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Early movers: RH, BABA, BIDU, JCP, WTW & more

A trader on the floor of the New York Stock Exchange.
Carlo Allegri | Reuters
A trader on the floor of the New York Stock Exchange.

Restoration Hardware — Raymond James upgraded the stock to "strong buy" from "outperform," noting the 26 percent plunge in the stock Thursday that took it down more than 50 percent year-to-date makes it "too inexpensive to ignore." However, Raymond James lowered its price target to $65 from $110, while still expecting the company's "ongoing real estate transformation" will "drive significant sales and earnings growth over the coming years."

Alibaba — the Chinese e-commerce giant is in talks with banks for a loan of up to $4 billion for funding expansion plans that include acquisitions, Dow Jones reported, citing sources familiar with the matter.

BaiduChina's "Google" posted a 33 percent rise in revenue as more advertising money flowed into its core search engine business. The growth did mark Baidu's slowest quarterly growth in over seven years, Reuters said. The firm's expected revenue growth for the first quarter also fell short of FactSet expectations.

J.C. Penney — the department store operator reported better-than-expected quarterly revenue, helped by strong sales at its Home, Sephora, Footwear and Handbags divisions. Same-store sales for the quarter rose 4.1 percent, in-line with expectations of analysts polled by research firm Consensus Metrix.

Gap — the apparel retailer gave full-year profit forecast well below expectations, pressured by the strong dollar and weak Banana Republic and Gap brand sales.

Weight Watchers — the firm said revenue fell 21 percent for the quarter as overall active subscriptions fell 4.8 percent to 2.39 million amid increased competition. In the last few months Weight Watchers brought in media mogul Oprah Winfrey as its public face in an effort to turnaround from a nearly three-year sales decline.

Hilton Worldwide — the firm will spin off most of its real estate assets into a real estate investment trust that would own about 70 hotel properties with 35,000 rooms. The hotel operator is also spinning off its timeshare business into a separate publicly traded company. Hilton reported earnings in-line with expectations on revenue that missed slightly, hurt by a decline in occupancy and room rates in the Middle East and Africa.

Foot Locker — the retailer posted fourth-quarter net earnings of $1.14 a share, a 13 percent rise from $1.10 a share from the same period a year earlier. Sales rose to $2.007 billion from $1.91 billion. Fourth quarter comparable-store sales increased 7.9 percent.

Sotheby's — the company posted a fourth-quarter loss of $11.2 million, or 17 cents a share, versus a profit of $73.9 million or $1.06 a share the same period a year earlier. The report included a $65.7 million non-cash income tax charge "related to the planned repatriation of foreign earnings" as well as an after-tax charge of $23.6 million "related to voluntary separation incentive programs implemented late in 2015," the firm said in a release.

Wires contributed to this report