U.S. stock futures were lower this morning, with the Dow futures trading lower by around 70 points on Wednesday.
Shares of Palo Alto Networks, Inc. (PANW) fell sharply in today’s pre-market trading after the company issued third-quarter guidance below estimates. Palo Alto’s fiscal second-quarter revenue increased 19% year-over-year to $1.98 billion, which beat the consensus estimate of $1.97 billion. The company reported quarterly earnings of $1.46 per share, which beat analyst estimates of $1.30 per share.
However, Palo Alto sees fiscal third-quarter revenue of $1.95 billion to $1.98 billion versus estimates of $2.04 billion. The company expects third-quarter adjusted earnings to be between $1.24 and $1.26 per share versus estimates of $1.29 per share. As a result, Palo Alto Networks shares tumbled 22.1% to $285.06 in pre-market trading.
Several other big stocks also recorded losses in today’s pre-market trading session. Teladoc Health, Inc. (TDOC) shares dipped 20.8%, Community Health Systems, Inc. (CYH) fell 18.3%, SolarEdge Technologies, Inc. (SEDG) shares fell 16%, Matterport, Inc. (MTTR) shares declined 12.6%, Calliditas Therapeutics AB (CALT) fell 9.3%, CrowdStrike Holdings, Inc. (CRWD) shares fell 9.2%, Sprout Social, Inc. (SPT) fell 9.2%, Zscaler, Inc. (ZS) fell 9.2%, HSBC Holdings plc (HSBC) fell 7.6%, Medifast, Inc. (MED) fell 7.3%, and Keysight Technologies, Inc. (KEYS) declined 6.8% in pre-market trading.
Overall, it was a challenging pre-market session for many companies, with several big names experiencing significant declines. Investors will be closely watching how these companies perform throughout the day and how the market reacts to these developments.
