Check out the companies making headlines in midday trading:
Johnson & Johnson — Shares of the pharmaceutical and consumer goods company fell more than 5% after Bloomberg News reported that the U.S. Justice Department is launching a criminal investigation into whether or not the company lied to the public about potential cancer risks in its talcum baby powder. The reported probe comes after thousands of cancer patients launched a civil suit claiming that asbestos in J&J’s talc was responsible for their disease.
Milacron Holdings — Shares of the plastics-processing equipment maker surged 23% Friday after it agreed to be bought by industrial equipment maker Hillenbrand. The cash and stock deal is valued at roughly $2 billion, according to the companies, and represents a 34% to where Milacron closed on Thursday. Hillenbrand shares meanwhile dropped 10%.
Apellis Pharmaceuticals — The clinical-stage biopharmaceutical company jumped more than 4% after it was upgraded to overweight from neutral by J.P. Morgan Friday. The bank’s analyst highlighted opportunities in a later stage blood disease drug and said the asset was underappreciated.
Illumina — Shares of the biotech company dropped more than 16% Friday after reporting disappointing revenue. Illumina said it sees sales coming in around $835 million for the quarter, versus the $887.9 million in revenue analysts polled by Refinitiv were expecting.
Stitch Fix — The online personal styling service’s stock jumped 1% after Goldman Sachs upgraded to buy from neutral. According to the analyst, the company is expected to outperform due to “product innovation, operational efficiencies, and geographic expansion, combined with the increase in retail store closures (particularly in apparel).” Shares later closed nearly 2% lower.
Merck & Co — The pharmaceutical company closed Friday down 1.6% following an announcement yesterday from the White House that the Trump administration was abandoning a proposal which would have gotten rid of rebates from government drug plans.
Lincoln Electric Holdings — Shares of the manufacturer of welding products rose 3.5% after R.W. Baird upgraded the to outperform from neutral, citing a drop in input costs and low expectations, among other things.
