The Nasdaq was the only benchmark trading higher on Friday, reversing the downward trend from the prior three days. The U.S. created 201,000 jobs in August, which was higher than expected, and wages rose to a nine-year high. The average wage increased 10 cents to $27.16 an hour.
Shares of Five Below Inc. (FIVE, Financial) jumped 15% on Friday morning after the company posted second-quarter earnings of 42 cents per share on $347.73 million in revenue, reflecting a 22.7% year-over-over growth. It beat earnings estimates by 4 cents and revenue expectations by $12.89 million.
The retail company opened 34 new stores during the quarter, bringing its total to 692 stores in 33 states.
Looking ahead to the third quarter, the company expects net sales in the range of $301 million to $304 million. Net income is projected to be between $9.7 million and $10.7 million, yielding earnings of 17 cents to 19 cents per share. For the full year, net sales guidance is between $1.528 billion and $1.540 billion. Net income is anticipated to range from $141.7 million to $144.9 million, which equals to earnings of $2.51 to $2.57 per share.
Gainers
- Micron Technology Inc. (MU, Financial)
- Ulta Beauty Inc. (ULTA, Financial)
- Expedia Group Inc. (EXPE, Financial)
- Costco Wholesale Corp. (COST, Financial)
- Qorvo Inc. (QRVO, Financial)
Losers
- Mondelez International Inc. (MDLZ, Financial)
- Monster Beverage Corp. (MNST, Financial)
- Public Storage (PSA, Financial)
- PPL Corp. (PPL)
Global markets
The main European stock markets traded mixed. The U.K.'s FTSE 100 lost 0.56%, France's CAC 40 gained 0.16%, Germany's Dax slid 0.037% and Spain's IBEX 35 declined 0.41%.
In Asia, Japan's Nikkei 225 slid 0.80%, India’s BSE Sensex rose 0.38%, Hong Kong's Hang Seng lost 0.01% and China's Shanghai Composite swelled 0.40%.
Disclosure: The author holds no positions in any stocks mentioned.
