It’s not immediately clear why Pivotal’s stock plummeted so far and so fast in the after-hours trading session, but CNBC speculated the most likely reason is that shareholders were simply hoping for much more than what the company actually delivered. Update: On Thursday, shares ended up falling 20 percent.
Full Answer
How much did stocks fall ahead of inflation?
Stocks fell sharply on Thursday ahead of a key inflation report as investors worried about the state of the U.S. economy. The Dow Jones Industrial Average fell 638.11 points, or 1.94%, to close at 32,272.79. The S&P 500 dropped 2.38% to settle at 4,017.82, and the Nasdaq Composite shed 2.75% to come in at 11,754.23.
How much did the S&P 500 fall?
The S&P 500 dropped 2.38% to settle at 4,017.82, and the Nasdaq Composite shed 2.75% to come in at 11,754.23. Major tech stocks struggled, with Meta Platforms sliding 6.4% and Amazon dropping more than 4%. Apple sank 3.6%
What are the worst-performing stocks in the S&P 500?
Casino stocks were some of the worst performers in the S&P 500, with Las Vegas Sands falling 5.6% and Caesars Entertainment sliding 3.8%. Chinese tech stocks reversed recent gains and dragged on the Nasdaq, with Pinduoduo sinking 9.6%.
Why is Dow Jones falling?
The stock market got crushed Friday after the latest consumer price index showed that inflation is still a major problem. Bets that the Federal Reserve will remain aggressive in lifting interest rates are back on. The Dow Jones Industrial Average dropped 880 points, or 2.7%.
Why did Dow Jones drop yesterday?
Stocks plummeted on Wall Street on Thursday, erasing a rally from a day earlier, as markets assess the fallout from the Federal Reserve's stepped-up fight against inflation.
Who owns Pivotal Software?
VMwarePivotal Software / Parent organizationVMware, Inc. is an American cloud computing and virtualization technology company with headquarters in Palo Alto, California. VMware was the first commercially successful company to virtualize the x86 architecture. Wikipedia
How much did Dow drop yesterday?
The Dow Jones Industrial Average closed Wednesday down 1164.52 points, or 3.6%, to 31490.07, its lowest closing level since March 2021.
Why did the Dow drop so much today?
The Dow (INDU) plunged after a key inflation report missed estimates and showed a higher-than-anticipated increase in the price of consumer goods, closing down 880 points for the day, or 2.5%. The S&P 500 shed 2.7% and the Nasdaq dropped about 3%.
Why did the stock market dip?
Stocks tanked Tuesday after a Federal Reserve Governor, who is also the Fed vice-chair nominee, said the central bank would reduce its balance sheet next month. The Dow Jones Industrial Average closed down 281 points, or 0.8%, while the S&P 500 dropped 1.3%, and the Nasdaq Composite tumbled 2.3%.
What happened pivotal stock?
As a result of the completion of the acquisition, Pivotal's Class A common stock was removed from listing on the New York Stock Exchange with trading suspended prior to the open of the market today, and Pivotal will now operate as a wholly owned subsidiary of VMware.
What happened Pivotal Software?
Pivotal Software is now officially a subsidiary of VMware following a $2.7 billion acquisition that closed Dec. 30, 2019. Although both Pivotal and VMware are part of Dell Technologies, the merger is poised to make a major splash in the IT industry.
Why did VMware buy pivotal?
The Pivotal acquisition serves VMware's purpose to deliver “consumable, enterprise-ready cloud native offerings to customers to help them achieve better business outcomes,” said Ray O'Farrell, head of the new VMware Modern Application Platform business unit.
Has the Dow ever dropped 1000 points in a day?
Dow Jones plummets 1000 points in stocks' worst day since 2020 | Fortune.
Is this the worst stock market?
The stock market had its worst day since 2020 on Thursday, just one day after the Dow Jones Industrial Index average posted its best day in years.
Will the stock market ever recover?
Even if we continue to see discouraging data — dismal corporate earnings and GDP numbers, sharply rising unemployment rates and claims, and increasing COVID-19 cases — the stock market may still begin to recover.
It took a single day to erase five months of gains
As a technology and consumer goods specialist for the Fool, Steve looks for responsible businesses that positively shape our lives. Then he invests accordingly. Enjoy his work? Connect with him on Twitter & Facebook so you don't miss a thing.
What happened
Shares of Pivotal Software ( NYSE:PVTL) declined 35.4% in the first six months of 2019, according to data from S&P Global Market Intelligence, after the cloud-native platform specialist significantly reduced its full-year guidance despite beating expectations with its latest quarterly report.
So what
Pivotal Software's subscription revenue soared 43% year over year to $128.9 million, as its number of subscription customers climbed 13% to 383, and its dollar-based net expansion rate arrived at 143% (anything above 100% indicates renewing customers are spending more with their new contracts).
Now what
During the subsequent conference call, CEO Rob Mee blamed closing fewer deals than expected in the first quarter "due to sales execution and a complex technology landscape that is lengthening [the company's] sales cycle."
Pivotal Software stock crashes despite earnings and guidance beat
Pivotal Software Inc. must be wondering what it did wrong today after seeing its share price plunge by more than 25 percent in after-hours trading.
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What happened
Shares of Pivotal Software (NYSE: PVTL) in August, according to data from S&P Global Market Intelligence, after the cloud-native platform company agreed to be acquired by VMware (NYSE: VMW) in a deal worth $2.7 billion.
So what
For perspective, Pivotal Software stock was down a whopping 49% year to date before shares rallied on news of the buyout -- largely a consequence of a steep post-earnings drop in early June after Pivotal lowered its full-year outlook.
Now what
As it stands, the acquisition has already been approved by both companies' boards of directors, but still requires the approvals of both regulators and a majority of Pivotal Software Class A shareholders. Assuming all goes as planned, VMware expects the acquisition to close in the second half of its fiscal year ending January 31, 2020.
The cloud-native platform specialist is being acquired. Here's what investors need to know
As a technology and consumer goods specialist for the Fool, Steve looks for responsible businesses that positively shape our lives. Then he invests accordingly. Enjoy his work? Connect with him on Twitter & Facebook so you don't miss a thing.
What happened
Shares of Pivotal Software ( NYSE:PVTL) in August, according to data from S&P Global Market Intelligence, after the cloud-native platform company agreed to be acquired by VMware ( NYSE:VMW) in a deal worth $2.7 billion.
So what
For perspective, Pivotal Software stock was down a whopping 49% year to date before shares rallied on news of the buyout -- largely a consequence of a steep post-earnings drop in early June after Pivotal lowered its full-year outlook.
Now what
As it stands, the acquisition has already been approved by both companies' boards of directors, but still requires the approvals of both regulators and a majority of Pivotal Software Class A shareholders. Assuming all goes as planned, VMware expects the acquisition to close in the second half of its fiscal year ending January 31, 2020.
A second-quarter earnings report reminded investors how difficult it is for independent companies to launch new cancer drugs
Cory is a long-term minded analyst focused on the Healthcare Sector. He genuinely enjoys cutting through the complexity to help everyday investors make better decisions. Follow @coryrenauer
Key Points
TG Therapeutics reported second-quarter earnings figures that missed expectations on the top and bottom lines.
What happened
TG Therapeutics (NASDAQ: TGTX) is falling today in response to a disappointing Q2 earnings report. Investors, disappointed with lackluster sales of the company's new cancer drug, have beaten the biotech stock 21.5% lower as of 1:29 p.m. EDT on Monday.
So what
On Monday morning, TG Therapeutics reported a Q2 loss of $78.5 million. This was significantly more than Wall Street analysts following the company were expecting. The net loss worked out to $0.59 per share, which was $0.11 less than consensus expectations.
Now what
TG Therapeutics' first drug didn't earn approval to treat relapsed lymphoma patients until this February. It takes time for new sales teams to find their groove, but the sales figures the company has posted suggest a deeper problem.
