Stocks with Big Moves: Starbucks, Chipotle, Home Depot, Tencent
- Starbucks, Chipotle, Home Depot, and Tencent are experiencing significant stock fluctuations midday.
- Investors are closely monitoring the market as these companies display large stock movements.
- The midday trading session presents opportunities and challenges for these major corporations.
In a significant shakeup, Starbucks announced the immediate ousting of CEO Laxman Narasimhan, leading to a 21% surge in the company's stock. Brian Niccol, currently the CEO of Chipotle Mexican Grill, is set to take over on September 9. Following the announcement, three Wall Street firms upgraded their ratings on Starbucks, reflecting investor optimism about the leadership transition. Home Depot's stock experienced a modest gain of 2% after initially dropping 4% in premarket trading. The home improvement giant had issued cautious guidance, indicating concerns about consumer spending. Analysts noted that the recent pullback in Dell's stock could be indicative of broader worries regarding the sustainability of demand for artificial intelligence products. In contrast, Tencent Music Entertainment Group faced a challenging day as its shares plummeted approximately 15% after reporting a 1.7% decline in year-over-year revenue. Meanwhile, Hormel Foods saw a 2% increase in its stock price following an upgrade from Citigroup, which moved its rating from neutral to buy. On Holding, the athletic apparel company, experienced a 7% jump in its stock after reporting second-quarter results that exceeded revenue expectations, although earnings fell slightly short of analyst forecasts. Additionally, ViaSat's shareholders are reportedly collaborating with Morgan Stanley to sell around 11 million shares, following a nearly 52% drop in stock value due to an ongoing SEC investigation into the company's risk disclosures.