Shares That Make The Greatest Strikes At Noon: Alibaba, Wayfair, Humana, and Extra
Traders wait for Wayfair to go public on the floor of the New York Stock Exchange on October 2, 2014.
Lucas Jackson | Reuters
Check out the companies that are making the headlines in midday trading.
Alibaba shares fell more than 5% after Ant Group’s record-breaking IPOs were suspended in Shanghai and Hong Kong. Alibaba owns around 33% of the Ant Group.
Wayfair – The ecommerce name rose more than 4% after the company reported quarterly numbers that beat analysts’ expectations on both the top and bottom. Wayfair made $ 2.30 per share on an adjusted basis, which is almost three times the 80-cent analyst survey surveyed by Refinitiv. Revenue was $ 3.84 billion, which was also above expectations.
SolarEdge Technologies – The solar system manufacturer’s shares were down more than 23% after falling short of revenue expectations in the third quarter and giving poor fourth quarter forecasts. Research firms Northland Capital Markets and Oppenheimer downgraded the stock after the report, while a number of analysts, including Cowen, lowered their price targets. However, the company said the company’s problems are “transitory and not structural” and that the downside is an “opportunity to buy when it is weak”.
Humana – Health insurance stock rose 4.1% after third-quarter results beat Wall Street’s estimates on the upper and lower ranges. The company reported adjusted earnings per share of $ 3.08 and revenue of $ 18.82 billion. Analysts surveyed by FactSet forecast $ 2.81 per share and revenue of $ 18.62 billion. The company said care use, which fell sharply earlier in the year due to the pandemic, rebounded but was still below historical levels by the end of the quarter.
Ferrari shares fell more than 7% after the luxury car company posted better-than-expected earnings in the previous quarter. Ferrari achieved earnings per share of 92 cents, surpassing a FactSet estimate of 82 cents. The company also expects the full year result to be in the upper range of the forecast.
PayPal shares fell about 1% after the payment company released a profit forecast that disappointed Wall Street. PayPal expects earnings to grow between 17% and 18% in the fourth quarter. Analysts polled by FactSet forecast earnings growth of 23.9% for the quarter. In terms of the results for the third quarter, however, the company prevailed in the upper and lower ranges.
McKesson Corp. – The medical and pharmaceutical company’s stocks rose more than 6% after McKesson reported a stronger-than-expected fiscal second quarter. The company reported adjusted earnings per share of $ 4.80 and revenue of $ 60.81 billion. Wall Street analysts expected earnings per share of $ 3.87 and revenue of $ 59.45 billion. McKesson’s US pharmaceutical sales increased 5% year over year.
Skyworks Solutions – The semiconductor company was down almost 2% despite better-than-expected quarterly results. Skyworks made $ 1.85 per share on revenue of $ 957 million. Wall Street is forecasting earnings of $ 1.52 per share on revenue of $ 842 million, according to Refinitiv. Skyworks also issued strong guidance for the first quarter and revenue.
Cirrus Logic – The semiconductor supplier’s shares rose more than 7% after hitting the income statement. Cirrus reported earnings of $ 1.26 per share, while Wall Street had forecast earnings of 90 cents per share, according to Refinitiv. Revenue was $ 347 million, beating expectations of $ 311 million. Cirrus also gave strong sales guidance for the next quarter.
Monster Beverage – The beverage company’s shares rose 2.8% after Morgan Stanley switched Monster Beverage from equal weight to overweight. The Wall Street company sees “upside” and “strong” international momentum.
Constellation Brands – The beer, wine and spirits maker’s shares rose nearly 5% after Morgan Stanley switched Constellation Brands from equal weight to overweight. The company said the company had “strong ratings” and that market concerns were “exaggerated”.
AMC Entertainment – Shares rose more than 13% even after the cinema chain posted better than expected quarterly results and a 90% decline in sales. According to FactSet, AMC posted a loss of $ 5.70 per share in the previous quarter, compared to a loss of $ 4.85 expected by analysts. Revenue for the third quarter was roughly $ 120 million, a sharp drop from a year earlier, but better than Wall Street’s expectations of just $ 84 million. The stock fell nearly 9% on Monday after AMC detailed plans to sell up to 20 million Class A shares to raise nearly $ 50 million in new capital.
– with reports by PIppa Stevens, Yun Li, Jesse Pound and Yun Li.