Check out the companies that make headlines for trading in the afternoon.
Tech Equities – Hi-tech equities fell as Tuesday’s benchmark 10-year Treasury yield hit a high of 1.567%. Twitter was down 4.7%, Microsoft and Google were down more than 3%, and Salesforce was down 2.6%. Growth stocks such as tech stocks suffer from rising bond yields because they reduce the relative value of future returns. The technology-intensive Nasdaq is moving at a pace of 10.ns The day that fell in the last 15 sessions.
Applied Materials – Semiconductor shares fell 6.8% after New Street downgraded its shares from buying to neutral. The Wall Street company cited Applied Materials’ very high reputation for downgrading. Other cicadas also declined, with Advanced Micro Devices down more than 5% and Micron Technology reporting revenue after the bell, down more than 2%.
BioNTech, Moderna – Vaccine makers BioNtech and Moderna fell by 8.6% and 5.4%, respectively, after French pharmaceutical company Sanofi announced positive results from its mRNA-based COVID vaccine research. Sanofi said it will halt further growth as the market is already dominated by Pfizer and Modana. Instead, we will use mRNA technology for other vaccines and focus on developing protein-based COVID vaccines using GlaxoSmithKline.
Wells Fargo — Wells Fargo’s stake fell 4.2% after Morgan Stanley downgraded its stake from overweight to equivalent weight due to ongoing regulatory challenges. Federal Reserve Board Chairman Jerome Powell said last week that the central bank would keep Wells Fargo’s asset cap “until the company comprehensively corrects the problem.” Morgan Stanley predicts that overcoming these regulatory issues will drive up Wells Fargo’s costs.
Huntsman Corporation — According to The Wall Street Journal, stake in chemical manufacturers rose to more than 7% after activist hedge fund Starboard Value acquired an 8.4% stake in the company. The Journal reported that Starboard said the stock was undervalued and would make changes to improve the stock’s performance.
United Natural Foods — Food distributors rose more than 20% after the company reported quarterly earnings of $1.18 per share. It exceeded the consensus estimate of 80 cents per share. Revenue was below consensus estimates. The company reported strong pandemic demand from customers since the same quarter a year ago.
Thor Industries — Shares of the automaker rose 7.6% after reporting quarterly earnings of $4.12 per share, well above analysts’ estimates of $2.92 per share. Revenue also exceeded Wall Street’s expectations. Toll cited continued demand for RVs and said the backlog was record high.
FactSet — The share of financial data and software companies rose more than 4% after traversing the top and bottom lines of quarterly results. FactSet reported earnings per share of $2.88 for revenue of approximately $421 million. According to Refinitiv, Wall Street expects to generate $2.72 against $405 million in revenue.
Energy Stocks – Energy stocks continued to rise as Brent crude oil on the international oil benchmark and West Texas Intermediate crude oil futures on the US benchmark edged higher on Tuesday. Cabot Oil & Gas and Simlex each rose more than 1%. Halliburton rose about 2%.
— CNBC’s Maggie Fitzgerald and Younlee contributed reports
be a smart investor CNBC Pro..
Get access to stock selections, analyst phone calls, exclusive interviews and CNBCTV.
Sign up and get started free trial today