2023-04-24 17:45:33 ET
Monday saw investors continue the uncertain action that has marked recent trading, with stocks finishing the session with a mixed performance. Wall Street remains on high alert for key earnings reports due out later in the week.
In Monday's earnings headlines, Philips ( NYSE: PHG ) posted a double-digit percentage gain following the announcement of strong financial figures. Elsewhere, Forestar Group ( FOR ) added to an earnings-inspired advance posted last week to reach a new 52-week high.
On the other side of the spectrum, C3.ai ( AI ) and Heritage Financial ( HFWA ) both dropped on separate analyst downgrades.
Standout Gainer
The release of quarterly results sparked buying in Philips ( PHG ), which surged 14% after the company took advantage of an improving supply chain and the impact of restructuring efforts.
The company reported that adjusted income from continuing operations attributable to shareholders surged nearly 47% from last year. This was helped by a 6% improvement in sales.
"Our supply chain improvements enabled good growth across the Diagnosis & Treatment businesses and in Hospital Patient Monitoring," the firm's CEO stated, noting that it has cut its workforce by about 5,400 roles out of a planned reduction of 10,000.
Bolstered by the earnings news, PHG climbed $2.69 to end at $21.72. This added to a recent upswing, with the stock rising 32% over the past month. Shares have trended higher since hitting a 52-week low of $11.75 in November. The latest advance took PHG to its highest finish since last summer.
Standout Decliner
C3.ai ( AI ) dropped following a bearish comment from a Wall Street analyst. Shares of the artificial intelligence company slumped 11%.
Wolfe Research downgraded its rating on AI to Underperform from Peer Perform , citing "significant risks" to the firm's 2024 revenue growth, stemming from a negative economic outlook. Meanwhile, analyst Joshua Tilton argued that consolidating spending on software "threatens the uptake of C3.ai’s newly introduced consumption model."
Weighed down by the downgrade, AI plunged to an intraday 52-week low. Shares finished at $17.85, a decline of $2.22 on the day.
Overall, the stock has fallen 23% in the past week and 30% in the past month. Still, with the surge that took place earlier in the year amid heavy interest in artificial intelligence stocks, AI remains 61% higher for 2023 as a whole.
Notable New High
Forestar Group ( FOR ) added to a post-earnings upswing that has marked much of the past week. Shares rose another 5% to reach a fresh 52-week high.
FOR finished Monday's trading at $18, an advance of 89 cents on the day. During the session, the stock reached an intraday 52-week high of $18.97.
The gains added to a rally that began after the firm released its quarterly results on April 20. The residential lot development company surpassed expectations with both its top and bottom lines.
FOR rose nearly 9% in the session following the earnings announcement. It has now climbed 16% over the past week. Looking longer-term, shares have surged 60% in the past six months.
Notable New Low
Heritage Financial ( HFWA ) declined in the wake of an analyst downgrade, sending the stock to a new 52-week low. Shares dropped 6% on the news.
KBW lowered its rating on the regional bank to Market Perform from Outperform . The move followed the company's recent earnings report, which showed a larger-than-expected decline in net interest margin for Q1.
HFWA slumped to an intraday 52-week low of $18.33. Ticking off its trough before the close, the stock finished at $18.49, a decline of $1.21 on the day. The stock has fallen 39% so far in 2023.
For more of the day's biggest winners and losers, head over to Seeking Alpha's On The Move section .
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Hot Stocks: PHG jumps on earnings news; AI, HFWA fall on analyst downgrades; FOR sets 52-week high