Early Look

Wednesday, May 7, 2025

U.S. stock futures are rising ahead of today’s FOMC policy meeting, getting a boost after reports US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer will travel later this week to Switzerland for trade talks with China led by Vice Premier, He Lifeng, seeking to de-escalate the tariff standoff between the two countries. West Texas Intermediate (WTI) crude oil pushed higher for a second day as the US and China agreed to start trade negotiations. The yen is the weakest of the G-10 currencies, falling 0.55% against the greenback as haven assets underperform (gold pulls back) and riskier assets climb. All eyes on the Federal Reserve which is expected to keep interest rates unchanged when it concludes its two-day meeting later this afternoon (at 2:00 pm) and traders will focus on how Fed officials will balance concerns that tariffs will lead to higher inflation and slower growth. In Asian markets, The Nikkei Index fell -51 points to 36,779, the Shanghai Index rose 26 points to 3,342, and the Hang Seng Index edged higher 29 points to 22,691. In Europe, the German DAX is down -63 points to 23,186, while the FTSE 100 is down -27 points to 8,569. Stocks ended broadly lower on Tuesday as traders continued to wait for tariff deals between the United States and trading partners to be struck and as the S&P 500 faced some technical resistance after breaking a nine-day rally on Monday. Markets remain optimistic about the U.S. reaching trade deals that show that trade levies won’t be as bad as feared as U.S. Treasury Secretary Scott Bessent said the Trump administration could announce trade agreements with some of the country’s largest trade partners as early as this week but gave no further details. Trump also met Canadian Prime Minister Mark Carney to discuss the trade relationship between the two countries. Earnings also plentiful as the busiest week by volume continues.

• The Dow Jones Industrial Average fell -389.83 points, or 0.95%, to 40,829.00
• The Nasdaq Composite dropped -154.58 points, or 0.87%, to 17,689.66
• The Russell 2000 Index declined -21.07 points, or 1.05% to 1,983.19

• 10:30 AM ET                Weekly DOE Inventory Data
• 2:00 PM ET FOMC Rate Policy meeting; no change to rates expected

• Earnings After the Close: ACAD ACVA ADMA ADTN ALNT AMC AMPL AMRK AOSL APA APP ARM ATO AWR AXON BBSI BGS BHF BKH BLBD BMBL BROS BV BYND CAR CDE CDLX CENTA CENX CF CIVI CLF CMP CHR CON CORZ CPA CPK CPRX CSGS CTVA CVNA CW CXW CYRX DASH DGII DHX DOX EBS ECPG EE EHAB EOLS EPR ERII EVTC FLNC FLUT FNF FSK FSLY FTNT FWRD G GHLD GNK GNL GRPN GXO HASI HCAT HDSN HLI HPP HRB INFA INGN IONQ JOBY JXN KAR KD KGS KRO KTOS LAW LB LNW LPSN LZ MATV MEG MGNI MIRM MKSI MQ MUR MUSA MYO NDLS NTR OEC OM ORA OSUR OXY PAAS PAHC PBI PR QDEL QGEN QNST RBA RELY RGLD ROOT RUN SAR SBGI SITM SKYT SNDK STR TK TPC TSE TTEK USPH UTI VAC VECO CIR WTS XPER Z ZG ZVIA

• Citizens Life Sciences Conference, 5/7, in New York
• DA Davidson 27th Annual Financial Institutions Conference, 5/5-5/7, in Scottsdale, AZ
• Oppenheimer 20th Annual Industrial Growth Conference, 5/5-5/8
• Truist 2025 Industrials & Services Conference, 5/7-5/9, in Philadelphia, PA

• India attacked Pakistan and Pakistani Kashmir on Wednesday and Pakistan said it had shot down five Indian fighter jets in the worst fighting in more than two decades between the nuclear-armed neighbors.

• Fortune Brands (FBIN) Q1 EPS $0.66 vs. est. $0.66 and revs $1.0B vs. est. $1.07B; said due to uncertainty around consumer demand and volumes, company is not providing detailed 2025 full-year guidance.
• Grocery Outlet (GO) Q1 adj EPS $0.13 vs est. $0.07, adj EBITDA $51.9Mm vs et $49Mm on revs $1.126B vs est. $1.124B; guides FY sales $4.7-4.8B vs est. $4.74B and adj EPS $0.70-0.75 vs est. $0.73.
• Revolve Group (RVLV) Q1 EPS $0.16 vs est. $0.14, adj EBITDA $19.299Mm vs est. $15.48Mm on revs $296.709Mm vs est. $297.73Mm, gr mgn 52%; guides Q2 gr mgn 52-53% and FY gr mgn 50-52% vs prior 52.4-52.9%.
• Rivian Automotive (RIVN) Q1 EPS loss (-$0.48) vs. est. loss (-$0.92); Q1 revs $1.24B vs. est. $1.02B; said R2 production remains on track for the 1H26; has revised its delivery outlook to 40K-46K vehicles from 46K-51K prior, while maintaining its outlook range for adj. EBITDA $(1,700)Mm loss to a $(1,900)Mm and raising capex.
• Wynn Resorts (WYNN) Q1 adj EPS $1.07 vs. est. $1.19; Q1 revs $1.70B vs. est. $1.74B and Q1 adj net income $113.1M vs. est. $137.2M; Q1 Las Vegas Operating Revenue $625.3M (est. $607.8M); Q1 adjusted Property EBITDAR: $532.9M (est. $560.7M).
• Zeekr (ZK) shares rise after Chinese EV maker Geely Automobile said it plans to take Zeekrprivate for $25.66 per American Depositary Share (ADS) – a premium of 13.6% to stock’s previous close; the offer-per-ADS values Zeekr at $6.52 billion; Geely Auto already owns 65.7% of total outstanding share capital of Zeekr.

• Exxon Mobil Corp.’s (XOM) fourth oil project in Guyana will be ready for startup around August this year, country manager Alistair Routledge said at the Offshore Technology Conference in Houston Tuesday.

• Flywire Corp. (FLYW) Q1 adj EBITDA $21.6Mm vs est. $19.96Mm on revs $133.5Mm vs est. $123.62Mm, adj gr mgn 64.1%; guides Q2 FX-neutral revs less ancillary services growth +17-23% and adj EBITDA mgn growth 150-350bps; sees FY FX-neutral revs less ancillary services growth +17-23% and adj EBITDA mgn growth +100-300bps.
• Jack Henry (JKHY) Q3 EPS $1.52 vs est. $1.36 on revs $585.1Mm vs est. $588.08MM; guides FY adj revs $2.331-2.342B vs est. $2.374B, adj op mgn $23.0-23.1% and EPS $6.00-6.09 vs est. $5.85.
• Upstart Holdings (UPST) Q1 EPS ($0.03) vs est. $0.17, adj EBITDA $42.6Mm on revs $213.4Mm vs est. $199.49Mm; guides Q2 revs $225Mm vs est. $223.73Mm and adj EBITDA approx $37Mm; sees FY revs approx $1.01B vs est. $1.001B and adj EBITDA mgn approx 19%.

• Cytokinetics (CYTK) Q1 EPS ($1.36) vs est. ($1.43) on revs $1.58Mm vs est. $1.443Mm; maintains FY guidance for GAAP op exp $670-710Mm and non-cash stock-based compensation expense included in GAAP op exp $110-120Mm.
• Halozyme Therapeutics (HALO) Q1 adj EPS $1.11 vs est. $0.94 on revs $264.9Mm vs est. $230.18Mm; guides FY revs $1.2-1.28B vs prior $1.15-1.225B and est. $1.195B, adj EBITDA $790-840Mm vs prior $755-805Mm and est. $783.37Mm and adj EPS $5.30-5.70 vs prior $4.95-5.35 and est. $5.00.
• Jazz Pharmaceuticals (JAZZ) Q1 adj EPS $1.68 vs est. $4.66 on revs $897.8Mm vs est. $985.39Mm; affirms FY revs guide $4.15-4.40B vs est. $4.293B.
• LivaNova (LIVN) announces 12-month data from osprey clinical study for moderate to severe obstructive sleep apnea, demonstrating strong response and durability of therapy; overall responder rate of 65%, overall reduction in median apnea-hypopnea index of 68%.
• Masimo Corp. (MASI) Q1 EPS $1.36, vs. est. $1.21; Q1 revs $372.0M vs. est. $367.79M; sees FY25 EPS with tariff impacts $4.80-$5.15, consensus $5.25 and sees FY25 revenue $1.5B-$1.53B vs. est. $1.52B; said to sell consumer audio business to HARMAN International for $350M.
• Myriad Genetics (MYGN) cuts FY25 adjusted EPS view to (2c)-2c from $0.07-$0.11; cuts FY25 revenue view to $807M-$823M from $840M-$860M, (est. $846.39M); cuts FY25 adjusted EBITDA view to $19M-$27M from $25M-$35M; updated guidance reflects Q1 results and the current business outlook.
• Novo Nordisk (NVO) said it expects a recovery of Wegovy weight-loss drug sales in the United States once a ban on compound copycats is enforced this month, its CEO said on Wednesday, boosting the shares.
• Sarepta (SRPT) reported Q1 revenue $744.9M vs. est. $683.4M; Q1 Net product revenues totaled $611.5 million, up 70% q/q; Q1 ELEVIDYS net product revenue totaled $375.0M; revised 2025 total net product revenues guidance to $2.3B-$2.6B, down from $2.9B-$3.0B prior.
• Tempus AI (TEM) Q1 adjusted EPS loss (-$0.24) vs. est. loss (-$0.27); Q1 revs rose 75.4% y/y to $255.7M vs. est. $248.13M; raises FY25 revenue view to roughly $1.25B from $1.24B (est. $1.24B) and backs FY25 adjusted EBITDA view $5M; posted continued gross margin improvement in both Genomics and Data and services.

• Chemours (CC) Q1 adj EPS $0.13 vs. est. $0.21; Q1 sales $1.4B vs. est. $1.352B; Q1 adj net income $19M vs. est. $28.1M; is cutting its dividend by 65%; said for Q1, a 5% increase in volume was partially offset by a 4% decrease in price, with currency a slight 1% headwind; said sees Q2 net sales to increase in the low to mid-teens sequentially.
• International Flavors & Fragrances (IFF) Q1 adj EPS $1.20 vs. est. $1.14; Q1 revs $2.8B vs. est. $2.82B; said continues to expect FY25 sales to be in the range of $10.6B-$10.9B (est. $10.86B) and Fy25 adjusted operating EBITDA to be in the range of $2B-$2.15B; said continues to expect comparable currency neutral sales growth to be between 1% to 4%, with growth in most businesses.
• Mosaic (MOS) Q1 adj EPS $0.49 vs. est. $0.45; Q1 revs $2.62B vs. est. $2.71B; Q1 adj Ebitda $544M vs. est. $506.6M; raised 2025 potash production volume outlook to capture strong international demand and robust prices; said expect approximately 15% growth in mosaic Fertilizantes 2025 sales volumes.
• Rayonier Advanced Materials (RYAM) Q1 adj EPS loss (-$0.49) vs est. loss (-$0.10); Q1 revs $356M vs. est. $385M; Q1 adj EBITDA was $1M, inclusive of a $12M non-cash environmental charge; said anticipate shifting production toward non-fluff commodities to help offset potential reductions in direct fluff sales to China.
• The European Union intends to propose tariffs on Boeing (BA) jets, as it prepares to retaliate further if trade talks with Washington fail, the Financial Times reported. The EC plans to include civilian aircraft on a list of roughly $100 billion in annual U.S. imports to be targeted

• Arista Networks (ANET) Q1 adj EPS $0.65 vs est. $0.59 on revs $2.005B vs est. $1.971B, adj gr mgn 64.1%; sees Q2 revs about $2.1B vs est. $2.023B, adj gr mgn approx 63% and adj op mgn approx 46%.
• Astera Labs (ALAB) Q1 adj EPS $0.33 vs est. $0.28 on revs $159.4Mm vs est. $153.13Mm, adj gr mgn 74.9%; guides Q2 revs $170-175Mm vs est. $160.29Mm, gr mgn approx 74%.
• Cirrus Logic (CRUS) Q4 adj EPS $1.67 vs est. $1.18 on revs $424.5Mm vs est. $380.31Mm; guides Q1 revs $330-390Mm vs est. $339.77Mm, gr mgn 51-53% and adj op exp $119-125Mm.
• Coupang (CPNG) Q1 EPS $0.06 vs est. $0.05, adj EBITDA $382Mm vs est. $373.74Mm on revs $7.9B vs est. $8.061B.
• Electronics Arts (EA) Q4 GAAP EPS $0.98 vs. est. $0.91; Q4 net bookings $1.799B vs est. $1.55B; forecast fiscal 2026 bookings to be in the range of $7.6B-$8B vs. estimates of $7.62B and is also higher than the $7.36B in bookings EA recorded for the fiscal ended March 31 this year.
• Gen Digital (GEN) Q4 adj EPS $0.59 vs est. $0.58 on revs $1.01B vs est. $997.04Mm, adj op mgn 58.4%; guides Q1 revs $1.18-1.21B vs est. $996.33Mm and adj EPS $0.59-0.61 vs est. $0.58; sees FY revs $4.7-4.8B vs est. $4.129B and adj EPS $2.46-2.54 vs est. $2.43.
• Klaviyo (KVYO) Q1 EPS $0.14 vs. est. $0.12; Q1 revs rose 33% y/y to $279.8M vs. est. $267.9M; raises FY25 revenue view to $1.171B-$1.179B, from $1.156B-$1.164B (est. $1.16B), while affirms FY25 operating margin of 11%-12%; said Over 169,000 customers were using Klaviyo to drive their own revenue growth as of March 31, 2025, compared to over 146,000 customers as of March 31, 2024.
• Lumentum Holdings (LITE) Q3 adj EPS $0.57 vs est. $0.50, adj op mgn 10.8% on revs $425.2Mm vs est. $418.28Mm, adj gr mgn 35.2%; sees Q4 revs $440-470Mm vs est. $452.94Mm, adj op mgn 13-14% and adj EPS $0.70-0.80 vs est. $0.63.
• Qualys (QLYS) reported 1Q results of $159.9M and Non-GAAP EPS of $1.67. These results compare to Street expects $157M and $1.47; Qualys updated their full year guidance to $648M-$657M and EPS of $6.00-$6.30 compared to $645M-$657M and $5.50-$5.90 previously.
• Super Micro (SMCI) Q3 adj EPS $0.31 vs. est. $0.30; Q3 revs $4.6B vs. est. $5.05B; guides adjusted EPS $0.40-$0.50 vs. est. $0.64 and revs $5.6B-$6.4B vs. est. $6.81B; cuts FY25 revenue view to $21.8B-$22.6B from the $23.5B-$25B view prior and below consensus $23.5B.