Yelp, AutoZone, Lowe’s, and more

Yelp banners are displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York.

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Check out which companies are making headlines in the midday trading.

Yelp — Shares of the online valuation company jumped more than 9% after activist investor TCS Capital Management took a stake in the company, saying in open letter That the company should explore strategic alternatives, including selling. TCS Capital has built more than 4% of Yelp, becoming one of the five largest shareholders in the company. TCS said Yelp is “undervalued” and can be sold to private equity buyers for at least $70 per share, a premium of more than 120%.

AutoZone – Shares of the auto retailer fell more than 5% after missing revenue forecasts for the fiscal third quarter. AutoZone reported revenue of $4.09 billion, short of the consensus estimate of analysts polled by Refinitiv of $4.12 billion. Earnings of $34.12 per share beat analyst expectations of $31.51. Inventory is up 7.4% year over year.

Lowe’s Companies — The home improvement retailer advanced 2.8% based on a first-quarter earnings report that beat analyst expectations. But the company lowered its forecast for the full year.

Chevron – The San Ramon, California-based energy producer added 3.1% in midday trading. HSBC lifted Chevron to buy from the hold earlier on Tuesday, citing a possible rebound in oil prices.

Zoom Video Communications – Shares fell more than 7% after a first-quarter video conferencing stock report. While the company beat Wall Street expectations for both earnings per share and revenue, Zoom’s forecast for the current quarter was only in line with expectations, according to Refinitiv.

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Broadcom — Broadcom shares added about 2% after Apple announced a multi-billion dollar chip deal with Broadcom. The multiyear plan stems from the iPhone maker’s commitment to funneling $430 billion into the US economy.

BJ’s Wholesale Shares fell 6.4% after the wholesale club’s quarterly revenue was modestly worse than analysts polled by Refinitiv had estimated. Comparable club sales excluding petrol were also slightly weaker than expected.

Peloton — Shares added 3% after the connected fitness equipment company, known largely for its home exercise bikes, unveiled a new marketing strategy to attract new customers. The brand relaunch, which comes as Peloton is trying to transform itself, includes a new pricing structure for its digital app.

Advanced Micro Devices Shares of the semiconductor company rose 1.7%, reaching a 52-week high. Bank of America reiterated the chipmaker as a buy in a note on Tuesday, saying AMD is on the verge of “another big opportunity” arising from AI demand.

Chimerix — The biotechnology stock rose 1.4% after Baird commenced research coverage with an outperform rating. The company said it is optimistic about a “first-in-class” treatment for tumors.

Lifecore Biomedical — The stock jumped 60% after Lifecore announced $150 million in new financing, long-term loan repayments and a new supply agreement.

Integra Lifesciences — Shares fell 15% after the medical technology company gave weak guidance for the second quarter. The company said earnings per share should come in at 55 cents to 59 cents, down from the previous range of 75 cents to 79 cents and the consensus estimate of 77 cents from analysts polled by FactSet. Integra said total revenue should be between $372 million and $376 million, down from previous guidance of $396 million to $400 million and a FactSet consensus of $398.1 million.

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Quanterix, Myriad Genetics Health-tech stocks rose 17% and 15%, respectively, after purchase upgrades from neutral Goldman Sachs. The bank said Quanterix has better operating leverage than the market would expect. She said Myriad has a differentiated financial profile that is currently being discounted.

Snowflake – Shares rose 2.1% ahead of the quarterly cloud computing stocks report due on Wednesday. Wells Fargo said it was bullish as the company’s earnings approached and reiterated the overweight rating.

CCC Intelligent Solutions – Shares of CCC Intelligent Solutions gained 4.6% after the upgrade to outperform Evercore ISI. The company said the software services provider for the property and casualty insurance industry “has been on an ‘artificial intelligence journey’ long before it became mainstream.”

Spotify — The music streaming service advanced 1.3% after Guggenheim repeated its stock purchase, indicating that usage trends remain strong and can help Spotify run a healthy growth cycle.

Regional Banks – Several regional banks rose on Tuesday. PacWest closely jumped 16.5%, while Comerica and Zions added 6.9% and 8.8%, respectively.

Hakyung Kim, Michelle Fox, Samantha Subin, Brian Evans, Yun Li, Sarah Min, and Michael Bloom contributed reporting.

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