Check out the companies making significant moves in premarket trading:
1. CarMax: Shares plummeted by 9% after the used-car retailer reported earnings and revenue below expectations for its fourth quarter. Earnings were at 32 cents per share, lower than the 49 cents anticipated by analysts. Revenue also fell short at $5.63 billion compared to the $5.8 billion consensus estimate.
2. Nike: Shares rose by 2% after receiving an upgrade from Bank of America to buy from neutral. The bank believes Nike’s estimates are now reachable and projects mid-single-digit revenue growth with margin expansion for the sneaker company.
3. Robinhood: The stock dropped by almost 3% following a downgrade to sell by Citi. Analysts cited a disconnect between the brokerage firm’s valuation and its fundamental outlook, despite a 44% increase in shares year to date.
4. Constellation Brands: Shares increased by 1% after the beverage company, behind Modelo, surpassed fourth-quarter expectations, noting that its beer business is outperforming. Revenue was $2.14 billion, above the $2.10 billion anticipated by analysts.
5. Alpine Immune Sciences: Shares surged by nearly 37% after Vertex Pharmaceuticals announced plans to acquire the company for about $4.9 billion in cash. This deal values Alpine stock at $65, a significant increase from its previous closing price.
6. Vera Therapeutics: The stock rose by more than 10% following the Vertex/Alpine deal announcement. Both Alpine and Vera have potential drug candidates for treating a kidney condition called IgA nephropathy.
7. Albemarle: The chemicals company’s stock saw a 1% increase after being upgraded by Berenberg to buy from hold. The firm expects Albemarle’s volumes and prices to trend upwards, raising its price target by $30 to $160.
8. Atlassian: Shares climbed by 4% after receiving an upgrade from Barclays to overweight from equal weight. The firm believes the work collaboration software maker will attract a larger pool of enterprise customers moving to the cloud, with support from improvements in software developer hirings.
9. DoorDash: The food delivery platform’s shares rose by 2% after a MoffettNathanson upgrade back to buy from neutral. Despite concerns around near-term challenges, the investment research firm sees potential for DoorDash to capitalize on the growing demand for grocery delivery and exceed profitability estimates.
Contributions by CNBC’s Alex Harring and Sarah Min.
In premarket trading, several companies made significant moves. CarMax’s shares dropped 9% after reporting lower-than-expected earnings and revenue for its fourth quarter. Nike’s shares rose 2% after an upgrade to buy from Bank of America, which sees achievable estimates and potential for revenue growth. Robinhood’s stock fell nearly 3% after being downgraded to sell by Citi, citing a disconnect between valuation and fundamental outlook. Constellation Brands saw a 1% increase in shares after beating fourth-quarter expectations. Alpine Immune Sciences’ stock surged 37% after Vertex Pharmaceuticals announced a $4.9 billion cash acquisition. Vera Therapeutics also saw a 10% increase following the Vertex/Alpine deal, as both companies have drug candidates for a kidney condition. Albemarle’s stock rose 1% after an upgrade by Berenberg to buy, with expectations for higher volumes and prices. Atlassian’s shares jumped 4% after an upgrade at Barclays, which expects more enterprise customers to move to the cloud. DoorDash’s stock increased 2% following an upgrade to buy from MoffettNathanson, citing potential for growth in grocery delivery and profitability.
Source link
