Friday’s Headlines: Atlassian Starts 2020 With Strong Q1 Earnings
1. Netflix stock rose more than 7% on Thursday after analysts raised their price target, days after a mixed fourth-quarter earnings report. Guggenheim Partners, which has a buy rating on the stock, raised its price target on Netflix from $400 per share to $420 per share, citing strong global subscriptions growth in the fourth quarter of 2019. “Annual viewing per member grew both globally and domestically ‘consistent with recent quarters’ – both of which support our confidence in Netflix’s multi-year, global subscriber growth potential,” Guggenheim analyst Michael Morris said in the note. See the full report here.
2. Atlassian Corp shares popped 9% in after-hours trading Thursday after the software company reported better-than-expected second-quarter earnings. The enterprise software maker's earnings rose 48% vs. a year earlier to an adjusted 37 cents a share. Atlassian revenue climbed 37% to $408.7 million. Guidance fell short of analysts though as the company profits of 20 cents a share on revenue of $397 versus expectations of 22 cents per share over $397.1 million. Get the full report here.
3. Swedish telecoms equipment group Ericsson reported a smaller than expected rise in fourth-quarter core earnings on Friday. Despite being ‘seasonally its best’ quarter, the company claims it has been hit by a slowdown in its previously surging U.S. business and higher costs. However, earnings rose to 5.7 billion Swedish crowns ($600.19 million) from 2.6 billion a year earlier but were down from 7.4 billion in the previous quarter, despite the boost of 5G’s rollout across the United States over the past year. Get the full story here.