Morgan Stanley downgrades Snap
Its gone from bad to worse for Snap (SNAP). The social media company was hit with another downgrade. This time, Morgan Stanley lowered its rating on the stock to Underweight from Equalweight and cut its price target to $11 a share from $14. UBS, JPMorgan, RBC Capital Markets and Stifel cut their ratings on Snap Wednesday following the company’s disappointing quarterly results. In a note to clients, Morgan Stanley analyst Brian Nowak cited monetization challenges one of the reasons for the downgrade. Snap shares were last trading down 3.5% at 12.46 a share.
Macy’s reports mixed third-quarter results
Macy’s (M) posted a better-than-expected third quarter profit ahead of the bell today, reporting earnings of 23 cents a share versus analysts’ estimates of 19 cents and reaffirmed its sales and earnings guidance for full-year 2017. But it wasn’t all good news. Macy’s revenue of $5.28 billion fell short of Wall Street’s forecasts, and same-store sales declined 3.6%. Macy’s outlook helped reassure skeptical investors. In the earnings statement, CEO Jeff Gennette said, “We expect continued improvement in our trends in the fourth quarter, including a solid lift from loyalty and digital, and intend to head into 2018 with momentum.” Macy’s shares were last trading up 8.7% at $19.10 a share.
Disney earnings: what to expect
Disney (DIS) is scheduled to report earnings after the bell today, and analysts expect the company to report earnings per share of $1.15 on revenue of $13.34 billion. Wall Street’s paying close attention to today’s report and earnings call amid reports of deal talks with 21st Century Fox, and they’ll also want to hear from executives about how it’s planning to boost its television business. Disney’s stock has struggled to get a boost this year. Shares are down about 1% since January 1.