Stocks moving in after hours: Nike, FedEx, Workday

Yahoo Finance Live anchor Seana Smith highlights stock tickers making moves in after-hours trading.

Video Transcript

- All right, Sean, what's trending after hours?

- Got a couple of facts for you here, Dave. We have Nike, FedEx, and Workday. Let's kick it off with Nike. We're looking at gains of nearly 7% now after hours. It has been searching for direction for most of the extended trading. But the news here or the move, I should say, coming after Nike actually posted pretty solid results, a second quarter revenue beating expectations. The company's gross margin for the quarter of 42.9%, that was also better than what the Street was looking for. Inventories, though, was one line here of this earnings report that Wall Street is taking some issue with.

We just heard from Adrienne Yee at Barclays saying that inventory levels still a very weak year for Nike. That's because total of $9.3 billion, that's up 43% year over year. Promotional activity, inventory levels, of course, will be a topic that analysts will be looking for a little bit more details on on the call this afternoon. But, again, the move higher here, up nearly 7% after hours.

Let's take a look at FedEx. That's now moving to the upside, up just about nearly 4% higher here. Now, their full year profit view did disappoint. But a big reason why we're seeing the stock move higher here after hours is because of the additional cost-cutting measures that FedEx has just laid out in its most recent report. And FedEx saying that it is acting quickly to rein in some of those costs, adding a billion dollars of cost savings beyond the September forecast. Also, the fact that demand slowdown is sending some worrisome signals just in terms of what it could mean, not only for FedEx, but more broadly speaking for the industry at large.

At least for after hours, though, it looks like Wall Street mainly focused on some of those cost-cutting measures, also some of the better than expected results that we got for its most recent quarter. Again, we're looking at gains after hours. And executive shakeup at Workday. That's sending the stock off nearly 2%. So Chano Fernandez is stepping down as co-CEO. The new co-CEO that has just been named is Carl Eschenbach. Now, he is expected to assume the sole CEO responsibilities in 2024. But, again, Workday reacting negatively to this report, at least initially, with the stock off, Dave, just about 2% in extended trading.

- OK, Seana. Thank you.