Stock futures showed a slight increase on Monday as investors prepared for a week packed with important events in the financial world. The Federal Reserve and the European Central Bank are set to make interest-rate decisions, while more than 150 companies in the S&P 500, including tech giants Microsoft, Alphabet, Meta Platforms, and Amazon.com, are expected to report their earnings.
AMC Entertainment Hopes for Plan Approval
AMC Entertainment saw its shares soar by 56% in premarket trading after the company filed a revised stock conversion proposal. This comes after a judge had blocked AMC’s previous plan to convert its APE shares into common stock. CEO Adam Aron expressed optimism about the plan’s approval, stating that the company hopes to implement it “as soon as possible.” The APE shares, however, experienced a 6.1% decrease.
Chevron Exceeds Analyst Expectations
Chevron pleasantly surprised analysts with its second-quarter performance update released on Sunday. The company reported an adjusted profit of $3.08 per share, surpassing the consensus estimate of $2.97. In comparison, Chevron had reported adjusted earnings of $5.82 per share in the same period last year. CEO Mike Wirth’s mandatory retirement age of 65 was waived, allowing him to continue leading the major oil company. Chevron’s stock displayed a 0.2% increase in premarket trading.
Tesla Downgraded but Price Target Increased
Shares of Tesla took a hit with a 1.7% decrease to $255.74 after being downgraded from Buy to Neutral by UBS. However, UBS also raised the price target for the stock from $220 to $270. The analysts at UBS mentioned limited upside risk to consensus earnings for the upcoming year due to new product volumes not materializing until the second half of 2024, along with a potential dilutive impact on margins.
Key Earnings Reports Awaited
Today, Domino’s Pizza is scheduled to release its second-quarter report before the opening bell. Later, after the markets close, reports are expected from NXP Semiconductors, Logitech International, F5, Cleveland-Cliffs, and Whirlpool. Additionally, tech giants Microsoft, Alphabet, Meta Platforms, and Amazon.com are expected to report their earnings later in the week.
In summary, investors are eagerly awaiting the outcomes of the upcoming interest-rate decisions, as well as the release of earnings reports from various influential companies.