RealPeopleGroup/iStock via Getty Images
Stock futures were slightly higher in premarket trading on Friday as market participants eagerly awaited Federal Reserve Chairman Jerome Powell’s speech in Jackson Hole, looking for clues on potential interest rate cuts to come.
Here are some of the most moving stocks on Friday:
Largest stock Winners
- CAVA Group (NYSE: Cava) stocks Up more than 9% CAVA shares hit an all-time high of $111.33 in premarket trading Friday after the company’s strong second-quarter results. Revenue rose 35.2% year-over-year, driven by the addition of 78 new CAVA restaurants and a 14.4% increase in same-restaurant sales, which included a 9.5% increase in customer traffic. The company’s comparable sales growth was also boosted by a 4.9% increase in menu prices and product mix. CAVA’s restaurant-level gross margin improved 40 basis points to 26.5% of sales, driven by higher sales leverage, though partially offset by wage investments and costs related to the launch of its Grilled Steak on June 3. Digital retail sales accounted for 35.8% of total revenue in the quarter that ended July 14. Adjusted EBITDA was up 15% year-over-year, and for fiscal 2024, the company now expects restaurant sales growth of 8.5% to 9.5%, beating the consensus estimate of 6.1%. CAVA also raised its adjusted EBITDA guidance to a range of $109 million to $114 million, up from the previous forecast of $100 million to $105 million, with 54 to 57 net new restaurant openings expected.
- Ross stores (NASDAQ:ROST) stocks Up 6% After reporting strong second-quarter results. The company’s value-oriented offerings resonated with consumers, resulting in a 7.3% increase in sales and a 20% rise in profits. CEO Barbara Rentler attributed the success to the company’s ability to provide high-quality products at competitive prices, especially in a challenging economic environment. The company also raised its FY24 earnings guidance for the second time, now expecting $6.00 to $6.13 per share, up from the initial range of $5.79 to $5.98 and above estimates of $6.01, signaling optimism about its continued growth and market share gains.
- Working dayNASDAQ:WDAY) stocks Jumped 11% After releasing second-quarter results that beat expectations. The company forecast third-quarter subscription revenue of $1.955 billion, up 16% year-over-year, and reiterated its fiscal 2025 subscription revenue outlook from $7.7 billion to $7.73 billion. Additionally, Workday raised its adjusted operating margin guidance to 25.25%, up from 25%. CFO Zen Roe emphasized the company’s focus on balancing targeted investments with operational efficiencies, maintaining its full-year 2025 subscription revenue outlook, while slightly increasing its non-GAAP operating margin outlook for fiscal 2025. Workday also announced a partnership with Equifax to simplify the employment and income verification process.
Biggest losers in stocks
- Red Robin Gourmet BurgerNASDAQ:RRGB) stocks Down 17% After reporting a larger-than-expected loss in the second quarter, the company lowered its guidance for fiscal 24, reporting a 0.8% decline in comparable restaurant sales. The loss widened to $0.47 per share, below estimates, as guest traffic fell 6.7% despite a 7.6% increase in menu prices. The company also lowered its revenue forecast to $1.25 billion from $1.275 billion, reduced its restaurant-level operating profit margin to 11.0% to 11.5% from initial guidance of 12.5% to 13.5%, and revised its full-year EBITDA forecast to $40 million to $45 million from $60 million to $70 million initially. The capex range was narrowed to $25 million to $30 million from $25 million to $35 million previously.