Shares traded higher on Thursday after a number of global central banks announced rate hikes. The moves follow a statement by Federal Reserve Chair Jerome Powell on Wednesday, who told Congress the Federal Reserve is likely to raise interest rates again this year. Powell will address lawmakers again on Thursday.
Tesla (TSLA) fell 1% to $256.83 after shares of the electric vehicle maker fell 5.5% in the previous session. On Thursday, Morgan Stanley downgraded the stock to “Equal Weight” from “Overweight.” Shares were downgraded to “hold” from “buy” by analysts at Barclays on Wednesday.
Spirit AeroSystems (SPR) slumped 10% as the Boeing (BA) supplier announced it would shut down factory production after the company’s union workers voted to go on strike. Boeing fell 1.8%.
Method Electronics (MEI) reported fourth-quarter earnings that came in below Wall Street expectations. The stock fell 4.4%.
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Accenture (ACN) fell 3.6% after the company lowered its growth outlook for fiscal 2023.
Overstock.com (OSTK) rose 7.9% after Bed Bath & Beyond agreed to sell its intellectual property assets to the online shopping site for $21.5 million. Overstock.com submitted its bid for the assets of Bed Bath & Beyond last week.
Alcoa (AA) fell 5.3% after a Morgan Stanley analyst downgraded the aluminum products maker’s shares to underweight from equal weight.
DigitalOcean (DOCN) is down 4.2% after shares of the cloud infrastructure company were downgraded to underweight from neutral by Piper Sandler.
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Darden Restaurants (DRI) fell 3.4% after the owner of Olive Garden and LongHorn Steakhouse reported same-store sales growth below Wall Street estimates.
Activist investor Elliott Investment Management is trying to oust NRG Energy’s (NRG) chief executive officer, the Wall Street Journal reported, citing people familiar with the matter. The stock rose 3.3%. Elliott is in talks with potential candidates to succeed CEO Mauricio Gutierrez and other top executives, the people told the journal. The activist investor announced last month that it had acquired a roughly $1 billion stake in NRG Energy.
An NRG spokeswoman told The Journal that the company’s board fully supports Gutierrez and the management team’s strategy.
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KB Home (KBH) fell 3%. The homebuilder reported fiscal second quarter earnings that beat analysts’ estimates and said it expects sales of between $5.8 billion and $6.2 billion in 2023, ahead of its previous guidance. Analysts had expected sales of $5.62 billion for the fiscal year.
Logitech International (LOGI) rose 2% after the computer peripherals maker’s board approved a new stock buyback program worth up to $1 billion. Logitech’s shares fell 2.7% on Wednesday after reports said one of its gamepads was used to control the missing submersible Titanic.
Anheuser-Busch InBev (BUD) rose 1.6% after a Deutsche Bank analyst upgraded shares of the bud light maker to a buy from a hold.
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Commercial Metals (CMC) reported third-quarter earnings and sales that beat analyst estimates. The stock gained 3.6%.
Write to Joe Woelfel at [email protected] and Angela Palumbo at [email protected]