Top 10 things to watch Tuesday, May 6
— Jeff Marks wrote today’s Top 10
1. Wall Street is on pace for a lower open this morning. The S&P 500 broke its nine-session win streak yesterday. The market, however, is still dealing with severe overbought conditions, according to the S&P Short Range Oscillator, our trusted momentum indicator.
2. Palantir reported better than expected revenues – up 39% year over year – and in line earnings per share. U.S. government revenue was up 45% year over year. The company raised its full-year revenue outlook to 36% year-over-year growth. Wedbush’s Dan Ives raised his price target to $140. The stock fell 8% to around $114 early this morning.
3. Ford Motor reported a better-than-expected first quarter. The automaker would be tracking toward its initial guidance, but it pulled its outlook due to tariff uncertainty. Ford expects a net EBIT impact of $1.5 billion from tariffs. The stock dropped 2%.
4. Club name Coterra Energy delivered better-than-expected free cash flow in the first quarter. The company is reallocating capital and leaning into natural gas over oil to address changing macro conditions. It’s reducing capital expenditure and activity in the Permian and slightly increasing capital investment in the Marcellus. The stock dropped 4%.
5. Club stock Dover dipped into its large cash pile, announcing it will buy German-based Sikora for 550 million euros — about $624 million — in cash. Sikora is a leading provider of measuring and control technologies. The business has grown at a double-digit organic growth rate over the last three years, thanks in part to strong growth in data center.
6. ServiceNow’s Bill McDermott and Club name Nvidia CEO Jensen Huang will speak later today at ServiceNow’s annual Knowledge conference. Artificial intelligence figures to be the main theme. McDermott and Huang will be interviewed on CNBC during “Power Lunch” at 2:30 p.m. ET.
7. Clorox reported a double miss and lowered the high end of its full-year sales outlook. The company now sees 4% to 5% growth this year, down from 4% to 7%. The stock fell nearly 3%.
8. DoorDash missed on revenue, but it announced two separate agreements to buy London-based Deliveroo and technology company SevenRooms. The stock dropped 5%.
9. Marriott lowered its worldwide revenue per available room outlook due to softer expectations in the U.S. and Canada.
10. Sweetgreen was downgraded to neutral from buy at JPMorgan, with analysts seeing a continued softening in underlying demand trends.
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