Check out the companies making headlines in midday trading.
FedEx — FedEx sank more than 10% in midday trading after the global shipper reported a 40% year-over-year decline in profit in its second fiscal quarter. While CEO Frederick Smith said trade disputes contributed to weak international air freight, Gordon Haskett analyst Don Bilson was skeptical of continued macroeconomic weakness and suggested the disappointing earnings could expose the company to an activist investor.
General Mills — Shares of General Mills rose nearly 2% after the food manufacturer reported second-quarter earnings that topped expectations. The company reported adjusted earnings per share of 95 cents, above the 88 cents expected by analysts, according to Refinitiv. The company, which owns the Blue Buffalo brand of pet food, reported 13% growth in sales for its pet division and said it saw margins increase due to lower expenses for customer promotions. General Mills did miss revenue estimates, however, reporting sales of $4.421 billion versus an expected $4.427 billion.
Skechers — Skechers stock climbed nearly 4% and hit a 52-week high on Wednesday after Deutsche Bank initiated the shoe company with a buy rating. The firm said the stock had the potential to close the valuation gap between itself and fellow shoe brands such as Nike and Adidas and that the potential for international growth provided upside. Deutsche Bank set a price target of $49 per share for Skechers.
Cintas Corporation — Shares of the corporate uniform provider gained nearly 2% after the company beat top and bottom line estimates for the second quarter. The company pointed to growth in its First Aid and Safety Services units as driving revenue results.
Eli Lilly — Shares of the pharmaceutical company gained more than 3% after Morgan Stanley upgraded the company to an outperform rating and raised their price target to $150 from $116. The firm said the company has strong prospects in its drug pipeline, and pointed to "strong and durable" results from its diabetes drugs as fueling future growth.
PG&E — Shares of the embattled utility company rose 3.7% after the company said it reached a $13.5 billion settlement with wildfire victims, and an $11 billion agreement with insurance companies. On Friday California Governor Gavin Newsom rejected the company's bankruptcy reorganization plan.
Cigna — Share of Cigna rose more than 2% after the insurance company said it had agreed to sell its disability insurance and accidental death coverage unit for company employees to New York Life Insurance for $6.3 billion.
Dish Network — Shares of Dish Network climbed 3.3% after chairman Charlie Ergen testified in federal court in support of T Mobile's purchase of rival Sprint. Ergen said he has letters from three banks prepared to offer $10 billion to fund the company's new wireless network, the Wall Street Journal reported.
— CNBC's Pippa Stevens, Jesse Pound and Thomas Franck contributed reporting.