Category: investing.com

Investors were cautious during Tuesday’s session as ongoing debt-ceiling negotiations and quarterly earnings results weighed on sentiment. The Dow Jones Industrial Average, S&P 500 and Nasdaq Composite all closed lower, with Intuit, Urban Outfitters, Palo Alto Networks, Agilent Technologies, NVIDIA Corporation, American Eagle Outfitters, Snowflake Inc and Kohl’s Corp all releasing earnings results.

Looking ahead to Wednesday, investors will be keeping an eye on FOMC meeting minutes and a speech from Treasury Secretary Yellen, while earnings is set to continue with several companies scheduled to release results. U.S. 10-Year rates were at 3.698%.

Purdue Pharma, the maker of OxyContin, received a U.S. judge’s permission on Tuesday to sell its consumer health business for $397 million to a subsidiary of Arcadia Consumer Healthcare. The sale is part of Purdue’s effort to liquidate its assets while it awaits a final ruling on a $10 billion settlement that would devote the company’s remaining resources to combating the U.S. opioid epidemic.

The company’s creditors’ committee has pushed for the proceeds from the sale to be used to compensate victims of the opioid crisis and fund addiction treatment programs. Purdue attorney Eli Vonnegut said at Tuesday’s hearing that the company supports that goal, but will need to build consensus among various stakeholders in its bankruptcy first.

Avrio Health, the consumer health business being sold, has never been involved in Purdue’s opioid business. It sells over-the-counter antiseptics and laxatives. Purdue initially planned to sell the business as part of its post-bankruptcy transition to a nonprofit company devoted to combating opioid overdoses and opioid use disorder.

The 2nd U.S. Circuit Court of Appeals is yet to rule on an appeal challenging the company’s effort to shield its owners, members of the wealthy Sackler family, from liability in exchange for a $6 billion contribution to Purdue’s settlement.

Target (NYSE:TGT) is facing customer backlash after making “adjustments” to its LGBTQ merchandise, including pulling some product from stores. A company spokesperson said that the criticism has been widespread and that people are reaching out with feedback.

One of the LGBTQ brands being pulled is Abprallen, which makes T-shirts, sweaters and bags. Its British designer, Eric Carnell, has come under social media scrutiny for designing merchandise with images of pentagrams, horned skulls and other Satanic products.

Target is committed to creating an inclusive environment for all customers and employees and is taking steps to ensure that its merchandise reflects that commitment. The company is listening to customer feedback and making changes to ensure that its products are in line with its values.

Tesla Inc CEO Elon Musk has revealed that the company is likely to pick a location for a new factory by the end of this year. When asked if India was an interesting option, Musk said “Absolutely”. Last week, India’s deputy minister for technology told Reuters that Tesla is “serious” about its plans to establish a manufacturing base in the country.

In addition, Musk also floated the idea of creating an educational institution that would control most of his votes. He also revealed that he has identified a successor to the board in case something happens to him unexpectedly.

Tesla is pushing to expand its global output and recently announced that it would open a gigafactory in Mexico. With the potential new factory in India, Tesla is looking to further expand its presence in the global market.

UBS Group AG is the largest bank in Switzerland and one of the world’s leading financial services companies. The bank has been in talks with the Swiss government to agree to terms and negotiate a definitive loss protection agreement related to its acquisition of Credit Suisse. The agreement would provide UBS with additional capital and liquidity requirements for the combined firm.

UBS Group AG is confident that the agreement will be finalized soon and that it will be beneficial for both parties. The agreement will provide UBS with additional capital and liquidity requirements, which will help the bank to better manage its risk and ensure its long-term success.

MEXICO CITY (Reuters) – Mexican President Andres Manuel Lopez Obrador’s administration is studying the possibility of buying a majority of shares in Citigroup’s (NYSE:C) local retail unit known as Banamex. Lopez Obrador said it would be “good business” and that the government is considering creating a public-private association with Citigroup to operate the bank.

Speculation that Grupo Mexico’s owner German Larrea might bow out of the bidding process spread on Monday after a Mexican columnist tweeted he was dropping the bid, citing concerns over the government’s power to take it over. Grupo Mexico told Reuters on Tuesday that a quote in the tweet was false and that it could not comment on the process with Banamex.

The president said he is willing to reach an agreement with Grupo Mexico over a railway in Southern Mexico operated by a unit of the company, which the government is considering taking over. Grupo Mexico has proposed a government payment of more than $534 million for the railway, though the firm would not confirm the figure.

Earlier in May, the president said the government has no problem with Grupo Mexico buying Citigroup’s unit. The government is now studying the possibility of buying a majority of shares in Banamex, which could be a good business move for the country.

BranchOut Food (BOF) has announced a downsized 1.1 million share initial public offering (IPO) at a price range of $6-$8 per share. This is a reduction from the previously indicated 1.25 million share offering.

The company is a leading provider of food delivery services, with a focus on providing customers with a wide variety of food options. BOF has a network of over 10,000 restaurants and delivery partners, and is available in over 200 cities across the United States.

The company has seen strong growth in recent years, with revenue increasing by over 50% in the last year. BOF has also seen an increase in customer satisfaction, with customer ratings increasing by over 20% in the last year.

The IPO is expected to provide BOF with the capital needed to continue its growth and expansion. The company plans to use the proceeds to invest in new technology, expand its delivery network, and increase its marketing efforts.

BOF is an exciting company with a lot of potential. The downsized IPO is a sign of the company’s confidence in its future prospects, and investors should take note.

Palo Alto Networks (NASDAQ:PANW) shares surged 4% in after-hours trading following the company’s Q3 earnings report, which beat analyst expectations. EPS of $1.10 was higher than the consensus estimate of $0.93, while revenue increased 24% year-over-year to $1.7 billion. The company also provided strong guidance for Q4/23 and the full year, with EPS and revenue expected to come in above consensus estimates. Total billings are anticipated to grow 17%-24% year-over-year. Investors responded positively to the news, sending shares higher in after-hours trading.

The CDC issued the mask mandate in January 2021, requiring travelers to wear face coverings on planes, buses, trains, and other forms of public transportation. The mandate was challenged in court by a Florida-based airline passenger who argued the CDC had exceeded its authority. The Justice Department had argued the CDC had the authority to issue the mandate under the Public Health Service Act.

The Justice Department’s decision to drop the appeal comes as the CDC has eased its mask mandate for fully vaccinated people in most settings, including on airplanes. The CDC has also said that fully vaccinated people do not need to wear masks outdoors in crowds or in most indoor settings.

Intuit (NASDAQ: INTU) reported third quarter earnings that beat analyst estimates by $0.43. Revenue for the quarter came in at $6.02B, slightly below the consensus estimate of $6.09B. The company provided guidance for Q4 2023 EPS of $1.43-$1.48 versus the analyst consensus of $1.51, and FY 2023 EPS of $14.20-$14.25 versus the analyst consensus of $13.83. Intuit’s stock price closed at $449.80, up 7.14% in the last 3 months and 25.30% in the last 12 months. According to InvestingPro, Intuit’s Financial Health score is “good performance”. Investors can stay up-to-date on all of the upcoming earnings reports by visiting Investing.com’s earnings calendar.