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Thursday Morning Market Highlights

U.S. markets

U.S. stocks were initially in the green on Thursday, before receding on a jobs report. Americans filed 1.88 million applications for unemployment benefits at the end of May. The Dow Jones Industrial Average fell 0.59% to 26,116, the S&P 500 Index declined 0.93% to 3,093 and the Nasdaq Composite Index was down 1.09% to 9,574.


Gainers

  • Delta Air Lines Inc. (NYSE:DAL) +10.4%
  • Alaska Air Group Inc. (NYSE:ALK) +6.4%
  • Southwest Airlines Co. (NYSE:LUV) +5.5%
  • Tyson Foods Inc. (NYSE:TSN) +4.8%
  • Boeing Co. (NYSE:BA) +7%
  • Nordstrom Inc. (NYSE:JWN) +7%



Losers

  • J.M. Smucker Co. (NYSE:SJM) -3.7%
  • Crown Castle International Corp. (NYSE:CCI) -2.4%
  • American Tower Corp. (NYSE:AMT) -3.1%
  • Ameren Corp. (NYSE:AEE) -2.5%
  • General Mills Inc. (NYSE:GIS) -2.2%
  • Edwards Lifesciences Corp. (NYSE:EW) -2%



Global markets

The main European stock markets traded in the green.The U.K.'s FTSE 100 lost 0.72%, France's CAC 40 retreated 0.35%, Germany's Dax slid 0.60% and Spain's Ibex 35 dipped 0.87%.

In Asia, Japan's Nikkei 225 gained 0.36%, India's BSE Sensex fell 0.38%, Hong Kong's Hang Seng rose 0.17% and China's Shanghai Composite was down 0.14%.

Smartsheet releases earnings report

Non-index stocks have also posted gains and losses recently. Shares of Smartsheet Inc. (NYSE:SMAR) fell more than 20% on Thursday after the company announced first-quarter results. It posted a loss of 11 cents per share, beating analysts' estimates by 8 cents. Revenue of $85.5 million grew 52.2% year over year and beat expectations by $4.1 million.

"Smartsheet has become an increasingly mission-critical platform for enterprises seeking to enable a dynamic workforce; a workforce capable of working from anywhere, adapting to rapidly changing conditions, and staying deeply connected to their individual work and the mission of their teams, no matter the circumstance," CEO Mark Mader said.

By segment, subscription revenue was $77.2 million, up 53% year over year. Professional services sales were $8.3 million, an increase of 42% year over year.

The GAAP operating loss was $28.8 million, or 34% of total revenue, compared to GAAP operating loss of $20.9 million, or 37% of total revenue, in the prior-year quarter.

Looking at cash generation, the net operating cash flow was -$24.3 million, compared to net operating cash flow of -$9.2 million a year ago. The net free cash flow was -$28.2 million, compared to -$13.1 million in the first quarter of the prior year.

Looking ahead to the second quarter of fiscal 2021, the company expects total revenue between $86 million and $87 million. It also projects a non-GAAP operating loss in the range of $21 million to $19 million and a net free cash flow of -$11 million to -$9 million.

Hedge funds were active at the end of March. Steven Cohen (Trades, Portfolio) boosted his position in the stock with 519, 790 shares. Paul Tudor Jones (Trades, Portfolio) reduced his holding by 39% to 25,942 shares and Chase Coleman (Trades, Portfolio) trimmed his stake by 12% to 4,145,000 shares. Stanley Druckenmiller (Trades, Portfolio) sold out.

Disclosure: The author holds no positions in any stocks mentioned.

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This article first appeared on GuruFocus.