Shares of United States Steel (X, Financial) soared nearly 29% as Japan's largest steelmaker, Nippon Steel (NISTF), announced its plan to acquire the company for $55 per share, valuing the enterprise at $14.9 billion. This move comes after Cleveland-Cliffs (CLF) initiated a bidding war earlier in the year with a $7.3 billion offer. The acquisition is expected to close between the second and third quarter of 2024, with Nippon Steel looking to expand its global footprint and increase production capacity.
Adobe (ADBE, Financial) and Figma have decided to terminate their $20 billion merger agreement due to regulatory challenges from the European Commission and the UK Competition and Markets Authority. Adobe's CEO expressed disappointment but affirmed the company's strong market position and continued mission despite the setback. Adobe had previously anticipated the acquisition to close later this year.
Alteryx (AYX, Financial) is set to be acquired by a consortium led by Insight Partners and Clearlake Capital for $4.4 billion, including debt. Shareholders will receive $48.25 per share in cash, a 59% premium over the share price before sale rumors emerged. The deal is expected to finalize in the first half of the next year, with Alteryx's Co-Founder and Executive Chairman Dean Stoecker supporting the transaction.
SunPower (SPWR, Financial) experienced a downgrade to Sell from Neutral by Goldman Sachs, citing increased competition and pressure on selling prices. Goldman Sachs has also reduced its revenue estimates for SunPower, resulting in a 6.2% drop in premarket trading. Meanwhile, Goldman upgraded Sunnova Energy International (NOVA), reflecting a mixed outlook for the solar energy sector.
Affirm Holdings (AFRM, Financial) saw its stock decline by 5.2% following a downgrade from Morgan Stanley to Underweight from Equalweight. Despite recent surges in the stock price, the analyst believes the current valuation is not justifiable and sees a skewed risk-reward scenario at these levels.
NIO (NIO, Financial) announced a significant investment from CYVN Holdings, amounting to $2.2 billion for newly issued shares. This strategic equity investment will result in CYVN owning approximately 20.1% of NIO's total issued and outstanding shares, with the transaction expected to close by the end of December.
Nokia (NOK, Financial) shares dipped after a downgrade from Goldman Sachs, which raised concerns about the company's product roadmap and increasing competition, particularly noting AT&T's (T) shift to Open Radio Access Network supplied largely by Ericsson (ERIC).
Snap (SNAP, Financial) received an upgrade from Guggenheim to Buy from Neutral, with a price target increase to $23 from $9. The upgrade is based on expectations of an accelerating digital advertising market in 2024, which could benefit Snap significantly.
BP (BP, Financial) has paused shipping through the Red Sea due to evolving regional circumstances, contributing to a rise in oil prices. Geopolitical risks are becoming a prominent concern for investors as traditional alliances shift, introducing new market uncertainties.
Software company Ebix Inc (EBIX, Financial) filed for Chapter 11 bankruptcy protection after defaulting on a loan, causing its shares to plummet by over 47% in premarket trading. The company and its subsidiaries will undergo a sale process for its assets.
Salesforce (CRM, Financial) shares increased after Wolfe Research upgraded the company, citing a potential growth bottom and benefits from AI, pricing, and product cycles. The analyst set a price target of $315 and expects Salesforce to achieve double-digit topline growth.
Canada is set to introduce new regulations requiring all new passenger cars sold to be zero emissions by 2035, impacting automakers like Ford (F, Financial), Stellantis (STLA, Financial), and General Motors (GM, Financial), as the country moves towards its environmental goals.
Masonite (DOOR, Financial) announced its acquisition of PGT Innovations (PGTI, Financial) in a $3 billion deal, which will see PGTI shareholders receive $41 per share. This acquisition follows PGTI's rejection of a previous $2.2 billion bid from Miter Brands and is expected to bring significant synergies and earnings per share accretion.
