Yahoo Finance Stocks - Chevron, Intel Surge in Premarket on Cash Conservation Packages
By Geoffrey Smith
Investing.com -- Stocks in focus in premarket trade on Tuesday, March 24th. Please refresh for updates. The main market indices are set to open sharply higher, with futures contracts having been halted, limit up, overnight. Please refresh for updates.
9:10 AM ET: Intel (NASDAQ:INTC) stock was up 7.1% after the chipmaker said it would suspend its buyback program to suspend cash. The company said its factories would keep operating but warned that the Covid-19 pandemic would have a 'material' impact on sales. 8:59 AM ET: Netflix (NASDAQ:NFLX) stock was up 3.1% after the company said it would reduce traffic on India's telecoms networks by 25%, to ease capacity constraints after a surge in demand driven by the Covid-19 outbreak. Ken Florance, vice-president of content delivery, said in a statement that this could be achieved without sacrificing streaming quality. 8:53 AM ET: General Motors (NYSE:GM) stock rose 6.0% after the company said it’s drawing down $16 billion in credit to bolster its liquidity.
The company also suspended its guidance for 2020.
8:46 AM ET: Invesco Mortgage Capital (NYSE:IVR) preferred stock was down 43% after the REIT said it, too, is in talks with counterparties against a backdrop of margin calls that it doesn't expect to meet. The REIT also suspended its quarterly dividend payments. 8:41 AM ET: New York Mortgage Trust (NASDAQ:NYMT)stock was down 34% after warning that it didn't expect to be able to meet margin calls from repo counterparties. 8:13 AM ET: Gilead Sciences (NASDAQ:GILD) stock was up 4.6% after the company said late on Monday that the Food and Drug Administration had given its experimental drug remdesivir orphan drug status.
That gives it seven-year market exclusivity privileges for a drug that may join the front line of treatments for the Covid-19 virus. The company is currently being swamped with requests for the drug from U.S. physicians on a ‘compassionate use’ basis.
8:08 AM ET: Twitter (NYSE:TWTR) stock was up 1.2%, underperforming the broader market, after saying it expected an operating loss and a drop in revenue in the first quarter, due to a drop in ad sales caused by the Covid-19 outbreak. The outbreak has still helped the platform to a sharp rise in traffic, with average daily users up 8% from the fourth quarter and up 23% from a year earlier. 8:02 AM ET: Chevron (NYSE:CVX) stock was up 6.1% after the oil and gas major announced a package of measures to conserve cash. The company is suspending its $5 billion annual buyback program and cutting capital spending by 20%, or around $4 billion. The dividend will be left unchanged, as was the case on Monday with Royal Dutch Shell (LON:RDSa) and Total SA (PA:TOTF).
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