These are the companies that are making headlines on Wall Street.
MSG Entertainment – Madison Square Garden’s parent company announced on Friday that it will buy media company MSG Networks in an all-stock deal. The companies said in a release that the combined entity would be better positioned to capitalize on the expansion of sports betting. Shares of both companies fell by more than 9%.
Nio – US-traded shares of China’s electric vehicle stock fell more than 8% after Nio announced it had shut down one of its manufacturing facilities for five days. The company cited the global shortage of semiconductors as the reason for the pause and lowered its expectations for first quarter deliveries.
Bank of America, JPMorgan Chase – Most bank stocks rose slightly after the Federal Reserve announced that the companies could resume buybacks after June 30 and increase dividends. Shares of Bank of America were up 1.4%, while JPMorgan added 0.7%.
Snowflake – Shares of the data company were up more than 5% after Evercore ISI coverage began with an outperform rating. “We believe there are few software companies in the past decade that have as great a growth opportunity as Snowflake,” the company wrote in a note to customers. Evercore has a price target of $ 311, which is about 36% higher than where the stock traded Friday.
ViacomCBS, Discovery – Stocks of the media companies continued to tumble as Wall Street worried about the valuation of these television and streaming stocks. Shares of ViacomCBS were down 12.9% after being downgraded to underweight versus equal weight by Wells Fargo, while those for Discovery fell 19.5% after being downgraded to equal weight from overweight by the same firm.
BowX takeover – The special-purpose acquisition company jumped nearly 8% after news that the company that shares the office will make WeWork public in a deal worth $ 9 billion, including debt. The valuation is a far cry from the $ 47 billion WeWork got for a traditional 2019 IPO.
Root – Shares of the auto insurer were up more than 16% after a bullish call from Citron Research. The research firm said Root is a “disruptive technology company” and it is misunderstood. Citron recently retired from its short-selling strategies following the GameStop mania and now only focuses on the long side.
Progress Software – Technology share rose 4.9% after reporting better-than-expected results for the first quarter. Progress reported a profit of 91 cents a share on sales of $ 129 million. Analysts polled by Refinitiv predicted 78 cents of earnings per share and $ 128 million in revenue.