Tour de earnings

🚗 Porsche drove downhill 1.47% after reporting a Q4 that went off track. Not only did its operating profit fall last year, but it cut its outlook for fiscal 2025. The luxury automaker now says it expects a return on sales of between 15% and 17% in the medium term, lower than the previous 19% it had forecast. Management cited challenges like dwindling sales in China, declining EV demand in Europe, and threats from tariffs in the US as the cause.

• EPS: $4.28 per share for the full fiscal year, down 30% from the year prior
• Revenue: $43.50, also for the full year, down 1% year over year

👕 American Eagle declined 4.18% today after revealing weak full-year guidance during its latest earnings announcement due to slowing consumer demand. “Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,” wrote CEO Jay Schottenstein in a statement. Comparable sales, however, rose 3% during the quarter, higher than expectations of 2.1%. Aerie, the brand’s activewear and underwear line, carried the whole team on its back: Its comparable sales were up 6%, compared to 1% at American Eagle’s flagship brand.

• EPS: $0.54, higher than the $0.50 expected
• Revenue: $1.60 billion, exactly meeting expectations

💵 Dollar General jumped 6.85% despite a rocky forecast for 2025. Management referenced the ongoing consumer slowdown, and pointed to tariffs as potentially making a bad situation even worse. The company also announced it was closing 96 Dollar General locations and 45 locations of its higher-end chain, Popshelf. But the stock rose anyway because investors had even lower expectations for the company—and some analysts point to store closures as evidence that management is taking steps for a turnaround.—LB

• EPS: $0.87, lower than estimates of $1.50. (However, the low EPS figure was due to a one-time charge thanks to store closures)
• Revenue: $10.3 billion, compared to the $10.26 billion projected