A trader works at the New York Stock Exchange on Dec. 19, 2018.
Wang Ying | Xinhua News Agency | Getty Images
Check out the companies making headlines in the premarket Tuesday:
Roku — An analyst at RBC Capital Markets downgraded the streaming device maker to “sector perform” from “outperform,” citing a less attractive “risk-reward” outlook. “With the stock now trading at an intrinsically robust multiple … we see risk – reward as less compelling,” the analyst said in a note.
Comerica —Goldman Sachs downgraded the financial services company to “sell” from “neutral,” and cut its price target on the stock to $70 per share from $86 a share. The analyst highlighted increasing pressure on margins as the Federal Reserve signals the possibility of lower rates.
KAR Auction Services — Shares of the car auction company fell more than 4% after Guggenheim downgraded the stock to “sell” from “neutral,” citing “cyclical headwinds” and increasing competition.
Nordstrom — UBS downgraded Nordstrom to “neutral” from “buy,” and slashed its price target on the stock to $33 per share from $65 a share. The analysts said Nordstrom’s competitive position is weaker than in years past. Nordstrom shares fell 1% to around $31.10 per share.
Coty — The beauty company will restructure its operations and will take a $3 billion write down on several of its brands, including CoverGirl. Citi also downgraded the stock to “sell” from “neutral.” The analyst noted that management’s turnaround plan will take longer than expected to impact the company’s business.
AB InBev — The beer giant is looking to raise nearly $10 billion from its Hong Kong initial public offering later this year. That would make it the biggest IPO of 2019.
Nike — Nike pulled a sneaker featuring an early U.S. flag known as the “Betsy Ross” flag after former NFL player Colin Kaepernick told the company the flag was offensive to some people.