Gap upgrade, Rockwell Automation guidance, Transocean earnings: Top stocks

Retail conglomerate Gap, Inc. received a stock upgrade to Overweight from Barclays analysts. Rockwell Automation shares tumble while cutting full-year sales guidance. Offshore drilling company Transocean reports a second-quarter earnings miss.

Video transcript

- We're about, yeah, 30 minutes into today's trading activity. Let's take a look at how stocks are moving right now. Looking at the S&P 500, things are a little mixed to start the month of August.

We're going to have to get that into the right. Off to a hot July, after a hot July, rather, things could be cooling as stocks do tend to underperform in the month of August. Investors are also anticipating job openings data, which should be hitting right about now.

- Yes. And we'll talk about that in just a hot second. But first, let's talk about some individual movers. We're watching shares of Gap this morning, they're up almost 4%.

The stock moving on an upgrade from Barclays analyst Adrienne Yih boosted the stock to overweight from equal weight. She gave it a $13 price target citing potential for business improvement.

- And Rockwell Automation is under pressure this morning after reporting a third-quarter results that ultimately missed some of the expectations there. The company slashed its sales guidance for the year on supply chain issues linked to a new US distribution center. And now expects sales growth of 14% to 16%, that's down from a prior outlook that saw growth of up to 16.5%.

- And we are also following Transocean after its earnings results missed Wall Street expectations. The rig operator, rig is also the ticker who reported an adjusted loss of $0.15 per share in its second quarter. It did have a surprise revenue beat due to increased activity for drilling rigs, but investors are not buoyed by this with shipping demand below pandemic highs.