Target, Carnival, Advance Auto Parts, Lowe’s and more

Pedestrians walk past a Target store in the Tenleytown neighborhood of Washington, DC on August 17, 2022.

Almond Ngan | AFP | Getty Images

Find out which companies are making headlines in the midday business.

Target – Shares of the major retailer fell more than 12% after the company said its profits fell about 50% in its third fiscal quarter and cut its outlook for the fourth quarter, after seeing its sales slow down at the end of October. “Looking forward, we expect the challenging environment to persist beyond the holiday season and into 2023,” its chief financial officer said on an earnings call. Other retail names such as Macy’s, Gap and Nordstrom trailed Target lower.

Carnival Cruise – Carnival Cruise Line shares shed 13.6% after the cruise line announced it would offer $1 billion in convertible debt as part of its 2024 refinancing plan.

Advanced auto parts – Advance Auto Parts fell 16.3% after reporting quarterly results below expectations after the bell on Tuesday. The auto parts seller was later downgraded by UBS, which said the company’s steep unit losses suggest “it is losing customers at a rapid rate”.

TJX Companies — Shares gained 4.1% after the company beat its earnings estimate for the previous quarter and appointed a new chief financial officer.

Lowe’s Companies – Shares of the retailer gained 5% after the company reported strong third-quarter earnings and kept its guidance in place. Lowe’s said the company, unlike Target, does not see a negative impact of inflation on sales.

International restaurant brands – Shares of Burger King’s parent company jumped 6.4% after the company announced plans to hire former Domino’s Pizza CEO Patrick Doyle as executive chairman.

O’Reilly Automotive – The auto parts retailer added 2% after the company increased its share buyback program by $1.5 billion.

Etsy – Etsy shares fell 2.8% after Evercore ISI placed the stock on the company’s tactical underperformer list, although it maintained its “outperforming” rating on the stock. Company likes Etsy’s long-term potential but sees share price weakness in coming months

Enlarge video – The video conferencing name plunged 3.2% after Citi lowered its price target on the stock and maintained its sell rating. The bank also cut its estimates for the fourth quarter and fiscal year 2024.

Oscar Health – The insurance stock rose 1.9% after Wells Fargo overweight the stock, saying shares can rally nearly 40% in the future. The bank said Oscar Health’s outlook looked “favourable” after its year-to-date underperformance.

Alcon — Alcon shares gained 5.6% after the company reported quarterly earnings that just beat analysts’ expectations.

Lincoln National – Shares rose 2.1% on an upgrade to a buy rating by Goldman Sachs. The bank said shares could jump more than 30% from Tuesday’s close and the insurance name should recover from an outsized charge that previously affected investor confidence.

Therapeutic sage —The brain health-focused biotech company added 1.1% after CEO Barry Greene added 14,500 shares to its stake, according to an SEC filing.

Corteva – Shares slid 1.7% following a downgrade to neutral from buying by UBS in what it called a valuation call. But UBS raised the seed and crop products maker’s price target to $73 a share from $70.

– CNBC’s Tanaya Macheel, Alexander Harring, Carmen Reinicke and Michelle Fox contributed reporting

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