Market Movers: A Day of Mixed Fortunes on Wall Street
A range of companies experienced notable stock price movements in pre-market and midday trading, driven by earnings reports, acquisition announcements, product launches, analyst upgrades, and geopolitical developments.
Auto & Auto Parts
AutoZone shares declined significantly, dropping over 5% pre-market and over 10% by midday. CEO Phil Daniele reported that international sales faced challenges in the most recent quarter, while domestic sales performed well. The company reported third-quarter revenue of $4.84 billion, below the FactSet consensus estimate of $4.86 billion. Quarterly earnings per share of $38.07 exceeded the expected $36.22.
Ferrari shares fell 3% pre-market and nearly 6% by midday after the company launched its first fully electric vehicle, named Luce, at a venue in Rome.
Lear Corp. shares gained 2% after TD Cowen upgraded the auto parts supplier from hold to buy. The investment bank stated the company is positioned favorably in North American auto production, which it expects to be stronger than anticipated.
Pharmaceuticals & Biotech
Eli Lilly shares rose approximately 1% after the company announced it is acquiring Curevo Inc., LimmaTech Biologics AG, and Vaccine Company to expand its infectious diseases portfolio.
Semiconductors: A Sector Surge
Chip stocks rose amid hopes that the conflict involving Iran would soon end. The VanEck Semiconductor ETF (SMH) gained over 3% to a 52-week high.
- Micron Technology shares saw a significant increase, rising over 6% pre-market and nearly 18% by midday to a new high, boosting its market capitalization. UBS raised its price target for Micron to $1,625 from $535.
- Qualcomm gained over 3% after Bloomberg reported a deal with ByteDance to supply chips for AI data centers.
- Advanced Micro Devices rose over 3% pre-market and 6% by midday.
- On Semiconductor and Western Digital each added nearly 9%.
Other Notable Movements
Space stocks rallied, with Intuitive Machines jumping 10% pre-market and 14% by midday, and AST SpaceMobile gaining 6% pre-market and 19% by midday.
Cantor Fitzgerald expressed a bullish view on the sector, citing a $90 million contract awarded to Rocket Lab by the U.S. Space Force for two geospatial satellites, and Intuitive Machines reaffirming its fiscal year guidance and anticipating a contract decision on a Lunar Terrain Vehicle later this week. Rocket Lab rose over 5%.
- Oklo: Shares rose 6% after the Department of Energy selected the company, with partner Newcleo, for discussions on using Cold War-era plutonium for nuclear reactor fuel.
- Modine Manufacturing: Shares jumped 16% after announcing a $4 billion agreement through 2029 with a data center customer for cooling solutions.
- Oil Stocks: Energy companies declined, with Exxon Mobil and Chevron each falling 1%.