Dow futures fall 300 points as Salesforce shares fall: live updates

Nelson Peltz has sold his entire stake in Disney, a person familiar with the matter told CNBC, just weeks after Trian Partners lost a proxy battle against the media giant. Peltz sold his stock at about $120 per share, earning about $1 billion on the position.

Disney shares were little changed premarket Thursday.

—Fred Imbert

China plans to impose a record 1 billion yuan ($137.94 million) fine on accounting firm PricewaterhouseCoopers for its role in auditing troubled real estate developer China Evergrande, according to Bloomberg.

The report adds that some local PwC operations could be suspended.

China’s Finance Ministry could announce sanctions against PwC as early as this week, Bloomberg reported, citing people familiar with the matter.

The announced fine is expected to surpass the previous record of 212 million yuan for an accounting firm, imposed on Deloitte Touche Tohmatsu in 2023.

-Lim Hui Jie

Shares of Australian mining companies fell after mining giant BHP abandoned its £38.6 billion ($49 billion) plan to buy rival Anglo American.

In a regulatory filing, BHP said that while it believed its takeover offer represented “a compelling opportunity to effectively increase value for both groups of shareholders”, it failed to achieve an agreement with Anglo American, particularly regarding South African. regulatory risk and cost.

BHP had already made two offers worth £31.1 billion in April and a £34 billion offer on May 14.

BHP shares lost 1.73%, while peers Rio Tinto and Fortescue Group fell 1.34% and 2.27% respectively.

Japan’s Nikkei 225 index fell more than 2% at the open Thursday, dragged down by health care, consumer discretionary and industrials stocks.

The index’s biggest loser was semiconductor equipment company Advantest, which fell 5.8%.

Mitsubishi Electric, the electrical appliance manufacturing arm of truck trading group Mitsubishi, fell almost 5%. Other big losers included Tokyo Electric Power Company which fell 4.7% and medical device maker Terumo, which lost 4.25%.

Salesforce Inc. is poised to shave 281 points off the Dow Jones Industrial Average as market opens Thursday, based on its nearly $43 drop in after-hours trading Wednesday.

Salesforce is slumping after its second-quarter revenue and earnings per share forecasts fell short of analysts’ consensus estimates, according to FactSet data.

Because the Dow is price-weighted, each dollar change in any security moves the average up or down by about 6.6 points. That means Salesforce’s $42.60 loss would equate to a 281-point drop Thursday morning.

—Scott Schnipper

Activist investor Nelson Peltz has sold his entire stake in Disney, a person familiar with the matter told CNBC.

Peltz sold all of his Disney stock at about $120 per share, earning about $1 billion on that position.

The release comes weeks after Peltz’s Trian Partners lost a proxy battle at Disney in early April, with shareholders re-electing the entire slate of candidates to the company’s board of directors. Peltz was seeking to elect himself and former Disney CFO Jay Rasulo to the company’s board of directors.

Disney shares slipped 0.2% in after-hours trading Thursday.

The full list can be found here.

—Hakyung Kim, Sara Salinas, Scott Wapner

Although Salesforce’s earnings beat analyst estimates by 6 cents, first-quarter revenue fell short of expectations. This sends shockwaves through Wall Street, as it is the tech giant’s first earnings shortfall since February 2006, according to information from earnings data firm LSEG.

Adding to the disappointing results are weak revenue and profit forecasts for the second quarter. Shares of flagship stocks plunged 17% following this news. This move alone would cause the Dow Industrials to fall 315 points if Salesforce stock’s current losses continue as the market opens Thursday.

— Robert Hum

Check out the companies making headlines in extended trading:

Salesforce — Shares plunged more than 14% after first-quarter revenue of $9.13 billion missed consensus estimates of $9.17 billion, according to LSEG. Adjusted earnings of $2.44 per share beat the consensus estimate of $2.38, but guidance for the current quarter fell short of estimates on both the top and bottom line.

UiPath — The software company fell 30% after announcing that its CEO, Rob Enslin, would resign effective June 1. He will also leave his board of directors. Daniel Dines, former CEO of UiPath and current Chief Innovation Officer, will return to the helm.

HP Inc. — The personal computer maker rose 3%. HP reported adjusted earnings of 82 cents per share on revenue of $12.8 billion in its fiscal second quarter, above analysts’ estimates of 81 cents per share and a figure of business of $12.6 billion, according to LSEG.

The full list can be found here.

-Hakyung Kim

U.S. stock futures opened negative Wednesday evening.

Futures contracts tied to the Dow Jones Industrial Average fell 258 points, or 0.7%.

S&P 500 and Nasdaq-100 futures fell 0.2% each.

-Hakyung Kim