U.S. markets ticked up slightly in premarket trading Friday along with a modest rise in oil prices, with the S&P 500 and Dow Jones industrials each about about 0.2% before the opening bell, as crude ticked up about 0.1% to $44.79, based on U.S. benchmark West Texas Intermediate.
Shares of General Electric (GE) were down about 2% in premarket trading after the manufacturer posted second-quarter earnings above analyst forecast, but below targets for industrial orders. (GE shares are held in Jim Cramer's Action Alerts PLUS charitable trust.)
GE posted second-quarter earnings per share of $0.51, 12% higher than consensus forecasts, and sales of $33.5 billion, which beat expectations by about 5%. But investors appeared underwhelmed by the results, as industrial orders slipped 16% on an organic basis, year-over-year, and 2% with adjustments including GE's $10 billion purchase last fall of French turbine maker Alstom's (ALSMY) grid businesses.
"The diversity and scale of our portfolio enabled the company to perform well despite a volatile and slow-growth economy," GE CEO Jeff Immelt said in a statement. "We expect strong organic growth in the second half of the year and reaffirm our 2016 operating framework," he said, reiterating operating earnings guidance of $1.45 to $1.55 for the year.
Meanwhile, shares of Advanced Micro Device (AMD) , a member of Real Money's Stressed Out watch list, were up about 10% after the company posted strong earnings after the closing bell Thursday. A loss of about $0.05 per share was 40% less than consensus estimates, as sales of $1.03 billion topped forecasts by about 7%.
"Our ongoing focus on diversifying our business model and delivering great products is creating solid market and financial momentum," Advanced Micro Devices CEO Lisa Su said on an earnings call with analysts. "Looking at the second quarter specifically, strong semi-custom demand and better than seasonal graphics sales drove a 23% sequential revenue increase and our return to non-GAAP operating profitability," she added, referring to the standard bookkeeping methods governed by the FASB.
Pandora Media (P) shares were down more than 6% after the streaming-radio company posted a $0.12 loss per share for the second-quarter, beating consensus estimates of a $0.15 loss, and sales of $343 million for the quarter fell short of the $352 million analysts had projected.
"We are making strong progress on Pandora's transformation into a complete music marketplace," Pandora CEO Tim Westergren said in a statement. "We made considerable progress on our product development plans while also improving margins sequentially."
Shares of Los Angeles-based biotech firm Puma Biotechnology (PBYI) surged 14% after the company unveiled results from a Phase III clinical trial of an early-stage breast cancer treatment, labeled ExteNET, which showed significantly positive results compared to the test's placebo.