Bloomberg
Fossil Group Inc. shares fell in the extended session Tuesday after the watch and accessories company issued a weak outlook with the release of quarterly results.
After Hours
Fossil Group FOSL, -2.12% shares fell 5% to $59.01 after the company said a stronger U.S. dollar was harming earnings and impacting its outlook.
Fogo de Chao Inc. FOGO, -1.58% shares declined 1.3% to $19.75 even though the Brazilian steakhouse, which went public in June, reported quarterly earnings that topped Wall Street estimates.
Cree Inc. CREE, -0.19% shares fell 2% to $24.70 after the LED lighting company reported a wider-than-expected loss for the quarter.
China
All of the 20 S&P 500 companies with the most exposure to China, as identified by Goldman Sachs, closed lower following a surprise move by Chinese authorities to devalue the yuan.
Among the biggest losers from the list are Micron Technology Inc. MU, -0.23% Wynn Resorts Ltd. WYNN, +0.74% and Yum Brands Inc. YUM, +0.85%
Goldman Sachs noted that analysts have lowered earnings estimates for companies with high China exposure by 15% this year compared with 8% for all S&P 500 firms.
Gainers
Google Inc. GOOGL, +1.31% GOOG, +1.30% shares rallied more than 4% after the tech conglomerate said it would create a new organizational structure, with an umbrella company dubbed Alphabet Inc. that co-founder and Chief Executive Larry Page will lead. Sundar Pichai, who was in charge of two of Google’s most important products, Android and Chrome, will take over the CEO role at Google.
Shares of Symetra Financial Corp. US:SYA jumped nearly 7% after Japan’s Sumitomo Life Insurance Co. said it plans to buy the life insurance company in a deal valued at about $3.8 billion.
Airline stocks were big winners on Tuesday, led by American Airlines Group Inc. AAL, -0.45% which reported its total revenue passenger miles in July hit a record 21.8 billion, up 4.8% from a year earlier.
Decliners
Apple Inc. AAPL, +0.54% shares dropped 5% to $113.39 following two sessions of gains after China devalued the yuan, prompting concerns about how the move will affect demand for iPhones and other Apple products, which are pricier compared to competitors, particularly local brands. A weaker currency will typically make imports more expensive. Apple’s stock price target was also lowered to $130 from $135 at Jefferies due to its China exposure.
Freeport-McMoRan Inc. FCX, -0.35% came off Monday’s strong rally to slump more than 12%. The resources company on Monday submitted a regulatory filing to issue up to $1 billion in common shares in a secondary offering which will significantly dilute its value.
Symantec Corp. SYMC, +0.06% reversed earlier gains after it announced it will sell its information management business Veritas for $8 billion in cash. The software company also posted fiscal first-quarter earnings Tuesday that were short of analyst expectations.
Energy and commodities stocks, led by Consol Energy Inc. CNX, +0.43% and Chesapeake Energy Corp. CHK, -2.05% were big losers in the wake of China’s devaluation news given uncertainties over the country’s demand for oil and other resources as its economy continues to slow.
Shake Shack Inc. SHAK, -0.12% late Monday reported earnings that beat analyst forecasts.
Kraft Heinz Co. KHC, +0.08% late Monday released its first earnings report as a merged entity, saying second-quarter revenue missed expectations.
Take-Two Interactive Software Inc. TTWO, +0.01% reported a fiscal first-quarter loss of $67 million, or 81 cents a share, on sales of $275.3 million. On an adjusted basis, the videogame publisher, best known for “Grand Theft Auto” and “NBA 2K,” earned 31 cents a share, falling short of analysts’ expectations of 36 cents a share.
