Dow Jones Today: S&P 500 Falls as Tech Slump, Bond Sell-Off Continue
Intra-Cellular Therapies Stock Jumps on Johnson & Johnson Acquisition
8 minutes ago
Shares of Intra-Cellular Therapies (ITCI) surged about 35% Monday morning after Johnson & Johnson (JNJ) said it would acquire the biopharmaceutical company for roughly $14.6 billion.
Johnson & Johnson will pay Intra-Cellular shareholders $132 per share, a premium of roughly 40% to the latter’s close at the end of last week. Shares jumped 15% to a record closing high of $94.87 Friday after the company announced it had settled a patent lawsuit with Sandoz, which was looking to produce and sell a generic version of Intra-Cellular’s Caplyta, which treats schizophrenia and bipolar I and II depression.
The company is also developing drugs to treat Alzheimer’s Disease and Parkinson’s Disease, among others.
“This acquisition further differentiates our portfolio, serves as a strategic near- and long-term growth catalyst for Johnson & Johnson and offers compelling value to patients, health systems and shareholders,” Johnson & Johnson CEO Joaquin Duato said.
The companies said the deal is expected to close later this year pending approval from regulators and Intra-Cellular shareholders, with Johnson & Johnson funding the deal through a combination of cash and debt.
Intra-Cellular shares rose to a record $127.70 Monday morning, while Johnson & Johnson shares were up about 1%.
Apple Stock Slips as iPhone Reportedly Concedes Market Share
1 hr 11 min ago
Apple’s (AAPL) global smartphone market share slipped one percentage point to 18% last year as fourth-quarter iPhone sales dropped 5%, according to Counterpoint Research.
Bloomberg earlier had reported the fourth-quarter slump, reflecting the U.S. firm’s lack of artificial intelligence (AI) features in its phones in China, and a spokesperson at the research firm confirmed the figure.
Apple’s global smartphone sales dropped 2% year-over-year at a time when the overall market grew 4%, as the iPhone 16 series “was met with a mixed response, partly due to a lack of availability of Apple Intelligence at launch,” Counterpoint said.
Still, Counterpoint analyst Ivan Lam said that Apple’s premium products are winning fans.
“iPhone sell-through was down, but consumers are pivoting to Apple’s ultra-high end, helping to offset some of the declines,” Lam said. “In markets like China, we’re seeing sell-through share of Pro series devices ballooning.”
Shares of Apple were down more than 2% early Monday morning, bringing their year-to-date decline to nearly 8%.
Stock Futures Slump as Rate Cut Hopes Fade
2 hr 5 min ago
Futures contracts connected to the Dow Jones Industrial Average were slightly lower in premarket trading on Monday.
S&P 500 futures were down 0.6%.
Nasdaq 100 futures declined 0.9%.