The Score: The Business Week in 7 Stocks

By Laine Higgins and Caitlin Ostroff

Boeing Co. - 3.8% Tuesday

Investors are waking up to the idea that the trade war between the U.S. and China could be the real deal. After China pushed back against U.S. tariffs on $50 billion in Chinese products, saying it would levy similar penalties against American goods, President Donald Trump threatened Monday to retaliate with another $200 billion in tariffs. That sent a wide swath of the stock market tumbling Tuesday. Boeing, which counts China as its largest market, single-handedly took 94 points off the Dow Jones Industrial Average that day.

Amazon.com Inc. - 0.9% Wednesday

The health-care partnership jointly announced by Amazon, Berkshire Hathaway Inc. and JPMorgan Chase & Co. in January now has a face. The business giants on Wednesday appointed Dr. Atul Gawande as chief executive of a yet-to-be-named company tasked with tackling rising employee health-care costs. Dr. Gawande's resume includes practicing surgery at Brigham and Women's Hospital, teaching at Harvard, writing for the New Yorker and serving as executive director of Ariadne Labs, commitments he will maintain in various capacities when he begins his new role July 9.

Walgreens Boots Alliance Inc. - 5.3% Wednesday

For the first time since 1907, General Electric Co. will not trade as part of the 30-stock Dow Jones Industrial Average. It's ceding its spot to drugstore retailer Walgreens, a move that gives more weight to the consumer and health-care sectors of the U.S. economy. Walgreens, which dates back to 1901, has expanded in recent years by merging with a European drug wholesaler and buying up stores from Rite Aid Corp. Its shares have declined 13% in the past year, and it now has a market capitalization of $67 billion. GE has declined 53% in that same span.

Starbucks Corp. - 9.1% Wednesday

Starbucks' stock was in need of a pick-me-up Wednesday after the company announced it would close 150 U.S. stores and expected global same-store sales growth of 1% in the current quarter, far below Wall Street's expectations. The closures, which are concentrated in urban areas where stores are clustered and rents are high, are a sign the coffee giant overestimated Americans' caffeine cravings and expanded too quickly. Chief Executive Kevin Johnson said the company now plans to focus on growing the chain's "digital relationship" with customers.

21st Century Fox - 7.5% Wednesday

Walt Disney Co. upped the ante in its bidding war with Comcast Corp. for 21st Century Fox assets Wednesday, raising its offer to more than $70 billion in cash and stock. That's up from its original $52.4 billion stock bid and tops Comcast's unsolicited $65 billion all-cash proposal. The Fox board accepted the offer, which equates to $38 a share, describing it as "superior to the proposal" made by Comcast earlier this month. If the deal closes, Fox shareholders would own 19% of the combined company. (21st Century Fox and Wall Street Journal-parent News Corp share common ownership.)

Intel Corp. - 2.4% Thursday

Intel Chief Executive Brian Krzanich resigned Wednesday after the company learned that he'd had a relationship with an employee, a violation of company policy. Chief Financial Officer Robert Swan will serve as interim CEO until the company's search yields a replacement leader. If the board picks an outsider, it will be the first in the chipmaker's 50-year history. To counter the news, Intel offered a rosy second-quarter forecast ahead of its earnings call on July 26, but investors uncertain about the executive shake-up sent the stock down anyway.

Chevron Corp. - 2% Friday

Members of the Organization of the Petroleum Exporting Countries agreed Friday to boost output by about 600,000 barrels a day. That was less than some observers had expected, and the news that the world wasn't suddenly going to be awash in oil sent crude prices higher. The energy sector led the S&P 500, while Chevron and Exxon Mobil Corp. collectively added 29 points to the Dow's rise. The deal still needs final approval from Russia and other non-OPEC members. That's expected to come Saturday.

(END) Dow Jones Newswires

June 22, 2018 18:37 ET (22:37 GMT)

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