Signage outside a Bed Bath & Beyond retail store in New York, August 25, 2022.
Gaby Jones | Bloomberg | Getty Images
Check out the companies making headlines in midday trading.
SILVERGATE — Shares of the crypto-focused bank fell more than 42% after Silvergate announced massive customer withdrawals in the fourth quarter. The bank said it had $3.8 billion in assets from customers with digital assets at the end of December, down more than 60% from three months earlier. The company also sold more than $5 billion in debt to cover the withdrawals, resulting in a $718 million loss on those sales.
Bed Bath & Beyond – The homewares retailer plunged 24% after reporting it was running out of cash and is considering bankruptcy as sales came in weaker than expected. The company said it was evaluating financial options, including restructuring, seeking additional capital or selling assets, in addition to a possible bankruptcy.
Lamb Weston Holdings – The food processing company rose 9% after beating quarterly earnings and sales estimates. Lamb Weston also raised its full-year financial guidance.
Walgreens Boots Alliance – The pharmacy operator plunged more than 8% despite beating Wall Street’s earnings expectations and raising its full-year outlook. Walgreens posted a net loss related to an opioid lawsuit settlement.
CrowdStrike – Shares of the cloud-based software company slid more than 8% to hit a fresh 52-week low after Jefferies downgraded CrowdStrike to hold from buy. The Wall Street firm said 2023 “will be a more challenging fundamental year for growth stocks.”
Constellation Brands – Shares of the alcoholic beverage maker fell 8.8% after quarterly earnings came in slightly below analysts’ expectations, according to FactSet. The company reported that sales of wine and spirits declined for the quarter and shipments fell 14.8%.
Shopify — Shares fell more than 4% after Jefferies downgraded Shopify to hold from a buy rating, citing uncertain macroeconomic challenges ahead for the e-commerce stock.
Conagra Brands — Shares rose nearly 3% after Conagra Brands beat expectations in its latest earnings results and raised its guidance for fiscal 2023. The food company reported earnings of 81 cents a share on sales of $3.31 billion. It should be making 66 cents a share on sales of $3.28 billion, according to consensus estimates on StreetAccount.
Amazon — The e-commerce giant fell nearly 2% after announcing it would cut 18,000 jobs, becoming the latest tech company to slow after rapid expansion during the pandemic.
GE Healthcare Technologies – Shares in the new public company fell 3% in the second day of trading after rising 8% on Wednesday. The company was spun off from General Electric as part of the conglomerate’s plan to split into three separate companies. GE’s energy segment is expected to be spun off next year, allowing GE to focus solely on aviation.
American Express – Shares of the global integrated payments company fell more than 2% after Stephens downgraded it from equal weight to underweight. The company said it was concerned that American Express’ cushion is slipping into a recession and cut its price target on the stock to $134 per share from $146.
Ally Financial – Ally fell 1.8% after Bank of American downgraded the stock to “buy” and said slowing credit demand could hurt the company.
– CNBC’s Sarah Min, Michelle Fox, Samantha Subin, Jesse Pound, Yun Li and Alex Harring contributed coverage