Markets are quick to reward companies that post strong quarterly results. They punish those who report bad news. Yesterday, markets bought Zoom Video (ZM) while dumping shares of Workday (WDAY) and Unity Software (U).
After soaring by 19.84% on Tuesday, Norwegian Cruise Line (NCLH) might attract more buyers. The firm lost 18 cents a share (non-GAAP). However, it posted a solid outlook. The firm not only managed through disruptions around the Red Sea last quarter, but it expects strong demand. Bookings and pricing are at higher levels in 2024 compared to 2023.
In the online insurance market, Lemonade (LMND) will reverse its 8.4% previous day gains. The stock lost 16.5% last night when it reported 61 cents a share in EPS losses. It plans to double its growth budget this year. Spending more to win customer business. The AI-driven insurance algorithm is not working.
For the full year of 2024, Lemonade’s EBITDA (adjusted) is negative $155 million to negative $160 million.
This morning, investors are most interested in company earnings results from Baidu (BIDU), Novavax (NVAX), TJX Companies (TJX), and Viatris (VTRS). After the market closes, Salesforce (CRM), Snowflake (SNOW), and Okta (OKTA) are among the widely followed technology companies that are posting their quarterly results.
Media firm Paramount (PARA) also posts results. Last week, its competitor, Warner Bros. Discovery (WBD) posted poor results and an uncertain 2024 outlook. That sent WBD stock down by 10%.
