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Why Smith & Wesson (SWBI) Shares Are Plunging Today
Shares of american firearms manufacturer Smith & Wesson (NASDAQ:SWBI) fell 13.1% in the morning session after the company reported weak third-quarter results as revenue missed expectations, declining nearly 16% year on year, while earnings came in roughly in line. Operating margins also deteriorated, reflecting weaker sales and cost pressures. Additionally, the company burned cash during the quarter, with free cash flow turning negative.
Why Potbelly (PBPB) Shares Are Getting Obliterated Today
Shares of casual sandwich chain Potbelly (NASDAQ:PBPB) fell 15.9% in the morning session after the company reported weak fourth-quarter results, with its Q1 2025 same-store sales guidance falling short of expectations, raising concerns about slowing demand. On the bright side, earnings per share blew past expectations, and EBITDA easily topped Wall Street's estimates. Management remained optimistic about long-term growth, projecting full-year same-store sales growth of 1.5% to 2.5% and planning at least 38 new store openings. Overall, this was a mixed quarter, and the weaker-than-expected areas appear to be driving the market's reaction.
Why Is Gap (GAP) Stock Rocketing Higher Today
Shares of clothing and accessories retailer Gap (NYSE:GAP) jumped 18.9% in the pre-market session after the company reported impressive fourth quarter results that beat analysts' revenue and EPS expectations. What drove shares up was the full-year guidance for operating profit growth. The company called for 8-10% growth, which was well above expectations. While store closures continued as part of its optimization strategy, growth in online sales and improved operating efficiency should help sustain profitability. Overall, this was a strong quarter, with the company positioning itself for solid earnings growth.