The Netflix logo is shown in this illustration photo in Encinitas, California.
Mike Blake | Reuters
Check out the companies that make headlines during afternoon trading.
Netflix – Shares of the streaming giant fell 14% after the company’s fourth-quarter report surpassed Wall Street’s revenue and subscriber expectations, which exceeded 200 million. Netflix also said it would consider share buybacks and expects to break even on a cash flow basis this year. Netflix earned upgrades from Wells Fargo and UBS, further bolstering sentiment.
Penn National Gaming – Credit Suisse started sports betting coverage with a better performing rating, pushing stocks up 5%. Wall Street said the company has the potential to claim leadership in online gambling and sees benefits in targeted cost savings and better-than-expected margins.
Ford Motor – Stocks of the automaker rose 4.6% after Deutsche Bank added a catalyst call or short-term buy idea to the stock. The bank said it is optimistic about the company’s upcoming earnings report in early February, among other things. The company maintained its long-term rating on Ford.
DraftKings – Shares of the sports betting company rose 3.5% after Morgan Stanley upgraded the stock to equal weight overweight. The firm Wall Street expects DraftKings to report quarterly sales that are 10% higher than consensus and calls the company a pure game in the gambling industry. The company will report the results on February 25.
Alibaba – Shares of the e-commerce giant rose more than 5% after founder Jack Ma made his first public appearance in a few months. The Washington City Times previously reported that Ma was in bed after making some comments that appeared to be critical of China’s financial regulators in October.
Beyond Meat – Shares of the alternative meat producer fell more than 3% after BTIG reduced the stock to a neutral rating. “We believe that growth through the retail channel will not be enough to support the growth rate and the hefty trade plywood in 2021,” the company said in a note to customers. Shares of Beyond Meat are up 24% over the past year.
Bank of New York Mellon – Bank stock fell nearly 7% despite better-than-expected top and bottom results for the fourth quarter. Bank of New York Mellon reported adjusted earnings per share of $ 0.96 on $ 3.84 billion in revenue. Analysts had expected 91 cents a share on revenue of $ 3.83 billion, according to Refinitiv. A diminishing net interest margin was negative in the report, investment firm Piper Sandler said in a note to customers.
U.S. Bancorp – Shares of the regional bank fell by more than 4% due to lost earnings. Revenues were $ 5.75 billion, while Refinitiv’s estimates of $ 5.82 billion were missing. Earnings were in line with estimates of 95 cents per share.
Fastenal – Shares of the industrial supply company declined 3.4% despite a better than expected fourth quarter report from Fastenal. The company reported 34 cents in earnings per share and $ 1.36 billion in revenues, just above estimates on both counts, according to Refinitiv.
The Washington City Times’s Maggie Fitzgerald, Pippa Stevens and Jesse Pound contributed to the reporting.
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