Zoom Video, Nikola, Tesla and extra
Eric Yuan, founder and CEO of Zoom Video Communications Inc., on the company’s IPO on the Nasdaq MarketSite in New York on April 18, 2019.
Victor J. Blue | Bloomberg | Getty Images
Check out the companies that are making headlines in midday trading.
Zoom Video – Shares fell 15.1% as investors digested signs that the video conferencing company’s explosive growth may slow this year. Zoom revenue increased 367% on an annualized basis for the third quarter of fiscal year, compared to a growth rate of 355% in the previous quarter and 169% two quarters ago. The company reported earnings and quarterly forecasts that exceeded analysts’ expectations. The stock has soared more than 500% in a pandemic boom this year.
Tesla – The electric vehicle company rose 3% after S&P Dow Jones Indices released an update on how the company will be added to the S&P 500. After the index provider sought advice from the investment community, Tesla said Tesla would be added to benchmark all-in One Go, ahead of the opening bell on December 21.
Kohl’s – Retail inventory rose 13.4% after Kohl’s and Sephora announced the beauty company will open more than 800 mini-stores in Kohl’s stores by 2023. The move came after rival retailer Target announced a similar partnership with Ulta Beauty last month.
Nikola – Shares in the competitive electric vehicle maker were down 14.9%, falling to a 27% drop on Monday after Nikolas’ deal with GM was updated. The two companies announced a revised and smaller agreement on Monday. GM will no longer take a stake in Nikola and will not build the start-up’s Badger vehicle. Nikola said it will reimburse previously submitted contract payments for the badger.
Nio – The Chinese electric vehicle company was down 10.2% after Nio reported its latest shipments. Nio announced it had shipped 5,921 vehicles in November, a monthly record for the company. This corresponds to an increase of 109% compared to the same period of the previous year and an increase of more than 800 vehicles compared to October. The company also said it is accelerating the expansion of its manufacturing capacity to keep up with demand.
Charles Schwab – The e-broker’s stocks fell 2.5% after Wells Fargo upgraded the stock from equal weight to overweight. The Wall Street firm said Schwab was an “excellent” game on coronavirus “reflation”.
TripAdvisor – The travel stock rose 5.7% after Bernstein initiated the stock with an outperform rating. While business has declined, the Wall Street company sees opportunities for TripAdvisor to return to growth.
FedEx – The shipping company’s shares rose 0.4% after Barclays upgraded the stock from equal weight to overweight. The company sees “growth opportunities” for FedEx as e-commerce accelerates.
Pfizer – The drug maker rose 2.9% after its announcement, and its German partner BioNTech has filed with the European Medicines Agency for conditional marketing authorization for its coronavirus vaccine.
Exxon Mobil – The stock rose 1% after the energy giant announced a tighter investment plan. The company also announced that it would write off assets of up to $ 20 billion.
– with reports from Jesse Pound, Yun Li and Pippa Stevens of CNBC.