Dow Jones Today: Stock Futures Tick Up as Chip Stocks Rebound
Homebuilder D.R. Horton’s Stock Gains on Earnings Beat, Raised Revenue Guidance
14 minutes ago
D.R. Horton (DHI) shares climbed Thursday after reporting second-quarter results that surpassed expectations, as the company kicks off a stretch of homebuilder earnings over the next few weeks.
The homebuilder posted net income of $1.17 billion, for a diluted earnings per share (EPS) of $3.52, on total revenue of $9.11 billion, all above estimates compiled by Visible Alpha.
The market for D.R. Horton’s services picked up in the quarter compared to the same period last year, with homebuilding revenue up 13% to $8.5 billion from $7.5 billion, and a 15% increase in homes closed, with 22,548 this year compared with 19,664 in the year-ago period.
“We are well-positioned with our affordable product offerings and flexible lot supply,” D.R. Horton’s board chair Donald Horton said in a statement.
Horton said that while interest and mortgage rates remain high, the company’s net sales orders increased 46% from the first quarter, and 14% from last year’s second quarter, leading D.R. Horton to raise its full-year guidance for homes closed and revenue.
D.R. Horton shares were 3% higher Thursday morning at $150.05. With Thursday’s gains, shares were down just 1% from the start of 2024.
Stocks Making the Biggest Moves Premarket
1 hr 27 min ago
Gains:
- Alaska Air Group (ALK): Shares rose more than 3% after the airline reported revenue ahead of analyst estimates, helping it to deliver a narrower-than-expected loss in the first quarter.
- D.R. Horton (DHI): Shares of the homebuilder rose more than 3% after reporting better-than-expected revenue and earnings.
- Micron (MU): Shares of the chipmaker rose nearly 2% amid reports it would receive more than $6 billion in federal grants to build factories in New York and Idaho.
Losses:
- Infosys (INFY): Shares of the tech consultancy and outsourcing company tumbled more than 7% after reporting disappointing first-quarter revenue and announcing it would acquire in-tech, a German engineering research firm.
- Tesla (TSLA): Shares of the electric vehicle maker fell more than 2% after Deutsche Bank downgraded the stock to hold due to the delay of a new, more affordable model.
- Taiwan Semiconductor Manufacturing Co. (TSM): Shares of the chipmaking giant slipped nearly 2% despite its quarterly results topping Wall Street’s estimates on the top and bottom lines.
U.S. Stock Futures Tick Up as Chip Stocks Rebound
1 hr 57 min ago
Futures contracts connected to the Dow Jones Industrial Average were up 0.2% in premarket trading on Thursday.
S&P 500 futures were also 0.2% higher.
Nasdaq 100 futures also traded 0.2% higher a little under an hour before markets opened.