Top Consumer Stocks
Consumer stocks were lower, with shares of consumer staples companies in the S&P 500 sinking 0.8% this afternoon while shares of consumer discretionary firms in the S&P 500 were dropping 0.7%.
Among consumer stocks moving on news:
(-) Laureate Education (LAUR) fell 8% on Tuesday after the for-profit educator said Wengen Alberta LP would be selling 15 million shares of its common stock through an upcoming public offering. The company also is expecting a delay in the sale of its Inti subsidiary past the end of the year will cause a "one-time negative impact" of around $30 million to its FY19 free cash flow, according to a regulatory filing late Monday.
In other sector news:
(-) Shopify (SHOP) declined 6% after the Canadian e-commerce platform late Monday announced its $450 million acquisition of 6 River Systems. Under terms of the proposed transaction, Shopify will pay $270 million - or 60% of the purchase price - in cash, and will also issue $180 million of its Class A shares for the collaborative warehouse fulfillment services company.
(-) Wendy's Co (WEN) tumbled over 12% on Tuesday after the restaurant chain lowered its FY19 earnings outlook, citing the expected cost of introducing a new breakfast menu next year throughout the US. Excluding one-time items, the company is expecting net income to fall between 3.5% to 6.5% compared with FY18 levels, down from its previous forecast expecting a 3.5% to 7% increase and indicating an adjusted profit in a range of $1.76 to $1.81 per share for the 12 months ending Dec. 29 based on its $1.88 per share in non-GAAP net income last year.