Key Takeaways
- The S&P 500 closed 0.7% higher on Friday, Aug. 25, 2023, as stocks rebounded after comments from Fed Chair Powell that left the door open for more interest rate hikes.
- Shares of toy manufacturer Hasbro jumped 5.7% as Stifel analysts boosted their price target on the stock, citing opportunities in filmmaking and licensing.
- Warner Bros. Discovery shares lost ground after the entertainment giant said big-budget movies would be delayed amid an ongoing strike by Hollywood writers and actors.
The S&P 500 recovered from morning losses to close 0.7% higher on Friday after comments from Fed Chair Jerome Powell indicating that the central bank could continue increasing interest rates to curb inflation.
Toymaker Hasbro (HAS) led gains on the index, with shares jumping 5.7% after Stifel analysts boosted their price target to $94 from $79 and added the stock to the firm’s top picks list. Analysts suggested that Hasbro’s strong portfolio of intellectual property could yield opportunities in filmmaking and licensing.
Intuitive Surgical (ISRG), which produces robotics systems for surgeries, saw its shares move 4.1% higher on Friday amid optimism about the company’s progress in artificial intelligence (AI) and the success of its da Vinci system, which has now been used in over 10 million medical procedures.
Shares of financial software specialist Intuit (INTU), maker of TurboTax, gained 4.1% after the firm’s top and bottom-line results for its fiscal fourth quarter came in ahead of analysts’ forecasts. Intuit’s CEO highlighted the company’s success in expanding its operating margin in an uncertain environment, and advancing its goal of becoming a premier AI-driven platform for helping users manage their finances.
Ulta Beauty (ULTA) was one of the day’s worst performers on the index, as shares dropped 3.7%. Despite beating earnings estimates, the beauty retailer said shoplifting losses and a consumer shift toward lower-margin merchandise negatively impacted its results.
Warner Bros. Discovery (WBD) shares also lost ground, with shares down 3.4% after the entertainment giant said big-budget movies would be delayed amid ongoing strikes by Hollywood writers and actors.
Shares of insulin pump insulin pump manufacturer Insulet (PODD) declined 2.6%, extending losses earlier in the week amid concerns about its future sales prospects as other types of treatments become available to patients with diabetes.