A shopper walks past a Bed Bath & Beyond Inc. store
Andrew Harrer | Bloomberg | Getty Images
Check out the companies that are making the headlines in midday trading.
Bed Bath & Beyond – The big box retailer's shares plunged 23% after the company slashed its sales and earnings outlook amid supply chain challenges and inflation. Bed Bath & Beyond reported a sharp drop in buyer traffic in August. The stock undid its staggering meme stock rally in 2021, down over 4% year over year. Other retail stocks like Gap, Newell Brands and Bath & Body Works also fell.
Kohl & # 39; s – Kohl's shares fell more than 13% after Bank of America downgraded the stock to an underperform from Buy, citing ongoing supply chain issues. The company also cut its price target from $ 75 to $ 48 per share.
CarMax – The used car dealer's shares fell 11% after reporting disappointing quarterly results. CarMax reported earnings of $ 1.72 per share, while analysts expected earnings of $ 1.90 per share, according to Refinitiv. Sales of used cars in the same store rose 6.2%, down from the forecasted 7.3%.
Virgin Galactic – Virgin Galactic's shares rose more than 10% daily after the Federal Aviation Administration gave the space company clearance to resume launches after an investigation into a flight incident was completed on July 11th and had the change not communicated to the agency as requested.
Philip Morris International, Altria – Philip Morris and Altria shares fell approximately 5% and more than 6%, respectively, after the U.S. International Trade Commission had ordered the two companies to stop selling and importing their Iqos tobacco equipment. The agency's verdict was based on a lawsuit filed by rival R.J. Reynolds that the Iqos product infringes its patents. The case is being postponed for administrative review.
Lordstown Motors – The electric truck maker's shares rose about 7% after Bloomberg announced it was close to a deal to sell its Ohio auto plant to Taiwanese Foxconn Technology for an undisclosed amount. Lordstown had bought the plant from General Motors less than two years ago.
McCormick – McCormick shares were down 1.8% even after the spice maker's quarterly earnings report beat Wall Street's expectations. The company achieved adjusted quarterly earnings of 80 cents per share, beating estimates by 8 cents, with sales slightly above forecasts. However, McCormick also lowered his profit forecast for the full year due to inflation and logistics issues.
Paychex – Paychex, the payroll services company, rose about 5% in shares after reporting strong quarterly profits and sales as client workers returned to the office. She also raised her business outlook for the year.
Nvidia, Electronic Arts – Nvidia and Electronic Arts stocks rose 1.2% and 3.9%, respectively, after the companies announced that Electronic Arts will put more of its video games on Nvidia's cloud gaming service.
Advanced Micro Devices – AMD's shares rose 3% after the semiconductor company announced it was expanding its collaboration with Google Cloud.
Starbucks – Starbucks shares fell 1.2% after Atlantic Equities downgraded coffee chain shares from Outperform to neutral. The company said wage inflation and growth concerns in China could weigh on Starbucks' earnings.
– CNBC's Maggie Fitzgerald, Yun Li and Tanaya Macheel contributed to the coverage
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