Stocks making the biggest moves midday: DoorDash, Airbnb, Denny’s, Virgin Galactic, Arvinas & more

Market Insider

A DoorDash Inc. delivery bag sits on the floor at Chef Geoff’s restaurant in Washington, D.C.

Andrew Harrer | Bloomberg | Getty Images

Check out the companies making headlines midday Monday:

Pfizer, BioNTech — Shares of the drug makers fell 2% and 6% respectively, despite the Food and Drug Administration’s approval of the firms’ Covid-19 vaccine, which is being shipped from Michigan to hundreds of distributions centers across the country.

DoorDash — The stock dropped more than 7% after D.A. Davidson slashed its rating on the food delivery company to neutral from buy. D.A. Davidson said the stock’s current valuation appears to leave little room for any performance hiccups. DoorDash went public last Wednesday, with its stock surging more than 80% during its debut.

Airbnb — Shares fell more than 8% after Gordon Haskett downgraded the home rental platform to underperform from buy. The Wall Street firm said an overwhelming majority of investors it spoke to have been unable to justify Airbnb’s valuation relative to online travel agencies. Airbnb had a blockbuster public market debt last week that saw its shares more than double on the first day of trading.

Denny’s — Wells Fargo initiated Denny’s with an overweight rating, sending the stock up about 1%. The firm noted “investors currently underappreciate the potential margin and EBITDA improvement for DENN’s business model as the company/economy emerges from the COVID-19 pandemic.”

Virgin Galactic — Shares dropped 13.2% after the company aborted a spaceflight test on Saturday due to an engine issue. The company expects to repeat the test from its base at Spaceport America in New Mexico.

Public Storage — Shares of the real estate and storage company gained 2.5% after Elliott Management said in a letter that it built a stake in Public Storage and called for change. The activist fund’s letter also pushed for Public Storage to increase its capital spending.

Caterpillar — Shares of the manufacturing company rose 0.8% after Caterpillar reported November retail statistics in a securities filing. The filing shows that Caterpillar’s sales have recovered in the Americas over the past three months, though performance is still down relative to 2019.

Bed Bath & Beyond — The company stuck a deal with private equity firm Kingswood Capital Management to sell its Cost Plus World Market business. Additionally, the company announced a share repurchase program of $150 million. Shares of Bed Bath & Beyond dropped 1.5%.

Disney — Shares fell 1.6% after an analyst at BMO Capital Markets downgraded the media giant to market perform from outperform. “With considerable multiple expansion recently for both initial vaccine news and Thursday’s direct-to-consumer (DTC) investor day, we step to the sidelines,” the firm said.

Arvinas — Shares of the drugmaker soared more than 96% after releasing positive data on its protein degraders that demonstrate evidence of anti-tumor activity.

McDonald’s — UBS upgraded McDonald’s to buy from neutral, citing an attractive risk-reward outlook. McDonald’s traded 2.5% higher. McDonald’s “maintains one of the more compelling and visible US comp catalyst paths over the next several months and through ’21,” the firm said.

—CNBC’s Jesse Pound, Maggie Fitzgerald and Yun Li contributed to this report.

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