New York, NY – Stocks opened in the red on Wednesday, with the S&P 500 Index showing a decline. DoubleVerify Holdings, a digital advertising measurement company, saw a significant drop of 38% in premarket trading after revising its revenue and adjusted EBITDA forecasts for the second quarter and full year. This adjustment was due to uneven spending patterns among select large advertisers.
The market also saw Lyft shares rising by 5% following first-quarter results showing faster-than-expected growth. In contrast, Uber Technologies experienced a 7% decline after reporting mixed results for the same quarter.
Meanwhile, Intel shares decreased by 2.6% after the chipmaker updated its second-quarter outlook in response to a U.S. Commerce Department notice revoking certain licenses for exports to a customer in China. This is the second time in less than two weeks that Intel has lowered its quarterly guidance.
In the European markets, the Stoxx 600 index was up by 0.3%, with various country indices showing slight increases or decreases in early trading on Wednesday.
United Overseas Bank in Singapore posted a 2% decrease in first-quarter net profit compared to the same period last year. However, the bank highlighted a 5% growth in net fee income, driven by various factors such as loan-related fees and wealth management.
Nintendo shares slid by almost 4% after announcing its fourth-quarter results and plans for a new Switch console. The company forecasted a 39% year-on-year fall in net profit for the fiscal year ending March 2025.
In market analysis, BTIG Research mentioned that pessimistic investors have one key level left before bulls take control of the stock market, with the S&P 500 above its downtrend and 50-day moving average.
Dutch Bros shares surged on strong first-quarter results, with a 10% increase in same-store sales. The company also raised its full-year guidance and announced a partnership with Olo for mobile ordering.
In after-hours trading, Reddit stock rose by more than 12% following better-than-expected quarterly earnings, while Lyft shares advanced by 6% after surpassing analysts’ estimates for first-quarter sales and earnings. Sonos, however, saw a more than 3% decline after reporting a wider loss than expected.
Overall, stock futures tied to the Dow, S&P 500, and Nasdaq 100 remained relatively flat shortly after 6 p.m. ET, indicating minimal changes in the market.