Stocks making the biggest moves midday: Microsoft, Chegg, Zoom Video, Paramount and more
James Tahaney loads textbooks on to a pallet in preparation for shipping at the Chegg warehouse in Shepherdsville, Kentucky, April 29, 2010.John Sommers II | Bloomberg | Getty Images
Check out the companies making headlines in midday trading.
Zoom Video Communications — The software stock added nearly 2% ahead of its third-quarter earnings due after market close. Analysts polled by FactSet expect $1.08 per share in earnings and revenue of $1.12 billion for the quarterly period, compared to the company’s guidance of between $1.07 and $1.09 per share in earnings and between $1.115 billion and $1.120 billion in revenue.
Paramount Global — Shares of the entertainment giant popped nearly 7%. The Professional Fighters League announced on Monday that it completed its acquisition of mixed-martial arts brand Bellator from Paramount.
Penn Entertainment — The gambling stock jumped 7% on the heels of a Bank of America upgrade to buy from neutral. The firm said shares could get a boost from ESPN Bet, the company’s new sportsbook.
Spectrum Brands Holdings — Shares dipped 2% after Wells Fargo downgraded the home essentials company to equal weight from overweight, saying it is less convicted about fundamentals.
Microsoft — Shares jumped 1.9% after Microsoft announced that former OpenAI CEO Sam Altman and president and board chair Greg Brockman will be joining the tech giant to head a new artificial intelligence research team. Analysts viewed the hirings as a positive catalyst for Microsoft in the long term.
Nvidia — The chip giant’s shares rose by about 1%. Raymond James reiterated Nvidia as a strong buy ahead of Nvidia’s fiscal third-quarter report due late Tuesday, forecasting “another strong quarter.” The company is expected to have earned $3.37 per share on revenue of $16.19 billion, according to consensus estimates from FactSet.
Boeing — The aerospace stock jumped 4% after Deutsche Bank upgradedthe shares to a buy rating from hold. The Wall Street firm said that aircraft deliveries are accelerating, which could carry through to a positive inflection in free cash flow revisions.
Chegg — Shares of the education technology company dropped 5% following a downgrade to underweight from equal weight by Morgan Stanley. The bank said the stock’s recent run higher created an unattractive risk/reward and noted Chegg is seeing weaker web traffic and download trends.
Krispy Kreme — Shares of the doughnut chain declined by 2% following a downgrade by JPMorgan to neutral from overweight. Analysts said that although Krispy Kreme has enormous underlying appeal, the company has execution issues.
Iovance Biotherapeutics — The biopharmaceutical stock popped nearly 9% after Goldman Sachs initiated coverage of the company with a buy rating and $12 price target, suggesting the stock can more than double from Friday’s close. The firm said Iovance is developing a “best-in-class” autologous tumor-infiltrating lymphocyte therapies for solid tumor cancers and is optimistic about its commercial opportunity.
Caterpillar — Shares of the global leader in construction machinery were down 1.3% after HSBC initiated coverage of the stock at a hold rating. The firm said it likes the stock for its “leading position,” but attributed its rating to headwinds facing the U.S. machinery market.
United Rentals — United Rentals fell about 2% after director Terri Kelly on Friday disclosed selling 630 shares of the equipment rental company, according to a regulatory filing. Kelly still owns 6,249 shares.
Bristol-Myers Squibb — Shares dropped nearly 4% after the drug company, along with 2seventy bio, announced a delay in gaining expanded approval for Abecma for earlier lines of triple-class exposed relapsed or refractory multiple myeloma.
— CNBC’s Alex Harring, Yun Li, Lisa Kailai Han, Sarah Min and Michelle Fox contributed reporting.
