Tesla and Canopy Growth stocks surge, RTX and J.M. Smucker shares fall, and other stocks on the move
By MarketWatch
Twinkies parent Hostess Brands' stock soars, J.M. Smucker shares drop, as companies announce $5.6 billion merger deal
Here are some of the bigger and more-active movers on Monday:
Stock gainers
Shares of Hostess Brands Inc.(TWNK) jumped 19% after Twinkies parent announced an agreement to be acquired by J.M. Smucker Co.(SJM) in a cash and stock deal valued at $5.6 billion.
Tesla Inc.(TSLA) shares charged up 8%, enough to pace the S&P 500 index's SPX gainers, after Morgan Stanley upgraded the electric-vehicle maker to buy from hold, and lifted its price target to $400 from $250 per share. Analyst Adam Jonas cited an advantageous position of the company via its new machine learning supercomputer, Dojo.
Canopy Growth Corp. shares (WEED.T) ran up 41%, and have more than tripled in the past two weeks as part of a big, broad rally in the cannabis sector. A move by the Drug Enforcement Administration to review the Schedule I status of cannabis has fueled optimism in the sector.
Mullen Automotive Inc.'s stock (MULN) bounced 11% after the EV maker announced a deal to buy the battery pack production assets from Romeo Power for $3.5 million.
Walt Disney Co.'s stock (DIS) gained 2% and Charter Communications Inc. shares (CHTR) climbed 2.2%, after The Wall Street Journal reported the company's reached an agreement that would end their carriage dispute.
Avantax Inc. shares (AVTA) soared 28% after the wealth management and tax preparation company announced an agreement to be acquired by Cetera Financial Group in a deal valued at $1.2 billion.
Crinetics Pharmaceuticals Inc.'s stock (CRNX) rocketed 67% after the drugmaker announced positive results from a late-stage study of paltusotine, its investigational treatment for acromegaly.
Kenvue Inc. shares rose nearly 3% after Deutsche Bank lifted shares of the U.S. consumer health company to buy from hold, saying the stock looks oversold. Analyst Steve Powers said while "certain fundamental uncertainties," especially looking out to the fourth quarter and full-year 2024 and legal liability risks via talc and acetaminophen are "still valid and outstanding, they are now more than adequately discounted in current valuation."
Stock decliners
Shares of RTX Corp. (RTX) tanked 6.6%, enough to lead the S&P 500's losers, after the defense contractor disclosed a $3 billion charge and cut its revenue outlook due to inspections needed because of contamination in the powdered metal used to make certain Pratt & Whitney engines.
J.M. Smucker's stock (SJM) dropped 6.5% after the Hostess deal, noted above, was announced.
Madrigal Pharmaceuticals Inc. shares (MDGL) sank more than 7% after the company said Paul Friedman, the biopharmaceutical company's chief executive officer since 2016, will be succeeded by Bill Sibold, a former Sanofi (SAN.FR) executive.
Shares of SigmaTron International Inc. (SGMA) plummeted 47%, enough to pace the Nasdaq's decliners, after the provider of electronic manufacturing services said it was disappointed to report what is essentially a break-even quarter amid "a significant amount of uncertainty" among customers as the continued interest rates hikes by the Federal Reserve has weakened the economy.
-MarketWatch
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September 11, 2023 12:09 ET (16:09 GMT)
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