Starbucks reports Q1 beat, Frontier proposes Spirit combination: Morning Buzz

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.

1. STOCK NEWS:

• Starbucks (SBUX) reported upbeat Q1 earnings and revenue, noting that it plans to reduce 30% of its food and drink lineup
• Frontier Group (ULCC) confirmed making a proposal to combine with Spirit Airlines (SAVE), though Spirit said the proposal would bring less value to stakeholders than its current plans
• American Axle (AXL) announced agreement on a $1.44B cash and stock combination with Dowlais
• Zimmer Biomet (ZBH) agreed to acquire Paragon 28 (FNA) for $13 per share in cash upfront
• Bakkt (BKKT) sharesTrump Media (DJT) reached a deal with Schwab (SCHW) on the launch of Truth.Fi

2. WALL STREET CALLS:

• Oppenheimer downgraded Apple (AAPL) to Perform on slower iPhone replacement, China share loss
• Mizuho upgraded Coinbase (COIN) to Neutral on correlation to bitcoin price
• Nextracker (NXT) upgraded to Buy at Jefferies and Overweight at Barclays after “flawless execution” in the company’s fiscal Q3
• Moderna (MRNA) downgraded at Goldman Sachs, here’s why
• Bernstein started Rivian (RIVN) with Underperform on “mounting risks”

3. AROUND THE WEB:

• Meta’s (META) CEO Mark Zuckerberg is exploring buying a property in Washington DC as the executive seeks to work more closely with the Trump administration, FT says
• DeepSeek’s rise exposes Nvidia’s (NVDA) greatest threat, that intense demand for advanced chips could wane, WSJ says
• Microsoft (MSFT) and OpenAI are investigating if data output from OpenAI’s technology was obtained in an unauthorized manner by a group linked to DeepSeek, Bloomberg reports
• D.E. Shaw has built a position in Riot Platforms (RIOT) and may push the company to make changes, Reuters reports
• Japan’s NEC Corp has been talking to advisers about the possibility of making an offer for CSG Systems (CSGS), Reuters says

4. MOVERS:

• ImmunityBio (IBRX) gains after entering a collaboration with BeiGene (BGNE) on its trial of Anktiva
• Trump Media (DJT) higher after announcing an expansion into financial services and a partnership with Charles Schwab (SCHW)
• Energy Fuels (UUUU) increases after signing an agreement governing the transport of uranium ore along federal and state highways crossing the Navajo Nation
• Manhattan Associates (MANH) falls after reporting Q4 results and providing guidance for FY25
• LendingClub (LC) lower after reporting Q4 results, with EPS missing consensus

5. EARNINGS/GUIDANCE:

• Brinker (EAT) reported Q2 results, with CEO Kevin Hochman commenting, “Improving fundamentals continues to drive a better guest experience and sustained business results”
• F5 Networks (FFIV) reported Q1 results and raised its guidance for FY25
• VF (VFC) reported Q3 results, with EPS and revenue beating consensus
• T-Mobile (TMUS) reported Q4 results and provided guidance for FY25
• Progressive (PGR) reported results for December and Q4

INDEXES:

Near midday, the Dow was down 0.07%, or 32.91, to 44,817.44, the Nasdaq was down 0.83%, or 164.21, to 19,569.38, and the S&P 500 was down 0.44%, or 26.65, to 6,041.05.