Stocks Surge and Drop Following Major Company Announcements

NEW YORK, NY — Several companies saw significant stock movements during midday trading on Wednesday due to recent announcements and upgrades.

Semi-tech company Semtech‘s stock surged by 8% after it introduced new optical receivers for artificial intelligence networks in collaboration with Poet Technologies. Oppenheimer also upgraded Semtech’s stock to ‘outperform’ following a meeting with the company’s management.

Credo Technology, on the other hand, faced a decline of more than 1%. The connectivity components maker agreed to acquire Hyperlume, which specializes in microLED-based interconnects for hyperscale and AI-focused data centers.

UiPath experienced a notable gain of 10% after the automation company announced partnerships with OpenAI, Snowflake, and Nvidia. These partnerships allow the integration of UiPath’s automation technology into their AI offerings.

Pfizer‘s stock rose over 3% after CNBC reported an agreement between the drugmaker and the Trump administration to lower Medicaid drug prices. Additionally, Pfizer will receive a three-year delay on planned pharmaceutical tariffs in exchange for increasing U.S. manufacturing.

In contrast, shares of Spotify dropped by 5% following CEO Daniel Ek‘s announcement that he would transition to the role of executive chairman. Goldman Sachs also downgraded Spotify’s stock from ‘buy’ to ‘neutral’, citing limited room for growth after the stock’s impressive 54% rise this year.

Firefly Aerospace‘s stock suffered a significant drop of 21% after a rocket booster exploded during preflight testing at its facility in Texas. The company stated that no other facilities were impacted and that it is currently assessing the repercussions of the incident.

Wolfspeed saw its stock leap by 44%, building on a remarkable gain the previous day of almost 1,700%. The semiconductor company announced that it successfully completed a financial restructuring and emerged from Chapter 11 bankruptcy protection.

Progress Software reported adjusted earnings of $1.50 per share on revenue of $250 million for the third quarter, surpassing LSEG‘s consensus estimate. As a result, shares increased by 3.5%, and the company raised its full-year guidance.

Instacart‘s shares fell 6.5% after BTIG downgraded its stock from ‘buy’ to ‘neutral’, attributing the move to heightened competition in the grocery delivery market.

United Natural Foods‘ stock rose by 17% after reporting a fiscal fourth-quarter loss of 11 cents per share, which was better than analysts’ expectations of a loss of 18 cents. The company’s revenue also exceeded expectations at $7.7 billion.

Finally, Bank of America upgraded Freeport-McMoRan from ‘neutral’ to ‘buy’. The bank believes that key risks surrounding the company’s halted mine in Indonesia are already reflected in the stock price, leading to a 3% rise in shares. CoreWeave‘s stock jumped by 13% after announcing an agreement with Meta to provide $14.2 billion worth of AI cloud infrastructure.

This series of announcements significantly impacted stock performance in various sectors.