Gap store in New York on August 2, 2020.
Scott Mlin | NBC Finance Channel
Check out the companies that made the headlines in midday trading.
Gap and Nordstrom-The stock prices of Gap and Nordstrom plummeted after reporting disappointing quarterly results late on Tuesday, citing rising labor costs, inventory issues, shopping costs and factory closures as challenges. Gap shares fell 22%. Nordstrom plunged 28%. The stocks of other retailers also suffered on Wednesday. Tapestry fell 3.2%, Ralph Lauren and PVH fell more than 1%.
Autodesk-Although the most recent quarter’s revenue and profits have performed well, the software company’s stock price has fallen by more than 16%. Autodesk’s fourth-quarter earnings and revenue guidance was significantly lower than expected.
Hewlett-Packard Company-After the release of better-than-expected earnings reports, HP’s stock price soared by more than 10%. The company reported an adjusted quarterly profit of 94 cents per share, which was 6 cents higher than Refinitv’s consensus estimate. Due to strong consumer and corporate demand for personal computers and printers, the computer manufacturer has also announced strong prospects.
Deere & Co — After the company released stronger-than-expected quarterly earnings, the agricultural equipment manufacturer’s stock price rose nearly 6%. According to data from Refinitiv, Deere reported earnings per share of US$4.12 last quarter, exceeding the consensus estimate of US$3.90. Deere said that strong demand for its products helped ease the impact of the month-long workers’ strike. However, its revenue is slightly lower than analysts’ forecasts.
Dell Technologies-Dell’s stock price rose 4%. The previously announced adjusted quarterly earnings were US$2.37 per share, exceeding the consensus estimate of US$2.18 for its growing demand for computers and servers, and issued stronger-than-expected current quarterly forecasts .
VMware-The cloud computing company’s stock price rose 3% after the company reported quarterly revenue and profit performance, and as the global demand for cloud computing services rose, it gave an optimistic current quarterly forecast.
Pure Storage-a technology and data storage company stock price rose nearly 13% after the company’s third-quarter profit exceeded expectations and issued a better-than-expected current quarter revenue outlook.
Chevron-After the Royal Bank of Canada upgraded the company to an outperform rating, the energy giant’s share price rose by more than 1%. The company stated that Chevron could benefit from “a strong commodity cycle in the coming years,” adding that the company’s “investment portfolio is more stable than its peers.” RBC believes that the stock price can rise by nearly 25% from Tuesday’s closing price. Other companies in the industry also rose on Wednesday, with Devon Energy, Diamondback Energy and Baker Hughes all rising more than 3%.
Buy now, pay for stock later-the installment name goes higher during the Thanksgiving holiday and most holiday shopping seasons. Due to rising prices and product shortages, shoppers are expected to spend more on gifts this year. Affirm rose 3.5%. Afterpay, acquired by Square, is expected to be completed in 2022, up 2.6%. The share price of Marqeta, a buy-and-pay solution provider, soared by more than 10%.
— CNBC’s Pippa Stevens, Yun Li and Hannah Miao provided reporting
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