Movers: Leggett & Platt, Las Vegas Sands, Uber, Walgreens, Zscaler

Barry Adams
11 Oct, 2022
New York City

On Wall Street stocks traded sideways but accelerated losses in the final hour of trading ahead of the inflation report on Wednesday. 

The S&P 500 index declined 0.8% to 3,580.06 and the Nasdaq Composite index dropped 1.5% to 10,377.83. 

Tech stocks led the decliners on the worries that elevated inflation may support the Federal Reserve's case in lifting rates, thereby depressing the value of future earnings. 

Energy complex stocks also declined after crude oil fell 3.5% and traded near $87 a barrel.  

Casino stocks were under pressure after China reimposed stringent mobility restrictions in mega cities after a week of national holiday following the flare of coronavirus in several provinces. 

Las Vegas Sands Corp dropped 7.7% to $36.28 and Wynn Resorts Ltd plunged 8.3% to $58.80. 

Leggett & Platt, Inc dropped 7.7% to $32.01 after the diversified manufacturing company lowered its full-year earnings and sales outlook citing macroeconomic headwinds. 

 The company lowered its full-year revenue range between $5.1 billion and $5.2 billion from the previous estimate between $5.2 billion and $5.4 billion. 

Earnings per share range estimate was revised lower to between $2.30 and $2.45 from the previous range between $2.65 and $2.80.  

The company cited weaknesses in its specialty foam, automotive and international bedding businesses. 

Walgreens Boots Alliance rose 2.3% to $32.58 after the pharmaceutical retailer agreed to acquire CareCentrix. 

Walgreens acquired the remaining 45% stake in the post-acute and home care services provider for approximately $392 million, the price multiple agreed at the time of majority stake purchase on Aug 31, 2022. 

The full acquisition is expected to close by March 2023. 

Walgreens is also scheduled to release its latest quarterly earnings on Thursday. 

Uber Technologies declined 11.1% to $24.45 and Lyft Inc dropped 12.8% to $11.17 after the Labor Department proposed a new rule that could lead to gig-workers classification as regular employees.