July 28, 2022
Shares of major U.S. companies slumped on Wednesday after posting poor quarterly results and forecasts amid persistent inflation and fears of a possible recession.
Affected companies include Facebook’s parent company Meta Platforms, Qualcomm, ServiceNow, Best Buy and Teladoc Health.
Meta posted the first quarterly decline in its history and issued a gloomy forecast that sent shares down more than 3%. Qualcomm’s fourth-quarter revenue forecast fell short of analysts’ expectations, sending its shares down more than 2%. The chipmaker is also gearing up for tough economic conditions.
Shares in business software vendor ServiceNow slumped 6% after the company cut its forecast for subscription revenue. Cloud software heavyweight Salesforce also lost more than 2% following ServiceNow’s report.
Best Buy fell 2% after the electronics retailer warned of falling sales as customers battle inflation.
Teladoc Health slumped 20% after the virtual health company posted a quarterly loss of US$3.1 billion, compared with a loss of US$133 million a year earlier.
The sources for this piece include an article in Reuters.
