Hot Stocks: NCR Rises on Contract Report;  SI jumps on earnings;  CNK upgrade;  NVTA falls

Hot Stocks: NCR Rises on Contract Report; SI jumps on earnings; CNK upgrade; NVTA falls

A potential M&A deal took part of the spotlight in Tuesday’s dinner trade. NCR (NYSE: NCR) collected on reports that they have entered into exclusive conversations with a private equity company.

Meanwhile, income news is still a key driver too. Silvergate Capital (SAY) represented one of the prominent, and increased the value by almost one-fifth after an income report that beats Street.

Among other notable winners, Cinemark (CNK) climbed after receiving an analyst upgrade. At the other end of the spectrum, disappointing guidance and a major restructuring plan for sale in Invitae (NVTA) spurred.

Winners

Takeover call reports triggered purchases in NCR (NCR). Shares climbed around 14% after the Wall Street Journal reported that private equity firm Veritas has entered into exclusive discussions to buy the company.

According to the WSJ, it is not guaranteed that talks will end in an agreement, and it may still take weeks before an agreement is reached. Late last month, Dealreporter issued a similar report, saying that NCR could be acquired by Veritas.

Meanwhile, Cinemark (CNK) represented another significant increase in the middle of the day, rising almost 14% on a bullish turn by Morgan Stanley. The company raised the rating on the cinema chain to Overweight, and points out that the audience returns to movies.

“Since the end of ’21, the North American box office has had a steady upward trend as consumers have become more comfortable going to the movies,” analyst Benjamin Swinburne said in a note.

Elsewhere, earnings news led to gains in Silvergate Capital (SI). The cryptocurrency-focused bank easily topped expectations with its Q2 earnings, bolstered by strong results for the Silvergate Exchange Network, which enables US dollar transfers between participating Silvergate account holders.

Strengthened by the quarterly results, SI rose almost 20% in the dinner trade.

Rejects

Invitae (NVTA) lost ground in intraday trading after the company provided disappointing guidance and revealed a cost-cutting plan. The biotechnology company will streamline operations, including adopting layoffs, with the goal of saving a total of $ 326M a year by 2023. Following the announcement, NVTA fell 12%.

NVTA said that the cost reduction will extend the cash runway into 2024. The company also announced a major change of management, with COO Kenneth Knight taking over as CEO. Former CEO Sean George will serve as a consultant and remain a board member.

For more of Wall Street’s stocks with best and worst results, go to the Seeking Alphas On The Move section.

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