Oil Prices Edge Higher On Supply Woes

Sage Group Annual Earnings Slip, But Sales Rise

Sage Group Plc (SGE.L), a British software company, on Wednesday reported a decline in earnings for the fiscal 2022, amidst an increase in selling and administrative expenses and other costs. However, the firm reported an increase in sales.

For the 12-month period to September 30, the UK-based company posted pre-tax earnings of 337 million pounds, compared with 347 million pounds, a year ago.

Post-tax profit was at 260 million pounds or 25.17 pence per share as against last year’s 285 million pounds or 26.08 pence per share.

Operating income was at 367 million pounds, lesser than the 373 million pounds reported for the previous fiscal. The decline in earnings was mainly due to the change in recurring and non-recurring items, including higher net gains in the prior year from disposals.

Selling and administrative expenses climbed to 1.442 billion pounds from previous year’s 1.342 billion pounds. Finance costs also rose to 31 million pounds, versus 27 million pounds of 2021.

Cost of sales also moved up to 138 million pounds, compared with 131 million pounds of previous year.

The company generated annual revenue of 1.947 billion pounds, higher than 1.846 billion pounds, posted a year ago.

For the full year ended on September 30, the Group is proposing a final dividend of 12.10 pence per share. If approved, it will be paid on February 10, 2023, to shareholders of record on January 13, 2023.

Lowe’s Cos. Q3 Profit Decreases, but beats estimates

Lowe’s Cos. (LOW) reported a profit for third quarter that decreased from the same period last year but beat the Street estimates.

The company’s bottom line came in at $154 million, or $0.25 per share. This compares with $1.90 billion, or $2.73 per share, in last year’s third quarter.

Excluding items, Lowe’s Cos. reported adjusted earnings of $3.27 per share for the period.

Analysts on average had expected the company to earn $3.10 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter rose 2.4% to $23.48 billion from $22.92 billion last year.

Lowe’s Cos. earnings at a glance (GAAP) :

-Earnings (Q3): $154 Mln. vs. $1.90 Bln. last year.
-EPS (Q3): $0.25 vs. $2.73 last year.
-Analyst Estimates: $3.10
-Revenue (Q3): $23.48 Bln vs. $22.92 Bln last year.

Full year EPS guidance: $13.65 – $13.80
Full year revenue guidance: $97 – $98 Bln

Pre-market Movers: MACK, IXHL, UPST, CARG, ELBM…

The following are some of the stocks making big moves in Wednesday’s pre-market trading (as of 06.45 A.M. ET).

In the Green

Merrimack Pharmaceuticals, Inc. (MACK) is up over 150% at $10.02
Incannex Healthcare Limited (IXHL) is up over 30% at $5.00
Array Technologies, Inc. (ARRY) is up over 18% at $20.17
MicroCloud Hologram Inc. (HOLO) is up over 15% at $2.30
Kala Pharmaceuticals, Inc. (KALA) is up over 14% at $5.96
Sprouts Farmers Market, Inc. (SFM) is up over 11% at $32.00
Quotient Technology Inc. (QUOT) is up over 8% at $2.86
Invitae Corporation (NVTA) is up over 8% at $2.54
Korea Electric Power Corporation (KEP) is up over 7% at $6.72
Turkcell Iletisim Hizmetleri A.S. (TKC) is up over 6% at $4.18

In the Red

Upstart Holdings, Inc. (UPST) is down over 25% at $14.14
CarGurus, Inc. (CARG) is down over 20% at $10.89
Electra Battery Materials Corporation (ELBM) is down over 20% at $2.45
Affirm Holdings, Inc. (AFRM) is down over 15% at $13.22
Velo3D, Inc. (VLD) is down over 10% at $3.03
Banco Bradesco S.A. (BBD) is down over 9% at $3.25
The Walt Disney Company (DIS) is down over 7% at $92.22
Silvergate Capital Corporation (SI) is down over 7% at $36.30
Satixfy Communications Ltd. (SATX) is down over 7% at $8.88
MicroStrategy Incorporated (MSTR) is down over 6% at $198.50
Tidewater Inc. (TDW) is down over 6% at $31.22
Ra Medical Systems, Inc. (RMED) is down over 6% at $2.90
XPeng Inc. (XPEV) is down over 5% at $7.41

Gold Inches Higher As Dollar And Yields Fall

Gold prices rose on Wednesday, as the dollar rally fizzled out and Treasury yields dropped after the release of weak producer prices figures for October.

Spot gold edged up 0.3 percent to $1,784.17 per ounce, while U.S. gold futures traded 0.6 percent higher at $1,787.50.

The U.S. dollar traded just above multi-month lows against most majors after U.S. President Joe Biden said it was “unlikely” that the blast in Poland may have been caused by a missile fired from Russian territory.

Separate reports suggested that Ukrainian air defense may have fired the missile that killed 2 in Poland.

Gold is also benefiting from optimism the U.S. has witnessed peak inflation and that the Federal Reserve would slow the pace of interest-rate increases.

Data showed on Tuesday the U.S. producer price index rose 0.2 percent in October, below the 0.4 percent estimate. On an annual basis, prices rose 8 percent compared to an 8.4 percent increase in September.

Trading later in the day may be impacted by reaction to a speech from ECB’s Lagarde and the release of U.S. reports on retail sales and industrial production.

Oil Prices Edge Higher On Supply Woes

Oil prices edged higher on Wednesday as investors took stock of rising geopolitical risks and the prospect of more supply disruptions.

Benchmark Brent crude futures rose 0.6 percent to $94.42 a barrel, while WTI crude futures were up 0.4 percent at $87.22.

Oil prices settled higher on Tuesday after news that oil supply to Hungary via the Druzhba oil pipeline has been temporarily suspended due to a fall in pressure.

Rising geopolitical tensions supported prices in European trade today, as ambassadors from the 30 NATO nations gathered in Brussels to hold emergency talks following a missile blast in Poland that killed two people.

While the Polish government blamed a Russian-made missile for the incident, U.S. President Joe Biden said it was “unlikely” that the missile was fired from Russia.

Biden and his allies promised support for the investigation into the incident that raised concerns about escalation in the Ukraine war.

Traders were also reacting to reports of an attack on an oil tanker off the coast of Oman on Tuesday night.

An oil tanker linked to an Israeli billionaire was attacked by a drone off the cost of Oman, the Associated Press reported, citing a Mideast-based defence official.