Adobe Systems (ADBE) shook investor confidence despite posting strong earnings and revenue. Its weak outlook and an inquiry from the FTC is a worry.
Adobe reported revenue of $5.05 billion, up by 11.5% Y/Y. Non-GAAP EPS was $4.27. The Q1/2024 outlook of $5.1 billion to $5.15 billion trails the consensus estimate of $5.15 billion. It expects EPS of $17.60 - $18.00 in 2024.
The FTC is probing Adobe’s subscription practices.
Moderna (MRNA) shared its three-year data for an mRNA-based skin cancer therapy. It compared its results to Merck’s immunotherapy, Keyruda. Moderna and Merck reported that it cut the risk of skin recurrence or death by 49%. MRNA stock is -0.32% in pre-market.
Live Nation (LYV) gained 3.05%. Morgan Stanley upgraded the stock, citing its discount valuation not reflecting its improved fundamentals. Live Nation is achieving healthy growth from the new Vegas Sphere.
In commodities, oil prices rose by almost 2%. It traded at lows not seen since June. The energy market has too much U.S. production, while OPEC+ pledges to cut output. Markets are doubtful that OPEC+ members will abide by the output cuts.
Gold prices rose by 0.12% to $2,029.70, up from $1990. Impending interest rate cuts would hurt the U.S. dollar. It increases the attractiveness of gold stocks.
