Axel Lehmann, chairman at Credit Suisse Group AG, speaks during the Institute of International Finance (IIF) annual membership meeting in Washington, DC, on Friday, Oct. 14, 2022.
Ting Shen | Bloomberg | Getty Images
Check out the companies making headlines before the bell.
Credit Suisse — Shares of Credit Suisse were down 21.5% after the firm’s biggest backer, Saudi National Bank, said it won’t provide it with further financial help. Credit Suisse and several other European banks, including Societe Generale, Italy’s Monte dei Paschi and UniCredit, were halted from trading as prices plummeted.
Bank of America, Morgan Stanley, Wells Fargo — Shares of larger financials were in lower early Wednesday as the Credit Suisse tumble sent ripples across the global banking sector. Bank of America lost 2.9%, Morgan Stanley dropped 3.2% and Wells Fargo declined by nearly 4.2%.
Lennar — Shares of the homebuilder rose more than 1% in premarket trading after Lennar beat estimates on the top and bottom lines for its fiscal first quarter. Lennar reported $2.06 in earnings per share on $6.49 billion of revenue. Analysts surveyed by Refinitiv expected $1.55 in earnings per share on $5.93 billion of revenue. Home deliveries increase 9% year over year, but gross margin and new orders decreased.
PacWest Bancorp, Comerica, KeyCorp — Several regional banks led Wednesday’s fall after rallying on Tuesday. PacWest and Comerica lost 7.7% and 3.4%, respectively. KeyCorp’s stock price dropped 1.4%, Regions Financial was down 4.2% and Zions Bancorp lost 5.5%. Shares of San Francisco-based First Republic bucked the trend, gaining 3.8%.
Royal Caribbean — Shares of the cruise line were down 2.8%. The company recently refunded guests after mistakenly offering a non-existent ‘Premier Pass’ on its website. The company also announced it would be expanding its sales team. Rival cruise operators were also down.
— CNBC’s Hakyung Kim and Jesse Pound contributed reporting.