• Stocks increased on Thursday due to slower than expected inflation increases.
• Capri Holdings Ltd. (NYSE: CPRI) is being acquired by Tapestry, the parent company of luxury retailer Coach, for $8.5 billion.
• Holley Inc. (NYSE: HLLY) reported lower sales and profits in its second quarter but Applovin Corp (NASDAQ: APP) saw a jump in after-hours trading with better than expected revenue and profit.
Stock Market Increase
WISCONSIN (CoinChapter.com) — Stocks increased on Thursday after a crucial inflation measure revealed slower annual inflation increases than anticipated. The Dow Jones Industrial Average increased by 0.7%. The Nasdaq Composite increased by 0.8%, while the S&P 500 increased by 0.8%.
Capri Holdings Acquisition
Tapestry, the renowned parent company of luxury retailer Coach, has decided to acquire Capri Holdings Ltd. (NYSE: CPRI), which owns illustrious fashion brands such as Michael Kors, Versace, and Jimmy Choo. The acquisition, valued at approximately $8.5 billion, is touted as a strategic move for Tapestry to gain more influence in the European market. As a result of this deal, Tapestry can more effectively compete with industry heavyweights like LVMH and Kering. The combined entity, including brands Kate Spade and Stuart Weitzman under Tapestry’s umbrella, is expected to generate robust global annual sales..
Holley Inc Financial Results
Holley Inc., a prominent player in the performance automotive industry , has unveiled its financial results for the second quarter ending July 2nd 2023 . Net sales saw a minor decrease of 2% falling to $175 million from last year’s $179 million . Gross profit also declined by 7% to $69 million with a gross margin of 39 % compared to last year’s 42 % . Net income stood at 13 million or 11 cents per diluted share , which was significantly lower than last year’s 40 . 6 million or 35 cents per diluted share . However shareholders were pleased that adjusted net income had increased up to 16 million compared to 13 million pushing the stock up 23 % today .
Applovin Corp Performance
Shares of software company Applovin Corp experienced a significant increase , jumping 25 % in after hours trading on Wednesday . This increase was attributed to their successful rollout of an advertising product resulting in profits of 80 million or 22 cents per share , compared to last year’s loss 22 million or 6 cents per share . Revenue decreased 3 % however , falling 750 million dollars .
Conclusion
Overall stocks have seen an increase due to slower inflation rates while several companies have seen varying degrees of success in their respective quarterly reports with both Capri Holdings being acquired and Applovin reporting better than expected revenue and profits seeing its stock soar 25 % respectively