Under Armour shares sink after slashing outlook
Under Armour (UAA) lowered its full-year revenue and earnings forecast and recorded its first year-over-year sales decline since its IPO, signaling there’s more trouble ahead for the athletic retailer. The company posted adjusted earnings per share of 22 cents on revenue of $1.4 billion in the third quarter, versus Wall Street expectations of 19 cents and sales of $1.5 billion. In a statement, CEO Kevin Plank said, “While our international business continues to deliver against our ambition of building a global brand, operational challenges and lower demand in North America resulted in third quarter revenue that was below our expectations. Based on these issues in our largest market, we believe it is prudent to reduce our sales and earnings outlook for the remainder of 2017.” Under Armour shares were last trading down 16.6% to $13.68 a share, bringing its total losses so far this year to nearly 52%.
Pfizer tops profit expectations and raises full-year earnings forecast
Pfizer (PFE) topped earnings expectations in the third quarter and raised its full-year EPS outlook. The pharmaceutical giant reported adjusted earnings per share of 67 cents on revenue of $13.17 billion, its first year-over-year growth in four quarters. Pfizer shares are up nearly 7% since the start of the year.
Mondelez posts 81% jump in third quarter
Mondelez (MDLZ) is posting gains after reporting earnings and revenue that topped analysts’ expectations, boosted by improved sales in North America and emerging markets. The snack maker’s profit soared 81% during the third quarter while net sales rose 2.1%. In a statement, chairman and CEO Irene Rosenfeld said, “We posted another quarter of strong expansion in operating income margin and earnings. We’re making good progress on many of our key strategic initiatives and remain confident in our ability to deliver long-term, sustainable growth on both the top and bottom lines.” Mondelez shares were last trading up 5.3% at $41.40 a share.
Generic drugmakers under pressure on Fed probe
Mylan (MYL) president Rajiv Malik is the target of an expanded probe by dozens of states into alleged price collusion by makers of generic drugs, according to Bloomberg. In a statement, Connecticut Attorney General George Jepsen said, “Our ongoing investigation continues to uncover additional evidence, and we anticipate bringing more claims involving additional companies and drugs at the appropriate time.” Shares of Impax Laboratories (IPXL), Lannett Company (LCI) and Perrigo (PRGO) are also in the red.