A sign is displayed outside a Chipotle Mexican Grill Inc. A restaurant in San Francisco, California, USA, Monday, July 20, 2020. Chipotle will release earnings numbers on July 22.
David Paul Morris | Bloomberg | Getty Images
Check out the companies making headlines in afternoon trading.
Chipotle Mexican Grill– Shares of Chipotle have since risen more than 16% the restaurant chain announced its quarterly earnings on Tuesday after the call. Profits improved largely due to price increases to offset inflation, and the company said another increase would be in place in August. UBS on Wednesday Reiterated Chipotle as a buy after the results.
Microsoft — Windows and Xbox maker rose more than 4% after issuing a rosy earnings forecast for next year. However, Microsoft reported quarterly results that missed analysts’ expectations on both the top and bottom lines. Microsoft posted its slowest revenue growth since 2020 in the second quarter, at 12% year over year.
Shopify — Shopify advanced 6%, even as the e-commerce platform posted disappointing earnings and gave weak growth guidance. He said inflation and rising interest rates will hurt consumer spendingHe repeated what he said when he announced the layoffs on Tuesday.
PayPal — PayPal shares rose 11% on the back of a Wall Street Journal report that activist investor Elliott Management had bought a stake in the company.
Teva Pharmaceutical — Shares of an Israel-based pharmaceutical company jumped almost 25% after reaching a tentative agreement to pay more than $4 billion for its alleged role in the opioid crisis.
Spotify — Shares rose 14% after the music streaming service reported a 14% increase in premium subscribers in its latest earnings report. Spotify reported a worse-than-expected quarterly loss but beat analysts’ revenue estimates.
Garmin – Shares of the electronics company fell more than 7% after second-quarter sales fell to $1.24 billion. Analysts polled by Refinitiv had expected $1.34 billion. The company cited a strong dollar and supply chain issues as reasons for the weakness. Garmin’s adjusted earnings per share were $1.44, or 4 cents better than estimates.
Hilton – The hotel stock rose nearly 5% after beating estimates on the top and bottom lines for the second quarter. Hilton reported adjusted earnings of $1.29 per share on revenue of $2.24 billion. Analysts polled by Refinitiv had expected earnings of $1.04 per share on revenue of $2.08 billion. Hilton said its revenue per room was ahead 54% compared to the same quarter last year. The hotel chain also raised its full-year profit figures.
– CNBC’s Tanaya Macheel, Jesse Pound, Sarah Min, Carmen Reinicke and Yun Li reported.