Text size

Stock futures were falling sharply Wednesday after Fitch Ratings downgraded its rating on U.S. long-term debt one notch to AA+ from AAA. The downgrade, Fitch said, reflects “the expected fiscal deterioration over the next three years, a high and growing general government debt burden and the erosion of governance” following repeated debt limit standoffs and last-minute resolutions.

These stocks were poised to make moves Wednesday: 

Advanced Micro Devices

(AMD) reported second-quarter earnings that beat analysts’ expectations and issued revenue guidance for the third quarter of $5.7 billion at the midpoint of a range, slightly below consensus of $5.8 billion. The stock was up 1% in premarket trading, getting a lift from the chip maker’s latest update on its artificial intelligence portfolio and predictions about the AI market.

Fiscal third-quarter earnings from

Starbucks

(SBUX) topped Wall Street estimates, but sales came up short and shares of the coffee chain were falling 1.9% in premarket trading. Same-store sales rose by 10%, below analysts’ forecasts of 11%.

Electronic Arts

(EA) slumped 4.5% after the videogame publisher forecast fiscal second-quarter earnings of 72 cents a share to 89 cents a share on net revenue of $1.83 billion to $1.93 billion, missing analysts’ expectations. EA also said it expects bookings of $1.7 billion to $1.8 billion in the period vs. consensus of $1.82 billion.

Pinterest

(PINS) posted adjusted earnings and revenue in the second quarter that topped analysts’ estimates. Shares of the image-sharing platform, however, fell 3.7% in premarket trading.

SolarEdge Technologies

(SEDG) fell 13% after missing second-quarter revenue expectations and issuing a third-quarter revenue forecast that also was below estimates. In a statement, the company said the U.S. residential solar market was “currently seeing some headwinds primarily related to higher interest rates.”

Shares of

e.l.f. Beauty

(ELF) surged 18% after the maker of beauty products reported fiscal first-quarter earnings and sales that smashed Wall Street expectations and boosted guidance for the fiscal year.

Match Group

(MTCH) was up 7.7% after the online dating company swung to a profit in the second quarter and revenue rose 4% to $830 million, beating forecasts of $812 million.

Virgin Galactic

(SPCE) fell 7.3% after reporting second-quarter revenue that missed analysts’ estimates. The space tourism company also reported a quarterly loss of 46 cents a share, narrower than estimates that called for a loss of 51 cents.

Earnings reports are expected before trading begins Wednesday from

CVS Health

(CVS),

Humana

(HUM),

Ferrari

(RACE),

Kraft Heinz

(KHC),

DuPont

(DD), and

Generac

(GNRC). After Wall Street closes, reports will be coming from the likes of

Qualcomm

(QCOM),

Shopify

(SHOP),

PayPal

(PYPL),

DoorDash

(DASH),

Albemarle

(ALB),

Occidental Petroleum

(OXY), and

MGM Resorts

(MGM).

Write to Joe Woelfel at [email protected]