Premarket movers: Dell, GitLab surge and MongoDB tumbles

Investing.com - U.S. stock index futures edged lower on Wednesday as investors contended with a global bond selloff, elevated energy prices and growing expectations that the Federal Reserve could raise interest rates later this month, putting pressure on rate-sensitive technology stocks.

S&P 500 futures slipped 0.2% to 7,617 points, while Nasdaq 100 futures fell 0.4% to 29,003 points. Dow Jones Industrial Average futures were little changed at 52,797 points.

In individual stock moves, Dell Technologies shares climbed nearly 10% in premarket trading after the computer maker raised its annual revenue and profit forecasts, helped by strong demand for its artificial-intelligence-optimized servers.

The upbeat outlook underscored the continued strength of AI infrastructure spending, as technology companies and hyperscalers increase investments in data centers to support large language models and other AI applications. Rival Super Micro Computer has also benefited from strong demand for AI-related infrastructure.

Hewlett Packard Enterprise shares rose 4.7% before the open, extending gains ahead of the company’s fiscal third-quarter earnings report due after the closing bell.

Shares were recently at $53.28, compared with a previous close of $50.87. Strong results from Dell provided a positive read-across for HPE, raising expectations ahead of its own earnings release.

MongoDB shares tumbled 13.6% to $375.25 in premarket trading despite the cloud database company reporting stronger-than-expected fiscal second-quarter results.

Revenue for the quarter rose 30% year over year to $771.8 million, beating Wall Street expectations by about 5%, while adjusted earnings per share of $1.90 topped the $1.61 consensus by 18%.

The sharp decline suggested investors were looking beyond the headline earnings beat and focusing on the company’s outlook and valuation after a period of strong growth.

GitLab shares surged 22% to $55 in premarket trading after the software development platform delivered a strong fiscal second-quarter earnings report.

Revenue rose 21% year over year to $286.3 million, beating the $273.1 million consensus, while adjusted EPS of $0.25 came in 39% above expectations. GitLab also raised its full-year revenue guidance to $1.129 billion to $1.133 billion and lifted its adjusted EPS forecast to $0.85 to $0.87.

Uber Technologies shares rose 2.4% following a Bloomberg report that the ride-hailing company plans to cut about 3,300 jobs, or roughly 10% of its global workforce, as part of a restructuring aimed at reducing management layers.

The restructuring is expected to reduce Uber’s management ranks by about 20%, with some managers moving into individual-contributor roles, according to a company spokesperson. The move is intended to simplify the organization as Uber seeks to reduce complexity accumulated during its expansion.

Sirius XM shares gained 3.1% in premarket trading after Deutsche Bank upgraded the stock to Buy from Hold and raised its price target to $45 from $31.

The upgrade represents a significant shift in the bank’s view of the satellite-radio company and comes as Wall Street remains divided on the stock. Before the call, analysts covering Sirius XM had four Buy ratings, seven Holds and three Sell ratings.

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