Today is Jobs Day, with investors expecting the May employment numbers to rise modestly from April's figures, with a strong showing potentially delaying interest rate cuts by the Federal Reserve; Nvidia (NVDA) is due to carry out a 10-for-1 stock split at market close, with split-adjusted trading to begin on Monday; GameStop (GME) shares are falling in volatile premarket trading after unexpectedly reporting first-quarter results; and Samsara (IOT) and Docusign (DOCU) shares are dropping despite earnings beats and raised guidance. U.S. stock futures are little changed ahead of the closely watched May job numbers.Here’s what investors need to know today.
1.May Jobs Numbers Expected to Rise Modestly From April
Investors are expecting the highly anticipated May jobs numbers due at 8:30 a.m. ET from the Bureau of Labor Statistics to show the labor market continuing to register modest increases in employment, although strong gains will likely delay plans by the Federal Reserve to cut interest rates this year. Fed officials have said they will only cut rates from their 23-year highs if price pressures come down. The hot job market cooled considerably in April, and forecasters expect hiring continued at its new, slower pace in May. Employers likely added 190,000 jobs in May, slightly above the 175,000 added in April, according to forecasts by economists surveyed by Dow Jones Newswires and The Wall Street Journal. The median forecast called for the unemployment rate to stay at 3.9%, close to historic lows.
2.Nvidia 10-for-1 Stock Split Due After Closing Bell
Nvidia (NVDA) is due to carry out a 10-for-1 stock split after market close Friday, with split-adjusted trading to begin on Monday. After the split, there will be 10 times as many shares of Nvidia common stock, which is currently trading above $1,200 each. The split will lower the price of individual shares without impacting the total value of investors' Nvidia holdings or the company's market cap. Shares of the chip designer, which has dominated the artificial intelligence (AI) boom, have been on a tear, with its market value on Wednesday breaching the $3 trillion threshold occupied by just Microsoft (MSFT) and Apple (AAPL). Its shares are down slightly in premarket trading, having fallen Thursday following a report from The New York Times that federal regulators plan to investigate the dominance of the company, Microsoft, and OpenAI in the AI space.
3. GameStop Sinks After Surprise Q1 Report, Share Sale Before Gill’s Livestream
GameStop (GME) shares retreated from earlier gains and are 17% lower in volatile premarket trading after the video-game retailer unexpectedly reported first-quarter results, hours before aYouTube livestreamthatmeme-stock influencerKeith Gillhas scheduled for noon ET Friday. The company said its net sales for the first quarter fell to $882 million from $1.24 billion the same period last year, although its net loss narrowed to $32.3 million from $50.5 million. The company also said in a Securities and Exchange Commission (SEC) filing it would sell up to 75 million additional shares on top of the 45 million shares it had recently sold for more than $900 million. Meanwhile, today’s livestream by Gill, also known as “Roaring Kitty” on YouTube and "DeepF---ingValue" on Reddit, will be his first since the height of the meme stock craze in January 2021. Gill revealed a stock position worth more than $100 million on Sunday and is credited with driving the bricks-and-mortar retailer and other meme stocks higher three years ago.
4.Samsara Slumps Even as It Lifts Outlook, Reports Earnings Beat
Samsara (IOT) shares are dropping 7% in premarket trading even as the fleet-management software provider’s quarterly results topped Wall Street estimates and it also lifted its sales and profit guidance amid broader adoption of its platform. In the current quarter, Samsara guided net sales between $288 million and $290 million, representing a 31% to 32% jump from last year’s equivalent period. The San Francisco-based company expects adjusted profit between break-even and 1 cent a share. Thetop-lineoutlook exceeded analysts' modeling at $287 million, while thebottom-linemidpoint forecast slightly missed the consensus of a penny a share.
5.Docusign Falls Despite Better-Than-Expected Results, Raised Guidance
Docusign (DOCU) shares are falling 6% in premarket trading even as thee-signature and document management companyposted top- and bottom-line results that beat analysts’ forecasts. The company posted first-quarter fiscal 2025 revenue of $709.6 million, a 7% year-over-year gain, and adjusted earnings per share (EPS) of $0.82, both above estimates. Docusign also forecast $2.92 billion to $2.932 billion in full-year revenue, up from its prior projection of $2.915 billion to $2.927 billion, and boosted its stock buyback program by up to $1 billion.
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