The stock market is trading higher midday, heading toward a solid weekly increase.
The S&P 500 added 0.66% while the tech-heavy Nasdaq Composite added 0.77%. The Dow Jones Industrial Average gained 0.83%. The Russell 2000 Index surged 2.5%.
Trending stocks:
Alphabet rose by 1.7% midday, while the other Magnificent 7 stocks remained mostly steady, with less than 1% changes.
Adobe dropped 9%, the biggest S&P 500 decliner, following weak guidance. Norfolk Southern lost 3% after the railroad company fired its CEO. Boeing gave back 4% after a labor strike was called.
Related: Norfolk Southern fires CEO for troublesome behavior
Boeing workers’ strike will disrupt the production of most aircraft, including the 737 Max.
S&P 500 big stock movers today
Five S&P 500 stocks making big midday moves are:
Warner Bros Discovery (WBD) +10.6% Etsy (ETSY) +7.8% Vistra (VST) +6.7% Caesars Entertainment (CZR) +6.4% Align Technology (ALGN) +5.6%
The worst-performing five S&P 500 stocks with the largest midday drop are:
Adobe (ADBE) -8.9% Garmin (GRMN) -5.6% Boeing (BA) -4.0% Moderna (MRNA) -3.3% Norfolk Southern (NSC) -3.1%
Stocks also worth noting include:
Nvidia (NVDA) -0.1%Apple (AAPL) +0.4%Micron (MU) +4.8%AMD (AMD) +1.2%Super Micro Computer (SMCI) +3.8%
Boeing trades lower on midnight strike
Boeing stock slid 4% after factory workers went on strike at midnight Friday.
Boeing announced a deal on Sept. 8 with the International Association of Machinists and Aerospace Workers, representing 33,000 of its West Coast employees.
Related: Traveling may get a lot more frustrating with latest Boeing issue
Although IAM describes the proposal as “the best contract negotiated in history,” Boeing workers in Seattle and Oregon voted 94.6% against the agreement and 96% in favor of a strike, far more than the two-thirds vote needed for a work stoppage.
The initial agreement provides raises totaling 25% over the four-year life of the contract, “the largest-ever general wage increase,” according to Boeing. The deal also improved 401(k) plan contributions, lowered employee contributions for health insurance, and provided more time off.
The work stoppage will disrupt the production of most aircraft, including the 737 Max.
Adobe slumps on weak guidance
Adobe tumbled 9% despite its Q3 revenue beat.
For the quarter ended Aug. 30 the software company earned $4.65 a share, topping the $4.53 expected by analysts. Quarterly revenue came in at $5.41 billion, an 11% increase from a year earlier and surpassing the $5.37 billion forecast by analysts.
But Adobe’s Q4 revenue guidance came in below analysts’ expectations. The company projected earnings per share ranging from $4.63 to $4.68 on revenue between $5.5 billion and $5.55 billion. Analysts had forecast $4.67 of earnings on $5.61 billion in revenue.
Moderna falls after analysts’ downgrades
Moderna dropped 3% after JP Morgan and Oppenheimer downgraded the company to underweight and perform, respectively.
On Sept. 12, the drugmaker announced plans to cut R&D expenses by $1.1 billion by 2027, from the expected $4.8 billion in 2024 to a range of $3.6 billion to $3.8 billion in 2027. The plan caused the stock to slump more than 12%. Moderna aims to break even with $6 billion in revenue by 2028.
More Wall Street Analysts:
Analyst says Intel should drop a key business to surviveAnalysts adjust Bookings.com stock price target on travel marketAnalysts place bets on Las Vegas strip casino stocks
JP Morgan said Moderna’s Phase III trial for a melanoma treatment was overshadowed by the Food and Drug Administration’s initial refusal to support accelerated approval. This delay might make it harder for Moderna shares to keep up with other stocks, according to thefly.com.
Analysts from TD Cowen, Barclays and Piper Sandler lowered their price targets on Moderna shares on Sept. 13.
Related: Veteran fund manager sees world of pain coming for stocks
