Tech and Retail Stocks Make Waves in Premarket Trading

Nvidia, Dollar Tree and Hormel Foods fall premarket; Gitlab rises By Investing.com

Investing.com -- U.S. stock futures fell Wednesday, pointing to further losses after the previous session's sharp selloff on growth concerns. Nvidia (NASDAQ:NVDA) stock fell 2.1% after Bloomberg News reported that the company had been sent a subpoena by the US Department of Justice as part of a deepening probe into its artificial intelligence chip market dominance. Dollar Tree (NASDAQ:DLTR) stock slumped 12% after the discount retailer reported fiscal second-quarter earnings that fell well short of expectations and cut its full-year outlook, citing increasing pressure on its middle- and higher-income customers. Hormel Foods (NYSE:HRL) stock fell 5.1% after the food manufacturer reported fiscal third-quarter sales that fell short of estimates and lowered its guidance. Zscaler (NASDAQ:ZS) stock fell 15% after the cloud security company reported fiscal fourth-quarter results that topped expectations, but its outlook for fiscal 2025 fell short of expectations. Asana (NYSE:ASAN) stock fell 14% after the software company reported a challenging quarter while announcing a change in its CFO. Pagerduty (NYSE:PD) stock fell 14% after the digital operations management platform reported quarterly revenue falling short of expectations and provided weaker-than-anticipated guidance. Clover Health Investments Corp (NASDAQ:CLOV) stock gained 12% as the health care company's Counterpart Unit secured a contract from the Iowa Clinic. Gitlab (NASDAQ:GTLB) stock increased 15% after the software-development platform raised its full-year outlook, as more businesses try to embed artificial intelligence and security protections into their technology. United States Steel (NYSE:X) stock rose 0.5%, rebounding after a 6% drop the previous session, with the WSJ reporting that the company would close mills and likely move its headquarters out of Pittsburgh if the $14.9 billion buyout by Nippon Steel collapses.

Stocks making the biggest moves premarket: Nvidia, GitLab, Sweetgreen, Dollar Tree and more

Check out the companies making headlines in premarket trading. Nvidia -- Shares of the artificial intelligence darling pulled back nearly 2% following a report from Bloomberg that the U.S. Department of Justice subpoenaed the chip company in concert with a broader antitrust investigation. Dick's Sporting Goods -- Stock in the retailer fell about 1% despite its second-quarter results surpassing Wall Street estimates. Dick's raised the top end of its full-year earnings forecast, predicting earnings in the range $13.55 to $13.90 per share, compared with a prior estimate of $13.35 to $13.75. Analysts polled by FactSet forecast $13.80 per share. Dollar Tree -- Shares plunged nearly 11% after the dollar store missed second-quarter revenue estimates and trimmed its full-year forecast. Dollar Tree estimates adjusted earnings in range of $5.20 per share to $5.60, compared with a previous estimate that called for $6.50 to $7 per share. Analysts surveyed by FactSet were looking for a profit of $6.56 per share. Hormel Foods -- The packaged food stock fell 8% after fiscal third-quarter sales were weaker than expected and it lowered its full-year guidance. Hormel reported sales of $2.9 billion, below the $2.95 billion projected by analysts, according to FactSet. Sweetgreen -- The salad chain's stock rose 1.8% on the heels of a TD Cowen upgrade to buy from hold that cited Sweetgreen's introduction of automated kitchens as a catalyst for shares. Zscaler -- Shares of the cloud security company slipped nearly 17% after its fiscal first-quarter earnings forecast missed Wall Street estimates. Zscaler expects earnings of 62 cents to 63 cents per share, while analysts polled by LSEG were looking for 73 cents. For the full year, it expects to earn $2.81 to $2.87 per share, compared with an analyst estimate of $3.33 per share. GitLab -- Shares of the software developer surged 11% after its third-quarter earnings forecast surpassed Wall Street estimates. GitLab expects to earn 15 cents to 16 cents per share, while analysts polled by LSEG were calling for 11 cents. The company's full-year revenue forecast of $742 million to $744 million also came in above a forecast $737 million. AMD -- Shares of the chipmaker rose 2% in premarket trading, rebounding from a steep 7.8% sell-off a day earlier amid broader weakness in the semiconductor sector. PagerDuty -- The cloud computing stock plummeted more than 12% after missing second-quarter revenue estimates and issuing a light forecast for the current quarter. PagerDuty expects third-quarter revenue in the range of $115.5 million to $117.5 million, while analysts surveyed by LSEG called for $120.3 million. Nordstrom -- Shares of the department store fell more than 1% after a buyer group that includes Nordstrom's founding family made an offer to take the company private for $23 per share. -- CNBC's Alex Harring and Jesse Pound contributed reporting