Here’s a look at the companies making headlines in midday trading: Victoria’s Secret – Shares fell 3.5% after Goldman Sachs initiated coverage of the stock with a sell rating, saying it sees “tight macroeconomic conditions and ongoing competitive pressures” for lingerie companies in the near future. . In the long term, the firm is constructive about the company’s loyalty initiatives and renewed product focus. Meta Platforms – Shares of Facebook’s parent company fell more than 11%. On Wednesday, Meta reported weaker-than-expected second-quarter earnings guidance, with CEO Mark Zuckerberg talking about spending in areas such as artificial intelligence and mixed reality that are not currently profitable. However, Meta’s first-quarter earnings and revenue beat analysts’ estimates. Technology stocks. Shares of major tech giants fell on Thursday as weak Meta earnings guidance led to declines across the sector. Shares of Microsoft and Alphabet fell about 3% and 2%, respectively, ahead of the reporting period. Amazon’s share price fell 2%. Monster Beverage – JPMorgan downgraded Monster Beverage from overweight to neutral due to “pricing pressure,” causing the company’s shares to fall about 3%. Honeywell — Shares of the industrial company fell 1.5% after it reiterated its full-year guidance. Honeywell reported adjusted earnings per share of $2.25, beating analysts’ estimates of $2.17 per share at LSEG. Revenue for the quarter was also better than expected, coming in at $9.11 billion, compared to analysts’ expectations of $9.03 billion. Merck & Co. — The pharmaceutical giant added 2% on stronger-than-expected first-quarter results. Merck earned an adjusted amount of $2.07 per share on revenue of $15.78 billion. Analysts surveyed by LSEG forecast earnings per share of just $1.88 and revenue of $15.2 billion. Deckers Outdoor – Bank of America downgrades the footwear maker for Everyday Lifestyle from Buy to Neutral, saying it sees better risk-reward in other areas of the company. Shares fell 5%. Southwest Airlines – Shares fell more than 7% after the airline lost both revenue and earnings. The company reported an adjusted loss of 36 cents per share, wider than LSEG’s expected loss of 34 cents. Revenue of $6.33 billion was also below the consensus estimate of $6.42 billion. Management warned that Boeing aircraft delays would weigh on the company’s growth in 2025 and cut its growth forecast accordingly. ServiceNow — Shares of the digital workflow company fell 5% after it narrowly beat analysts’ expectations in the first quarter. ServiceNow’s revenue was $2.6 billion, slightly higher than the $2.59 billion expected by analysts surveyed by LSEG. Adjusted earnings also beat forecasts. Chipotle Mexican Grill — Chipotle Mexican Grill shares rose 5% after the fast-food chain beat Wall Street forecasts in the first quarter and reported 7% same-store sales growth, topping StreetAccount’s forecast by 5.2%. . International Business Machines. IBM’s revenue missed consensus estimates but beat net income, sending shares of the technology equipment company down nearly 10%, according to LSEG. IBM also agreed to buy HashiCorp for $6.4 billion, causing HashiCorp shares to rise 4.7%. Bank of America reiterated its buy rating on the stock following the report. Caterpillar – Shares fell 6.5% after revenue of $15.8 billion in the latest quarter missed analysts’ estimates of $16.04 billion, according to LSEG data. The construction equipment maker’s report also provided sales forecasts for the second quarter. Nvidia — Shares of the chip giant rose about 3% on Thursday even as the broader market fell. Nvidia has still not fully recovered from its 10% drop on April 19 as its price remains below pre-sale levels. Evercore ISI confirmed that Nvidia is outperforming the market, saying investors should use any weakness in the stock to buy the dip. Comcast — Media shares fell more than 6% after quarterly broadband subscriber losses eclipsed its highs and lows. Comcast said it lost 65,000 broadband customers during that period. Deutsche Bank – U.S.-listed shares of Deutsche Bank rose nearly 8% to a 52-week high. The German lender reported first-quarter revenue and profit that beat expectations as its investment banking unit continues to recover. — CNBC’s Alex Harring, Brian Evans, Samantha Subin, Yoon Lee, Lisa Kailai Han, Pia Singh and Michelle Fox contributed reporting. Disclosure: Comcast is the parent company of NBCUniversal and CNBC.
