Industry News

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American Airlines, UnitedHealth Group, Chewy, and More

Key Takeaways

  • The Dow, S&P 500, and Nasdaq were lower at midday Wednesday, May 29, 2024 as airline and health insurer stocks lost ground.
  • American Airlines shares fell after the carrier cut its current-quarter profit and sales forecasts.
  • Shares of UnitedHealth Group and rival health insurers tumbled after UnitedHealth warned of a “disturbance” ahead as states reduce the number of residents eligible for Medicaid.

The Dow, S&P 500, and Nasdaq were lower at midday Wednesday, as airline and health insurer stocks lost ground, weighing on the indexes.

American Airlines ( AAL ) shares plunged after the carrier cut its current-quarter profit and sales forecasts , and said Chief Commercial Officer Vasu Raja was leaving. Shares of others in the sector declined as well.

Shares of UnitedHealth Group ( UNH ) and rival health insurers tumbled after UnitedHealth warned of a “disturbance” ahead as states reduce the number of residents eligible for Medicaid.

ConocoPhillips ( COP ) shares lost ground as the oil giant agreed to buy Marathon Oil ( MRO ) for $22.5 billion, including debt. Marathon Oil shares surged.

Abercrombie & Fitch ( ANF ) shares skyrocketed to a record high as sales advanced across its brands and regions, and the retailer raised its guidance.

Shares of Chewy ( CHWY ) soared after the e-commerce pet food and supplies retailer posted better-than-expected earnings and sales and announced a new stock buyback plan as its automatic delivery sales increased.

Dick’s Sporting Goods ( DKS ) shares took off as the sports and recreational equipment retailer also exceeded profit and sales forecasts as its stores saw a rise in customers who spent more.

Oil and gold futures fell. The yield on the 10-year Treasury note rose. The U.S. dollar was up on the euro, pound, and yen. Most major cryptocurrencies traded lower.

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