Stocks making the biggest moves premarket: Qualcomm, Tesla, Hostess and more
Qualcomm CEO Cristiano Amon.Carlo Allegri | Reuters
Check out the companies making headlines in premarket trading Monday.
Tenable Holdings — The exposure management solutions provider rose 3% before the market opened following an upgrade to overweight from neutral at JPMorgan. The bank said the company is positioned to see better business fundamentals in the future.
Alibaba — Shares lost 1% after outgoing CEO Daniel Zhang unexpectedly quit its cloud business. In June, the company had said Zhang was leaving as chairman and CEO of Alibaba Group to focus on the cloud intelligence unit.
Qualcomm — The semiconductor stock jumped 7.4% premarket after saying Monday it will supply Apple with 5G modems for smartphones through 2026. Continued sales to Apple will benefit Qualcomm’s handsets business and could soften the blow of potentially losing a critical customer, analysts said. Apple’s shares were 1% higher premarket.
Kenvue — Shares added 3% in early trading after Deutsche Bank upgradedto buy from hold. The Wall Street firm said the slide in the Band-Aid maker has created an attractive entry point. The J&J spinoff has shed 15% since going public in May.
Oracle — The database software provider gained 1.2% ahead of its quarterly earnings due postmarket Monday. Analysts surveyed by FactSet estimate earnings per share of $1.15 against company guidance of $1.12 to $1.16, and revenue of $12.47 billion. The stock has gained nearly 55% so far this year, boosted by excitement around generative AI.
Tesla – The electric vehicle stock popped more than 6% before the bell after Morgan Stanley upgraded shares to overweight from equal weight, citing autonomous driving growth. The Wall Street firm called software and services revenue the “biggest value driver” for Tesla.
J. M. Smucker, Hostess — J.M. Smucker slumped 10% in early trading after the peanut butter and jelly maker agreed to buy Twinkies maker Hostess Brands for $34.25 per share in cash and stock, valuing the cupcake maker at roughly $5.6 billion, including debt. Shares of Hostess popped 17.3%. The deal’s expected to close by the end of January, 2024.
Meta — The Facebook parent rose 1.5% after the Wall Street Journal said Meta is developing a new AI system as capable as OpenAI’s most advanced model, and more powerful than the one it released two months ago called Llama 2. Meta hopes its new AI model will be ready next year, the report said.
— CNBC’s Alex Harring, Hakyung Kim, Michelle Fox Theobald, Samantha Subin, Sarah Min and Kif Leswing contributed reporting.