Workers make final preparations at a Kodak grandstand on the eve of CES in Las Vegas, Nevada on January 8, 2018.
David McNew | AFP | Getty Images
Check out the companies’ Monday headlines:
Kodak – Kodak shares slipped more than 30% after a federal agency said its $ 765 million loan to the company, which would help the company launch a pharmaceutical unit, had been suspended. “Recent allegations of crime have raised serious concerns. We will not continue unless these allegations are cleared,” the U.S. International Development Finance Corporation said in a tweet. The move comes on the afternoon of a report by The Wall Street Journal that the company is being investigated by the SEC over how it disclosed the loan, which started a frenzy of trading activity in advance.
Simon Property Group – The mall owner is in talks with Amazon about using former JC Penney and Sears stores as follow-up malls, according to a report by The Wall Street Journal. The report on Monday raised shares of Simon Property by more than 8%.
McDonald’s – McDonald’s is down 0.5% after the fast food chain said it was suing its former CEO, Steve Easterbrook, for allegedly lying in the company’s internal probe into his behavior. The investigation revealed that Easterbrook destroyed information regarding his unusual behavior, including three suspected extra sexual relationships with employees before his fire.
MercadoLibre – Shares of the South American e-commerce company fell 6.6% after the company announced its second-quarter results. MercardoLibre beat Wall Street’s estimate on the top and bottom lines, according to FactSet, but its gross profit margin fell from the same quarter last year. The company’s share had more than doubled this year as the pandemic increased the demand for online shopping.
Seres Therapeutics – The Massachusetts-based company saw its stock skyrocket by more than 300% on the back of positive Phase 3 trial results for a drug aimed at treating colon infections. “We are very pleased with these highly clinically significant SER-109 Phase 3 study results, which exceed the statistical threshold provided by the FDA,” said CEO Eric Shaff in a statement.
SeaWorld Entertainment – Shares of the parks and entertainment industry fell more than 1% after their stupid quarterly earnings. SeaWorld reported a loss of $ 1.68 per share, compared to the expected loss of 97 cents per share. Revenue came in at $ 18 million, well below the estimated $ 39.9 million, according to Refinitiv.
Berkshire Hathaway – Berkshire Class B shares climbed as much as 1.4% after the Warren Buffett conglomerate said over the weekend that it bought a record value of its own stock in the second quarter. Berkshire said on Saturday it repurchased $ 5.1 billion worth of stocks in May and June, more than the conglomerate spent on purchases in mid-2019. The stock later returned most of its profits to trade 0.4% higher.
Foot Locker – The share of the clothing trade jumped by more than 7% after Foot Locker said sales of the same store increased by 18% in the fiscal second quarter. The estimate of the company’s adjusted profit was higher than what analysts expected, according to FactSet. Foot Locker is scheduled to report its full quarter revenue on August 21st.
Majesco – The insurance software company in New Jersey received more than 23% on news that it will be purchased by private equity firm Thoma Bravo for $ 16 per share, or nearly $ 730 million. The deal is expected to close by the end of 2020.
Barrick Gold – Shares of the gold company gained 0.8% after the strong income of the company. Barrick Gold reported revenue of 23 cents per share on revenue of $ 3.06 billion. Analysts surveyed by Refinitiv expected revenue of 19 cents per share on revenue of $ 2.9 billion. Barrick benefited from the rise in gold prices to a record high, as well as increased copper production.
Canopy Growth – Canopy shares rose nearly 10% after the cannabis company reported a smaller-than-expected loss for its fiscal first quarter. The company posted a loss of C $ 92.2 million. Analysts surveyed by FactSet expected a loss of C $ 102.4 million. Quarterly revenue also raised an estimate of C $ 98.6 million, reaching C $ 110.4 million. “We have grown our turnover year-over-year and are seeing improvement in the market share, reaching the number one share of cannabis-influenced beverages in the Canadian market,” said CEO David Klein.
FedEx – FedEx advanced 7.2% after Bernstein upgraded the shipping giant to deliver market performance. The Wall Street company said housing prices will improve while supply of e-commerce package remains strong.
—CNBC’s Tom Franck, Maggie Fitzgerald, Yun Li, Jesse Pound and Pippa Stevens contributed to this report.
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