Adobe Systems World Headquarters in downtown San Jose, California.
Lisa Werner | Mobile Moment | Getty Images
Take a look at the companies making headlines in midday trading.
Netflix: Streaming shares gained 7% after Evercore ISI upgraded Netflix to an outperform rating and said its stock could rise more than 30% as it launches an ad-supported service and reduces password sharing.
Adobe: Shares of Adobe fell 15% on news that it is acquiring a design software company known as Figma for about $20 billion in cash and stock. The company beat earnings estimates for the period, but shares mixed guidance for the current quarter.
Oracle: The software company’s shares fell another 2%, extending a 5% sell-off from the previous session on weak gains. Oracle’s earnings were $1.03 per share, adjusted, compared with the $1.07 per share analysts were expecting, according to Refinitiv. Its income, however, met expectations.
Railroad Stocks: Select railroad stocks rose after the announcement of a last-minute tentative deal between railroad companies and the unions that represent their workers. Union Pacific and Norfolk Southern were up 1.6 percent and just under 1 percent, respectively. CSX Corp. was down more than 2% even as it rose in extended trading before the bell.
Wynn Resorts: Shares rose 8% after Credit Suisse upgraded Wynn Resorts to outperform, saying the casino’s stock could nearly double following the expansion of its Las Vegas hotel convention center.
Buy-now-pay-later stocks: Shares of top buy-now-pay-later stocks fell after a Consumer Financial Protection Bureau report called for more oversight of the industry. PayPal and Affirm Holdings declined less than 1%, while Block shares rose nearly 2%.
Fisker: The electric vehicle maker’s share price rose 3.6% after Needham initiated coverage of Fisker with a buy rating as demand for electric vehicles accelerates. Tesla shares rose about 1% amid an upgrade to a hold rating on underperform.
Humana: Shares of Humana rose nearly 7% after raising its earnings guidance for the fiscal year. The health insurance company also announced a new addition to its board of directors.
Nordstrom: The department store’s stock gained 2% after Jefferies upgraded it to a buy rating. The firm said in a note to clients that Nordstrom is better positioned than some of its peers in a downturn.
Deckers Outdoors: Shares of Deckers Outdoor rose more than 2% after Wedbush upgraded the footwear company to outperform, saying in a note to clients that it is well-positioned to weather a difficult trading environment.
Danaher: The medtech company’s shares rose about 1% on the day after it announced spinoff plans for its environmental and applied sciences unit.
NextEra Energy: NextEra Energy fell 3% a day after the alternative energy company said it plans to sell $2 billion in equity units.
Arconic Corp – The manufacturing company’s shares fell nearly 15% after Arconic cut its full-year forecast amid higher energy costs in Europe and declining demand.
Duckhorn Portfolio: Shares of the winemaker fell 8% after being downgraded by JPMorgan to neutral from overweight. JPMorgan said it still likes Duckhorn, calling the company’s long-term and operating track record since its initial public offering “impressive.” However, the company is concerned that Duckhorn’s guidance could disappoint.
– CNBC’s Alex Harring, Michelle Fox, Yun Li and Sarah Min contributed reporting.
