U.S. stock futures were down on Wednesday as inflation worries continue and investors await further details from Federal Reserve’s monetary policy meeting later today.
While Dow Futures were down 0.7%, S&P Futures and Nasdaq Futures slid 1% and 1.2%, respectively.
Today, companies expected to report before the opening bell include Lowe’s (LOW) and Target (TGT) while Cisco Systems (CSCO) and L Brands (LB) are expected to report after the market close.
Advaxis Inc. (ADXS), the clinical-stage biotechnology company was the most actively traded stock and also the biggest gainer in pre-market trading. The stock had popped 26.6% at the time of writing. There was no fundamental news explaining the interest in the stock.
Akers Biosciences, which has now been merged with MyMD Pharmaceuticals, Inc. (MYMD) and is now traded as MYMD was the biggest laggard as the stock had dropped 17% at the time of writing. There was no fundamental news explaining the price drop.
In earnings news, U.S. retail giant Walmart (WMT) recorded a remarkable Q1 quarter and posted revenues of $138.3 billion, representing 2.7% year-over-year growth driven by a strong improvement in its e-commerce sales. EPS came in at $0.97 or $1.69 on an adjusted basis.
“This was a strong quarter. Every segment performed well, and we’re encouraged by traffic and grocery market share trends. Our optimism is higher than it was at the beginning of the year,” commented Walmart President and CEO Doug McMillon.
Meanwhile, video game company Take-Two Interactive Software, Inc. (TTWO) reported strong results in the fiscal fourth quarter. The company posted GAAP net revenue of $839.4 million, up 10% year-over-year in Q4. Total net bookings were up 8% year-on-year to $784.5 million in Q4. Analysts were expecting net bookings of $663.8 million.
The company reported earnings of $1.40 per share that topped consensus estimate of $0.66 per share.
Take-Two CEO Strauss Zelnick said, “In Fiscal 2022, we plan to deliver an exciting array of offerings, including four immersive core releases, of which two will be from new franchises. In addition, we expect Fiscal 2022 to be our second consecutive year of Net Bookings in excess of $3 billion.”
Calibration and laboratory instrument services provider Transcat, Inc. (TRNS) posted better-than-expected Q4 results with revenues of $48.8 million that topped consensus estimates of $46.2 million and were up 6.6% year-on-year. Earnings jumped 27% to $0.42 per share; beating consensus estimates of $0.32 per share.
Transcat CEO Lee D. Rudow said, “We enter fiscal 2022 with a strong balance sheet, sustainable Service segment gross margins and an active M&A pipeline. We are confident that our disciplined focus on highly-regulated end markets and our new customer pipeline positions us well for continued strong organic growth.”
In M&A news, software and cloud solutions provider Splunk (SPLK) will acquire TruSTAR for an undisclosed amount. TruSTAR is a cloud security company offering a data-centric intelligence platform and will help Splunk expand its cloud security solutions portfolio.
Splunk’s Senior Vice President Sendur Sellakumar said, “We’re excited to bring TruSTAR’s visionary, data-centric platform into our security offerings as Splunk continues to deliver best in class security capabilities for our customers.”
Consulting and professional services provider Accenture (ACN) has snapped up strategic management consultancy Homburg & Partner for an undisclosed amount. The acquisition is expected to bolster Accenture’s commercial strategy, and sales and price management strategy services.
Accenture’s Global Lead for Customer, Sales & Service Edwin van der Ouderaa said, “The pandemic accelerated the shift for organizations to adopt new digital standards for customer experience and engagement.”