The heart of earnings season is over, and we're heading into the summer trading doldrums. This doesn't mean that investors can just tap the snooze bar and come back in a few months. Wall Street never sleeps, and the same can be said for financial headlines.
There's no shortage of dates for investors to keep in mind as they size up the market's prospects for 2018. Let's go over a few of the events that may move stocks during the month of June.
One of the few companies reporting this week is Ambarella (NASDAQ:AMBA). The provider of video chip solutions was a market darling when wearable action cameras were all the rage, but the stock has shed more than half its value since peaking three summers ago.
Analysts are bracing for a rough quarter. They see revenue declining 13%, to $56.1 million. And the news gets worse on the bottom line, where those same Wall Street pros see Ambarella earning just a quarter of what it did a year earlier. This should be the third quarter in a row that Ambarella posts a double-digit percentage decline in revenue, and it's naturally already baked into the depressed stock price. However, Ambarella's done its best to diversify into various niche markets. We'll find out tomorrow if it's doing just enough to surpass the market's low expectations.
A sign that Netflix (NASDAQ:NFLX) is getting older is that it's now had to cancel some original shows that have cult followings. In the past, Netflix was stepping up as a savior for network-dismissed shows, serving as a springboard for revivals including Arrested Development and Full House. It became the target of angry viewers when it nixed Sense8.
Netflix got whacked around enough on social media to bring the cast back for a final installment, and that debuts on Friday. Sense8: The Series Finale will aim to tie all loose ends. But it's also laying out the blueprint for fans of other shows that Netflix hasn't renewed to get loud on social media. Sooner or later, Netflix will have to play (and remain) the bad guy. That may be a cue for the fans of Everything Sucks and The Get Down to rattle up the comments section here.
Toy Story Land will officially open at Disney's (NYSE:DIS) Hollywood Studios in Florida at the end of this month. It's the biggest addition of 2018 at the world's most visited theme park resort. The Pixar-themed expansion is opening later in the telltale summer travel season than some of Disney World's previous additions. But it should still draw fans of the Toy Story franchise, which has delivered three theatrical blockbusters over the years.
Disney buffs will point out that there will be more hype next year when Star Wars: Galaxy's Edge opens in the same park. But since that attraction isn't slated to open until late fall of next year, this month's addition will have to do for some time. Disney's Hollywood Studios was the only Disney theme park worldwide to experience a decline in attendance last year, so it can use the boost.