Pre-Market : Morgan stanly gains; Masimo Falls: Stocks in news

Pre-Market

Pre-Market active stocks

Gainers

• Activision Blizzard (NASDAQ:ATVI) stock rose 4%; After Microsoft (NASDAQ:MSFT), up 0.1%, agreed to keep the mega-popular gaming franchise “Call of Duty” on Sony’s (NYSE:SONY) PlayStation console, Activision Blizzard (NASDAQ:ATVI) stock rose 4%. The FT also reported that EU antitrust authorities will investigate whether Microsoft unfairly bundles its Teams video conferencing program with Office next week.
• Yelp (NYSE:YELP) stock rose 3.6%; Goldman Sachs upgraded Yelp (NYSE:YELP) to “buy” from “neutral,” citing a good risk/reward basis and consistent ad trends. The stock increased 3.6%.
• Tesla (NASDAQ:TSLA) stock rose 2.2%; After two years of delays, Tesla (NASDAQ:TSLA) announced it had built its first Cybertruck on Sunday, raising its shares 2.2%.
• Apple (NASDAQ:AAPL) shares climbed 0.2% after Morgan Stanley raised its price target and maintained its “Top Pick” status, predicting its India business could be worth $40 billion in 10 years.
• United Airlines (NASDAQ:UAL) stock rose 0.2%; After a pilot labor agreement, United Airlines (NASDAQ:UAL) stock climbed 0.2%. Last year, these pilots rejected a contract with cumulative wage increases of 14.5% and increased overtime and training compensation.

Losers

• Twilio (NYSE:TWLO) shares declined 1.8%; after Piper Sandler downgraded it to “neutral” from “overweight,” citing macroeconomic risks and recent divestitures affecting future sales.
• AT&T (NYSE:T) stock fell 1.2%; Citi downgraded AT&T (NYSE:T) to “neutral” from “buy” due to “legacy lead sheathed cable exposure,” sending the stock down 1.2%.
• PepsiCo (NASDAQ:PEP) stock fell 1.2%; After Morgan Stanley downgraded PepsiCo (NASDAQ:PEP) to “equal weight” from “overweight,” the stock slid 1.2%. Morgan Stanley said the stock is fairly valued and anticipates limited upside in the second half of the year.

MARKET MOVERS 

AFTER MARKET MOVERS

GAINERS

• Constellation Brands, Inc. (NYSE:STZ) 3% HIGHER; announced the election of Luca Zaramella, Mondelz International’s Chief Financial Officer, and William (Bill) T. Giles, former AutoZone (NYSE:AZO) CFO, to the company’s Board of Directors effective July 18, 2023, following the company’s 2023 Annual Meeting of Stockholders. The 11 incumbent Directors who sought reelection were reelected to the Board for one year, according to the preliminary Annual Meeting results. Today’s election of Mr. Zaramella and Mr. Giles brings Constellation’s Board to 13 members and completes a comprehensive Board refreshment and governance upgrade process the business began last year after switching from a dual to a single class share structure.

LOSERS

• Aqua Metals, Inc. (NASDAQ:AQMS) 26% lower; plans an underwritten public offering of its ordinary stock.
• Highpeak Energy Acquisition Corp (NASDAQ:HPK) 10% down; launched an underwritten public offering of common stock.
• Carvana Co. (NYSE:CVNA) 8% lower; results date advanced by two weeks.
• Omnicom Group (NYSE:OMC) 6% down; Q2 EPS of $1.81, $0.01 better than analyst expectation of $1.80. Revenue for the quarter was $3.61 billion versus the consensus estimate of $3.67B.

MIDDAY MOVERS

GAINERS

• Morgan Stanley (NYSE:MS) stock climbed 6.7% as wealth management outperformed transaction activity to beat adjusted profit and sales expectations.
• Bank of America (NYSE:BAC) stock increased 4.7% after the lending giant’s second-quarter profit rose due to higher loan payments and better trading results.
• Novartis (NYSE:NVS) ADRs rose 4.3%; After excellent second-quarter sales, Novartis (NYSE:NVS) upped its full-year profit and revenue expectations and proposed a schedule for the spin-off of its Sandoz generic drugs subsidiary, sending its ADRs up 4.3%.
• Pinterest (NYSE:PINS) stock jumped 3.8% after Evercore ISI upgraded it to “outperform” from “in line,” citing steady digital ad spend and possible recovery.
• Shopify (NYSE:SHOP) stock fell 2.4% Evercore ISI downgraded Shopify (NYSE:SHOP) to “in line” from “outperform,” citing a less compelling risk-reward outlook. The stock slid 2.4%.
• Pfizer (NYSE:PFE) stock rose 1.1%; After Pfizer (NYSE:PFE) and Flagship Pioneering pledged $100 million to identify and develop 10 novel medications, the stock climbed 1.1%.Chipotle (NYSE:CMG) stock rose 0.6% After signing a contract with Kuwait-based Alshaya Group, Chipotle (NYSE:CMG) stock climbed 0.6%.

Losers

• Masimo (NASDAQ:MASI) stock fell 21% After reporting weaker-than-expected second-quarter sales due to its healthcare business, Masimo (NASDAQ:MASI) stock plummeted 21%.

UPGRADES BY EXPERTS

Evercore ISI upgrades Pinterest, and shares rise.

Pre-market trading on Pinterest (NYSE:PINS) shares increased by more than 3% after Evercore ISI boosted its price objective for the stock from $30.00 to $41.00 and upgraded the firm to Outperform from In Line.

Stock of Blade Air Mobility, which was given a Buy recommendation, has increased. Blade Air Mobility (NASDAQ:BLDE) received coverage from Thalmann with a Buy rating and a $13.00 price target.

Chewy’s (NYSE:CHWY) stock now has a favourable risk/reward profile, according to Goldman Sachs, which also raised its price target from $42.00 to $50.00. This is because the company is shifting its focus to regaining customer growth and there is the potential for steady margin expansion.Yelp’s (NYSE:YELP) shares increased by more than 10% yesterday as a result of Goldman Sachs raising its price objective for the business from $38.00 to $47.00 and upgrading it from Neutral to Buy, citing a favourable risk/reward ratio and stable or rising local advertising trends.

DOWNGARDES BY EXPERTS

Evercore downgrade sinks Shopify.

After Evercore ISI downgraded Shopify (NYSE:SHOP) to In Line from Outperform with a $69.00 price objective, shares slid over 1% pre-market.

3 firms downgraded Activision Blizzard

In real time, InvestingPro reported three downgrades for Activision Blizzard (NASDAQ:ATVI).

Wells Fargo reduced to Equal Weight from Overweight with a $95.00 price target. Atlantic Equities reduced to Neutral from Overweight with a $95.00 price target. Baird reduced to Neutral from Outperform with a $90.00 price target.

Three downgrades dropped State Street (NYSE:STT) shares by 2% Wednesday. The stock fell 12% on Friday after poor Q2 earnings.

UBS downgraded the business to Neutral from Buy with a $72.00 price objective (from $90.00). Keefe, Bruyette & Woods reduced to Market Perform from Outperform with a $73.00 price target. JPMorgan lowered to Underweight from Neutral with a $71.00 price target (from $78.50).

Celanese (NYSE:CE) shares dipped 1% pre-market after Deutsche Bank downgraded the business to Hold from Buy with a price objective of $125.00 (from $120.00).

Earnings Calendar

Monday JULY 17

Equity Lifestyle Properties Inc. (ELS)

Tuesday JULY 18

Bank of America (BAC), Morgan Stanley (MS), Novartis (NVS), Lockheed Martin (LMT), Prologis Inc. (PLD), The Charles Schwab Corporation (SCHW), PNC Financial Services (PNC), Bank of New York Mellon (BK), J.B. Hunt Transport Services (JBHT), Omnicom Group Inc. (OMC), Synchrony Financial (SYF), and Hasbro Inc. (HAS)

wednesday JULY 19

Tesla (TSLA), ASML ADR (ASML), Netflix (NFLX), IBM (IBM), Elevance Health (ELV), Goldman Sachs (GS), U.S. Bancorp (USB), Crown Castle (CCI), Las Vegas Sands (LVS), Kinder Morgan (KMI), Baker Hughes (BKR), Halliburton (HAL)Discover (DFS), Equifax (EFX), Nasdaq Inc (NDAQ), M&T Bank (MTB), Steel Dynamics (STLD), Northern Trust (NTRS), Citizens Financial Group Inc (CFG), Globe Life (GL), Severn Trent (SVT), Zions (ZION), Johnson Matthey (JMAT)

For details

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