Market Moves: Nike Falls, ON Semiconductor Acquires Synaptics, Nexalin Shares Plunge
- Nike’s shares drop over 10% after missing revenue targets for Q1 and planning layoffs.
- ON Semiconductor’s acquisition of Synaptics leads to share gains for both companies.
- Nexalin Technology’s shares decline by 18% following a new distribution deal.
Nike’s shares fell by more than 10% in premarket trading after the company reported lower-than-expected revenue for its fiscal first quarter, as well as a 4% decline in overall sales attributed to a downturn in its China market. Additionally, Nike revealed plans to lay off staff in 2027, further contributing to investor concerns.
In contrast, ON Semiconductor saw its shares rise over 7%, while Synaptics shares surged more than 14%. This movement follows the announcement that ON Semiconductor will acquire Synaptics for $123 per share in cash, with the total transaction valued at $5.7 billion, revised down from an earlier agreement of $7 billion.
Nexalin Technology experienced significant stock losses, with a decline exceeding 18%. This drop occurred after the company disclosed a 10-year distribution and manufacturing agreement with Inovanexa Medical Technologies, enabling the distribution of its Nexalin Sync neurostimulation device across seven South American countries.
Vylor’s shares saw a modest increase after the seeds and genetics company was included in the S&P 500 on Thursday. Vylor was spun off from Corteva on the same day, taking its place in the index, while Corteva will transition to the S&P MidCap 400.
Meanwhile, Seagate Technology and Western Digital both experienced share price drops of over 11% and 8%, respectively. This decline followed a Nikkei report that Toshiba intends to double its production capacity for hard disk drives used in data centers, along with a $380 million investment to expand its operations in the Philippines. Toshiba remains a key competitor in the hard drive market alongside Seagate and Western Digital.
News Courtesy of CNBC
