Stocks Move Lower on Mixed Corporate Earnings
NEW YORK (AP) — A mixed bag of corporate earnings pushed stocks lower in early trading Wednesday.
Video-game makers were the biggest losers early on. Take-Two Interactive and Electronic Arts plunged after releasing weak forecasts, citing tougher competition. Several chipmakers, including Skyworks Solutions, rose after reporting solid results.
Snap, which operates the photo-messaging app Snapchat, soared after reporting a giant increase in sales and slashing its quarterly loss in half.
The mixed results continue rolling out, with more than half of companies having already reported earnings. The results are mostly beating forecasts, helping to allay some investors' fears over a slowdown in growth.
Broader economic concerns continue shadowing the market. Investors are still concerned about tariffs cutting into profits and consumers' wallets, along with a general slowdown in growth globally.
KEEPING SCORE: The Dow Jones Industrial Average fell 74 points, or 0.3 percent, to 25,337 as of 10:05 a.m. The S&P 500 index fell 0.4 percent and The Nasdaq composite fell 0.6 percent.
OH, SNAP: The company behind the popular photo-messaging app SnapChat surged 22 percent as more advertising dollars drove revenue growth in the fourth quarter. The revenue increase helped cut the company's losses. It also maintained its user base.
FANCY SHOES: The company behind Michael Kors, Jimmy Choo and now Versace surged after reporting earnings that were far larger than analysts were expecting. Capri Holdings' stock jumped 14.2 percent. Sales of its Jimmy Choo and Michael Kors lines were especially strong.
OVERSEAS: European markets were mostly lower. Many Asian markets were closed for the lunar new year.
By AP reporter Damian J. Troise