Market Movements: Adobe, Chewy, and Ciena Decline, While Coca-Cola and PepsiCo Gain

On Thursday, U.S. stock markets experienced a slight drop as investors awaited new inflation data and upcoming quarterly earnings from various companies. This movement in the market led to significant shifts in stock prices for several key players.

Adobe's Struggles

Adobe (NASDAQ:ADBE) saw its stock price decline by over 11%. The software giant announced a disappointing annual sales forecast, revealing that its efforts to integrate artificial intelligence into its product offerings have been slower to yield results than anticipated.

Chewy Faces a Dip

Chewy (NYSE:CHWY) also experienced a setback with its stock dropping by 2.7%. The company’s largest stakeholder disclosed intentions to sell $500 million worth of shares, raising concerns among investors.

Soft Drink Giants on the Rise

In contrast, stocks for Coca-Cola (NYSE:KO) increased by 0.9%, and PepsiCo (NASDAQ:PEP) saw a gain of 0.7%. This positive trend followed an upgrade from Deutsche Bank, which revised its recommendation for these beverage companies to ‘buy’, reflecting a more optimistic outlook on the non-alcoholic beverage industry.

Uber Recovers

Meanwhile, Uber (NYSE:UBER) shares surged by 3.1%, bouncing back from a 5% decline the previous day after General Motors announced the termination of its Cruise robotaxi partnership.

Ciena's Earnings Miss

Ciena (NYSE:CIEN) reported a 5.4% fall in its stock after revealing that its fiscal fourth-quarter adjusted earnings fell short of analyst expectations, indicating challenges in its performance.

Broadcom and Constellation Energy

Additionally, Broadcom (NASDAQ:AVGO) saw a smaller decline of 0.9% ahead of its own fiscal fourth-quarter earnings report, despite a substantial 64% rise in its stock this year, driven by increased spending on artificial intelligence. Constellation Energy (NASDAQ:CEG), on the other hand, climbed by 2.3% after Bank of America upgraded its stance, calling the company’s shares “undervalued”.

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