5 Things to Know Before The Stock Market Opens
Nvidia (NVDA) shares extended gains after its AI-fueled rally, Jack Dorsey’s Block (SQ) surged on its bullish guidance, Intuitive Machines (LUNR) soared after its spacecraft landed on the moon, and Warner Bros. Discovery (WBD) ticked higher as its streaming subscriber growth beat estimates. Here’s what investors need to know today.
1. Nvidia Extends Gains After Record Market Cap Boost
Nvidia shares were up 1.5% in pre-market trading after the chipmaker added $272 billion to its market value Thursday in the largest-ever single-day jump in market capitalization on the back of its blowout earnings. U.S. stock futures were little changed after Nvidia’s surge and enthusiasm about AI sent the S&P 500, Nasdaq 100, and global markets like that of Japan’s Nikkei to record highs.
2. Block Gains on Its Strong Results and Outlook
Block shares surged over 15% in early trading after the payments fintech issued a surprise quarterly profit and better-than-expected current quarter and full-year outlook, buoyed by cost cuts and growth in its Cash App business. “We’ve done a lot recently to reduce our costs. Now we’re going to focus on growth,” CEO and Block co-founder Jack Dorsey wrote in the company’s shareholder letter.
3. Warner Bros. Discovery Beats Forecasts on Subscriber Growth
Warner Bros. Discovery shares edged 0.4% higher after the entertainment giant beat estimates for streaming subscriber growth, though its earnings trailed forecasts. The owner of the Max streaming service said subscribers rose to 97.7 million, above projections. Its fourth-quarter earnings lagged estimates however, as its loss per share of 16 cents was wider than anticipated.
4. Intuitive Machines Skyrockets on Moon Landing
Shares of Intuitive Machines soared 48% in early trading on Friday after the commercial space startup’s lander touched down on the moon on Thursday. The landing by the spacecraft, named Odysseus after the mythological Greek hero, marks the first time a U.S.-made lander has made it to the moon’s surface in one piece since 1972, and follows a string of failed missions by other private groups in recent years.
5. Reddit Files for US IPO, Valued at $10 Billion in 2021
Reddit filed for a U.S. initial public offering (IPO) Thursday, in what could be the first major social media company to go public in recent years amid a drought of new listings. Reddit filed its prospectus with the Securities and Exchange Commission for a New York Stock Exchange (NYSE) float and will trade under the symbol “RDDT.” Reddit was reportedly valued at $10 billion in a fundraising in 2021, but some investors have since marked down their valuations.