Chewy, Biogen, Snowflake and more

Check out the companies making headlines in midday trading.

Snowflake – Shares of the cloud computing company dropped nearly 4%. The firm presented its financial targets at its investor day meeting on Thursday, aiming to reach $10 billion in annual product revenue by 2029, compared to $554 million in its fiscal year that ended in January.

Vertex Pharmaceuticals — The pharmaceutical company’s shares fell over 10% in midday trading after it said on Thursday that it will stop developing an experimental drug after it was shown to be unlikely to prove effective against a rare genetic disease called AAT Deficiency. Vertex said its drug raised levels of a deficient protein, but not enough to grant a material health improvement.

Chewy — Shares of the e-commerce pet company fell more than 5% despite earning an adjusted 9 cents per share for its latest quarter, compared to consensus forecasts for a 3 cents per share loss. Chewy, which reported earnings late Thursday, also saw revenue beat estimates and gave an upbeat revenue outlook. However, the company did warn of labor shortages and supply chain disruption.

Dave & Buster’s — Dave & Buster’s shares fell about 2% midday after trading higher in premarket action. On Thursday, the company reported first-quarter earnings of 40 cents per share, surprising analysts who expected a loss of 16 cents per share. Dave & Buster’s also posted first-quarter revenue that beat Wall Street analysts’ expectations.

Biogen — Shares of the biotech stock dropped more than 3% despite the stock being upgraded to outperform from market perform at Bernstein. Three members of a key Food and Drug Administration advisory panel have resigned after the agency approved Biogen’s new Alzheimer’s drug. Biogen’s stock is still up sharply since the drug was approved on Monday.

Zoom Video — Shares of the video-messaging company advanced about 4% after RBC assumed coverage of Zoom with an outperform rating, while naming the stock a top pick. “The future of work will likely be hybrid and we believe Zoom will be a critical component to enabling that future,” the firm wrote in a note to clients. RBC has a $450 target on the stock, which implies a roughly 30% rally from Thursday’s close. 

Reddit favorites — Stocks popular among retail investors flocking to Reddit’s WallStreetBets forum were volatile in midday trading after massive rallies in recent weeks. Shares of AMC Entertainment traded more than 3% higher while Clover Health Investments shares jumped 5%. Meanwhile, GameStop shares declined more than 2%, ContextLogic shares fell more than 5% and shares of Clean Energy Fuels slid nearly 2.5%.

— CNBC’s Pippa Stevens, Yun Li, Maggie Fitzgerald, Jesse Pound and Tom Franck contributed reporting.