Closing Bell: Jabil Rises, Fluence Energy Up, Verve Soars

Stock Movers

On this episode of Stock Movers:

Listen for comprehensive cross-platform coverage of the US market close as heard on Bloomberg Television, Bloomberg Radio, and YouTube with Romaine Bostick, Scarlet Fu, Alix Steel, Carol Massar and Tim Stenovec.

- Jabil (JBL) shares are up 2.9% in premarket trading, after the manufacturing services company reported third-quarter results that beat expectations and raised its full-year forecast.
JPMorgan writes that the report shows “robust revenue trends,” which “was primarily driven by the Intelligent Infrastructure segment, which we believe is led by share gains with the primary customer in Cloud compute.” The report “also highlights stable or positive trends across cyclical end markets, with Regulated Industries and Connected Living & Digital Commerce tracking in line with better than prior guide, and will be a pleasant surprise for investors relative to the general pessimism relative to the macro.”

- Fluence Energy (FLNC) shares climbed as much as 19%, the most intraday in over a month, after the Senate Finance Committee released its version of a budget reconciliation bill that JPMorgan analysts believe is positive for energy storage firms.
“Energy storage is exempt from the phase-down, meaning that full credits would remain in place as written in current law,” JPMorgan analyst Mark Strouse writes. The tax bill did phase down tax credits for solars, which is weighing on the shares on Tuesday.

- Verve Therapeutics (VERV) shares soared 82% in premarket trading after the Financial Times reported that Eli Lilly is in advanced talks to buy the gene-editing startup for as much as $1.3 billion. Shares in Eli Lilly edge lower, falling 1.1%. The deal could be announced as soon as this week, FT reported.
BMO Capital Markets analyst Evan David Seigerman is cautious on potential acquisition of Verve by Lilly, as he would “question the ultimate commercial viability of gene editing for primary care conditions.” Verve shares closed at $6.3 in New York on Monday; up 11% year-to-date.

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