Wednesday's trending stocks include companies who could bring food to your door or sell you some of the hottest designer brands. Conversation was dominated by those reporting earnings, but just to spice things up let’s kick things off with some acquisition news.
DoorDash is trending today after it agreed to snap up Finnish delivery app Wolt. In reaction to the deal, the US-based company’s shares climbed by 18.28% in pre-market trading.
The $7bn acquisition will broaden DoorDash’s international footprint. Wolt operates in 23 countries and has a workforce of approximately 4,000 employees. The company will be hoping that its new access to these markets will help it to compete with the likes of Uber Eats (NYSE:UBER), Delivery Hero ( OTC:DLVHF), and Deliveroo (LON:ROO).
The company’s freshly announced quarterly earnings were also adding to the buzz. The third quarter saw DoorDash record a wider than expected loss per share of 30 cents, though revenue beat projections to come in at $1.3bn.
Across the year-to-date, DoorDash’s share price has increased by 34.5% to $192.01. It has recovered from a low of $112.05, which it dropped to on 12 May.
Katapult Holdings (NASDAQ:KPLT)
This firm’s shares leapt by 38.55% on Tuesday after its third quarter results offered investors renewed faith in the company, which provides a platform for digital and mobile-first commerce.
Though it swung to a loss per share of $0.04, this still beat analysts’ expectations of $0.08. quarterly sales also came out on top at $71.7m, ahead of the $71.2m recorded in the same period last year.
Katapult’s share price has dropped by 55.60% since the start of 2021, with yesterday’s resurgence doing little to mitigate this dive. However, the upbeat earnings and a flurry of investor confidence in the stock could be great news for its future.
Poshmark shares plunged by over 25% in pre-market trading after the fashion and home décor company reported disappointing results.
Meanwhile, the company’s third quarter revenue also fell short of expectations, missing out by $3.0m as it came in at $79.7m for the period. Additionally, higher spending on marketing pushed Poshmark into reporting a larger loss per share than analysts had expected.
Poshmark said this meant it would also take a hit in the fourth quarter, leading it to lower revenue estimates. It now expects revenue to come in between $80m and $82m, compared with analysts' estimates of $85.2m.
Finally, FuboTV was also in a spot of bother despite reporting better than expected earnings. The streaming service saw its share price slide by 8.24% in pre-market trading.
This downward movement came after FuboTV reported that it had almost doubled analysts expectations for new subscribers. The service added 262,884 new subscribers in the three months ended 30 September, way ahead of projections of 137,000 new members.
Additionally, revenue topped expectations as it came in at $156.7m, ahead of the projected $143.5m.
However, it appears that it was FuboTV’s loss which has led to the slide in share price. Booming revenues and subscriber numbers were not enough to stop the outfit’s loss per share from coming in at 74 cents per share, falling short of analyst expectations of a 61 cents per share loss.