On Thursday, September 25, various developments in the corporate sector and economic indicators unfolded, capturing attention across the financial landscape.
Intel is reportedly in talks aiming to secure a significant investment from Apple, as part of its strategy to regain market strength. However, skepticism surrounds the possibility of this collaboration materializing, especially given Apple’s substantial shift away from Intel processors in favor of its own chips in recent years.
In the housing market, KB Home has initiated a stock buyback while simultaneously reporting reduced house deliveries. Despite surpassing analysts’ expectations for quarterly sales and profits, the company has adjusted its outlook for full-year housing revenues downward. This trend is underscored by a decline in average selling prices and the prevailing hope that the Federal Reserve will implement further rate cuts to galvanize the sluggish housing sector, which plays a crucial role in the overall U.S. economy.
Initial jobless claims for the week ending September 20 were reported at 218,000, notably lower than the Dow Jones consensus of 235,000 and the previous week’s figure of 231,000. A decline in continuing claims also emerged, signaling some resilience in the labor market amidst signs of broader economic softness. Nevertheless, the S&P 500, having faced consecutive losses, was anticipated to open lower.
Starbucks is undertaking a considerable restructuring plan that includes closing underperforming stores across North America, laying off 900 non-cafe employees, and halting many corporate job openings. The restructuring efforts are expected to cost the company around $1 billion. CEO Brian Niccol remains focused on enhancing the in-store experience while attempting to streamline corporate expenditures.
In a positive turn, Chewy has been upgraded to a “buy” from “hold” by analysts at MoffettNathanson. They expressed optimism about the online pet food seller’s Chewy+ membership program and expect improvements in customer additions over time—a welcome outlook for those invested in subscription-based businesses.
JPMorgan has taken Freeport-McMoRan off its “focus list” after the mining giant cut its sales estimates for copper and gold due to operational challenges at its Grasburg site in Indonesia. Following a significant drop of 17% in stock value, Bernstein has upgraded the shares, asserting that the preceding sell-off was overexaggerated, although uncertainty remains concerning the stock’s recovery.
In an unexpected move, Bank of America has raised its price target for chip manufacturer Marvell to $90 per share from $78, while maintaining a hold rating. Analysts cited improved clarity regarding the company’s 2026 data center performance and notable buyback activities as contributing factors. Marvell’s stock has started to rebound after a troubled beginning to the year, driven by concerns over its custom chip sector.
Citi has projected that PepsiCo’s third-quarter results may be underwhelming, placing the stock on its 30-day negative catalyst watchlist while keeping a buy rating in place. Shares had rallied earlier in September due to revelations of Elliott Management’s $4 billion stake, but this surge proved short-lived, leading to a current dividend yield of 4%.
Lululemon received a downgrade to “hold” from “buy” at Needham, where analysts highlighted an increasingly challenging competitive landscape and the potential for downward revisions in consensus estimates. The downgrade has raised eyebrows, given the brand’s strong market presence.
Finally, Uranium Energy Corp. was also downgraded to hold from buy by BMO Capital Markets. Analysts noted that the stock has significantly increased in value since early July and is now considered fully priced relative to its peers. Current enthusiasm surrounding UEC is linked to broader trends in the nuclear sector, but concerns about speculative risks and profitability persist.
Investors are encouraged to stay informed through updates from financial experts and market analysts, as market dynamics continue to evolve.
