NEW YORK, December 1, 2017 /PRNewswire/ --
U.S. equities rose to record high on Thursday as investors' optimism toward the tax cut plan continues to grow. The Dow Jones Industrial average surpassed 24,000 for the first time during Tuesday's trading session, closing at a new record high of 24,272.21. The S&P 500 index rose 0.82 percent, or 21.51 points, to 2,647.58. Nasdaq composite Index rebounded from Wednesday's sell off, gained 0.73 percent to 6,873.97. The Dow Jones was up about 3.9 percent in November, marking its eighth-straight monthly gains, the longest winning streak since July 1995. Progress over the tax reform helped boosting the market. The Senate is expected to vote before the end of this week. Momo Inc. (NASDAQ : MOMO ), Autodesk, Inc. (NASDAQ : ADSK ), Michaels Companies Inc (NASDAQ : MIK ), Ulta Beauty Inc (NASDAQ : ULTA ), Ambarella Inc (NASDAQ : AMBA )
According to MarketWatch, Alicia Levine, investment strategist at BNY Mellon Investment Management, said: "What had lifted the market in the first part of the year was an ever-improving economy and profitability. It wasn't about the prospect for tax reform. What you're seeing now, however, is the next leg where tax reform starts to get baked in. If you bake in what tax reform means, the market doesn't look pricey…There are still a lot of details we don't know, but if the corporate tax rate is moved down near 20%, you'd be adding $10 per share to S&P 500 earnings. If you do that, valuations are not out of whack with what growth rates will be."
Momo Inc . (NASDAQ : MOMO ) announced Tuesday its financial results for the third quarter 2017. Net revenues increased 126% year over year to $354.5, and increased 204% year over year to $931.9 million for the first nine months of 2017. "We've had a good quarter with strong financial performance and progresses in other operational areas", commented Yan Tang, Chairman and CEO of Momo. "Momo 8.0 allows us to further diversify the social and entertainment offerings on the platform. We are confident that Momo will continue to drive user growth through product innovations, use case expansions as well as a more result driven marketing plan." Cost and expenses were $266.3 million in the third quarter of 2017, an increase of 122% from $120.0 million in the third quarter of 2016.
Autodesk, Inc. (NASDAQ : ADSK ) stock was down more than 15% after the company reported earlier on Tuesday its financial results for the third quarter of fiscal 2018. Total ARR was $1.90 billion, an increase of 24 percent compared to the third quarter last year as reported, and 25 percent on a constant currency basis. Deferred revenue increased 15 percent to $1.76 billion, compared to $1.53 billion in the third quarter last year. Unbilled deferred revenue at the end of the third quarter was $148 million. Revenue was $515 million, an increase of 5 percent compared to the third quarter last year as reported, and 6 percent on a constant currency basis. "We are pleased with another solid quarter of execution and progress on our business model transition," said Andrew Anagnost, Autodesk president and CEO. "We're experiencing healthy trends in several key transition metrics, including ARR and deferred revenue growth, as customers continue to embrace our new subscription offerings."
Michaels Companies Inc (NASDAQ : MIK ) stock jumped 13% on Thursday, after the arts and crafts specialty retailer announced financial results for the third quarter ended October 28, 2017. Net sales increased 1.1% to $1,240.2 million, from $1,227.2 million in the third quarter of fiscal 2016, inclusive of an estimated $10 million in lost sales related to Hurricanes Harvey and Irma. "We are pleased we delivered third quarter operating income in-line with our guidance and diluted EPS above our guidance. We are seeing nice momentum in our business, excluding the disruption from the hurricanes, and we are encouraged by the customer's response to the improvements we have made, both in-stores and online, to make it easier for customers to MAKE," said Chuck Rubin, Chairman and Chief Executive Officer.
Ulta Beauty Inc (NASDAQ : ULTA ) shares fell more than 3% after the company announced financial results for third quarter and fist nine month. Net sales increased 18.6% to $1,342.2 million from $1,131.2 million in the third quarter of fiscal 2016. The Company estimates that Hurricanes Harvey and Irma resulted in approximately $14 million in lost sales. The company's E-commerce sales grew 62.9% to $119.8 million from $73.6 million in the third quarter of fiscal 2016, representing 370 basis points of the total company comparable sales increase of 10.3%. "Our third quarter results clearly demonstrate the strength and distinct advantages of the Ulta Beauty business model," said Mary Dillon, Chief Executive Officer.
Ambarella Inc (NASDAQ : AMBA ), a developer of low-power, HD and Ultra HD video compression and image processing semiconductors, announced Thursday after market financial results for its third quarter of fiscal year 2018 ended October 31, 2017. Revenue for the third quarter of fiscal 2018 was $89.1 million, down 11.4% from $100.5 million in the same period in fiscal 2017. For the nine months ended October 31, 2017, revenue was $224.8 million, up 0.9% from $222.8 million for the nine months ended October 31, 2016. "During the quarter, we continued our solid execution in support of the development and delivery of our next generation of computer vision solutions. We met our aggressive goal of demonstrating our CV1 performance to customers and commenced sampling in the security and automotive markets," said Fermi Wang, CEO of Ambarella. "We continue to invest in leading edge technology to expand our market opportunities, both in current markets, and in a broad range of new automotive applications," he said.
Follow us on Twitter for real time Financial News Updates: https://twitter.com/FinInsiders
Follow and talk to us on Instagram: https://www.instagram.com/financialinsiders/
Facebook Like Us to receive live feeds: https://www.facebook.com/financialinsiders/
Financialinsiders.com, a leading financial news informational web portal designed to provide the latest trends in Market News, Investing News, Personal Finance, Politics, Entertainment, in-depth broadcasts on Stock News, Market Analysis and Company Interviews. A pioneer in the financially-driven digital space, video production and integration of social media, FinancialInsiders.com creates 100% unique original content. FinancialInsiders.com also provides financial news PR dissemination, branding, marketing and advertising for third parties for corporate news and original content through our unique media platform that includes Newswire Delivery, Digital Advertising, Social Media Relations, Video Production, Broadcasting, and Financial Publications.