TXG - Hot Stocks: Green energy retreat; TXG CDXS drop on guidance; PINS rises on activist investor interest

Stocks finished higher on Friday, bouncing back after a downdraft that dominated most of the past several days. The gains came amid renewed confidence that the Federal Reserve would stick with the expected 75-basis-point rate hike at its next policy meeting, rather than resorting to a full-percentage-point increase, which had been theorized immediately after the release of inflation data earlier in the week.

While the overall market saw a tick higher, solar and alternative energy stocks suffered downward pressure. A breakdown in talks for new government spending on green energy prompted selling in names like Plug Power ( PLUG ), FuelCell Energy ( FCEL ), Maxeon Solar Technologies ( MAXN ), First Solar ( FSLR ) and Sunrun ( RUN ).

10x Genomics ( TXG ) and Codexis ( CDXS ) represented other standout to the downside. Both stocks posted a substantial declines following the release of weak guidance.

On the upside, Pinterest ( NYSE: PINS ) was among the day's standout gainers, boosted by news that an activist investor had taken a large stake in the company.

Sector In Focus

Solar and other alternative energy stocks took a tumble after a key U.S. senator pulled out of talks about a potential spending bill. Investors worried that the development lowered the chances that the industry would receive government stimulus measures that were under consideration.

U.S. Sen. Joe Manchin (D.-WV) broke off discussions over an economic package that featured new green energy spending. In doing so, the senator said he wanted to wait for incoming economic information, although he left open the possibility that talks could pick up again later.

Plug Power ( PLUG ) was among the names hardest hit by the sector retreat. Shares dropped nearly 13% on the day. FuelCell Energy ( FCEL ) also fell, sliding almost 8%.

The decline also impacted Maxeon Solar Technologies ( MAXN ) which finished lower by nearly 13%. First Solar ( FSLR ) fell more than 8%, while Sunrun ( RUN ) slipped 6%.

Standout Gainer

Pinterest ( PINS ) drew buying interest on reports that an activist investor has taken a sizable stake in the company, rising 16% on the session.

The Wall Street Journal reported that Elliott Management has accumulated a stake of 9%. The activist investor has also begun talks with the social media firm, the WSJ said.

Bolstered by the news, PINS jumped $2.84 to close at $20.40. Even with the advance, shares remained in a recent trading range, bouncing around near a 52-week low of $16.14 set in May.

Shares have fallen about 44% in 2022 and around 70% over the course of the past 12 months.

Standout Loser

10x Genomics ( TXG ) experienced a massive selling spree following the release of a disappointing forecast . Shares finished the session 17% lower.

The biotech firm, which makes gene sequencing technology, said it now expects 2022 revenue to total around $114.5M, below the nearly $128M that analysts were predicting. The company reported that it saw top-line declines in Europe and in the Asia Pacific region, while revenue advanced in the Americas.

TXG finished trading at $35.90, falling $7.39 on the day. With the retreat, the stock also touched an intraday 52-week low of $33.30.

Friday's slide added to a longer-term retreat. TXG has now fallen about 75% in 2022.

Notable New Low

Despite securing a major deal with Pfizer ( PFE ), Codexis ( CDXS ) dropped almost 45% on the session, after the company issued disappointing guidance. With the slide, the stock reached a new 52-week low.

CDXS signed a deal to provide an enzyme to PFE used in the manufacturing of nirmatrelvir, the key active ingredient in the COVID antiviral pill Paxlovid. As part of the deal, the company will receive a retainer fee of $25.9M.

Counteracting the impact of this news, the company separately revealed that it now sees Q2 revenue of $38M. This target was below the $40M projected by analysts.

Dragged down by the disappointing forecast, CDXS dropped $5.40 to close at $6.67. During the session, the stock reached an intraday 52-week low of $6.15.

For more on the day's biggest winners and losers, head over to Seeking Alpha's On The Move section .

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