Stocks Making The Biggest Moves In The Pre-Market: MSG Entertainment, BowX Acquisition, Root Inc. & More
Check out some of the largest moving companies on the pre-market:
BowX Acquisition (BOWX) – The special-purpose acquisition company will publicize office sharing company WeWork valued at $ 9 billion, including debt. Starwood Capital, Fidelity Management and others are participating in the deal as “PIPE” investors. BowX rose 3.6% in the pre-market.
Ford Motor (F) – The automaker will halt production of its popular F-150 pickup truck over the weekend at a Michigan facility due to global semiconductor shortages.
MSG Entertainment (MSGE) – The owner of Madison Square Garden and other venues is buying MSG Networks (MSGN) in a stock swap deal valued at more than $ 900 million. MSG Networks fell 4.9% in the pre-market.
JPMorgan Chase (JPM), Bank of America (BAC), Citigroup (C), Wells Fargo (WFC) – These and other bank stocks are under surveillance after the Federal Reserve announced plans to lift restrictions on bank dividends and share buybacks. This will happen after the stress tests in June, when the banks can show that they can have sufficient capital. JPMorgan was up 1.1% in premarket trading, Bank of America was up 1.5%, Wells Fargo was up 1.3% and Citi was up 1.3%.
Annaly Capital Management (NLY) – Annaly has reached an agreement to sell its commercial real estate business to investment firm Slate Asset Management for $ 2.33 billion. The real estate finance company assumes that the transaction will be completed by the end of the third quarter. Annaly gained 1% in the pre-market.
Altria, MO – The tobacco manufacturer’s stock rose 1.3% in premarket trading after Jefferies upgraded it from hold to buy. The company said that Altria’s opportunities are underestimated in so-called RRPs (products with reduced risk).
Microsoft (MSFT) – Microsoft is currently in advanced talks to buy the Discord messaging platform for $ 10 billion or more, according to the Wall Street Journal. Bloomberg reported earlier this week that both sides had spoken but that no deal was imminent and that Discord was heading for an IPO.
Root Inc. (ROOT) – Root rose 3.9% in premarket trading after rising 4.9% on Thursday. The auto insurer is “misunderstood” according to Citron Research founder Andrew Left, who calls it a “disruptive technology company”. Since going public in October, Root’s share price has halved.
Uber (UBER), Lyft (LYFT) – A judge in Massachusetts has ruled that Uber and Lyft may continue to contest independent contractors. The hail shipping companies had tried to have the prosecutor general dismiss the case. The judge did not decide whether drivers should be classified as independent contractors or as eligible employees. Uber rose 1.1% in premarket trading.
Nio (NIO) – Nio will cease production of electric vehicles at its plant in Hefei, China due to the global semiconductor shortage. The suspension will begin on Monday and last for five days. This prompts Nio to lower its delivery forecast for the first quarter from 20,000 to 20,500 to 19,500 vehicles. Nio fell 5% before entering the market.
Progress Software (PRGS) – Progress Software reported quarterly earnings of 91 cents per share, 13 cents per share above estimates. Income also exceeded forecasts. The enterprise application software company also raised its full year outlook. Progress Software gained 2.6% in premarket trading.
Zoom Video (ZM) – Deutsche Bank began reporting the company’s video messaging platform with a “hold” rating based primarily on its valuation after its stock rose in 2020. Deutsche Bank is optimistic over the long term based on the growth drivers, scale and growth of what Zoom calls “best-in-class” products.