When stocks fall after the Federal Reserve suggested at least three 25 bps rate cuts in 2024, that is a warning sign. Pfizer (PFE) lost 6.72% yesterday after lowering its revenue outlook. The drug company, on the verge of closing its Seagen (SGEN) acquisition, continues to offer revenue targets for its Covid drugs.
Pfizer should stop forecasting Covid-related sales. Demand remains weak. PFE stock closed at a 52-week low.
Linde (LIN) fell 4.21% yesterday. The stock is still above its all-time high from Nov. 3, 2023. It posted strong Q3 earnings and raised its Q4 and full-year earnings guidance last month. It expects to earn $14.00 to $14.10 in FY 2023.
Winners
Vertex (VRTX) rose by 13.23% to $405.07. It struck a licensing deal with gene editing firm Editas Medicine (EDIT). Vertex will get rights for the company’s Cas9 gene editing technology.
Zions Bancorp (ZION) closed at $41.82, up by 9.68%. Regional banks are significant winners in the rate cut forecast. ZION stock added another 4.35% in pre-market trade. KeyCorp (KEY) was +7.22% yesterday and up another 3.94% in pre-market. PNC Financial (PNC) is up 2.49% and Truist Financial (TFC) is up 3.41%.
