Bed Bath & Beyond, Carnival, Upstart and more

A security guard stands next to a Bed Bath & Beyond sign at the entrance to a New York store.

Scott Mlyn | CNBC

Find out which companies are making headlines in the midday business.

Bed Bath & Beyond – The retailer’s shares fell 23.6% after the company missed earnings estimates and posted a bigger-than-expected loss in the latest quarter. Bed Bath & Beyond also announced that it is replacing CEO Mark Tritton.

Carnival – Shares in the cruise operator fell 14.1% after Morgan Stanley halved its price target on the stock and said it could potentially fall to zero in the face of another shock from the demand, given Carnival’s debt levels. The call led to further actions cruising down. Royal Caribbean and Norwegian Cruise Line Holdings fell 10.3% and 9.3%, respectively.

Upstart – Shares of lending platform AI fell 10.2% after Morgan Stanley downgraded the stock to underweight from equal weight. The Wall Street firm said rising interest rates and a challenging macroeconomic environment were hurting Upstart’s growth trajectory.

Bath & Body Works – The retailer’s shares fell nearly 9% after JPMorgan downgraded the shares from overweight to neutral. The company lowered its second-quarter and full-year profit estimates for Bath & Body Works after cutting average unit retail estimates by 4% year-over-year.

Teradyne – Shares of the semiconductor testing company fell 5.2% following a downgrade to neutral after buying from Bank of America. The company said Teradyne’s exposure to Apple could lower the stock in the near term, given the uncertainty surrounding iPhone demand.

Tesla – Shares fell 1.8% following a Wall Street Journal report that Tesla would close its San Mateo, Calif., office and lay off 200 employees. CNBC confirmed the report.

General Mills – The stock jumped 6.4% after General Mills reported higher and lower earnings. Still, the grain company’s profit estimates for the full year were lower than expected, due to a shift in consumption to cheaper brands.

O’Reilly Automotive – The auto parts company rose 1.1% following an upgrade to buy neutral from DA Davidson. The company said O’Reilly was their “preferred way” to play the auto parts theme over AutoZone and Advance Auto Parts. Auto parts companies, which typically sell non-discretionary products, are expected to weather the downturns better than other retailers.

McDonald’s — Shares rose 2% on an overweight position in Atlantic Equities. The company said the burger chain will weather the slowdown in consumer spending.

Goldman Sachs – Shares rose 1.3% after Bank of America raised Goldman Sachs to a buy from a neutral rating and said the bank would thrive even in an economic downturn.

– CNBC’s Yun Li, Tanaya Macheel and Samantha Subin contributed reporting.

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