Market Movers: Topgolf Surges as Cleveland-Cliffs and Tempus AI Falter

Market Movers: Topgolf Surges as Cleveland-Cliffs and Tempus AI Falter

Cleveland-Cliffs, Tempus AI, and Hims & Hers Health experienced significant stock fluctuations following the release of their fourth-quarter financial results. Cleveland-Cliffs shares pulled back 2% after the company's earnings fell short of Wall Street's expectations. Meanwhile, Tempus AI shares tumbled 7% due to weaker-than-expected revenue figures. Hims & Hers Health saw a steep decline of more than 17% in after-hours trading, despite reporting adjusted earnings that surpassed consensus estimates.

Cleveland-Cliffs reported a substantial loss of 92 cents per share on revenue totaling $4.33 billion. This was below what analysts had anticipated, with a projected loss of 61 cents per share and $4.43 billion in revenue, as surveyed by LSEG. The company's underperformance has raised concerns about its future financial trajectory.

Tempus AI also faced challenges, reporting revenue of $201 million, falling short of the $203 million forecasted by analysts polled by LSEG. The health tech company's revenue miss led to a 7% drop in its share price, reflecting investor disappointment.

In contrast, Topgolf Callaway Brands reported results that exceeded market expectations, leading to a 3% increase in its shares. The company posted a loss of 33 cents per share on $924 million in revenue. Analysts had predicted a loss of 42 cents per share on $885 million in revenue, according to LSEG. The better-than-expected performance bolstered investor confidence.

Hims & Hers Health, despite posting adjusted earnings of $3.64 per share on $3.71 billion in revenue—surpassing the consensus estimate of $3.35 per share and $3.53 billion in revenue—experienced a significant drop in its stock price. The company's gross margin for the fourth quarter was reported at 77%, slightly below the anticipated 78.4% as expected by analysts polled by StreetAccount.

Zoom Communications also faced a minor setback, with its shares falling about 1% after delivering a revenue outlook that narrowly missed expectations. The company projected full-year revenue between $4.79 billion and $4.80 billion, while analysts had forecasted $4.81 billion.

Diamondback Energy saw a positive outcome, with its shares rising 1% following robust quarterly results that satisfied market predictions.

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Alex Lorel

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