In this article, we will take a look at the 10 biggest losers of this morning. If you want to check out some more stocks losing value on Tuesday, go directly to 5 Biggest Losers Today.
Notable stocks from the tech and communication services sectors, including Oracle Corporation (NYSE:ORCL), Meta Platforms, Inc. (NASDAQ:META) and Lumen Technologies, Inc. (NYSE:LUMN), fell this morning.
Oracle Corporation (NYSE:ORCL) shares slipped after missing profit expectations for its fiscal first quarter, while Lumen Technologies, Inc. (NYSE:LUMN) shares moved down after announcing a CEO transition. On the other hand, Meta Platforms, Inc. (NASDAQ:META) shares dropped amid a broad sell-off following an unexpected rise in consumer prices last month.
Many other stocks, including Western Digital Corporation (NASDAQ:WDC) and Peloton Interactive, Inc. (NASDAQ:PTON), were also trading lower in mid-day trading Tuesday. Check out the complete article to see what brought these companies to the list of 10 biggest losers today.
10. Rent the Runway, Inc. (NASDAQ:RENT)
Number of Hedge Fund Holders: 8
Shares of Rent the Runway, Inc. (NASDAQ:RENT) lost more than 30 percent of their value this morning after the subscription fashion service announced job cuts and issued a weak sales outlook for its fiscal third quarter.
Rent the Runway, Inc. (NASDAQ:RENT) has been struggling to maintain its subscriber base as rising inflation has forced customers to limit spending on discretionary items. The company plans to trim 24 percent of its workforce in a bid to save costs.
For the current quarter, Rent the Runway, Inc. (NASDAQ:RENT) projected revenue in the range of $72 – $74 million, behind analysts’ average estimate of $74.8 million. Several research firms lowered their price target for the fashion rental company following its third-quarter guidance.
JMP Securities trimmed its price target for Rent the Runway, Inc. (NASDAQ:RENT) from $12 to $6, while Morgan Stanley lowered its price target from $14 to $13.
9. Braze, Inc. (NASDAQ:BRZE)
Number of Hedge Fund Holders: 14
Shares of Braze, Inc. (NASDAQ:BRZE) turned red in pre-market trading Tuesday despite beating financial expectations for its fiscal second quarter. The cloud-based software company reported an adjusted loss of 16 cents per share, narrower than analysts’ average estimate for a loss of 20 cents.
In addition, Braze, Inc. (NASDAQ:BRZE) posted revenue of $86.1 million, up 54.5 percent on a year-over-year basis and above the consensus of $81.1 million. Subscription revenue came in at $81.7 million, accounting for nearly 95 percent of the total sales.
Looking forward, Braze, Inc. (NASDAQ:BRZE) expects adjusted net loss in the range of 22 – 23 cents per share and revenue between $90 – $91 million for its fiscal third quarter.
8. Unity Software Inc. (NYSE:U)
Number of Hedge Fund Holders: 23
Shares of Unity Software Inc. (NYSE:U) plummeted over 10 percent this morning. The drop came after AppLovin quit its plan to acquire Unity Software. AppLovin stock also slipped around 6 percent following the development.
Unity Software Inc. (NYSE:U) had previously refused a $17.54 billion proposal from AppLovin. Many were expecting a higher bid from AppLovin. However, the mobile technology company finally disclosed that it would not revise its offer for Unity Software Inc. (NYSE:U)
Moving forward, Unity Software Inc. (NYSE:U) is now expected to proceed with its planned acquisition of Israel-based software firm ironSource.
7. Eastman Chemical Company (NYSE:EMN)
Number of Hedge Fund Holders: 29
Shares of Eastman Chemical Company (NYSE:EMN) slid over three percent in pre-market trading Tuesday after the specialty materials company trimmed its profit outlook for the third quarter, citing weak demand.
Eastman Chemical Company (NYSE:EMN) now anticipates adjusted earnings of about $2 per share, significantly lower than analysts’ average estimate of $2.60 per share.
Discussing the outlook, CEO of Eastman Chemical Company (NYSE:EMN), Mark Costa, said in a statement:
“While demand across some end markets, including agriculture and personal care, is demonstrating resilience, demand has slowed more than expected in August and September, in particular in the consumer durables and building and construction end markets and the European and Asian regions.”
Like Eastman Chemical Company (NYSE:EMN), Oracle Corporation (NYSE:ORCL), Meta Platforms, Inc. (NASDAQ:META) and Lumen Technologies, Inc. (NYSE:LUMN) were also on the list of 10 biggest losers today.
6. Peloton Interactive, Inc. (NASDAQ:PTON)
Number of Hedge Fund Holders: 39
Shares of Peloton Interactive, Inc. (NASDAQ:PTON) fell nearly 10 percent after the opening bell today. The drop came after the struggling exercise equipment company announced the departure of its co-founders.
Peloton Interactive, Inc. (NASDAQ:PTON) said that co-founder and executive chairman of the board John Foley has resigned from his responsibilities. Moreover, his fellow co-founder and chief legal officer, Hisao Kushi, is also leaving the company next month. In addition, Peloton’s chief commercial officer Kevin Cornils will also depart later this month.
Foley remained CEO of Peloton Interactive, Inc. (NASDAQ:PTON) for nearly a decade before switching to the position of executive chairman earlier this year. The company is currently undergoing a restructuring under its new CEO Barry McCarthy to turn around its business.
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Disclosure: None. 10 Biggest Losers Today is originally published on Insider Monkey.