Stocks making the biggest moves midday: Ford, Tesla, Coty, Snap, Spotify & more

Market Insider

Visitor walk past a Ford Escape Titanium at the Shanghai Auto Show in Shanghai on April 17, 2019.

Greg Baker| AFP | Getty Images

Check out the companies making headlines in midday trading.

Ford — Ford was the biggest loser in the S&P 500 in early trading, with shares plunging more than 9% after the legacy automaker missed earnings expectations for the fourth quarter. Ford reported a $1.67 billion for the quarter as costs for pensions and North American warranty and labor grew. The company said it expects adjusted earnings before interest and taxes to be between $5.6 billion and $6.6 billion in 2020.

Tesla — Shares of Tesla dropped nearly 14% to below $800, a day after shares surged 13%. The stock is on track to post in its first decline in seven days after the company announced a delay in Model 3 deliveries due to the coronavirus in China. Wednesday’s losses cut Tesla’s year-to-date gains to about 83%. Canaccord also downgraded the stock to hold from buy, citing concerns about the effect of the coronavirus on the company’s China operations.

Coty — Shares of Coty soared nearly 15% after the beauty company reported better-than-expected earnings. The stock is the biggest winner in the S&P 500 as of midday Wednesday. Coty earned 27 cents per share in its fiscal second quarter, beating FactSet estimate of 24 cents per share. Its revenue also came in above expectations.

Snap — Shares of the social media company tanked more than 10% on disappointing quarterly revenue. Snap reported sales of $561 million for the previous quarter, missing analysts’ estimate of $563 million per Refinitiv. The company’s average revenue per user — a key metric for social media companies — also missed analysts’ expectations.

Humana — Shares of the health insurance company rose nearly 5% following its strong quarterly earnings report. Humana earned $2.28 per share on revenue of $16.295 billion. Analysts estimated earnings of $2.20 per share on revenue of $16.190 billion, according to Refinitiv.

Disney — Shares of Disney dropped 1.5% on coronavirus fears and disappointment around Disney+ guidance. The media giant said it expects second quarter operating income to take a hit from the recent coronavirus epidemic. Disney reported 26.5 million streaming service subscribers but didn’t upgrade its subscriber guidance.

Nike — Shares of Nike fell 1.2% on Wednesday morning as investors worried about the impact of the coronavirus on the company. The company said after the bell on Tuesday that it expected the outbreak to have a material impact on its operations in China. Oppenheimer said in a note to clients that it is lowering its earnings per share estimate for Nike to 68 cents from 71 cents based on outbreak.

Merck — Shares of the healthcare company fell 3.5% after reporting a weaker-than-expected revenue for the fourth quarter. The company posted sales of $11.868 billion, missing a Refinitiv estimate of $11.982 billion. Merck also announced it will spin off its women’s health business to focus on oncology, vaccines, hospitals and animal health.

Spotify — Shares of the music streaming company dropped nearly 5% after missing on the top and bottom lines of its fourth quarter earnings. Spotify reported a loss of $1.14 per share, while analysts expected a loss of 22 cents per share, according to Refinitiv. Revenue came in at $1.855 billion, lower than the forecast $1.894 billion.

Gilead Sciences — Shares of Gilead fell more than 2% after the biotech company reported worse-than-expected earnings. Gilead reported earnings per share of $1.30, missing a Refinitiv estimate of $1.67 per share. The company also issued full-year earnings guidance ranging between $6.05 per share and $6.45 per share, below a Refinitiv estimate of $7.01 per share.

Seagate Technology — Shares of the data storage company fell more than 7% following second quarter earnings results. The company beat EPS expectations, according to estimates from FactSet, although revenue came up short. The stock has lost 8% this year.

Take-Two Interactive — Shares of the video gaming name slid more than 4% after the company announced the departure of one of its vice presidents. Stifel said that the executive was “one of the key creative talents behind the success of the Grand Theft Auto and Red Dead Redemption series.” The company will report third quarter earnings on Thursday after the market closes.

— with reporting from CNBC’s Maggie Fitzgerald, Pippa Stevens and Jesse Pound.

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