Before the bell, take a look at the companies grabbing the headlines.
Chip stocks: As the AI deal continues to unravel, bringing down previously profitable semiconductor bets, Nvidia shares dropped by almost 12.5% in premarket trading. Arm Holdings and Super Micro Computer both saw losses of more than 12%, while Broadcom fell by almost 9%.
Apple—After Berkshire Hathaway, owned by Warren Buffett, said that it had sold almost all of its position in the iPhone manufacturer, Apple shares fell more than 6%. A global market sell-off intensified on Wall Street concurrent with the falls.
Tech stocks: During Monday’s sell-off on the worldwide market, major tech stocks suffered some of the greatest losses. The parent company of Facebook, Meta, dropped more than 6%, while Tesla, a manufacturer of electric vehicles, lost almost 8.3%. Microsoft lost 4.3% of its value.
Lucid: Ahead of the release of the company’s second-quarter earnings after the closing bell, the stock of electric vehicles fell by almost 8%. Based on $190.3 million in revenue, analysts surveyed by FactSet predicted a loss of 27 cents per share for the second quarter.
Kellanova — Following news from Reuters and The Wall Street Journal that the company is in talks with candymaker Mars over a possible purchase, the stock of snack food company surged 21%. Kellanova may be worth almost $30 billion as a result of the purchase.
Crypto: With the price of the leading cryptocurrency falling below $50,000 for the first time this year, stocks that are correlated with the price of bitcoin took a heavy beating in premarket trading. While MicroStrategy fell 17%, Coinbase fell 13%. In addition to other miners seeing double-digit losses, Marathon Digital had a 13% drop. Cryptocurrency trader Robinhood saw a 9% decrease.
Palantir: Ahead of its earnings, which are expected to be released after market closure, the software company’s shares fell by 12.2%. Analysts surveyed by FactSet predict that Palantir will post sales for the second quarter of $653.2 million, exceeding the company’s guidance of $649 million to $653 million.
Source (CNBC)
