Shares of bedding manufacturer and retailer Sleep Number (NASDAQ:SNBR)
fell 18.8% in the morning session after the company reported disappointing third-quarter 2025 financial results and lowered its full-year guidance, both of which missed Wall Street's expectations. Net sales fell by 19.6% year over year to $342.9 million. The company also posted a loss of $1.73 per share, a significant miss compared to analyst projections for a much smaller loss of $0.02 per share. This sales decline was driven by a 20% drop in same-store sales and a reduction in its store count. Compounding the bad news, Sleep Number cut its full-year revenue forecast to approximately $1.4 billion, signaling ongoing pressure on the business.
The US market is yet to commence its session on Wednesday, but let's get a preview of the pre-market session and explore the top gainers and losers driving the early market movements.
Bedding manufacturer and retailer Sleep Number (NASDAQ:SNBR) missed Wall Street’s revenue expectations in Q3 CY2025, with sales falling 19.6% year on year to $342.9 million. The company’s full-year revenue guidance of $1.4 billion at the midpoint came in 2.8% below analysts’ estimates. Its GAAP loss of $1.73 per share was significantly below analysts’ consensus estimates.
Sleep Number's stock plunges after a major Q3 earnings miss, with revenue down 19.6% and a significant loss per share. The company also cut its full-year outlook.
Stocks trading in the $1-10 range are generally smaller players with less risk than their penny stock counterparts.
But that doesn’t mean the underlying businesses are cheap, and we advise caution as many have questionable fundamentals.
As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q2. Today, we are looking at home furniture retailer stocks, starting with Sleep Number (NASDAQ:SNBR).
Expensive stocks often command premium valuations because the market thinks their business models are exceptional.
However, the downside is that high expectations are already baked into their prices, leaving little room for error if they stumble even slightly.
Shares of bedding manufacturer and retailer Sleep Number (NASDAQ:SNBR)
jumped 5.6% in the afternoon session after markets rallied, fueled by signs of easing trade tensions between the U.S. and China.
A number of stocks fell in the afternoon session after a confluence of negative economic data pointed to a weak economy. The latest Survey of Consumer Expectations from the New York Fed revealed that households' short-term inflation expectations are rising, while their outlook on the labor market is deteriorating. Consumers expressed greater concern about potential job losses and expect lower earnings growth, factors that directly impact discretionary spending.
Retailers are overhauling their operations as technology redefines the shopping experience. This includes developing an online presence to fend off e-commerce competitors, a strategy that has helped the industry maintain steady demand by giving it more sales channels.
In turn, retail stocks were up 16.5% over the past six months, on par with the S&P 500.
Shares of bedding manufacturer and retailer Sleep Number (NASDAQ:SNBR)
fell 3.1% in the morning session after new government data showed a decline in consumer spending on furniture, signaling sector-specific weakness.
Great things are happening to the stocks in this article.
They’re all outperforming the market over the last month because of positive catalysts such as a new product line, constructive news flow, or even a loyal Reddit fanbase.
A number of stocks fell in the morning session after markets continued to decline, as investors grew cautious ahead of a key speech by Federal Reserve Chair Jerome Powell. The move came as U.S. equity markets recorded a fifth consecutive day of losses for major indexes like the S&P 500, with technology stocks experiencing the largest declines. Investors have grown wary that the sharp rally in the tech sector since April may have advanced too far. The market-wide caution is largely driven by the upcoming Jackson Hole symposium, a meeting of central bankers, where traders are anxiously awaiting Fed Chair Powell's speech on Friday for guidance on the future path of interest rates.
Stocks in the $10-50 range offer a sweet spot between affordability and stability as they’re typically more established than penny stocks.
But their headline prices don’t guarantee quality, and investors should exercise caution as some have shaky business models.
A number of stocks fell in the afternoon session after the major indices continued to pull back, with technology stocks accounting for most of the market's largest decliners.
A number of stocks fell in the morning session after a hotter-than-expected wholesale inflation report fueled concerns about slowing consumer spending.
A number of stocks jumped in the afternoon session after markets continued to rally amid growing investor optimism for a Federal Reserve interest rate cut in September. This optimism was spurred by a recent Consumer Price Index (CPI) report that did not show runaway inflation, increasing the perceived probability of a rate cut to over 90%. Lower interest rates are generally seen as a positive for the economy as they reduce borrowing costs for consumers, which can stimulate spending on non-essential goods. Consequently, investors bid up shares in the apparel, home furnishings, and automotive retail industries in anticipation of stronger consumer demand.
A number of stocks jumped in the morning session after a tame inflation report boosted investor hopes for an interest rate cut from the Federal Reserve. The latest Consumer Price Index data showed the annual inflation rate held steady at 2.7%, reassuring investors who had feared that tariffs could lead to a spike in consumer prices. This milder-than-expected reading gives the Federal Reserve more flexibility to consider lowering interest rates, possibly as soon as next month. A potential rate cut could reduce borrowing costs for consumers and businesses, stimulating more spending and providing a significant boost for the retail industry. Adding to the optimism, reports of a 90-day tariff truce with China further eased concerns about future price pressures.
Bedding manufacturer and retailer Sleep Number (NASDAQ:SNBR) missed Wall Street’s revenue expectations in Q2 CY2025, with sales falling 19.7% year on year to $327.9 million. The company’s full-year revenue guidance of $1.45 billion at the midpoint came in 4.3% below analysts’ estimates. Its non-GAAP loss of $0.82 per share was significantly below analysts’ consensus estimates.
