Wall Street Breakfast Podcast: Starship Stall Weighs On SpaceX

SpaceX (SPCX) fell 4.2% after aborting its Starship V3 launch, extending a five-day losing streak below its $135 IPO price.

Netflix (NFLX) missed Q2 revenue expectations at $12.56B, despite 13.4% Y/Y growth and operating income of $4.19B beating consensus.

Wayfair (W) announced a major summer sales event, aiming to drive holiday-level demand ahead of its Q2 earnings on August 4.

STAAR Surgical (STAA) dropped 12% as investors weighed geopolitical and operational headwinds despite strong preliminary Q2 revenue.

SpaceX (SPCX) is down 4.2% in early trading after calling off Thursday's Starship launch sinking further below its IPO price of $135. Shares also fell 3% in Thursday’s trading. The stock is on a five-day losing streak.

A 90-minute launch window opened at 6:45 p.m. ET, and within minutes, the reusable rocket maker announced on a livestream that it was standing down for the day. “Some of the engines didn’t start, triggering an automatic launch abort,” Musk wrote in a post on X. He added later in another X post: “To be confident of a good flight, 2 Raptors will be removed & replaced. Most probable launch timing is early next week.” The rocket was poised for takeoff from SpaceX’s Starbase complex in South Texas. It would’ve been the first test flight of Starship V3, an upgraded version of its roughly 400-foot-tall rocket, since SpaceX’s blockbuster IPO last month.

Netflix (NFLX) is trading lower in premarket action after the streaming giant released its second quarter earnings report. Revenue for the second quarter was up 13.4% year over year (+12% on a foreign exchange neutral basis), driven primarily by membership growth, pricing, and increased ad revenue. However, that mark was slightly below the consensus expectation. Revenue of $12.56B (+13.4% Y/Y) misses by $20M. Operating income for the quarter was $4.19B vs. $4.13B consensus and $3.78B a year ago. Free cash flow was $1.53B vs. $2.93B consensus. In terms of leveraging technology, Netflix (NFLX) highlighted that it continues to evolve its product to create more personalized, immersive, and interactive experiences for members.

Wayfair Inc. (W) announced that it will hold a summer sales event next week that rivals Black Friday deals. The online retailer said the five-day sale (July 23-27) brings holiday-level savings across every home category. The sale will be available on Wayfair and across its family of brands. Wayfair (W) ran multiple June sales events that were explicitly positioned as competing with or rivaling Amazon Prime Day but could have less direct competition with the late July event. Looking ahead, Wayfair (W) is due to report second quarter earnings on August 4. The company is forecast to record its fifth straight quarter of positive sales growth. Premarket Wayfair (W) is down 2.7%.

Stock index futures are lower before the opening bell. Crude oil is up 2.1% at $80. The FTSE 100 is down 0.1% and the DAX is down 0.8%. One stock on the biggest movers list: STAAR Surgical (STAA) -12% - Shares tumbled despite reporting preliminary Q2 revenue of more than $90M, roughly doubling Y/Y and in line with expectation. Investors focused on ongoing geopolitical and macroeconomic headwinds and operational challenges.