Stocks See Wild Premarket Swings as Robinhood, Reddit, and AppLovin Move Sharply

The stock market experienced notable premarket volatility as earnings reports, analyst ratings, and investor sentiment triggered significant price changes for several companies. Key players like Robinhood, Reddit, Cisco Systems, and AppLovin saw major swings following their latest financial results and forward outlooks.

Robinhood, AppLovin, and Dutch Bros Lead Gainers

Robinhood surged 13% in premarket trading after reporting stronger-than-expected Q4 revenue of $1.01 billion, surpassing Wall Street’s $944.6 million estimate. The company’s better-than-forecast results suggest continued growth in user engagement and monetization, boosting investor confidence.

AppLovin saw the biggest gain, skyrocketing 28% following an earnings beat. The company posted an impressive EPS of $1.73, well above analyst expectations of $1.24. It also reported $1.37 billion in revenue, exceeding forecasts of $1.26 billion. Analysts pointed to strong mobile advertising trends as a key driver of AppLovin’s performance.

Dutch Bros also rallied, climbing 24% after posting Q4 EPS of $0.07, while analysts had predicted only $0.02. Revenue hit $343 million, topping the projected $318 million. Additionally, the coffee chain offered an optimistic full-year 2025 revenue forecast of $1.555 billion to $1.575 billion, surpassing market expectations of $1.532 billion. This upbeat guidance fueled further investor enthusiasm.

Cisco, Sony, and Molson Coors Report Gains

Cisco Systems gained 5% after delivering better-than-expected fiscal Q2 results. The tech giant, which had seen declining revenue in recent quarters, posted a 9% year-over-year revenue increase, suggesting a potential turnaround. Investors responded positively to Cisco’s improved outlook for 2025.

Sony climbed 4%, boosted by Q3 net income of 373.70 billion yen, exceeding the 294.08 billion yen expected by analysts. Revenue hit 4.41 trillion yen, well above forecasts. The company’s upgraded guidance further reinforced optimism about its future performance.

Molson Coors rose 7% after reporting robust Q4 earnings of $1.30 per share, outpacing the predicted $1.13 per share. Revenue stood at $2.74 billion, also beating the expected $2.70 billion. More importantly, the company projected high single-digit earnings growth in 2025, well above analysts’ prior expectations of just 3%.

Trade Desk, Reddit, and Barclays Decline

Not all stocks performed well. Trade Desk saw the most significant drop, plummeting 29% in premarket trading. The company reported Q4 revenue of $741 million, falling short of Wall Street’s $759 million projection. Worse, its Q1 2025 revenue guidance came in at $575 million, missing the $592 million estimate. The disappointing outlook led to a sharp decline in investor sentiment.

Reddit slipped 8% after reporting Q4 daily active unique visitors at 101.7 million, slightly below the expected 103.1 million. Despite a 39% year-over-year increase in user count, the shortfall raised concerns about the platform’s growth momentum.

Barclays dropped 4.2% due to lackluster forward guidance. RBC analyst Benjamin Toms noted that while results were close to expectations, the bank’s net interest income projections failed to impress investors, resulting in selling pressure.

Deere & Company Faces Uncertainty

Deere & Company fell 5%, despite beating Q1 profit and revenue expectations. The decline was driven by concerns about weakening demand for agricultural equipment in 2025. Despite positive financial results, cautious guidance led to investor concern, prompting a sell-off.

Market Sentiment and Future Trends

The earnings season has created a volatile atmosphere, with stocks responding sharply to both financial performance and forward-looking statements. AppLovin, Dutch Bros, and Robinhood were among the biggest gainers, while Trade Desk, Reddit, and Barclays saw substantial declines.

Investors continue to favor companies that not only exceed expectations but also provide strong guidance. Stocks like Cisco, Sony, and Molson Coors benefited from this trend, while firms like Deere and Trade Desk faced pressure due to more uncertain outlooks.

Moving forward, investor sentiment will remain closely tied to future guidance and overall market conditions. Companies that can continue to deliver strong financials alongside positive forecasts are likely to remain top picks in the coming months.