Stocks making the biggest moves midday: GameStop, Tesla, FedEx and more
Check out the companies making headlines in midday trading Friday.
GameStop — Shares of the video game retailer gained about 3.5%, erasing big overnight losses, as investors looked past the company’s unexpected loss during the holiday quarter. GameStop said it’s launching a new marketplace for nonfungible tokens, or NFTs, by the end of the second quarter.
FedEx — FedEx shares fell nearly 4% after the company missed earnings estimates for the quarter. The company beat on revenue but said worker shortages amid the omicron variant outbreak hurt its bottom line.
Tesla — Shares gained 4% after Morgan Stanley reiterated its overweight rating on Tesla. The call came after CEO Elon Musk tweeted that he was “Working on master plan part 3.” Morgan Stanley said it sees “Part 3 as mass industrialization, a network flywheel and ‘connecting the dots’ across adjacent TAMs.”
Moderna — Shares of Moderna rose 6% on news that it is seeking FDA approval for a second Covid-19 booster shot for adults 18 years or older. Pfizer and its partner BioNTech requested approval for a Covid-19 booster for those 65 and older this week.
Rent the Runway — Shares of the fashion rental company soared 19% after Jefferies initiated coverage of the company with a buy rating, noting the company’s high barrier to entry could help it drive as much as 50% top-line growth. Jefferies also initiated coverage of the RealReal, Farfetch and ThredUp with buy ratings. The stocks rose 8%, 5% and 4%, respectively.
Joann — The craft retailer’s stock fell 6% after the company reported disappointing quarterly sales for the previous quarter. Joann also saw a $60 million increase in ocean freight costs last year — one of many supply chain disruptions. Piper Sandler downgraded the retailer to neutral from overweight.
Wingstop — Shares of the chicken wings restaurant franchise were flat after falling nearly 5% in midday trading as Piper Sandler downgraded the stock to underweight from overweight. The firm expects the stock to experience resistance in the near term.
Garmin — The consumer electronics stock gained 2.7% on the heels of an upgrade to buy from Bank of America. The recent pullback in the stock makes Garmin a buy the dip candidate considering its strong fundamentals, Bank of America said in a note to clients.
U.S. Steel — Shares of U.S. Steel fell nearly 5% after issuing weaker-than-expected guidance for the quarter, The company cited increasing raw materials costs as one of the contributors.
— CNBC’s Yun Li, Jesse Pound, Hannah Miao and Maggie Fitzgerald contributed reporting