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Traders work on the floor of the New York Stock Exchange (NYSE) the morning after Donald Trump won a major upset in the presidential election on November 9, 2016 in New York City.
Check out the companies making headlines midday Monday:
Caterpillar — Caterpillar shares fell more than 8 percent and were on pace for their worst day since 2011. The drop came after the company reported weaker-than-expected earnings for the fourth quarter amid weak demand in China.
Nvidia — The chipmaker’s stock fell 12 percent after the company slashed its fourth-quarter revenue forecast to $2.2 billion from $2.7 billion. Nvidia cited a deterioration in macroeconomic conditions, “particularly in China,” for the cut.
Vale S.A. — Shares of the Brazilian mining company plummeted more than 15 percent as the death toll from a dam owned by the company grew to 60. The collapse led several analysts to downgrade the stock as penalties and fines begin to mount.
Guess — Guess fell 16.8 percent after announcing that CEO Victor Herrero would be leaving the company, effective Feb. 2. He will be replaced by Carlos Alberini, the head of jeans maker Lucky Brand.
Grubhub — Credit Suisse upgraded Grubhub to outperform from neutral and hiked its price target on the stock to $130 from $125 per share, implying a 60 percent upside. We have “increased comfort around return on invested capital on recent initiatives, which we believe are accretive, opportunistic, and conducted from a position of strength,” Credit Suisse said. Grubhub rose 1.2 percent.
AK Steel — AK Steel fell 5.2 percent after Morgan Stanley downgraded the company’s stock to equal weight from overweight. In a note to clients, they said: “Auto OEMs likely gained an upper hand in 2019 negotiations (in 4Q18) with US auto SAAR peaking, new auto steel sheet supply announcements, and aluminum continuing to gain share.”
Tesla — Tesla dipped more than 1 percent after the Financial Times reported that Saudi Arabia’s Public Investment Fund cut its exposure to the electric car maker amid the stock’s volatility.
PG&E — The embattled California utility company rose more than 8 percent after Bloomberg News reported that a group of investors offered a plan for the company to avoid bankruptcy.