Seeking Alpha: Retailers Begin To Report Earnings On The Back Of Disappointing January Retail Sales

Read the full article on Seeking Alpha.

Excerpt:

Last week started off with a higher-than-expected inflation reading, which tanked markets on Tuesday. The Consumer Price Index (CPI) increased 0.3% in January, driven by persistently high shelter costs.¹ This forced market participants to finally heed some of what the Fed has been communicating about fewer and later rate cuts this year.

On the earnings front, ride-share companies made a splash last week. Lyft (LYFT) reported better-than-expected results, but it was guidance for a 2024 profit margin increase of 500 basis points which sent the stock skyrocketing 67%.² Later it was revealed that this was a clerical error, and that the outlook only expected a 50-basis point expansion. Despite the revision, Lyft shares held on to some of those gains and still hit a 52-week high. Uber (UBER), which reported results a week earlier, beating analyst expectations on the top and bottom-line, announced its first-ever buyback of $7B on Wednesday.³ This led to the stock increasing by 14% on that day. All of this, as drivers went on strike for fair pay.

Seeking Alpha: Retailers Begin To Report Earnings On The Back Of Disappointing January Retail Sales

Contact Us

Recent Content

Contact Us

Connect with Us