Stocks Inch Higher as Market Looks to Rebound From Fed-Fueled Sell-Off

Vertex Shares Plunge Following Pain Drug Study Results

1 hour ago

Vertex Pharmaceuticals (VRTX) shares sank Thursday morning after the company reported mixed results in a Phase 2 drug trial to treat lumbosacral radiculopathy (LSR), which causes leg and back pain.

The company said the trial of suzetrigine “met the primary endpoint with a statistically significant and clinically meaningful 2.02 point within-group reduction from baseline in the Numeric Pain Rating Scale (NPRS).”

However, the placebo reference arm “showed a similar within-group reduction from baseline in pain with a mean change in NPRS at Week 12 of -1.98,” Vertex said. It added that “the study was not designed nor powered for statistical comparison between suzetrigine and placebo.”

Vertex shares were down 12% in recent trading, pushing them into negative territory for the year.

–Aaron Rennie

Lamb Weston Plunges After Unexpected Loss, CEO Change

1 hr 33 min ago

Shares of Lamb Weston (LW) plunged nearly 20% in early trading Thursday after the maker of frozen fries swung to a surprise loss, cut its fiscal 2025 guidance, and appointed a new Chief Executive Officer (CEO).

The Idaho-based company reported a second-quarter loss of $36.1 million, or $0.25 per share, while analysts polled by Visible Alpha were expecting a profit of $88.0 million, or $0.61 per share. Revenue of $1.60 billion also was shy of expectations.

In a separate release, Lamb Weston announced that current Chief Operating Officer (COO) Michael J. Smith would take over the CEO role from Tom Werner, effective Jan. 3. Werner, who also will be replaced by Smith on the board, “will serve in an advisory role through August 31, 2025 to ensure a smooth transition,” the company said.

The company cut its fiscal 2025 targets, now projecting sales of $6.35 billion to $6.45 billion, earnings per share (EPS) of $2.30 to $2.45, and adjusted EPS of $3.05 to $3.20. Last quarter, it guided for sales of $6.6 billion to $6.8 billion, EPS of $2.70 to $3.15, and adjusted EPS of $4.15 to $4.35, with both per-share targets having been reduced from prior targets.

Lamb Weston shares were down 17% about half an hour after Thursday’s opening bell. The stock is down 40% since the start of the year.

–Aaron Rennie

Micron Price Levels to Watch as Stock Slides on Weak Outlook

2 hr 36 min ago

Micron Technology (MU) shares fell sharply in premarket trading Thursday after the memory chip maker and Nvidia (NVDA) partner issued a weaker-than-expected current-quarter outlook.

While the Idaho-based company said it sees a return to growth in the second half of fiscal 2025, it anticipates consumer-oriented markets to remain weaker in the near term. In prepared earnings call remarks, executives attributed the light outlook to a slower-than-expected PC upgrade cycle and softer auto and industrial markets.

Micron shares were down 11% at around $92 in recent premarket trading. Through the close of trading Wednesday, the stock had gained 22% since the start of the year, roughly in line with the S&P 500’s 23% return over the same period.

The stock looks set to stage a decisive breakdown below a trading range on Thursday, increasing the potential for further earnings-driven selling. 

Investors should monitor key price levels on Micron’s chart around $85, $78, and $72, while also watching an important overhead area near $97.

Read the full technical analysis piece here.

–Timothy Smith

Futures Point to Higher Open for Major Indexes

3 hr 16 min ago

Futures tied to the Dow Jones Industrial Average were up 0.7%.

S&P 500 futures added 0.9%.

Nasdaq 100 futures were up 0.8%.