Tesla, the electric vehicle maker led by CEO Elon Musk, is planning to lay off more than 10% of its global workforce in an effort to increase productivity and reduce costs. This news caused shares to fall by 2.8% in midday trading. With nearly 141,000 employees as of December 2023, the company is making strategic changes to prepare for its next phase of growth.
Shares of Goldman Sachs climbed 3.4% after the investment bank reported a 28% jump in profit to $4.13 billion in the first quarter. The strong performance was attributed to a rebound in capital market activities. Goldman exceeded Wall Street’s earnings expectations, posting earnings of $11.58 per share on revenue of $14.21 billion.
Morgan Stanley downgraded computer peripherals company Logitech to underweight, causing shares to drop by 6.4%. Analysts expressed concerns about the market’s mis-pricing of the company’s future growth potential, forecasting only 3% annual revenue growth through fiscal 2027.
Salesforce, a leading customer relations management software provider, saw its stock shed over 5% after reports of advanced discussions to acquire data-management software company Informatica. This news made Salesforce the biggest loser in the blue-chip Dow Jones Industrial Average.
Medical Properties Trust’s shares jumped nearly 20% following the announcement that the real estate investment trust would sell majority interests in five Utah hospitals to a new joint venture for $886 million. This strategic decision is expected to drive growth and create value for the company.
Shares of Trump Media & Technology Group plummeted over 15% after the company filed to issue up to 21.5 million shares. Since its trading debut on March 26, the company’s share price has dropped by more than 62%. The decline comes amid the launch of the Truth Social app.
South Korea-based e-commerce company Coupang saw its shares climb 3.6% following an upgrade to buy from neutral at Citi. The bank believes that there is still room for Coupang’s margins to expand, especially as the firm raises its subscription fees with minimal customer pushback.
Snap One shares surged by 30% after the provider of smart living products announced it would be acquired by home automation company Resideo Technologies in a deal worth approximately $1.4 billion. The acquisition is expected to enhance both companies’ product offerings and market positions.
Online brokerage and money manager Charles Schwab added 2.8% after reporting mixed first-quarter results. The company matched earnings estimates at 74 cents per share and slightly exceeded revenue forecasts at $4.74 billion. Investors are closely monitoring Schwab’s performance in a competitive market environment.
The stock market is influenced by a variety of factors, including company performance, economic conditions, and industry trends. Investors should carefully evaluate opportunities and risks when making investment decisions in the dynamic and ever-changing market landscape.