Brandon Bell
U.S. stock index futures on Thursday pointed to a higher open, with investors parsing through chip giant Nvidia’s (NVDA) quarterly results and a busy economic calendar. Here are some stocks to watch on Thursday:
- Shares of Dollar General (DG) cratered more than 25% in pre-market trading, after the discount retailer delivered a Q2 top- and bottom-line miss and slashed its full-year net sales and same-store sales growth guidance. “We are not satisfied with our financial results, including top-line results below our expectations for the quarter,” chief executive Todd Vasos said. The top boss said the company saw softer sales trends in the quarter, which was “partially attributable to a core customer who feels financially constrained.” Dollar General (DG) now sees full-year 2024 same-store sales growth of about 1% to 1.6%, compared to a prior outlook of 2% to 2.7%.
- Best Buy (BBY) stock advanced more than 15% ahead of the opening bell, after the consumer electronics retailer lifted its annual profit guidance and its FQ2 2025 results showed solid demand for computers. “We delivered strong results in our Domestic tablet and computing categories, which together posted comparable sales growth of 6% versus last year,” CEO Corie Barry said. Best Buy (BBY) now expects fiscal year 2025 adjusted earnings per share of $6.10 to $6.35, versus a previous forecast of $5.75 to $6.20. Finance chief Matt Bilunas sees “increasing stabilization” in the industry in the back half of the year.
- Class C shares of Dell Technologies (DELL) will be in focus, with the PC and electronics maker scheduled to announce FQ2 2025 numbers after the closing bell. Wall Street expects the Round Rock, Texas-based firm to earn $1.71 per share on revenue of $24.12B. Dell’s (DELL) top-line is anticipated to increase more than 5% Y/Y, as the overall traditional PC market continues to see a recovery. Dell’s (DELL) smaller rival HP (HPQ) on Wednesday said it had returned to quarterly revenue growth, though it narrowed its annual profit per share guidance range.
- Lululemon athletica (LULU) stock will be one to keep an eye on, with the yoga wear maker on tap to report Q2 results after market close. Wall Street expects the Vancouver, British Columbia-based company to earn $2.94 per share on revenue of $2.41B. After years of dominating the yoga wear category, sentiment regarding Lululemon (LULU) has soured recently amid increasing competition, quality issues and lackluster innovation. Analysts and investors will be watching the company’s guidance for any impact from the failed launch of its Breeze Through leggings line.
