The Week's Top Stories is a guided tour through the biggest market stories of the week, from winning stocks to brutal dips to the facts and forecasts generating buzz on Wall Street.
FOOT LOCKER FALLS
Shares of Foot Locker tanked 27 percent on Friday after the retailer released first quarter earnings that missed Wall Street estimates. CEO Mary Dillon pointed the finger at the "macroeconomic backdrop" and the need to aggressively mark down prices to clear out excess inventory. Now the company is anticipating squeezed margins for the upcoming quarters, with lower demand and higher levels of theft continuing to cut into profits.
VICE MEDIA DECLARES BANKRUPTCY
In what feels like the end of an era for a certain brand of millennial-focused digital journalism, Vice Media declared Chapter 11 bankruptcy on Monday. The company had struggled to find its financial footing after its rapid rise in the 2010s. The bankruptcy comes just one month after fellow digital news outlet BuzzFeed News shut down.
Target, Home Depot, and Walmart all reported this week in a whirlwind of earnings that presented a mixed picture for the sector. Shares of Target are down nearly 4 percent for the week after seeing a surprise drop in online sales. Walmart's stock is also down despite beating estimates on earnings and revenue, with the likely culprit being a lower-than-expected adjusted earnings guidance for the coming quarter. Finally, Home Depot posted its worst revenue miss in 20 years.
Netflix's stock surged 9 percent on Thursday as investors got excited about the streaming giant's new advertising model. The company said that 25 percent of its new subscribers went with its cheaper, ad-supported tier that launched late in 2022. The bump marks a turnaround for Netflix, which has struggled recently to keep up subscriber growth.
SILICON VALLEY BANK CEO APOLOGIZES
Greg Becker, former CEO of Silicon Valley Bank, told lawmakers this week that he was "truly sorry" for how the failure of the lender impacted customers and shareholders. At the same time, he defended his decision to go on vacation amid the collapse. Meanwhile, regional bank stocks rallied amid a surge in investor confidence in the sector, which has struggled since the collapse of Silicon Valley Bank in March. Shares of PacWest, for example, jumped 18 percent after falling 21 percent last week.