Top Consumer Stocks
Consumer stocks were ending mostly lower, with shares of consumer staples companies in the S&P 500 sinking almost 1.1% this afternoon while shares of consumer discretionary firms in the S&P 500 were dropping nearly 0.8%.
Among consumer stocks moving on news:
(+) Uber (UBER) was 3.5% higher shortly before Tuesday's closing bell after reports the ride-sharing company plans to invest at least $2 billion in its freight business over the next 10 years. Uber Freight is based in Old Main Post Office building in Chicago, according to the Financial Times, which also said the company is expecting to hire about 2,000 employees in Chicago by the end of 2022.
In other sector news:
(-) Shopify (SHOP) declined over 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.
(-) Laureate Education (LAUR) fell nearly 7% 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.
(-) Wendy's Co (WEN) tumbled 10.5% 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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.