Check out the companies making headlines in midday trading.
Disney — Shares jumped 5% after the company reappointed Bob Iger as chief executive officer, effective immediately and 11 months after he left Disney. Bob Chapek, Iger’s hand-picked successor who was named CEO in February 2020, has come under fire during his tenure for various decisions leading to a slide in Disney’s stock price and weaker-than-expected profits.
MongoDB — Shares of the database platform provider fell 8% after Morgan Stanley downgraded them to equal weight from overweight and predicted the company will face near-term challenges around cautious corporate spending.
Carvana — Shares of the used car company slid 13% after Argus downgraded the stock to sell from hold. The Wall Street firm said the company appears to have lost some of its competitive advantage as many traditional dealerships have expanded online sales.
Coinbase — Coinbase shares slid about 9% along with cryptocurrency prices in the wake of rival FTX’s bankruptcy. A Bank of America analyst also recently said that while Coinbase is not another FTX, it still faces headwinds amid general skepticism about the cryptocurrency market.
China stocks — Growing Covid concerns in China weighed on the Asian market. The Shanghai Composite and the Shenzhen Component Index both fell 0.4%. Three people died over the weekend after contracting Covid, the first deaths from the virus that mainland China has recorded since May when Shanghai was still locked down.
Energy stocks — Energy stocks were the biggest losers in the S&P 500 midday after oil prices fell to their lowest levels since early January following a Wall Street Journal report that Saudi Arabia and other OPEC oil producers are discussing an output increase. The Saudi Energy Minister has denied the report. Still, Diamondback Energy and Halliburton fell 4% and 2.9%, respectively. Marathon Oil lost 2.9%. Hess, Devon Energy, Occidental and APA Corp each declined more than 2%.
Williams-Sonoma, RH — Shares of Williams-Sonoma and RH fell 3.2% and 5%, respectively, after both were downgraded by Barclays to equal weight from overweight. Analyst Adrienne Yih, who also slashed the price targets of both home furnishing retailers, cited a trickle-down impact on home furniture spending from the weakening housing cycle.
Imago BioSciences — Shares of the cancer drug developer surged 105% after Merck agreed to purchase the company in a deal valued at $1.35 billion. Merck’s stock rose slightly during midday trading.
Intel — Shares dipped more than 2% after Cowen downgraded Intel to market perform from outperform, according to StreetAccount.
— CNBC’s Yun Li, Michelle Fox, Samantha Subin and Sarah Min contributed reporting