2023-05-19 14:11:04 ET
The major market indexes shook during Friday's midday session as GOP negotiators stormed out of a debt ceiling discussion.
Tracking individual stocks, Catalent ( NYSE: CTLT ) climbed as it indicated intentions to undertake cost-cutting measures, whilst Nike ( NYSE: NKE ) fell in response to a report that it may pay more than $530M in fines for misclassifying thousands of workers.
Meanwhile, Bloom Energy ( NYSE: BE ) rose following an analyst upgrade, while Disney ( NYSE: DIS ) fell following a downgrade.
Gainers
Despite further delaying its Q3 earnings release and lowering its FY2023 guidance, Catalent ( CTLT ) shares increased by about 14% because, during the conference call today, the company shared an operational update revealing plans to implement restructuring initiatives in order to double the annualized run-rate of savings from the previous estimate of $75M to $85M.
Shares of Bloom Energy ( BE ) rose by 2% after J.P. Morgan upgraded the stock from Neutral to Overweight with a $20 price target. According to analyst Mark Strouse, Bloom Energy ( BE ) presently trades at a considerable discount to its historical average near-term multiples, which is unreasonable given the company's growth potential as a result of the development of its product and market, as well as the unprecedented visibility provided by backlog.
Decliners
Disney ( DIS ) shares fell more than 2% after Macquarie downgraded it to Neutral from Outperform, with a price target of $103, down from $125 before. Analyst Tim Nollen stated "We continue to like Disney for the long term for its [intellectual property], global brand recognition, and ability, we believe, to fully transition to a successful [direct-to-consumer] streaming business. But the near term is clouded with uncertainties."
Nike ( NKE ) shares fell roughly 4% after The Guardian reported that the company might face a punishment of "more than $530M" for misclassifying independent contractors. Nike did not immediately respond to requests for comment on the allegations.
To keep track of Wall Street's biggest winners and losers throughout the session, head over to Seeking Alpha's On The Move section .
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Hot Stocks: CTLT rises on cost-cutting plan; BE gains on analyst upgrade; DIS and NKE fall