Regional bank stocks were broadly under pressure on Tuesday after Moody's downgraded the credit ratings of several smaller financial institutions and placed a review on larger banks for potential downgrades. Shares of M&T Bank and Webster Financial, whose credit ratings were lowered, fell 2%, while Citizens Financial and PNC had a decrease of 3% each. In addition, major banks such as Goldman Sachs and JPMorgan Chase also recorded losses.
On the other hand, Organon gained 8% due to better-than-expected second quarter earnings per share of $1.31 and revenue of $1.61 billion, surpassing analysts' predictions.
Conversely, Beyond Meat dropped 16% as it reported weak U.S. demand and missed on second-quarter revenue. Refinitiv had forecast 86 cents and $108.4 million while Beyond Meat posted an adjusted loss of 83 cents per share on $102.1 million in revenue.
Chegg reported second-quarter revenue of $183 million, surpassing Wall Street's expectation of $177 million. This, along with plans highlighting its use of AI, saw the stock jump over 6%.
Novo Nordisk saw its stock rally 18% after its obesity drug was found to cut the risk of major cardiovascular events by 20%.
Following Charlie Ergen's decision to reconcile his telecommunications empire, EchoStar's shares dipped less than 1% while Dish's stock climbed more than 8%.
Datadog's shares dropped 19% after issuing full-year guidance lower than anticipated. The software company expected revenue to range between $2.05 billion and $2.06 billion, compared to the range of $2.08 billion to $2.10 billion it had given previously.
Eli Lilly saw a 16% rise in share price after surpassing analysts' expectations for the second quarter with adjusted earnings of $2.11 per share on revenue of $8.31 billion. Additionally, the company raised its full-year guidance on successful sales from its diabetes treatment Mounjaro and other drugs, as well as Novo Nordisk's study on its obesity drug.
Palantir Technologies' stock declined 7% as its second-quarter earnings were in line with Refinitiv estimates of 5 cents per share on revenue of $533 million.
Fox Corp.'s shares rose 4.2% as revenue of $3.03 billion for the second quarter matched Refinitiv's expectations. Furthermore, the company increased its semiannual dividend for Class A and Class B shares.
International Flavors & Fragrances' stock plummeted 18% after it reported revenue of $2.93 billion, falling short of StreetAccount's estimates of $3.07 billion. It also lowered its guidance for the upcoming quarter due to higher manufacturing absorption costs and lower demand from customers.
Finally, Sealed Air Corp. lost 7% after missing revenue expectations. Analysts surveyed by FactSet expected $1.41 billion while the company reported $1.38 billion, attributing the shortfall to weak end markets.
—CNBC's Samantha Subin, Jesse Pound, Alex Harring and Hakyung Kim contributed to this report.
Comments