Pot Profiteer

Stocks making the biggest moves premarket: GameStop, Luminar Technologies, Virgin Orbit & more

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People wearing protective face masks walk past the closed Nike store on 5th Avenue, during the outbreak of the coronavirus disease (COVID-19), in New York City, May 11, 2020.
Mike Segar | Reuters

Check out the companies making headlines before the bell.

GameStop — The meme stock surged 44% after the company posted a quarterly profit for the first time in two years Tuesday. The video game retailer’s gross margin also rose from the year-earlier period.

Luminar Technologies — Shares dropped nearly 9.2% after being downgraded by Goldman Sachs to sell from neutral. The Wall Street firm cited margin risk and a premium valuation for the call.

Petco Health and Wellness — The stock fell by 7.8% in early morning trading after the company reported fourth-quarter earnings that missed Wall Street’s expectations. Petco posted a revenue of $1.58 billion, in line with expectations from analysts surveyed by StreetAccount. Petco also reported adjusted earnings per share of 23 cents, below a consensus estimate of 24 cents per share.

Virgin Orbit Holdings — Shares of billionaire Richard Branson’s rocket builder soared by nearly 73.3% after Reuters reported it is aiming to close a deal for a $200 million investment from Texas-based venture capital investor Matthew Brown via a private share placement. Virgin Orbit and Brown are aiming to close the deal on Friday, the report said. The company was bracing for a potential bankruptcy filing as soon as this week, CNBC reported on Monday.

Boeing — Shares of the airline declined by 1.3% on news that Boeing will take additional charges to its KC-46 tanker program due to a supplier quality issue with the center fuel tank, chief financial officer Brian West said Wednesday. Although the charges were not disclosed, West said Boeing’s margins at its defense business would be negative for the first quarter.

First Republic — Shares of the regional bank fell by 4.2% in premarket trading after jumping nearly 30% in Tuesday’s session. The stock has been extremely volatile in recent weeks as investors have reacted to the closure of Silicon Valley Bank.

Nike — Nike dipped about 1.1% before the bell even after it beat expectations for its fiscal third quarter on both the top and bottom lines. Sales in China fell short of analyst expectations, and the company continued working through its inventories, which weighed on margins.

— CNBC’s Samantha Subin, Jesse Pound, Alex Harring and Michelle Fox Theobald contributed reporting.

This article was originally published by Cnbc.com. Read the original article here.

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