Check out the companies making headlines in midday trading.
Trex — Shares of the wood-alternative decking manufacturer declined by 3.9% even after Goldman Sachs initiated Trex with a buy rating. The bank said the company is “well-positioned” to drive growth and profitability.
Eli Lilly, Point Biopharma — Eli Lilly shares slumped 3.7% after the pharmaceutical giant announced plans to purchase cancer therapy developer Point Biopharma for $12.50 a share in cash, or about $1.4 billion. Point Biopharma shares surged more than 85%.
Rivian Automotive — Shares of the electric vehicle maker lost 5%, even though Rivian’s deliveries topped estimates and showed sustained demand. Morgan Stanley earlier reiterated the company as overweight, saying the Rivian’s FY23 production guide of 52,000 units supports the firm’s delivery forecast of 48,000 units. Concerns remain about softening demand for EVs in the U.S. due to higher borrowing costs.
Airbnb — The short-term vacation rental company fell more than 5% after KeyBanc downgraded the stock to sector weight from overweight. KeyBanc said that AirBnb’s margins will be squeezed as post-pandemic travel demand eases.
McCormick — Shares of the spice maker slipped 9% after McCormick reported earnings of 65 cents per share, excluding items, for the recent quarter on revenues of $1.68 billion. That came in roughly in line with the earning-per-share of 65 cents and $1.7 billion in revenue expected by analysts polled by StreetAccount.
Meta — Shares of the social media behemoth slipped more than 2% following news that the company is considering charging European Union Facebook and Instagram users a $14 monthly fee to access both platforms without ads.
Fiverr International — Shares gained 2% after Roth MKM upgraded the company to buy from neutral. The Wall Street firm is “incremental positive” on the stock, citing a freelancer survey that supports Fiverr’s leading position among gig workers.
Ally Financial — The home and auto company lost 2.5%. Earlier in the day, Evercore ISI added a tactical outperform rating on the stock, noting it appears oversold near term. However, Evercore ISI reiterated a long-term in-line rating on Ally and trimmed its 12-month price target.
— CNBC’s Alex Harring, Brian Evans, Samantha Subin and Jesse Pound contributed reporting.