.25, an 80% reduction, to fund its strategic change.
Applied Materials — The chipmaker’s stock rose 1.2% after posting higher second-quarter earnings and approximately in-line revenue. The firm earned $2.09 per share, excluding adjustments, on revenue of $6.65 billion, compared to analysts surveyed by FactSet who expected adjusted earnings of $1.99 on revenue of $6.54 billion. The revelation prompted other firms, including Goldman Sachs and Citigroup, to raise their price estimates.
Source (CNBC)
