Check out the companies making headlines before the bell. Ulta — The beauty chain slipped more than 1% following a downgrade to hold from buy at Jefferies. Analyst Ashley Helgans cited mounting pressure from competitor Sephora as well as a “lack of newness” as two reasons for the change. Netflix — Shares slid nearly 6% after the video streaming platform shared a weaker full-year revenue growth outlook than consensus had expected and said it would no longer report quarterly subscriber gains going forward. Despite this, Netflix posted a first-quarter earnings and revenue beat . Shopify — The Canada-based e-commerce stock jumped 3%. Morgan Stanley upgraded Shopify to an overweight rating, citing confidence in the company’s growth potential and operating leverage upside. First Solar — Shares gained 1.5% after Wells Fargo upgraded shares to overweight. The firm cited several upside catalysts, including the expectation that the Biden Administration will revoke tariff exemptions and potential trade restrictions on Chinese panels. Sunnova Energy — The stock slipped nearly 4% after a Wells Fargo downgrade to equal weight. The bank thinks that a higher-for-longer rate environment will be particularly detrimental for Sunnova’s upcoming debt maturities and tight liquidity. SLB — The energy stock dipped 1.7% despite a first-quarter report that was largely in line with expectations. SLB reported 75 cents in adjusted earnings per share on $8.71 billion of revenue. Analysts surveyed by LSEG were expected 75 cents per share on $8.69 billion of revenue. The company did say that revenue fell in North America. Intuitive Surgical — Shares of the robotic surgery firm popped 3% after posting a first quarter earnings and revenue beat. Intuitive Surgical reported adjusted earnings of $1.50 per share last quarter, while analysts polled by LSEG had estimated $1.41. Western Alliance — Shares slipped 2% after the firm missed earnings expectations in its latest quarter. Western Alliance reported earnings of $1.60 per share, while FactSet had estimated this at $1.64 per share. KB Home — The homebuilding stock climbed 1.6% after announcing a share repurchase plan amounting up to $1 billion . KB Home also said that it would raise its quarterly cash dividend by 25% to 25 cents per share, payable on May 23. Paramount — The media stock soared 10% after the New York Times and Bloomberg reported that Sony Pictures Entertainment and Apollo Global Management have been discussing the possibility of teaming up to acquire Paramount in a joint bid . This comes amid Paramount’s talks to merge with production firm Skydance Media. Bentley Systems — French energy management and automation firm Schneider Electric confirmed that it was currently in preliminary talks regarding a potential strategic transaction of Bentley Systems, sending the software stock up less than 1%. Proctor & Gamble — The consumer products maker reported mixed results for its latest quarter, with earnings of $1.52 per share beating analysts’ estimates of $1.41 per share, according to LSEG. The company slightly missed revenue expectations, however, posting $20.20 billion, while analysts expected $20.41 billion. Shares were little changed in premarket trading. American Express — Shares slid 1.5% despite the financial services company posting a first-quarter earnings and revenue beat above FactSet estimates. American Express also reaffirmed that its full-year guidance would come in line with expectations. — CNBC’s Hakyung Kim, Tanana Macheel, Jesse Pound and Samantha Subin contributed reporting.
Check out the companies making headlines in after-hours trading: Health-care stocks — Shares of Humana , CVS Health and UnitedHealth jumped after The Wall Street Journal reported that the Trump administration will raise payment rates for Medicare insurers next year to 5.06%, higher than the 2.23% increase the Biden administration had proposed. Humana gained more than 13%, while CVS Health and UnitedHealth advanced more than 7% and about 6%, respectively. Levi Strauss — The clothing stock rose more than 1% after the company reported its first-quarter results . Levi Strauss reported adjusted earnings of 38 cents per share, a 52% jump compared to the prior-year period. Revenue of $1.53 billion for the period also marked a 3% jump compared to last year. Greenbrier — Shares of the railcar manufacturer fell 4% on the back of the company dialing back its revenue guidance for the full year. Greenbrier now sees revenue ranging from $3.15 billion to $3.35 billion, compared to previous guidance of $3.35 billion to $3.65 billion. Dave & Buster’s — Shares of the owner and operator of entertainment and dining venues climbed nearly 2% on the heels of its fourth-quarter adjusted earnings, which came in at 69 cents per share. That is above the 67 cents per share that analysts polled by FactSet were expecting. Revenue, however, came in weaker than anticipated, with the company posting $534.5 million for the quarter versus the consensus estimate of $544.7 million. Broadcom — The semiconductor stock moved more than 2% higher following the company’s authorization of a new $10 billion share repurchase program , effective through Dec. 31.
An exterior view of a CVS pharmacy in Danville, Pennsylvania.
Paul Weaver | Lightrocket | Getty Images
Check out the companies making headlines in after-hours trading:
Health-care stocks — Shares of Humana, CVS Health and UnitedHealth jumped after The Wall Street Journal reported that the Trump administration will raise payment rates for Medicare insurers next year to 5.06%, higher than the 2.23% increase the Biden administration had proposed. Humana gained more than 13%, while CVS Health and UnitedHealth advanced more than 7% and about 6%, respectively.
Levi Strauss — The clothing stock rose more than 1% after the company reported its first-quarter results. Levi Strauss reported adjusted earnings of 38 cents per share, a 52% jump compared to the prior-year period. Revenue of $1.53 billion for the period also marked a 3% jump compared to last year.
Greenbrier — Shares of the railcar manufacturer fell 4% on the back of the company dialing back its revenue guidance for the full year. Greenbrier now sees revenue ranging from $3.15 billion to $3.35 billion, compared to previous guidance of $3.35 billion to $3.65 billion.
Dave & Buster’s — Shares of the owner and operator of entertainment and dining venues climbed nearly 2% on the heels of its fourth-quarter adjusted earnings, which came in at 69 cents per share. That is above the 67 cents per share that analysts polled by FactSet were expecting. Revenue, however, came in weaker than anticipated, with the company posting $534.5 million for the quarter versus the consensus estimate of $544.7 million.
Hedge funds loaded up on a record number of short bets against stocks as President Donald Trump’s steeper-than-expected tariffs wreaked havoc on Wall Street, according to Goldman Sachs’ prime brokerage data. Fast-money professional traders made their largest-ever, one-day net sales of global equities last week through Thursday, the day after Trump rolled out his sweeping levies, said Goldman, which has been collecting the data since 2010. “Liberation Day was a knock-down, drag-out affair — there was a harshness that surprised even the most hawkish people I know,” Tony Pasquariello, head of hedge fund client coverage at Goldman said in a note to clients. Hedge funds rapidly added protection as fears grew that Trump had set off a global trade war that will lead to a recession. Trump’s policy could effectively raise the U.S. tariffs rate from 2.5% to well past 20%, the highest level since 1910 — higher even than the devastating Smoot-Hawley tariffs of 1930 that many economists see as contributing to the Great Depression. The Dow Jones Industrial Average suffered back-to-back 1,500-point losses last Thursday and Friday for the first time ever in its 129-year history. The S & P 500 plunged 10% in those two days. .DJI 5D mountain Dow Jones Industrial Average Billionaire investor Stanley Druckenmiller made a rare comment over the weekend, reiterating his opposition to tariffs above 10%. Leon Cooperman , another billionaire investor, said the bottom is not in yet and stocks are set to continue their downward spiral. The chair and CEO of the Omega Family Office believes Trump’s tariffs are a “mistake” and will tip the U.S. economy into a recession. Nine of 11 investment sectors in the S & P 500 were net sold last week, led by financials, technology and consumer discretionary stocks, Goldman said. The selling in financials came at the fastest pace since January 2021 and the second fastest pace on record, the Wall Street investment bank said. “Lower prices drew out huge selling from many corners of our franchise; as one of the great traders of all time put it: ‘people are just getting into self-protection mode,'” Pasquariello said. Pasquariello noted the increased probability of “indiscriminate, short-cycle rips” higher in prices that can happen when there is a massive number of short positions. That was evidenced Monday , when stocks seesawed dramatically in reaction to headlines covering the Trump administration’s shifting trade policy.
Check out the companies making headlines in midday trading: U.S. Steel — Shares advanced nearly 9% after President Donald Trump ordered the review of Japan’s Nippon Steel’s proposed takeover of U.S. Steel. The president instructed the Committee on Foreign Investment in the United States to aid in “in determining whether further action in this matter may be appropriate.” Automakers — Shares of automakers continued to fall as investors worried about the lack of any deals tied to President Trump’s tariff policy. Stellantis pulled back more than 6%, while Ford Motor fell 5%. General Motors slipped 3% following a Bernstein downgrade of the stock to underperform from market perform. Tesla — Stock in Elon Musk’s electric vehicle company slipped 5%. Devout Tesla bull Dan Ives slashed his price target on the EV firm, citing concern over Musk’s political ties to the White House. Machinery stocks — U.S. machinery companies fell Monday after UBS downgraded key stocks, saying a trade war from President Trump’s tariffs could bring about machinery demand destruction due to higher prices. Caterpillar , Terex and Paccar , all of which were downgraded to sell , tumbled more than 3%. Dollar Tree — The discount retailer rose 6% in a sea of red following an upgrade to buy from neutral at Citi. Analyst Paul Lejuez called the company a “dark horse winner” amid the mounting global trade war. Major banks — Shares of major banks continued to fall amid concerns over a possible recession. Morgan Stanley and Citi slipped more than 1%. Goldman Sachs , which was downgraded to equal weight from overweight by Morgan Stanley, lost about 3% Apple — The iPhone maker fell more than 5%. Apple manufactures its devices in China, and has seen its stock under immense pressure in recent days as Trump’s tariffs take aim at Beijing. The president on Monday threatened a new 50% tariff on China if its own retaliatory duties are not lifted. Chinese ADRs — U.S.-listed shares of Chinese companies tumbled as investors feared higher tariffs slapped on the country could hamper its businesses. Alibaba dropped more than 11%, while JD.com slid about 8%. Bilibili dropped 7% and PDD pulled back 6%. Bitcoin stocks — Stocks tied to bitcoin were continuing to struggle on Monday as the largest cryptocurrency by market capitalization pulled back more than 2%. Trading platform Coinbase lost 5%, while Strategy — formerly MicroStrategy — declined more than 11%. Miners MARA Holdings and Riot Platforms fell roughly 1% each. Trump Media & Technology Group — Shares of the Truth Social parent company dropped 2% on Monday. The stock is on track for its eighth losing session in the past nine trading days. RH — The maker of luxury home furnishings soared 15% in a relief bounce. RH shares saw hard selling last Thursday, tanking 40%, and dropped another 2.5% on Friday. A fourth-quarter miss on the top and bottom lines, as well as soft guidance, dragged shares lower last week. — CNBC’s Sean Conlon, Lisa Kailai Han, Alex Harring, Michelle Fox and Jesse Pound contributed reporting. Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!