Biggest stock movers today: RTX, F, CMG, and more

Stock futures edged higher on Thursday, a day after a sharp tech selloff dragged the market down following disappointing earnings from leading tech companies.

Here are some of Thursday’s biggest stock movers:

Biggest stock gainers

• Unilever (NYSE:UL) gained 6% after reporting underlying sales growth of 4.1% for 1H2024, with volumes up 2.6% and an underlying operating margin increase of 250 basis points to 19.6%. The gross margin rose by 420 basis points. Unilever anticipates an underlying operating margin of at least 18% for the full year but cautions about slower growth in the second half. The company also reaffirmed its guidance of 3% to 5% organic sales growth for the year.
• ServiceNow (NYSE:NOW) shares climbed 6% after reporting better than expected Q2 results and raising its FY2024 revenue outlook by $33M to a range of $10.575B to $10.585B, reflecting a 22% Y/Y increase. The company also increased its operating margin outlook to 29.5%, up from the previous estimate of 29%.
• Viking Therapeutics (NASDAQ:VKTX) shares skyrocketed 27% after announcing plans to fast-track its obesity drug, VK2735, into late-stage trials. The company’s decision to skip a Phase 2b study and move directly to Phase 3 based on positive feedback from the FDA sent shockwaves through the market. The news comes as a blow to competitors Eli Lilly and Novo Nordisk, whose shares fell on the news, as Viking’s accelerated development timeline could potentially challenge their dominance in the obesity treatment market.
• RTX (NYSE:RTX) shares surged as much as 8.5% to hit a record high after topping Q2 expectations and lifting FY2024 earnings outlook. The aerospace and defense company also reported strong segment operating profits in the quarter. The company expects FY2024 adjusted sales in the range of $78.75B to $79.5B, up from previous guidance for $78B to $79B and the consensus of $78.88B. Adjusted EPS is now projected to reach $5.35 to $5.45 a share, up from a prior forecast of $5.25 to $5.40 a share and the consensus of $5.37.

Biggest stock losers

• Ford Motor (NYSE:F) shares plunged more than 17% after missing Q2 earnings expectations impacted by increased warranty costs and losses from its electric vehicle division, Ford Model E. The EV segment’s revenue declined 37%, resulting in a $1.14B loss despite $400M in cost cuts. CEO Jim Farley reiterated the Ford+ restructuring plan to improve profitability. The company maintained its full-year adjusted EBIT guidance of $10B to $12B but raised its adjusted free cash flow outlook to $7.5B to $8.5B.
• Chipotle Mexican Grill (NYSE:CMG) shares reversed course and plunged 3% after initially surging on strong quarterly results. The initial optimism faded after management warned about near-term margin pressure during an earnings conference call. The company reported an 18.3% increase in total revenue, driven by an 8.7% rise in same-store transactions and a 2.4% increase in same-store average check. This resulted in a total comparable sales growth of 11.1%, higher than the consensus estimate of 7.0%. Restaurant-level margins improved by 140 basis points Y/Y, reaching 28.9%.
• STMicroelectronics’ (NYSE:STM) stock plummeted 12% as the chipmaker cut its full-year revenue and margin outlook for the second time this year after reporting mixed Q2 results, with revenue down 25% and earnings down 64% Y/Y. The Switzerland-based company expects 2024 revenue between $13.2B and $13.7B, down from a previous forecast of $14B to $15B and the consensus of $14.39B. Additionally, it expects Q3 net revenues to be $3.25B, an increase of 0.6% sequentially, plus or minus 350 basis points, but short of consensus of $3.55B.