Snap shares tumble on weak results
Snap (SNAP) is sinking after revenue and daily active users missed estimates. The company reported sales of $207.9 million and added only 4.5 million new daily users during the quarter, totaling 178 million. Analysts were expecting revenue of $236.9 million and 180.5 million daily active users. Snap also said it lost nearly $40 million from unsold Spectacles, its video-recording glasses. CEO Evan Spiegel said in prepared remarks that the company is working to redesign its app to make it easier to use. “One thing we have heard over the years is that Snapchat is difficult to understand or hard to use, and our team has been working on responding to this feedback,” Spiegel said. Snap shares were last trading down 10.9% at $13.46 a share.
Roku gears up for first earnings report since IPO
Wall Street is keeping a close eye on Roku (ROKU), as the streaming service releases its first earnings report as a public company after the bell today. Analysts are expecting a loss of $1.40 a share on revenue of $110.75 million. The stock is trading well above its IPO price of $14 a share but is down about 54% from its all-time high of $29.80 a share hit on September 29.
21st Century Fox earnings: What to watch
21st Century Fox (FOXA) is scheduled to report earnings after the bell this afternoon, and investors will want to hear from executives on the earnings call about the media giant’s talks with Disney about a possible deal. Analysts are expecting 21st Century Fox to report earnings per share of 49 cents on revenue of $6.80 billion. The stock is up about 11.4% since Monday, the day the Fox, Disney deal talks broke.
Time Warner shares drop on worry about approval timing of AT&T deal
Time Warner (TWX) shares are lower after John Stephens, AT&T’s (T) chief financial officer, said the timing of the closing of its $85 billion bid to buy Time Warner is “uncertain.” The deal, which is under antitrust review by the US Justice Department, was expected to close by the end of the year. Time Warner shares were last trading down 2.5% at $92.25 a share.