Wednesday was a strong was a strong hump day for U.S. equities, lead by financial stocks, which roared ahead by 2.8% after President Donald Trump’s address to Congress. The S&P 500 Index and the Nasdaq Composite gained 1.4% apiece, while the Dow Jones Industrial Average surged 1.5%.
The biggest news on Thursday is, of course, the Snapchat IPO, but earnings are still coming fast and furiously, including Box Inc (NYSE:BOX) and Shake Shack Inc (NYSE:SHAK). Meanwhile, Kite Pharma Inc (NASDAQ:KITE) is starting to shed some of its recent red-hot gains.
Here’s what you should know heading into Thursday’s trade:
Kite Pharma Inc (KITE)
Box Inc (BOX)
The cloud company posted a loss of $36.9 million, or 28 cents per share, for its fiscal fourth quarter. Wall Street was looking for 13 cents of red ink. Meanwhile, Box revenues came in at $109.9 million, with billings at $159.3 million. Both measures topped FactSet-polled analysts’ estimates for sales of $108.8 million and billings of $153.2 million.
Where Box fell short was fiscal first-quarter estimates. BOX expects to bring in between $114 million and $115 million in revenue, trickling down to a loss of 14 to 15 cents per share. Analysts were looking for a 12-cent loss on $115.1 million of sales.
For the full fiscal year, the company projected a loss of 45 to 49 cents on revenues of $500 million to $504 million. This also disappointed Wall Street, which was looking for a loss of 41 cents on sales of $500.6 million.
BOX shares were off 3% in Thursday’s early morning trade.
Shake Shack Inc (SHAK)
SHAK shares were smacked down after the burger joint’s fourth-quarter earnings.
Shake Shack’s Q4 earnings came to 15 cents per share. Adjusted for one-time items, earnings of 9 cents per share merely came in line with Wall Street expectations. Revenue did beat estimates, with $73.3 million in sales topping the consensus outlook of $70.68 million.
What disappointed investors were “same-Shack sales” of just 1.6% for the quarter, which were just more than half of analysts’ forecasts, and significantly weaker than the year-ago period’s 11% growth in comps.
Cold weather in the northeast — where most of its business lies — caused a difficult holiday period.
For the full fiscal year 2016, the restaurant posted full-year earnings of $12.4 million, or 53 cents per share. In the year-ago period, the company lost $8.8 million, or 53 cents a share. Revenues of $268.5 million were up 43.5% year-over-year.
Again, though, comps are a problem, with 2016 growth of 4.2% significantly slower than 2015’s 13.3% annual same-store sales growth.
SHAK shares were off roughly 5% in Thursday’s trade.