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U.S. Steel rejected an unsolicited buyout offer from rival Cleveland-Cliffs.
Sean Gallup/Getty Images
Stock futures were rising Monday as markets have stumbled to add to this year’s rally during August. The focus for Wall Street this week will be on minutes of the Federal Reserve’s latest policy meeting and earnings reports from some of the biggest U.S. retailers.
These stocks were poised to make moves Monday:
U.S. Steel
(X) rejected an unsolicited buyout offer from rival
Cleveland-Cliffs
(CLF) that would have valued
U.S. Steel
at about $7.3 billion. The board of U.S. Steel called the proposal “unreasonable.”
Cleveland-Cliffs
said the implied value of the offer was $35 a share. U.S. Steel closed Friday at $22.72 and was surging in premarket trading by 28% to $29.02. Cleveland-Cliffs shares declined 6.7%.
Tesla
(TSLA) was falling 1.6% after cutting prices in China on two versions of its Model Y sedan. The price of a long-range Model Y was cut by 14,000 yuan, to 299,900 yuan, and the performance version also was reduced by 14,000 yuanto 349,900 yuan.
Tesla
also rolled out an incentive of 8,000 yuan, or about $1,100, for certain Model 3 sedans in China. The price cuts will lead to more questions about price wars and demand for electric vehicles in the world’s largest market for new cars.
AMC Entertainment
(AMC) shares fell 28% in premarket trading after the movie-theater chain won approval to move ahead with a planned conversion of AMC Preferred Equity, or APE, units into common shares. APE units soared 26%. AMC has sought to convert its preferred equity units, known as Apes, into common shares and enact a 10-for-1 reverse stock split to raise capital.
Nikola
(NKLA) was falling 14% after announcing it would be recalling about 209 of its Class 8 Tre battery-electric vehicles after a third-party investigator found that a defective battery part likely caused a fire in one of the trucks at the company’s headquarters in Phoenix.
Okta
(OKTA) was rising 4.3% to $74.44 after shares of the identity-management software provider were upgraded to Buy from Sell at
Goldman Sachs
and the price target was raised to $91 from $77.
Keysight Technologies
(KEYS) was downgraded to Underperform from Neutral at BofA with a price target of $148, down from $163. Keysight, a maker of electronics test and measurement equipment, is scheduled to issue fiscal third-quarter earnings on Thursday.
Earnings reports are expected Monday from
Roivant Sciences
(ROVI),
Monday.com
(MNDY),
Rumble
(RUM),
JinkoSolar
(JKS), and
Canoo
(GOEV).
Reports are expected later in the week from
Walmart
(WMT),
Home Depot
(HD),
Target
(TGT),
Cisco Systems
(CSCO),
JD.com
(JD),
Applied Materials
(AMAT),
Deere
(DE),
Palo Alto Networks
(PANW), and
XPeng
(XPEV).
Write to Joe Woelfel at joseph.woelfel@barrons.com
