This week, investors' attention was drawn to such companies as Biogen, CarMax, Tesla, Lucid Group, Ford Motor, General Motors, and Nike. Let's find out what happened to these enterprises.

Biogen stocks grew by 40%

Biogen shares grew by 40%

On Wednesday 28 September, the stock price of American biopharma company Biogen Inc. (NASDAQ: BIIB) which develops and makes drugs against neurological and neurodegenerative diseases, rose 39.85% to $276.61.

This impressive growth is attributed to the news that the massive clinical tests of an anti-Alzheimer drug designed by Biogen Inc. together with Eisai Co. Ltd. were finalised with success.

The success of Lecanemab research had a good influence on the quotes of other representatives of the pharma sector that put effort into treating Alzheimer's. On the same day, the quotes of Acumen Pharmaceuticals Inc. (NASDAQ:ABOS) recorded a remarkable growth of 103.83% to $9.58, the quotes of Prothena Corporation plc (NASDAQ:PRTA) surged 87.52% to $58, and Eli Lilly and Company (NYSE:LLY) rose by 7.48% to $334.38.

CarMax report: profit dropped by 56%

CarMax shares are falling after quarterly report

On Thursday 29 September, a quarterly report for Q2, financial 2023 was presented by CarMax Inc. which sells used cars in the US. The financial results of June-August did not live up to the expectations of Wall Street analysts.

CarMax Inc. earnings grew 2% to $8.1 billion, compared to the results of the same quarter last year. The forecast was $8.5 billion. Net profit dropped by 55.9% to $125.9 million, and EPS plummeted 54.1% to $0.79.

The management of CarMax Inc. attributes the decline of demand for used cars in the US to high inflation and the interest rate hike made by the US Federal Reserve System. They expect the downtrend to last for this quarter as well.

After the report was published, the quotes of CarMax Inc. (NYSE:KMX) lost 24.6%, reaching $65.16. This is the biggest overnight decline of these shares since January 2000.

Stocks of car makers are falling

Stocks of car manufacturers are falling

According to recent publications, the unemployment rate in the US turned out to be lower than analysts had expected. Experts currently think that the Fed will interpret the strong report on the labour market as a signal that the economy is ready for further aggressive increases in the interest rate.

Investors of American car makers worry that the actions of the regulator can slow down the economy and provoke a recession. They think that as a result, the population will no longer afford large purchases, such as cars.

On 29 September, the share price of Tesla Inc. (NASDAQ:TSLA) dropped by 6.81% to $268.21, the quotes of Lucid Group Inc. (NASDAQ:LCID) went down 6.77% to $14.19, Ford Motor Company (NYSE:F) dropped by 5.83% to $11.47, and General Motors Company (NYSE:GM) by 5.65% to $33.26.

Nike report: profit dropped by 22%

Nike shares are falling after quarterly report

On Thursday 29 September, the popular American producer of sportswear, shoes, and accessories Nike Inc. published a financial report for Q1, financial 2023. Earnings in June-August increased 4% to $12.7 billion, exceeding the forecast of analysts by 3.3%. Net profit dropped by 22% to $1.5 billion, and EPS by 20% to $0.93, thus living up to the expectations of analysts.

Investors are worried that the earnings of Nike Inc. in the Big China region have been falling for two quarters in a row due to the pandemic restrictions. Last quarter, it lost 13%, reaching $1.7 billion. Moreover, due to supply issues caused by the coronavirus pandemic, the number of goods in stock increased by 44% to a total cost of $9.7 billion.

On 29 September, the trading session in Nike Inc. (NYSE:NKE) shares closed with a decline of 3.41% at $95.33. However, after trades closed, the shares lost 9.01% more, reaching $86.74.

Summing up

The positive results of the clinical tests of a new anti-Alzheimer drug, which proved a success, made Biogen Inc. shares grow by 40%.

CarMax Inc. reported a serious decline in the quarterly net profit, which made the quotes lose 25%.

Investors of Tesla Inc., Lucid Group Inc., Ford Motor Company, and General Motors Company are anxious about a decline in the US economy, with the quotes of these companies losing 6-7%.

Nike Inc. reported that last quarter's net profit dropped, sales in China shrank, and the number of goods in stock increased. Such financial statistics pushed the quotes of the company down.

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Server is the guru of searching for market insights. Since 2019 he writes about everything that might be useful to the investor, focusing on the stock market and its assets.