Several companies were making headlines in midday trading for various reasons. SoFi Technologies saw its stock price drop approximately 10% due to disappointing second-quarter earnings guidance. The consumer fintech company forecasted adjusted revenue between $555 million and $565 million and net income of $5 million to $10 million, falling short of analysts’ expectations. Tesla, on the other hand, saw its shares soar by 16% after reaching a significant milestone in China with the rollout of its full self-driving technology. Domino’s Pizza experienced a 4.5% increase in its stock price after reporting better-than-expected earnings for the first quarter.
Philips, the Dutch medical devices giant, saw its shares surge over 29% to a two-year high after agreeing to a $1.1 billion settlement in the U.S. related to personal injury cases associated with the recall of some of its sleep apnea devices. AT&T saw a 2.8% increase in its stock price following an upgrade from Barclays, citing a “mismatch” between the company’s valuation and its growth prospects. Roku, the TV streaming distributor, also saw a 3% increase in its stock price after receiving an upgrade to buy from neutral at Seaport Research Partners, which highlighted the attractive risk/reward of the company’s growth prospects.
Apple’s shares rose more than 3% after Bernstein upgraded the tech stock to outperform from market perform, signaling that concern about recent weakness in China may be overblown. Southwest Airlines, however, experienced a 2% decline in its stock price after being downgraded to underperform from hold at Jeffries, citing concerns about the airline’s declining cash position and vulnerability of its dividend. Dave, a fintech company, saw its shares rise by 9.8% after JMP initiated coverage with an outperform rating, noting the company’s financial stability and promising investment opportunities. AMC Entertainment Holdings saw a 9.7% drop in its stock price after preannouncing first-quarter results, reporting better-than-expected revenue but slightly disappointing adjusted EBITDA.
Lastly, Paramount Global, an entertainment company, saw its shares climb 3.7% ahead of its earnings report after reports surfaced that its board was preparing to fire CEO Bob Bakish as soon as Monday. Overall, these companies experienced various fluctuations in their stock prices based on factors such as earnings guidance, milestone achievements, upgrades and downgrades, and leadership changes. Investors continue to closely monitor these developments as they weigh the implications for their investment portfolios.
