Disney beat Q3 earnings estimates on Toy Story 5 and domestic parks strength. Uber fell on a revenue miss; AstraZeneca rose after deal talk was denied.
Shares of Walt Disney Co. (DIS) rose 3% after third-quarter earnings beat estimates on the back of a blockbuster film and stronger theme park results.
The company reported adjusted earnings per share of $2.06, topping the $1.86 analyst consensus. Revenue came in at $25.25 billion, up 7% from a year earlier and just below the $25.39 billion estimate, according to data compiled by Bloomberg.
Disney's Experiences segment, which includes its theme parks and cruise line, posted operating income of $3.02 billion on revenue of $9.97 billion – a 20% increase in operating profit. The company said domestic park strength offset continued softness in international attendance, though those headwinds have begun to moderate.
"Toy Story 5" surpassed $1 billion at the global box office during the quarter, boosting merchandise sales and engagement on the Disney+ streaming platform, the company said.
Disney also announced a new global content partnership with TikTok. The deal gives TikTok creators access to assets from hundreds of Disney films and series. For Disney, the arrangement could drive visibility and engagement with younger audiences, the company said.
Disney's Alpha Score sits at 50/100 with a "Mixed" label in the Communication Services sector, according to AlphaScala data.
Uber slips on revenue miss, soft guidance
Uber Technologies Inc. (UBER) fell 5% after the ride-hailing company posted quarterly revenue that missed Wall Street expectations and issued third-quarter profit guidance that fell short of investor forecasts. Gross bookings, trips, and revenue each grew at double-digit rates, and operating income climbed 30%. The company's Alpha Score is 48/100, also "Mixed," in the Technology sector.
AstraZeneca deal talk denied
AstraZeneca PLC (AZN) rose 4.5% after a Reuters report, citing a senior source close to the matter, said there are no discussions between AstraZeneca and Bristol-Myers Squibb (BMY) about a potential combination. "There is no deal between AstraZeneca and BMS. There never was a deal to be done, and there are no discussions between the companies," the source told Reuters. Bristol-Myers shares fell 2.8% on the report. The Financial Times first reported Sunday that the two drugmakers had held preliminary talks. AstraZeneca carries an Alpha Score of 35/100, labeled "Weak," in the Healthcare sector.
Shopify jumps on revenue beat
Shopify Inc. (SHOP) surged 18% after the e-commerce platform reported second-quarter revenue that topped analyst estimates, driven by continued merchant growth and higher transaction volumes.
Chipotle removes jalapeños after outbreak
Chipotle Mexican Grill Inc. (CMG) rose 3%, recovering some of Tuesday's 9.7% drop. The company said it removed jalapeño peppers from some restaurants as a precaution amid a public health investigation into a salmonella outbreak linked to the supply chain. Minnesota health officials said they were investigating an outbreak that has sickened 110 people in the state, and that many of those interviewed had reported eating at Chipotle restaurants.
ADP data miss
Private-sector employment in the U.S. increased by 44,000 in July, ADP data showed, missing the 75,000 consensus estimate and cooling from 98,000 in June.
Drafted by a large language model from the source reporting linked above, then screened by automated publishing checks. It is not read by a journalist before publication. Some articles cite our Alpha Score. Verify prices and figures against the original source. Educational coverage, not personalized advice.