Stocks making the biggest moves premarket: Shopify, Toast, PayPal, Sphere Entertainment and more

Published Wed, Dec 6 20238:02 AM EST

Check out the companies making headlines in premarket trading. Shopify — The e-commerce platform dipped more than 2% in premarket trading following the company's investor day. To be sure, analysts on Wall Street were somewhat positive following the event, with Citi's Tyler Radke labeling the investor day as " half a victory lap." Other analysts, including Barclays' Trevor Young, think "shares may consolidate a bit here" due to the robust bullish sentiment on the stock. Asana – Shares of the work management software company plummeted more than 14% before the bell. Asana posted better-than-expected quarterly results and upbeat guidance, but management warned of ongoing macroeconomic headwinds. Billings for the period also fell short of Wall Street's estimates. PayPal — Shares fell 1% in premarket trading after Bank of America downgraded PayPal to neutral from buy. Bank of America said payments company was due for a "transition year" under new CEO Alex Chriss. Capital One , Discover Financial — Shares of consumer finance companies Capital One and Discover Financial added roughly 2% each after being upgraded to buy from neutral at Bank of America. The firm noted that stocks could be beneficiaries from a soft landing in 2024. Builders FirstSource — The building materials stock climbed nearly 3% on the heels of dual upgrades to buy from investment firms B. Riley Securities and Benchmark. Both firms highlighted the company's investor day on Tuesday. B. Riley said it sees diminishing risks following the event. Sphere Entertainment — Shares of the live entertainment company climbed 3% following an upgrade to buy from Guggenheim Securities. Analyst Curry Baker noted optimism following a company disclosure that forecast profitability in the second quarter of 2024, adding he expected "profitability to increase throughout the course of CY24 and CY25 as SPHR layers on traditional sponsorship (including naming rights) and a fuller slate of evening shows/residencies." Toast — Shares slid 2.8% after being downgraded by Bank of America to neutral from buy. The bank said the restaurant services software company is facing uncertain macro spending trends and intensifying competition. — CNBC's Samantha Subin, Jesse Pound and Michelle Fox contributed reporting