Story
Alibaba Shares Surge in Premarket Trading, While Rivian and Bath & Body Works Decline
Summary
Shares of Alibaba saw a significant premarket jump on investor optimism ahead of its earnings report. In contrast, Rivian's stock fell after announcing a public share offering, and Bath & Body Works declined following a ratings downgrade.
Several major U.S. stocks saw significant movement in premarket trading on Wednesday. Chinese e-commerce firm Alibaba Group experienced a notable surge, while electric vehicle manufacturer Rivian Automotive and retailer Bath & Body Works saw their shares decline on company-specific news.
Alibaba's stock climbed 10.4% as investors showed optimism ahead of its upcoming earnings report. The positive sentiment was reportedly bolstered by expectations that the company's instant-commerce division is narrowing its losses while overall profitability remains stable.
Rivian Automotive shares fell 4.7%, continuing a downward trend. The drop followed the company's pricing of a 75 million-share public offering at $15.50 per share, aimed at raising approximately $1.2 billion. The proceeds are intended to help fund equity contributions related to a loan agreement with the U.S. Department of Energy.
AdShares of Bath & Body Works slipped 4.1% after Goldman Sachs downgraded the retailer's stock to "Sell." The firm cited concerns over weakening consumer sentiment, reduced brand engagement among younger consumers, and potential risks associated with the company's evolving distribution strategy.
In other premarket activity, Occidental Petroleum shares rose 3.8% following a double upgrade from Evercore ISI, which pointed to the company's improved balance sheet and capital efficiency. Conversely, mining stocks saw declines as gold prices retreated.