In this article, we will take a look at the 10 notable market movers to watch on Wednesday. If you want to see some other stocks making big moves today, go directly to 5 Notable Market Movers to Watch on Wednesday.
Pulp and paper company Resolute Forest Products Inc. (NYSE:RFP), electric vehicle maker Rivian Automotive, Inc. (NASDAQ:RIVN) and online food delivery platform DoorDash, Inc. (NYSE:DASH) were spotted making big moves today.
Shares of Resolute Forest Products skyrocketed nearly 65 percent this morning after receiving an acquisition offer from Paper Excellence Group, while Rivian stock jumped over 11 percent after reaffirming its 2022 production target.
Image by Sergei Tokmakov Terms.Law from Pixabay
On the other hand, DoorDash stock fell over seven percent after Amazon decided to acquire stakes in rival Grubhub. In addition, shares of RingCentral, Inc. (NYSE:RNG) and Coinbase Global, Inc. (NASDAQ:COIN) also declined after receiving downgrades from analysts.
Notable Market Movers to Watch on Wednesday
10. Veru Inc. (NASDAQ:VERU)
Number of Hedge Fund Holders: 9
Shares of Veru Inc. (NASDAQ:VERU) rallied over 16 percent on Wednesday morning after the Florida-based biopharmaceutical company published Phase 3 results of its anti-viral oral drug candidate sabizabulin in the New England Journal of Medicine.
Sabizabulin is a novel drug candidate developed by Veru Inc. (NASDAQ:VERU) to treat coronavirus patients vulnerable to acute respiratory distress syndrome (ADRs) and mortality. According to the results, the drug candidate met its primary endpoint. Veru Inc. (NASDAQ:VERU) reported that 210 patients participated in the Phase 3 trial.
9. CureVac N.V. (NASDAQ:CVAC)
Number of Hedge Fund Holders: 11
Shares of CureVac N.V. (NASDAQ:CVAC) turned green today after it filed a patent infringement case against BioNTech SE (NASDAQ:BNTX) in Germany over the use of its messenger ribonucleic acid (mRNA) technology.
CureVac N.V. (NASDAQ:CVAC) claims that BioNTech used its mRNA technology for developing the coronavirus vaccine Comirnaty. CureVac N.V. (NASDAQ:CVAC) is looking for reasonable compensation for the said infringement.
On the other hand, BioNTech is also exploring legal options against CureVac N.V. (NASDAQ:CVAC) following the lawsuit.
8. Rocket Companies, Inc. (NYSE:RKT)
Number of Hedge Fund Holders: 12
Shares of Rocket Companies, Inc. (NYSE:RKT) rose over six percent this morning after Wells Fargo improved its ratings for the financial technology company from “Equal-Weight” to “Overweight.”
Wells Fargo analyst Donald Fandetti thinks that Rocket Companies, Inc. (NYSE:RKT) is well set to capitalize on the disruption in the residential mortgage market. Fandetti also believes that Rocket Companies, Inc. (NYSE:RKT) will be able to boost its market share over time, considering its scale and reach.
Separately, Rocket Companies, Inc. (NYSE:RKT) on Tuesday appointed Bruce Bowden as its chief financial officer (CFO). Bowden previously served New Hampshire-based Bottomline Technologies in the same role.
Like Rocket Companies, Inc. (NYSE:RKT), Rivian Automotive, Inc. (NASDAQ:RIVN), DoorDash, Inc. (NYSE:DASH) and RingCentral, Inc. (NYSE:RNG) were also spotted making big moves this morning.
7. Kornit Digital Ltd. (NASDAQ:KRNT)
Number of Hedge Fund Holders: 19
Shares of Kornit Digital Ltd. (NASDAQ:KRNT) hit a new 52-week low of $20.40 on Wednesday after the maker of industrial inkjet printers lowered its sales outlook for the second quarter.
Kornit Digital Ltd. (NASDAQ:KRNT) now expects to generate revenue in the range of $56.4 – $59.4 million for the second quarter, significantly lower than its previous projection of $85 – $95 million. The revised guidance also missed analysts’ average estimate of $88.5 million.
Investment management firm Wasatch Global Investors talked about Kornit Digital Ltd. (NASDAQ:KRNT) in its first-quarter 2022 investor letter published in May. Here’s what the firm said:
“The greatest detractor from Fund performance for the quarter was Kornit Digital Ltd. (NASDAQ:KRNT). The company makes machines for the environmentally sustainable printing of designs and images on clothing and fabrics. The Covid-19 pandemic highlighted the advantages of Kornit’s on-demand technology, which greatly reduces the need for inventory on hand and in supply chains. Having run up in price significantly during 2021, the stock pulled back in the first quarter of 2022 amid fears that persistent inflation may force the Fed onto a more aggressive path with respect to interest rates. While other investors pondered this possibility, we considered Kornit’s fundamental strengths. These include the company’s large and growing addressable market, talented management team, recurring revenue streams and attractive business model with relatively few competitors. In our view, Kornit is positioned for continued market-share gains and annual revenue growth north of 30%.”
6. Resolute Forest Products Inc. (NYSE:RFP)
Number of Hedge Fund Holders: 21
Shares of Resolute Forest Products Inc. (NYSE:RFP) skyrocketed nearly 65 percent before the opening bell today following the news that Canada-based Paper Excellence Group is acquiring Resolute Forest in a cash deal valued at $1.6 billion.
Resolute Forest Products Inc. (NYSE:RFP) will receive $20.5 for each share of its common stock. The price represents a hefty premium of 64 percent to Resolute stock’s closing price in the previous trading session.
The deal is expected to close by the second half of 2023. CIBC Capital Markets is offering financial advisory services to Resolute Forest Products Inc. (NYSE:RFP) on the agreement.
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Disclosure: None. 10 Notable Market Movers to Watch on Wednesday is originally published on Insider Monkey.
