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Early movers: WPO, SNY, IBM, DE, AEO & more

Check out which companies are making headlines before the bell on Tuesday:

American Eagle Outfitters — American Eagle slashed its current quarter profit outlook to 10 cents per share from the prior 21 cents. The teen retailer blames weaker than expected sales and lower profit margins, with chief executive Robert Hanson saying the company was "not at all happy" with the quarter's results.

Washington Post Co. —The company is selling its flagship newspaper to Amazon.com founder Jeff Bezos for $250 million. The two sides expect the deal to close later this year.

Sony —Sony rejected investor Daniel Loeb's proposal to spin off its entertainment business, saying that owning 100 percent of the entertainment business is the best path forward. Loeb issued a statement saying he would keep talking with Sony and would explore other options.

Deere — The farm equipment maker's shares were downgraded to "underperform" from "market perform" at William Blair, which points to worsening fundamentals for U.S. farmers over the next several years.

IBM —The stock was downgraded to "underperform" from "neutral" at Credit Suisse, citing weakening free cash flow, as well as challenges to future organic growth.

CVS Caremark —The drugstore chain and health benefits provider earned 97 cents per share for the second quarter, one cent above estimates, with revenues essentially in line. CEO Larry Merlo points to new generic drug introductions as a significant source of growth.

Michael Kors —The fashion accessories retailer beat Street estimates by 12 cents with quarterly profit of 61 cents per share, with revenue also trouncing consensus. The results were boosted by a 27 percent increase in same store sales.

Archer Daniels Midland — The grain processor reported fiscal fourth quarter profit of 46 cents per share, excluding certain items, two cents above estimates. The company said its results were constrained by tight U.S. crop supplies.

Cognizant Technology — The information technology services company earned $1.07 per share for the second quarter, ten cents above estimates, with revenue also above consensus. The company also raised its full year forecast on improved results in its financial services unit.

Molson Coors — The beer brewer earned $1.51 per share for the second quarter, 13 cents above estimates, with revenue above forecasts as well. The results were helped by a European acquisition and improved performance in international markets.

DSW — The shoe retailer raised its full year outlook and announced a two for one stock split. The company's new guidance comes as it reports same-store sales for its second quarter were up 4.3 percent over a year ago.

Alliant Techsystems —Alliant is talks to buy Bushnell Outdoor Products in a deal worth about $1 billion, according to multiple reports. Alliant is a maker of aerospace and defense systems, while Bushnell is a privately held maker of gun accessories.

McDermott International—McDermott lost 63 cents per share for the second quarter, surprising analysts who had expected a small profit. Revenue was also considerably short of estimates, and the construction company also said chief operating officer John McCormack will be retiring later this year. The loss stems from projects in the company's Middle East and Asia Pacific regions.

Vornado Realty —Vornado reported second quarter funds from operations at $1.30 per share, beating estimates by nine cents. Vornado registered an increase in the value of its investment of J.C. Penney derivatives, although the value of its stake in Toys R Us fell in value.

Dell —Investor Carl Icahn has bought four million more shares of Dell, according to an SEC filing, boosting his stake to 8.9 percent from 8.7 percent. Icahn continues to battle the buyout deal struck between the company, founder Michael Dell, and Silver Lake Partners, in favor of his own plan to enhance shareholder value.

General Motors — GM is cutting the price of the 2014 Chevrolet Volt by $5,000, or about 12.5 percent. GM had cut the price of the 2013 Volt by about $4,000 back in June in hopes of spurring sales.

(Read More: See CNBC's Market Insider Blog)

—By CNBC's Peter Schacknow

Questions? Comments? Email us at marketinsider@cnbc.com

  • Patti Domm

    Patti Domm is CNBC Executive Editor, News, responsible for news coverage of the markets and economy.

  • A CNBC reporter since 1990, Bob Pisani covers Wall Street from the floor of the New York Stock Exchange.

  • CNBC Personal Finance Correspondent

  • JeeYeon Park is a writer for CNBC.com. Follow her on Twitter: @JeeYeonParkCNBC

  • Rick Santelli joined CNBC Business News as an on-air editor in 1999, reporting live from the floor of the Chicago Board of Trade.

  • Senior Producer at CNBC's Breaking News Desk.