4 hours ago
Wynn Macau shares fall in Hong Kong trading
Hong Kong-listed shares of casino operator Wynn Macau fell 9.33% to their lowest level in almost a year.
The company reported a narrower quarterly net loss of $6.2 million compared to last year’s quarterly loss of $242.0 million.
The results come as Wynn Macau’s controlling shareholder, Wynn Resorts, faces a strike in Las Vegas unless an agreement is reached with workers before the union’s 5 a.m. PT deadline on Friday. The Associated Press reported that the casino operator will have to lay off 5,000 workers if the deadline is not met.
Hospitality workers have already struck deals with rival casino giants Caesars and MGM Resorts.
Wynn Resorts also reported third-quarter earnings overnight. During the earnings call, Chief Financial Officer Julie Cameron-Doe cited $10 million in one-time charges, including “provisions for anticipated increases related to a new union contract.”
Shares of other casinos operating in both Macau and Las Vegas were also lower in Hong Kong trading. MGM China fell 1.73% and Sands China lost 3.29%, while the broader Hang Seng index fell 1.62%.
—Shreyashi Sanyal
6 hours ago
CNBC Pro: Eli Lilly and more: Strategist names 5 stocks that promise ‘significant’ earnings growth
Rising interest rates and the possibility of an impending recession have created a “mixed picture” for stock markets, according to a strategist – but several companies can look forward to significantly stronger earnings growth next year.
“If you look at what companies are saying about next year, they’re not really being overly cautious or overly optimistic… So you get the sense that earnings are going to be robust into next year, meaning they’re going to be stable year-over-year. “ [growth]” Rahul Ghosh, portfolio specialist in the equity division at T. Rowe Price, told Street Signs Asia on Thursday.
“But if you’re looking for significant earnings growth, I think that’s probably less likely at the market level. You really need to look at individual companies and sectors.”
Ghosh is positive on three sectors – and named some of his favorite stocks.
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—Amala Balakrishner
2 hours ago
China’s largest chipmaker SMIC reports an 80% drop in third-quarter profits, stocks slide
China’s largest chipmaker SMIC reported an 80% drop in third-quarter profit on Thursday as weak global demand hit foundries hard.
Hong Kong-listed shares of SMIC fell 5.98% by midday trading.
Net profit for the quarter slumped 80% year-on-year – more than the 64% decline in the second quarter of 2019, according to company figures.
SMIC, or Semiconductor Manufacturing International Co., posted revenue of $1.62 billion in the third quarter of the year, down 15% year-on-year. Net income was $93.98 million in the period, well below analysts’ expectations of $165.1 million.
Read the whole story here.
— Sheila Chiang, Shreyashi Sanyal
6 hours ago
SoftBank shares plunge as WeWork collapses with quarterly loss of $6.2 billion
Shares of Japan’s SoftBank Group fell 7.39% in early trading, hitting their lowest level since early June.
SoftBank posted another loss of 931.1 billion yen ($6.2 billion) in the second quarter, while the LSEG estimate called for a loss of 114.1 billion yen.
Quarterly net sales were 1.67 trillion Japanese yen, versus expectations of 1.6 trillion yen.
SoftBank’s losses were due to the investments and financial support the company provided to co-working space company WeWork, which filed for Chapter 11 bankruptcy protection in the United States this week.
The company said its Vision Fund posted an investment gain of 21.3 billion yen, its second straight quarter of profits. The decisive factor here was a profit from the sale of shares in the chip manufacturer Arm to a subsidiary of SoftBank.
The Japanese blue chip Nikkei 225 fell 1.09% in the first hour of trading.
7 hours ago
Apple will pay $25 million to settle DOJ discrimination case
Apple has agreed to pay $25 million in back pay and civil penalties to settle Justice Department charges that the company discriminated in its hiring practices under the Immigration and Nationality Act.
The Justice Department said Apple did not advertise jobs it wanted to fill under a federal program called the Permanent Labor Certification Program (PERM), which allows U.S. companies to hire workers who become permanent residents of the U.S. after meeting a series of requirements can.
According to the settlement agreement, Apple disputes the agreement and says it believes it complies with Department of Labor regulations.
Shares of Apple were flat during after-hours trading on Thursday.
— Hakyung Kim, Kif Leswing
8 hours ago
Stocks make the biggest moves after hours
Check out the companies making headlines in extended trading.
Wynn Resorts – Shares fell 5.1% following the casino operator’s third-quarter earnings. Wynn managed to outperform on both sales and profits, but saw a year-over-year decline in sales for its Encore Boston Harbor.
Illumina – Stock fell more than 8%. According to LSEG, the biotechnology company cut its adjusted full-year profit forecast to a range of 60 cents to 70 cents per share, compared with analyst estimates of 80 cents per share. Although adjusted earnings per share beat in the third quarter, sales fell short of analysts’ estimates
Synaptics – Shares of the computer hardware company rose nearly 10% after both earnings and revenue in the fiscal first quarter exceeded Wall Street expectations. Synaptics had adjusted earnings per share of 52 cents on revenue of $238 million. Analysts had estimated profit of 40 cents per share on revenue of $233 million, according to LSEG.
The full list can be found here.
– Hakyung Kim
8 hours ago
Stock futures open little changed on Thursday
US stock futures opened little changed on Thursday evening.
Dow Jones Industrial Average futures rose 20 points, or 0.06%.
Futures tied to the S&P 500 remained unchanged. Meanwhile, Nasdaq 100 futures fell 0.09%.
– Hakyung Kim