U.S. stock futures fell before the open on Thursday lead by tech stocks after the 10-year US bond yield jumped to a 14-month high. This comes on the back of increased forecasts of growth and inflation by the Federal Reserve. However, the Fed stressed that it was not planning to raise interest rates until 2024.
Nasdaq futures were hardest hit, trading 1.25% lower, Dow futures were relatively flat, while S&P futures were down approximately 0.5% at the time of writing.
Companies reporting earnings today include Weibo (WB), Legend Bio (LEGN) and Signet Jewelers (SIG) before the bell, while Nike (NKE), FedEx (FDX) and Ollies Bargain Outlet (OLLI) will release their figures after the market closes.
Neos Therapeutics (NEOS) was the most actively traded stock before the bell, with over 15 million shares having already changed hands at the time of writing. Investors are eagerly anticipating confirmation of the merger with Aytu Bioscience (AYTU).
BioHiTech (BHTG) was the strongest name in the pre-market session, up around 50%, followed by Upstart (UPST) and Seneca Biopharma (SNCA), which were 45% and 24% stronger, respectively.
Meanwhile, Translate Bio (TBIO) led the way downward, losing 28% before the open, followed closely by Verona Pharma (VRNA), down 24%, and Broadway Financial (BYFC), which was 15% weaker.
In corporate earnings news, PagerDuty (PD) fell 4.5% before the open after forecasting a wider-than-expected loss for Q1 and fiscal 2022. The company reported an adjusted loss of $0.07 in Q4, which was worse than the year-ago period but better than the $0.11 loss estimated by analysts. Revenues grew 29.1% year-over-year to $59.3 million and came in above consensus estimates of $57.5 million.
Five Below (FIVE) was up almost 6% in pre-market trading after reporting better-than-expected 4Q results and offering a Q1 forecast that surpassed analysts’ expectations. Q4 adjusted earnings grew 11.7% year-over-year to $2.20 per share and topped the Street’s estimates of $2.11 per share. Revenues jumped about 25% year-over-year to $858.5 million and came in ahead of consensus estimates of $838.3 million.
Shares of Semtech Corporation (SMTC) rose 3.1% in Wednesday’s extended trading session after the semiconductor company reported better-than-expected Q4 results. Adjusted earnings grew 27.5% year-on-year to $0.51 per share and beat Street estimates of $0.48 per share. Net sales advanced 19.3% to $164.7 million and surpassed consensus forecasts of $158.29 million.
American Outdoor Brands (AOUT) popped 9% before the bell after the company reported fiscal Q3 results that topped consensus estimates and provided upbeat guidance for fiscal 2021. A 129% rise in e-commerce sales together with a 68.5% increase in traditional sales resulted in a 90.7% year-on-year increase in Q3 revenues. Adjusted earnings more than tripled on a year-over-year basis to $0.82 per share and beat Street estimates of $0.36 per share by a wide margin.
In M&A news, Host Hotels & Resorts (HST) has bought the 448 room Hyatt Regency Hotel in Austin, Texas for approximately $161 million. The property offers 45,000 square feet of meeting space, two food and beverage outlets, an outdoor pool and a fitness center. “We are excited to have executed an off-market, opportunistic acquisition of a high-quality hotel in one of the nation’s fastest growing cities,” said Host Hotels’ President and CEO, James Risoleo.
