In midday trading, health care insurers like Humana and UnitedHealth Group saw gains as the potential for a Donald Trump victory in the upcoming presidential election raised hopes of reduced cost pressures. Humana was specifically named by Wolfe Research as a potential beneficiary of a Republican win. Another company making headlines was Trump Media & Technology, which saw its shares jump nearly 29% following an attempted assassination of former President Trump. This event increased investor conviction of a Trump win, which in turn boosted the company’s stock as it is the parent of the social media platform Truth Social.
On a more negative note, Macy’s shares sank 12% after the department store ended negotiations with Arkhouse and Brigade, who were looking to buy the company for $6.9 billion and take it private. In contrast, firearm manufacturing companies like Sturm, Ruger & Company and Smith & Wesson saw their shares rise after the shooting at Trump’s rally, with Sturm, Ruger & Company gaining 7% and Smith & Wesson jumping 10%. Gun stocks often rise after mass shootings as investors anticipate increased demand for firearms.
SolarEdge Technologies experienced a 13% decline in shares after announcing plans to lay off 400 employees in an effort to restore profitability following a decline in revenue. Other solar stocks like Sunrun, Sunnova Energy, and NextEra Energy also saw declines. On the other hand, Goldman Sachs shares advanced 1% after reporting an earnings beat in the second quarter, with earnings per share of $8.62 on revenue of $12.73 billion, surpassing analyst expectations.
Crypto stocks like Coinbase, Marathon Digital, and MicroStrategy moved higher as investors bet on a potential Trump election win that could benefit cryptocurrencies. Coinbase gained nearly 13%, while Marathon Digital and MicroStrategy saw increases of 16% and 15%, respectively. This trend was supported by Bitcoin climbing above $63,000 on Monday. Apple also saw a 2% increase in shares after Loop Capital upgraded the company to buy, citing upcoming artificial intelligence integrations that could position Apple as consumers’ gen AI “base camp” of choice.
In contrast, Baxter International saw a 3% decline in shares following a Morgan Stanley downgrade to underweight from equal weight. Despite trading at its lowest level in almost a decade, the firm believed there was limited upside for Baxter International. On a positive note, Tesla’s electric vehicle stock continued its rally, adding nearly 5% and achieving a total rally of over 31% for the month. Overall, various companies across different sectors experienced both gains and losses in midday trading, driven by factors such as political events, earnings reports, and market sentiment.
