People pass the JP Morgan Chase &; Co. Headquarters in the Manhattan borough of New York.
Mike Segar | Reuters
Find out which companies are making headlines in the midday business.
JPMorgan Chase – JPMorgan rose 7% after the bank said it expected to hit key yield targets earlier than expected on higher interest rates, boosting its lending activity. Other banks were also among the top gainers on Monday. Citi and Bank of America got a 6% raise each, and Wells Fargo added 5%. Banks tend to take advantage of rising rates, which allows for higher margins and profits.
Starbucks – Shares of the global coffee chain rose slightly after the company announced it would exit the Russian market amid the country’s invasion of Ukraine, joining companies including McDonald’s, Exxon Mobil and British American Tobacco to completely withdraw from the country. Starbucks has 130 locations in Russia, which account for less than 1% of the company’s annual revenue.
Gap – Shares fell 3% after Gap was downgraded by Citi along with a series of other apparel companies, such as Abercrombie and Fitch and Children’s Place, saying earnings reports from last week should serve a “wake-up call” to retailers. Shares of Abercrombie and Fitch fell almost 2%, those of Children’s Place 4%.
Electronic Arts – Shares of Electronic Arts rose 1.8% after news of a sale or merger. Walt Disney, Apple and Amazon have reportedly held talks with the video game maker.
Eli Lilly – Eli Lilly’s stock rose 1% as SVB Securities said the drugmaker’s diabetes drug was a “game changer” and could bring more gains to the stock.
VMWare – Cloud stock jumped more than 20% after multiple reports that VMWare is in advanced talks to be acquired by chipmaker Broadcom. Broadcom shares fell 2.7%.
Autodesk — Shares of Autodesk fell 4.7% after Deutsche Bank downgraded the software company for not buying and lowering its price target. Deutsche also said it expects mixed first-quarter results from Autodesk.
Emergent BioSolutions – Emergent BioSolutions jumped 9.8% as the life sciences company manufactures a smallpox vaccine that can be used to prevent the spread of monkeypox.
Porch Group – Shares of the home services company gained 2.7% after JPMorgan launched a hedge with an overweight rating, saying Porch Group has differentiated itself through its business-to-business strategy.
– CNBC’s Tanaya Macheel, Yun Li, Hannah Miao and Sarah Min contributed reporting
