Chinese tech stocks such as Alibaba and Tencent have weighed on regulatory pressure and slower Chinese economic growth in 2022. But investors are starting to feel a bit more optimistic about Chinese tech companies in 2023.
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Check out the companies making headlines in premarket trading.
Alibaba – Shares rose 9.8% after the e-commerce giant said it would split its company into six separate business groups. Each has the potential to raise outside funding and go public.
Lyft – The ride-sharing company added 5% after its co-founders, CEO Logan Green and Chairman John Zimmer, announced they would soon step down from their day-to-day roles. Former Amazon executive David Risher will take the helm on April 17.
First Republic Bank – followed closely by Regional Bank gained 3.6%. Investors bought back shares after selling off last week, following an 11.8% rally in Monday’s session. Investors were wondering whether a $30 billion bailout from a group of banks would be enough to boost its liquidity.
Walgreens Boots Alliance — The pharmacy stock advanced 1.7% after the company posted better-than-expected fiscal second-quarter results. For Refinitiv, adjusted earnings per share came in at $1.16, above analysts’ expectations of $1.10. Meanwhile, the company reported revenue of $34.86 billion, beating Wall Street expectations of $33.53 billion.
PVH — Shares of the apparel company rose more than 12% following a better-than-expected fourth-quarter report. PVH generated adjusted earnings per share of $2.38 on revenue of $2.49 billion. Analysts polled by Refinitiv expected earnings of $1.67 per share on revenue of $2.37 billion. Revenue at the Tommy Hilfiger and Calvin Klein brands each grew 3%, and PVH’s revenue guidance also topped expectations.
PagSeguro — Shares rose 5% after Citi upgraded the Brazilian payments stock to a buy following fourth-quarter earnings. The company said the earnings report did not surprise much and that the company was still in “rough waters,” making the stock more attractive due to underperformance.
Siena — The technology company added 3.1% following an upgrade from Outperform to Strong Buy by Oppenheimer, which cited Siena’s entry into the edge router market as a catalyst.
Occidental Petroleum – The energy stock rose 1.9% in premarket trading after a regulatory filing showed Warren Buffett’s Berkshire Hathaway bought an additional 3.7 million shares for $216 million on Monday and last Thursday. The move raised the company’s stake in the oil firm to 23.5%.
Paramount — Shares of the traditional media giant advanced 5% on Tuesday morning after Bank of America upgraded its rating from neutral to buy. The company highlighted a strong lineup of assets that could help value Paramount at a premium compared to the market if the business is put up for sale.
Fox – Shares fell more than 1% after Bank of America downgraded the media company from buy to neutral, saying there were no near-term catalysts to lift the stock price.
Array Technologies – The renewable energy stock added 3.6% following an upgrade to buy by the trust. The company said it expects to see some weakness in the first quarter, helped by domestic and international tailwinds later in the year.
— CNBC’s Arjun Karpal, Jesse Pound, Michael Fox, Brian Evans and Yun Li contributed reporting.
