GE HealthCare Stock Tumbles After Earnings Miss
14 minutes ago
GE HealthCare (GEHC) shares tumbled in early trading Tuesday after the medical device manufacturer reported weaker-than-expected results for the first quarter as sales in its Imaging, Ultrasound, and Patient Care Solutions segments fell.
GE HealthCare posted first-quarter revenue of $4.65 billion, down from the $4.71 billion it reported a year earlier, and below the $4.81 billion analysts expected, according to estimates compiled by Visible Alpha.
GE HealthCare’s net income rose slightly to $374 million or 81 cents per share, up from $372 million or 41 cents per share in the year-ago period, but that also came short of analyst estimates of $391.52 million or 88 cents per share.
Despite lackluster first-quarter results, the company affirmed its full-year guidance, projecting revenue growth of about 4% and adjusted earnings per share (EPS) of between $4.20 and $4.35, compared to the $3.93 the company reported in 2023.
GE HealthCare shares were 10.7% lower at $79.42 Tuesday morning, bringing the stock’s year-to-date return to about 2%.
-Aaron McDade
Eli Lilly Stock Surges as Weight-Loss Drugs Continue to Fuel Growth
59 minutes ago
Eli Lilly (LLY) stock jumped in early trading Tuesday after the drugmaker reported first-quarter earnings that beat analysts’ expectations and raised its guidance thanks to continued high demand for the company’s weight-loss drugs.
Shares were up 7.6% at $793.54 early in the session, putting it on course to possibly surpass its all-time closing high of $792.28 set in early March. The stock has nearly doubled over the past year.
Eli Lilly said revenue for the first quarter rose 26% from the year-earlier period to $8.77 billion, which was almost exactly in line with analysts’ estimates compiled by Visible Alpha. The increase was primarily driven by the company’s weight-loss drugs, Mounjaro and Zepbound, the company said.
The company was more profitable than analysts expected, reporting a net income of $2.24 billion for an earnings per share (EPS) of $2.48, compared to the $2.11 billion and $2.34 per share analysts expected.
Full-year guidance also received a bump, with Eli Lilly shifting its revenue projections up $2 billion to a range of $42.4 billion to $43.6 billion and EPS projections to a range of $13.05 to $13.55, compared to the $11.80 to $12.30 range the company projected in its fourth-quarter report earlier this year.
-Aaron McDade
Stocks Making the Biggest Moves Premarket
1 hr 46 min ago
Gains:
- Eli Lilly (LLY): Shares of the pharmaceutical giant jumped more than 5% after reporting better-than-expected earnings on strong demand for its GLP-1 agonists Mounjaro and Zepbound.
- PayPal (PYPL): Shares of the fintech climbed more than 5% after raising its full-year profit guidance as consumer spending remained strong and cost-cutting measures widened margins.
- 3M (MMM): Shares of the industrial conglomerate rose 5% after topping Wall Street’s estimates on the top and bottom lines in the first quarter. CEO Mike Roman also said the company was “resetting” its dividend after its spin-off earlier this year of its healthcare business, Solventum (SOLV).
Losses:
- GE Healthcare (GEHC): The medical device maker’s shares slumped more than 8% after its first-quarter sales fell short of estimates amid weakness in its Chinese sales.
- Stellantis (STLA): The Jeep maker’s shares fell 8% after it reported a 12% decline in sales in the first quarter, which it attributed to a lull before the roll-out of several new models this year.
- McDonald’s (MCD): Shares of the fast-food giant slid more than 3% after it missed earnings estimates for the first quarter as consumers pulled back on discretionary spending.
Futures Slip as Consumer Giants’ Earnings Roll In
2 hrs 40 mins ago
Futures contracts connected to the Dow Jones Industrial Average were down less than 0.1% in premarket trading.
S&P 500 futures were also off less than 0.1%.
Nasdaq 100 futures traded slightly more than 0.1% lower about an hour before the opening bell.
