US pre-market update: Pinterest share price on a rally, Starbucks, PayPal, AMD to report earnings & more

Weak Quarterly Results

• Pinterest share price spiked despite weak earnings after Elliot management confirmed being the largest shareholder in it.
• Revenue rose 9% on-year to $666 million and net loss came in at $43 million, below analysts’ estimates.
• Pinterest attributed poor results to weak online advertising demand like Snap, Meta and Twitter.
• Global monthly active users fell 5% on-year to 433 million, still ahead on analysts’ estimates.
• It estimates third-quarter revenue to grow in single digits on year, much below 12.7% estimated.
• Analysts have maintained their ‘Neutral’ rating but have lowered the target share price to $18-$28.

How will US stock market open today?

• Stock futures indicate a negative opening for US stock market ahead of earnings from major companies.
• Despite a strong market rebound in July, many investors are convinced the pain is over.
• Activision Blizzard reported strong quarterly results and Microsoft’s $68.7 billion acquisition will be a focus in the earnings call.
• Starbucks, PayPal, Caterpillar, AMD to report quarterly earnings today.
• Oil prices continue their downtrend on fears of sluggish demand amid weak manufacturing data from several countries.