Stocks making the biggest moves midday: Lockheed Martin, Paychex, CVS and more
Check out the companies making headlines in midday trading. New Fortress Energy – Shares of the natural gas company popped 17% after New Fortress priced its underwritten public offering of roughly 46 million shares at $8.63 per share through Morgan Stanley. Deutsche Bank reduced its price target and downgraded New Fortress to sell on Tuesday, citing the pending dilution of equity and its view that the stock carries “too much risk inherent” to the company’s business model. Energy stocks – U.S. crude oil futures rose 4% on worries that Iran is preparing to attack Israel , sending shares of energy companies higher. APA Corp jumped 5%, while Halliburton added 3%. Hess and Occidental Petroleum each jumped more than 2%. Energy was the top performing sector of the S & P 500, up nearly 2%. Arcos Dorados – Shares surged more than 11% after the company told McDonald’s that it’s exercising its option to renew its master franchise agreement with the restaurant chain. The new agreement is also expected to include the option to renew for another 20 years upon expiration, beginning Jan. 1, 2045. Defense stocks – Defense stocks rose on Tuesday after the White House warned that Iran was preparing an “imminent” ballistic missile attack on Israel. Shares of Lockheed Martin and Northrop Grumman were last trading higher by 3.7% and 4.1%, respectively. L3Harris Technologies advanced 3%. Paychex – The stock rose more than 4%, hitting a new 52-week high, after the company reported better-than-expected fiscal first-quarter results. Paychex posted earnings of $1.16 per share, excluding items, on revenue of $1.32 billion. That’s above the earnings of $1.14 per share on $1.31 billion in revenue that analysts were expecting, according to FactSet. HP Inc – Shares slumped more than 4% after Citi downgraded the personal computer maker to neutral from buy, citing a deteriorating industry setup and limited near-term artificial intelligence tailwinds. Walt Disney — Shares slid 2.6% after Raymond James downgraded the media conglomerate to market perform from outperform, saying moderating demand and a softening consumer dims the outlook for Disney’s parks business. CVS Health – The stock slipped almost 2% after CNBC, citing people familiar with the matter, reported the health-care company is conducting a strategic review of its business with advisors. One option being weighed is a breakup of the insurance and strategic business, the people said. Reuters first reported the news on Monday. Clorox – Shares of the household supplies company climbed nearly 2% after an upgrade to buy from hold at Jefferies. The investment firm thinks Clorox is at an inflection point and should see earnings upside ahead. — CNBC’s Sarah Min, Hakyung Kim, Samantha Subin, Lisa Kailai Han, Pia Singh, Michelle Fox and Darla Mercado contributed reporting.
