Check out some of the biggest movers in the premarket:
Rite Aid (RAD) – Rite Aid expects to report a loss for the just-closed fiscal year, compared to analysts’ forecasts of a profit of $ 125 million. The drugstore chain was hit by a 37% drop in sales of cold, cough and flu-related products as people suffered far less from these ailments due to pandemic-related lockdowns. Rite Aid shares fell 18.6% in premarket action.
Walgreens (WBA) – The drugstore operator’s stock fell 2% in the premarket, possibly in sympathy with Rite Aid. Deutsche Bank also labeled the stock as an “idea for buying a catalyst call,” citing short-term issues, but said the Covid vaccine could provide Walgreens with a positive opportunity in both the short and longer term.
Darden Restaurants (DRI) – The parent company of Olive Garden and other restaurant chains reported quarterly earnings of 98 cents a share, well above the consensus estimate of 69 cents a share. Sales also exceeded estimates, and while sales at the same restaurant plummeted 26.7% from a year ago, that was a smaller drop than the 31.2% analysts expected from FactSet. Darden shares were up 4.2% in premarket trading.
Coherent (COHR) – Coherent accepted a takeover proposal from optical component manufacturer II-VI (IIVI), ending a long bidding battle between II-VI and fiber optic company Lumentum (LITE). Coherent – a supplier of lasers and related technology – approved the offer of $ 220 per share in cash and 0.91 II-VI stock for each Coherent share, and will pay Lumentum a split fee of $ 217.6 million. II-VI plummeted 8% while Lumentum jumped 7.2% in the premarket.
RH (RH) – RH reported quarterly earnings of $ 5.07 per share, surpassing the consensus estimate of $ 4.76 per share. Restoration Hardware’s parent company also saw sales exceed analysts’ forecasts. RH reported strong demand for its high-end furniture and other luxury products, and expects sales to grow by at least 50% in the current quarter. RH shares were up 8.4% in premarket action.
KB Home (KBH) – KB Home beat estimates by 10 cents a share, with quarterly earnings of $ 1.02 per share. Home builder sales missed analyst forecasts despite a 23% increase in net orders and a 4% increase in deliveries. KB Home shares were down 1.9% in premarket trading.
AstraZeneca (AZN) – The drug company said an updated analysis of the US study of the Covid-19 vaccine showed 76% efficacy, compared to 79% in a report earlier this week. The earlier report did not cover more recent infections and came under some supervision by an independent data monitoring committee.
Nike (NKE) – Nike has been the target of criticism on Chinese social media for a statement in which the athletic footwear and apparel manufacturer said it was “concerned” about reports of forced labor in Xinjiang. Nike also said it does not source products from the region. Shares fell 4.5% in premarket trading.
HB Fuller (FUL) – HB Fuller reported quarterly earnings of 66 cents a share, 19 cents a share above estimates. Sales also exceeded Wall Street forecasts. The maker of adhesives, sealants and other industrial products saw strength mainly in health and hygiene related products, although he saw weakness in construction adhesives. Fuller shares were up 6.2% in premarket action.
Koninklijke Philips (PHG) – The health technology company struck a deal to sell its Home Appliances division to investment firm Hillhouse Capital for approximately $ 4.4 billion. The transaction includes the right for Hillhouse to use the Philips brand name for 15 years, with the option of extension. Philips shares added 1.6% in the premarket.
Advanced Micro Devices (AMD) – The chip maker’s share increased 1% in premarket trading after Northland Capital Markets upgraded the stock to “outperform” market performance. Northland called Intel’s (INTC) move to re-enter the foundry industry as a “strategic faux pas” and said AMD would benefit.
ViacomCBS (VIAC) – The media company’s stock continues to be watched after dropping more than 30% in the past two sessions. That followed the company’s announcement that it would raise $ 3 billion through stock sales. It fell another 1.1% in the premarket.