Check out the companies making headlines in midday trading.
WestRock — The stock gained 5% in midday trading on news that the company is nearing a merger with Europe’s Smurfit Kappa in a deal that could create a global paper and packaging giant worth about $20 billion, as first reported by The Wall Street Journal.
GameStop — The video game retailer saw shares dip 1% even after the firm posted quarterly revenue that surpassed Wall Street estimates as well as a smaller-than-expected loss. GameStop said the strong revenue in the quarter came from “significant software release.”
Semiconductors — Semiconductor stocks slid as a group. Shares of Lam Research and Advanced Micro Devices fell more than 3% and 2%, respectively. Shares of Qualcomm dropped more than 6%. Nvidia declined more than 2%. On the other hand, shares of Intel bucked the trend, rising 2%.
Apple — Apple slid more than 3.4% after a Bloomberg News report said China plans to expand restrictions on iPhones to state-owned companies. Previously, The Wall Street Journal reported that China was planning to ban iPhone use in government-backed agencies.
Align Technology — The orthodontics stock dropped more than 7%. Align Technology said Wednesday it’s acquiring 3D printing company Cubicure in a 79 million euro transaction, or roughly $84.6 million.
Rollins — Shares declined more than 6% after the pest control services company on Wednesday announced the start of a proposed secondary public offering of $1.35 billion of its common stock.
Seagate Technology — Seagate Technology shares dropped about 8% after Barclays downgraded the stock to equal weight form overweight. The Wall Street firm cited poor fundamentals and a recovery that could take longer than expected.
ChargePoint Holdings — Shares of ChargePoint Holdings plunged 13% after the electric vehicle charging infrastructure company missed fiscal second-quarter revenue estimates. ChargePoint posted $150 million in revenue, weaker than the $153 million forecast by analysts polled by LSEG, formerly known as Refinitiv. Separately, the company announced it would cut about 10% of its global workforce.
Dutch Bros — Shares slid about 3.4% after the drive-through coffee chain on Wednesday announced a public offering of $300 million in shares of its Class A common stock.
Dave & Buster’s Entertainment — The stock dropped more than 4% after reporting second-quarter results that missed expectations. The entertainment and dining company earned 60 cents per share on $542 million of revenue. Analysts polled by LSEG had anticipated earnings per share of 93 cents on revenue of $559 million.
C3.ai — C3.ai shares tumbled 13% after the artificial intelligence software company guided for a wider-than-expected operating loss for the fiscal second quarter. C3.ai forecast an operating loss in the range of $27 million to $40 million. Analysts polled by StreetAccount expected a loss of $20.5 million. Meanwhile, C3.ai reported an adjusted fiscal first-quarter loss of 9 cents per share on revenue of $72.4 million. Analysts polled by LSEG were anticipating a loss per share of 17 cents on revenue of $71.6 million.
Roku — The streaming stock slid 2% following a downgrade to hold from buy from Loop Capital. Roku rallied more than 12% Wednesday after announcing plans to lay off 10% of its staff, among other cost-cutting measures. Roku had also lifted third-quarter revenue and EBITDA guidance.
Verint Systems — Shares plunged 16% in midday trading after the analytics company reported weaker-than-expected second-quarter earnings and revenue. Verint reported adjusted earnings of 48 cents per share on revenue of $210 million. Analysts polled by LSEG had expected earnings per share of 57 cents on revenue of $225 million.
— CNBC’s Alex Harring, Yun Li and Pia Singh contributed reporting.