On this episode of Stock Movers:
- Walmart (WMT) shares are up this morning after delivering solid sales and earnings growth, but cautioned that tariffs and economic turbulence will lead to price increases starting this month. The company is bracing for a bigger hit from the trade war and overall economic malaise in the coming months, citing a "lack of clarity" in the current operating environment.
- Foot Locker (FL) rose over 80% this morning after Dick's Sporting Goods reached a $2.4 billion deal to acquire Foot Locker, with Dick's paying $24 a share for Foot Locker, an 86.5% premium on Foot Locker's closing share price. The acquisition combines two retailers affected by President Trump's tariff wars, with Dick's expecting to operate Foot Locker as a standalone business unit and maintain the Foot Locker brand. Dick's Sporting Goods sank on the news.
- UnitedHealth Group (UNH) shares are lower this morning after the Wall Street Journal reported the company is under criminal investigation for possible Medicare fraud. The Justice Department has been probing the company's Medicare Advantage business since at least last summer, but the nature of the potential criminal allegations is unclear. UnitedHealth has denied being notified about the investigation and stands by the integrity of its Medicare Advantage program.
- Cisco (CSCO) is higher this morning after the networking equipment provider boosted its full-year revenue guidance and beat the average analyst estimate. Separately, the company announced some executive changes, including the departure of Scott Herren as CFO.
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