Tesla (TSLA) is up 5.6% to $262.31 after the electric vehicle maker’s shares were upgraded to buy from hold by Morgan Stanley analyst Adam Jonas, who also set the stock’s price target of $250 -Dollar to a Wall Street high of $400 per share. The upgrade focuses on artificial intelligence, with Jonas writing that Tesla has “developed an advanced supercomputing architecture that pushes new frontiers in custom silicon and potentially gives Tesla an asymmetric advantage in an aggregated $10 trillion addressable market.”
Alibaba’s (BABA) American Depositary Receipts edged up 0.3% in premarket trading. Hong Kong-listed Alibaba fell 2.7% after Daniel Zhang, the e-commerce giant’s former chief executive officer, resigned as chairman and chief executive officer of its cloud division. Alibaba is seeking a stock market listing of its cloud unit, the company’s second-largest division by revenue.
JM Smucker (SJM) is close to a deal to acquire Twinkies owner Hostess Brands (TWNK) for around $4 billion, the Wall Street Journal reported, citing people familiar with the matter. Hostess Brands is currently valued at approximately $3.7 billion. Hostess Brands rose 6.7% in premarket trading. Smucker shares rose 0.9%.
Advertisement – Scroll to continue
Shares of Apple (AAPL) are up 0.8% in premarket trading, a day ahead of the tech giant’s annual launch event this fall, dubbed “Wonderlust” this year. The event is expected to focus on the debut of the iPhone 15. The most notable change to the phone will likely be the move to the widely used USB-C standard connector from Apple’s proprietary Lightning connectors.
Alphabet (GOOGL) rose 0.3% as the Justice Department will finally hear its three-year-old antitrust case against Google starting Tuesday. The DOJ argues that the Alphabet unit has an illegal monopoly on the Internet search market.
Kenvue (KVUE) is up 3.5% to $22.04. Shares in the company, which sells products including Band-Aid, Listerine, Neutrogena and Tylenol, were upgraded from hold to buy by Deutsche Bank and the price target was left unchanged at $27.
Metaplatforms
Advertisement – Scroll to continue
(META), the parent company of Facebook and Instagram, is working on a new artificial intelligence system that should be as powerful as OpenAI’s most advanced model, the journal reported. According to the Journal, which cited people familiar with the matter, Meta is aiming for the new AI model to be ready within the next year. Meta shares rose 0.9%.
Earnings reports from Oracle (ORCL), FuelCell Energy (FCEL), Casey’s General Stores (CASY) and Skillsoft (SKIL) are expected on Monday.
Software company Adobe (ADBE) reports earnings later this week, as does homebuilder Lennar (LEN).
Write to Joe Woelfel at [email protected]