A roundup of some of the North American equities making moves in both directions today
Shares of Nike Inc. were down about 4 per cent in early trading Friday after the shoe maker reported weaker-than-expected sales in North America in its most recent quarter and warned of slower revenue growth.
The company expects sales during its fiscal fourth quarter will be up a high-single-digit rate, on a constant currency basis. But currency headwinds are expected to reduce that growth by about 6 percentage points, CFO Andy Campion said, resulting in low-single-digit gains compared with a year ago.
Finnish network equipment maker Nokia is taking a pounding after saying Friday it was looking into transactions at its former French rival Alcatel-Lucent which it acquired in 2016, after reporting possible compliance issues at the unit to U.S. authorities. New York-listed shares were down about 7 per cent.
“The last night comment on possible fines stemming from business transactions of Alcatel-Lucent is hurting the stock, the market is really sensitive about Nokia these days,” Kimmo Stenvall, analyst at OP Markets, told Reuters. Nokia said certain practices relating to compliance issues at the former Alcatel-Lucent business had raised its concerns during the integration process.
Boeing Co. shares were down about 1 per cent after Indonesian carrier PT Garuda Indonesia said it would look to cancel a US$4.9-billion order for 49 of Boeing’s 737 Max 8 jets. The move marks the first time a carrier has sought to cancel an order for the jets in the wake of fatal crashes in Indonesia and Ethiopia.
Goldcorp. shares were lower Friday in heavy trading, while rival Newmont Mining was off 0.1 per cent, after Paulson & Co. said it would not support Newmont’s planned $10-billion US takeover of Goldcorp. Paulson, which said the premium offered is unjustified, is one of Newmont’s top shareholders. Mr. Paulson said the deal would be dilutive to Newmont holders and only Goldcorp shareholders would benefit from the synergies.
On the rise
On Bay Street, Ski-Doo maker BRP Inc. reported a 22.8-per-cent increase in fourth quarter revenue, topping analysts’ forecasts and sending shares up about 4 per cent in early trading. BRP posted revenue of $1.51-billion in the quarter, up from $1.23 billion a year earlier. Analysts had been expecting revenue of $1.41-billion. Earnings per share rose 23.5 per cent to 84 cents in the latest quarter. That was also ahead of the 83 cents analysts had been forecasting.