Early Movers: Nike Gets Kicked 10%, Ford Predicts LOSSES to TRIPLE
Nike Inc. (NYSE:NKE) shares fell almost 10 percent before the opening bell. The company said fourth-quarter net income declined 7.6 percent to $549 million ($1.17 per share), compared to $594 million ($1.23 per share) a year earlier. Nike fell short of the mean analyst estimate of $1.37 per share.
Shares of Ford Motor Co. (NYSE:F) dropped 1 percent in early trading. The automaker announced that its total international losses would triple in the second-quarter, mostly due to the slowdown taking place in Europe. Robert Shanks, chief financial officer, explained that conditions in Europe were “getting tougher.”
Banking stocks such as JPMorgan Chase (NYSE:JPM) and Bank of America (NYSE:BAC) both jumped in pre-market trading. European leaders agreed overnight to use the region’s bailout funds to recapitalize struggling banks directly.
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Research in Motion (NASDAQ:RIMM) shares crashed 13.5 percent this morning. After the closing bell on Thursday, the BlackBerry maker reported horrendous financial results. Revenue plunged 43 percent to $2.81 billion. For the first-quarter, the company posted an adjusted loss of $192 million (37 cents per share), down sharply from a net gain of $695 million ($1.33 per share) a year earlier. It was a miss on the top and bottom line, as analysts had expected a quarterly loss of only 3 cents per share on $3.10 billion in revenue.
TIBCO Software Inc. (NASDAQ:TIBX) shares surged 8 percent in early trading. Net income for the second-quarter came in at $26.6 million (16 cents per share), compared to $21 million (12 cents per share) a year earlier. “We delivered another quarter of continued growth, with total revenue and license revenue up by 20 percent and 17 percent respectively, after adjusting for currency movements,” said Vivek Ranadiv, TIBCO’s chairman and CEO. “A growing list of customers across industries and geographies are harnessing big data and becoming event-driven through the use of our infrastructure software platform – whether for new demand generation, improved loyalty program returns, increased operational efficiencies, or superior risk management. In up markets and down, these remain priority initiatives that continue to create opportunities for TIBCO.”
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