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The Markets
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Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
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Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Pharma & Biotech

EARLY MOVERS: IBM shares are a turn-off for investors after quarterly revenue disappoints; Pot stocks fall ahead of recreational legalization

Also in focus is the start of recreational cannabis sales in Canada and a rise in airline stocks after a Deutsche note

US stocks are seen losing ground midweek, and computer titan International Business Machines Corp (NYSE:IBM) joined in that theme.

Shares slipped 4.80% to $138.37 before the bell after revenue dropped more than had been expected in the latest quarter.

Overall, the revenue for the three months slipped to $18.76 billion, missing analysts’ average estimates of $19.10 billion.

Net income also dropped to $2.69 billion, from $2.73 billion a year earlier.

Airlines were flying higher in US pre-market. Delta Air Lines Inc (NYSE:DAL) saw shares rise 3.37% to $54.90 before the bell, while United Continental Holdings Inc (NASDAQ:UAL) added nearly 6% to $88.50.

It came as broker heavyweight Deutsche upgraded three of the big US carriers today.

Delta Air Lines, United Continental and American Airlines (NASDAQ:AAL), up 4.24% to $34.69 have all been upgraded from holds due to the fact, according to Deutsche, they have been able to offset rising fuel costs amid strong passenger traffic trends.

Canada and cannabis is obviously in focus today as today (October 17) is the day that the country legalises recreational pot.

Yesterday, counter-intuitively perhaps, big Canadian pot firms saw shares fall ahead of this momentous milestone.

Canopy Growth Corp (TSE:WEED) lost 6.85% to stand at $68.70, while US listed Tilray Inc (NASDAQ:TLRY) shed over 6.2% to $148.54.

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