The Dow Jones Industrial Average fell amid a broad stock market retreat as the bears battered the bulls. Walmart stock tumbled on weak earnings, while 3M was the top performing blue chip. GameStop fell as a Congressional hearing into the Reddit-fueled short squeeze kicked off, while marijuana stock Tilray was higher on earnings.
Among EV stocks, Tesla, Nio and General Motors all hit reverse.
The Nasdaq was the worst performing major index, slipping around 1.2%. Baidu stock performed worst, dipping almost 6%, while Kraft Heinz was strongest with a gain of almost 5%.
The S&P 500 was also negative, falling around 0.7%. Westinghouse Air Brake Technologies was the biggest laggard, falling more than 10%. FirstEnergy turned in the best gain, rising more than 9%.
Volume was lower compared to the same time Wednesday. It slipped about 16% on the Nasdaq and by almost 5% on the NYSE.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 31400.31 | -212.71 | -0.67 |
| S&P 500 | (0S&P5) | 3901.76 | -29.57 | -0.75 |
| Nasdaq | (0NDQC ) | 13814.36 | -151.14 | -1.08 |
| Russell 2000 | 220.31 | -3.75 | -1.67 | |
| IBD 50 | 47.50 | -0.62 | -1.29 | |
Last Update: 1:22 PM ET 2/18/2021 |
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The S&P sectors were struggling, with only utilities positive. Energy and financials were the worst performers.
Small caps were also struggling. The Russell 2000 slipped about 1.7%.
Growth stocks were also beaten lower by the bears, with the Innovator IBD 50 ETF tumbling around 1.3%.
Walmart Stock Tumbles As Dow Jones Slips
The Dow Jones Industrial Average was faring better than the other major indexes, but was still down around 0.7%.
Walmart stock was the biggest laggard, falling almost 6%. It took a dive after the firm reported mixed fourth-quarter earnings early Thursday.
Walmart earnings came in at $1.39 a share, lower than analyst views for EPS of $1.51. The firm posted better than expected revenue, but Walmart also said it expects sales to slow in coming quarters.
The big-box retailer also raised wages and shareholder returns. Walmart said wages for store workers in digital and stocking positions will rise to $13-$19 an hour, though the minimum starting wage will remain $11.
Industrial giant 3M was the best performing component, rising about 1.3%. It was closely followed by Coca-Cola.
GameStop Stock Falls Amid Senate Hearing
GameStop stock was down around 3% at 44.67 as the House Financial Services Committee hearing examining the stock's massive price spike got underway. Its stock is on track to fall for the third day in a row and is now below its 50-day line.
"We have speculation, we have headlines and finger pointing, but we don't have the facts. We need the facts," Patrick McHenry, the leading Republican on the committee, said.
Committee Chairwoman Maxine Waters (D., Calif.) said she wants to hear how key players such as Robinhood and Reddit "contributed to the historic trading events in January."
The video game retailer saw its stock soar above the 480 mark during the recent spike, after starting the year at 18.84.
The spike has been attributed to coordinated trading by retail investors using the WallStreetBets Reddit chat room. They were aiming to squeeze out hedge funds shorting the stock.
Tilray Stock Higher On This
Tilray stock was up more than 1%, though it was off highs. The marijuana stock remains well clear of its 50-day moving average. However, it has plunged from its recent high of 67, which came after it was touted on Reddit.
The company got a boost after posting Q4 results late Wednesday that beat some expectations. Tilray lost two cents per share, but that was better than the 14-cent per-share loss forecast by Wall Street.
Tilray said it delivered $2.2 million in adjusted EBITDA during the quarter. In November, it projected as much, saying that it was "poised" to push the metric into positive territory in the fourth quarter.
Its cannabis sales rose 46% to $41.2 million, helped by international medical sales and Canadian recreational sales. Recreational sales in Canada rose 49%. International medical sales jumped 191%.
Tesla Stock, Nio Hit Reverse
IBD Leaderboard stock Tesla was down almost 2%, though it was off lows. It tumbled after the firm announced it is cutting the price of its base variants of the Model 3 sedan and Model Y sport utility vehicle, while raising prices on higher mileage versions.
The firm has been making several models in its lineup more affordable as legacy automakers like General Motors, Ford and Volkswagen make a big push into the EV market.
Tesla's Chinese rival Nio also hit reverse gear, falling almost 5%. A previous breakout from a cup base with a 57.30 buy point failed.
GM stock also fell back, slipping more than 1%. It previously broke out from a cup base Jan. 12 on positive EV news. The buy point was 46.81.
Fertilizer Stocks Fall As Investors Smell Trouble
Fertilizer stocks were weak despite good earnings reports. Mosaic fell almost 10%, while CF Industries dipped more than 4%.
They were hammered after CF said bad winter weather in the plains will negatively affect fertilizer production.
Please follow Michael Larkin on Twitter at @IBD_MLarkin for more on growth stocks and analysis.
