FINWIRES · TerminalLIVE
FINWIRES

Top Midday Stories: Stocks Fall After Stronger-Than-Expected August Jobs Report; Lululemon Q2 Revenue Miss, Guidance Cut

By

All three major US stock indexes were down on Friday after a strong August jobs report increased expectations that the Federal Reserve could raise interest rates at the next Federal Open Market Committee meeting.

Nonfarm payrolls jumped by 162,000, above the 55,000-job increase expected in a survey compiled by Bloomberg as of 7:15 am ET, while July payrolls were revised upward to a 21,000-job increase and June payrolls were revised upward to a 31,000-job increase. The unemployment rate remained at 4.1%, as expected, while the labor force participation rate rose to 61.6% from 61.4% in July.

In company news, Lululemon Athletica (LULU) reported fiscal Q2 earnings late Thursday of $2.92 per diluted share, down from $3.10 a year earlier but above the FactSet consensus analyst estimate of $1.79. Fiscal Q2 revenue was $2.42 billion, down from $2.53 billion a year ago and below the FactSet consensus of $2.46 billion. For Q3, the company expects EPS of $0.93 to $0.98 on revenue of $2.29 billion to $2.32 billion. Analysts polled by FactSet expect $2.40 and $2.53 billion, respectively. For fiscal 2026, the retailer expects EPS of $9.48 to $9.73 on revenue of $10.35 billion to $10.50 billion, below its previous guidance calling for EPS of $10.95 to $11.15 and revenue of $11 billion to $11.15 billion. Analysts expect $10.84 and $11.03 billion, respectively. Lululemon shares were down 17.9% around midday.

Jason Mehring was appointed as chief executive and chair of BlackRock (BLK) Private Credit Fund, BlackRock Direct Lending and BlackRock TCP Capital, starting Sept. 2, following the resignation of Philip Tseng from the posts on Aug. 31, the company said Friday in a regulatory filing. Mehring previously served as president of the direct lending division and TCP Capital, the filing said. In addition, Dan Worrell was appointed as president of the private credit fund after previously serving as co-chief investment officer, the filing said. BlackRock shares were down 0.4%.

Tesla (TSLA) Cybercab is under investigation over its process to claim compliance with federal vehicle safety standards, the National Highway Traffic Safety Administration said Thursday. Tesla began commercial use of a small number of Cybercabs in Austin, Texas, but the vehicles lack permanently attached conventional manual controls, the agency said. Tesla shares were down 6.4%.

Equifax (EFX), Experian and TransUnion (TRU) "have been overcharging Americans for far too long," Federal Housing Finance Agency Director Bill Pulte said late Thursday on X, adding that his agency is considering solutions to prevent the companies from taking advantage of American consumers. Equifax and TransUnion shares were down 6.8% and 7.5%, respectively.

Price: $99.94, Change: $-21.83, Percent Change: -17.92%

Related Articles

Wire

Vaxcyte Names New Medical and Legal Chiefs Ahead of Key Phase 3 Data

Vaxcyte (PCVX) appointed Luis Jodar as chief medical officer and David McAvoy as chief legal officer, the company said on Thursday.Jodar spent 17 years at Pfizer (PFE), most recently as senior vice president and chief medical officer for Vaccines and Infectious Diseases, the company said.McAvoy joins the company from Teva Pharmaceutical (TEVA), according to a statement.The vaccine developer also said it now expects to report topline data from its phase 3 OPUS-1 trial of VAX-31 in adults by the end of October, narrowing its previous guidance of a Q4 data release.

$PCVX
Wire

eGain Fiscal Q4 Adjusted Earnings, Revenue Fall; Shares Slump After Hours

EGain (EGAN) reported fiscal Q4 adjusted earnings late Thursday of $0.08 per diluted share, down from $0.09 a year earlier.Three analysts polled by FactSet projected $0.03.Revenue in the three months ended June 30 fell to $22.2 million from $23.2 million a year earlier.Three analysts projected $21.7 million.The company expects fiscal Q1 adjusted EPS of $0.05 to $0.08 on revenue of $20.9 million to $21.4 million. Three analysts project EPS of $0.08 on revenue of $22.3 million.For fiscal 2027, eGain expects adjusted EPS of $0.04 to $0.07 on revenue of $84.5 million to $86 million. Three analysts project EPS of $0.43 on revenue of $94.1 million.EGain shares slumped 29% in after-hours trading.

$EGAN
Wire

American Outdoor Brands Fiscal Q1 Swings to Adjusted Earnings, Revenue Rises

American Outdoor Brands (AOUT) reported fiscal Q1 non-GAAP earnings late Thursday of $0.03 per diluted share, swinging from a loss $0.26 year earlier.Two analysts polled by FactSet expected a loss of $0.24.Net sales for the quarter ended July 31 were $37.3 million, up from $29.7 million a year earlier.Two analysts expected $35.6 million.For fiscal 2027, the company maintained its net sales forecast of $200 million to $210 million. Two analysts expect $205.1 million.Shares of the company rose over 16% in after-hours trading.

$AOUT