Dollar General rises amid strong earnings; Intel shares decline

Shares of the dollar store chain took off after its latest quarterly report revealed that its offerings are attracting cost-conscious consumers across income groups. Meanwhile, a US chipmaker has come under pressure after reports that it is not looking to sell its networking business.

Major US stock indexes ended Thursday’s session mixed with little change ahead of key inflation data scheduled for Friday morning, which could influence the Federal Reserve’s next decision on interest rates. The S&P 500 rose 0.1%, the Nasdaq rose 0.2%, while the Dow Jones fell 0.1%. See here for more daily markets coverage from Investopedia.

Shares of Dollar General (DG) rose 14% to top the S&P 500 on Thursday, after the discount retailer beat quarterly earnings estimates and raised its full-year outlook. The company said it has seen strong demand from consumers across income brackets as shoppers look for value.

GE Vernova (GEV) shares rose nearly 5% after Barclays raised its price target on the stock. Analysts pointed to strong demand for the energy technology company’s gas and electric equipment, supported by the construction of data centers and electric vehicle charging infrastructure.

Meta Platforms (META) stock rose 3.4% following reports that the parent company of Facebook, Instagram and WhatsApp is considering making deep cuts to its metaverse business. The meta budget for the unit, which focuses on creating a 3D virtual world where users can interact via avatars, could be cut by up to 30% and would likely include layoffs. Bloomberg I mentioned.

Shares of Intel ( INTC ) fell nearly 8%, losing most of the S&P 500 on Thursday, after reports indicated the chipmaker plans to retain its networking and communications unit after a strategic review. The company reportedly considered selling or spinning off the unit earlier this year as part of a plan to exit a non-core business. With the decline on Thursday, Intel shares gave up some of the recent gains it had posted amid speculation about potential new business from Apple (AAPL).

Kroger (KR) shares fell 4.6% after the supermarket chain reported lower-than-expected third-quarter revenue. Although adjusted earnings per share beat consensus estimates, the company reported a net loss, reflecting the impact of a $2.6 billion impairment charge related to the closure of three automated delivery facilities.

Executives from Marriott International (MAR) noted that the hotel operator’s revenue per available room could come in at the low end of previous forecasts. The company cited weakness in U.S. markets as a factor behind the calmer forecast, which came just a few weeks after Marriott cut its net room growth forecast after terminating its licensing agreement with short-term rental company Sonder, which filed for bankruptcy in November. Marriott shares fell 3.5% on Thursday.