AppLovin Soars, Zillow and Dutch Bros Sink in After-Hours Earnings Moves

A wave of quarterly earnings reports after Wednesday’s closing bell produced sharp moves in several well-known stocks, according to CNBC, with one big winner and a long list of decliners.

AppLovin leads the gainers

Shares of AppLovin, the mobile advertising technology company, jumped about 20 percent in extended trading. The company reported quarterly revenue of $2.18 billion, and investors responded to continued growth in its advertising business, CNBC reported.

Chipmaker and housing site slide

Qualcomm, the smartphone chip designer, fell about 6 percent after hours. Investors have been watching the company closely as it tries to expand beyond phones into personal computers, cars and data centers.

Zillow shares dropped about 16 percent. The online real estate company’s results arrived against a backdrop of a housing market still weighed down by high prices and mortgage rates, which limit how many homes change hands.

Consumer names under pressure

Coffee chain Dutch Bros fell about 19 percent, the steepest decline among the companies that reported. Restaurant chain Cava slid about 11 percent. Both companies have been valued by investors for rapid growth, which leaves their shares vulnerable when results or outlooks fall short of high expectations.

Travel company Expedia lost about 7 percent, and Snap, the parent of Snapchat, also fell about 7 percent, according to CNBC.

A rally day, then a reality check

The after-hours moves followed a powerful day for the broader market, when the Dow Jones Industrial Average gained more than 1,500 points as oil prices plunged. Extended-hours trading tends to be thinner than the regular session, so price swings can be larger and may change once full trading resumes Thursday morning.

Why it matters

Earnings season gives investors a direct look at how companies are handling costs, consumer demand and interest rates. The mixed results from technology, housing and restaurant companies suggest that the economy is not moving in one direction. Advertising technology appears strong, while businesses tied to housing and discretionary spending face more pressure.

More major companies are scheduled to report results in the coming days, and analysts will be watching their forecasts for the holiday quarter as closely as their past numbers.

How we reported this

This report draws on reporting from the Associated Press and other major news organizations, named in the text. Figures from early or partial counts are identified as such and may change. BURN VOC will update this story as new information is released.