Conagra, Carnival, RH, Visa & more
Take a look at some of the biggest movers in the premarket:
Conagra (CAG) – The food producer missed estimates by 2 cents a share, with fiscal third-quarter profit of 47 cents per share. Revenue also came in slightly short, however Conagra said it has seen significantly elevated demand for its food products over the past few weeks due to the virus outbreak. The company now expects to exceed its full-year sales and profit guidance.
Carnival (CCL) – The cruise line operator is suspending dividend payments and stock repurchases, as voyage suspensions continue amid the coronavirus outbreak. Carnival said it could not estimate the impact of COVID-19 on its business, but expects a net loss for fiscal 2020.
McCormick (MKC) – The spice maker earned $1.08 per share for its latest quarter, 5 cents a share above estimates. Its revenue was below forecasts, however, as results were impacted by the coronavirus outbreak. The company withdrew its prior financial forecast due to uncertainties surrounding the COVID-19 pandemic.
RH (RH) – RH reported quarterly profit of $3.72 per share, beating consensus by 13 cents a share. The Restoration Hardware parent’s revenue was well short of estimates, however, amid lower traffic and more backorders during the holiday season. The furniture retailer also withdrew its financial guidance.
Amarin (AMRN) – Amarin received an unfavorable ruling from a Nevada court in a patent case involving its fish oil drug Vascepa, used to treat patients with high triglyceride levels. The court ruled in favor of Hikma Pharmaceuticals and Dr. Reddy’s Laboratories (RDY), which want to make generic versions. Amarin said it would pursue all available legal remedies.
British American Tobacco (BTI) – BAT and rival British cigarette maker Imperial Brands both announced deals for new multi-billion dollar credit lines, although they also say they are not seeing any major impact on their businesses from the coronavirus outbreak.
American Airlines (AAL) – The airline plans to apply for up to $12 billion in government assistance, according to an employee memo seen by Reuters. That would mean no involuntary layoffs or pay cuts over the next six months.
Spirit Airlines (SAVE) – Spirit is canceling all flights to and from New York, New Jersey, and Connecticut, following warnings from US officials not to travel to the tri-state area because of the COVID-19 pandemic.
Yum Brands (YUM) – Yum sold $600 million in junk-rated debt, with the restaurant chain planning to use the money for “general corporate purposes.” The debt carries a yield of 7.75%, much higher than the 4.75% Yum paid in a debt issue in December.
Gap (GPS) – Gap will furlough most of its 80,000 retail workers, as many of the apparel retailer’s stores remain closed. Gap will also cut corporate jobs and executive pay.
Domino’s Pizza (DPZ) – The restaurant chain withdrew its financial guidance, as many stores in international markets remain closed, although most U.S. locations remain open.
Norwegian Cruise Line (NCLH) – Norwegian extended its voluntary suspension of cruises through May 10, after originally suspending them through April 11.
Zoom Video Communications (ZM) – Zoom’s privacy practices are being investigated by the New York State attorney general’s office, according to a report in The New York Times.