Morgan Stanley (MS:NYSE) is giving its next CEO, Ted Pick—and two executives a one-time retention award valued at $20 million each. The award is a mix of performance stock units and restricted stock units that convert to shares in 2027.
The two other people receiving the award are Andy Saperstein, co-president and head of wealth management, and Dan Simkowitz, head of investment management and co-head of corporate strategy. Both men contested for the CEO job with Pick.
The bank on Wednesday named Pick as successor to longtime CEO James Gorman. Pick was co-president and head of institutional securities and co-head of corporate strategy.
Morgan Stanley shares are down 3.2% for the week.
Ford withdraws guidance for the year citing the United Auto Workers strike.
Ford Motor (F:NYSE) shares swooned after the automaker withdrew its guidance for the year, citing the impact of the United Auto Workers strike.
Ford swung to a profit of $1.2 billion in the third quarter in the third quarter, swinging from a loss in the prior-year period.
Still, company executives said Thursday that they expect the UAW’s six-week walkout to cost it about $1.3 billion in operating profit this year, including $100 million in the third quarter. The strike targeted three U.S. factories, including the company’s truck plant in Kentucky, which is the company’s largest and among its most profitable.
Its shares finished Friday down 12%, ending at its lowest point since January 2021. The stock is down 13.7% for the week.
Amazon’s profit triples
Amazon.com (AMZN:NASDAQ) said profit tripled to nearly $10 billion from July to September as strong sales in its cloud-computing, advertising and retail units helped the company continue its rebound from post-pandemic lows.
The company’s revenue increased by 13% to $143.1 billion for its third quarter, beating Wall Street expectations. Profit was $9.9 billion, more than triple the result from the same period last year.
Chief Executive Andy Jassy said the company would reap tens of billions of dollars in revenue in the next several years as customers turn to generative AI opportunities available within its cloud-computing business
Its shares finished the week 2.6% higher.
Intel Stock Jumps After Results Beat Forecasts
Intel’s (INTC:NASDAQ) revenue and profits fell in its latest quarter as weak personal-computer and server sales damped the market for its chips.
Still, shares of the chip maker rose about 6% in after-hours trading as the company’s results and outlook topped analyst expectations amid signs that a PC recovery is starting to take hold and interest in artificial intelligence computation is growing.
The results are some of the strongest yet for Chief Executive Pat Gelsinger, who is more than two years into a turnaround aimed at rebuilding Intel into a chip-making powerhouse.
Intel’s stock finished the week 2.5% higher.
Alphabet disappointed investors with relatively weak cloud-computing sales
Google (GOOG:NASDAQ) reported its strongest business growth in more than a year but disappointed investors with relatively weak cloud-computing sales.
Google’s parent company Alphabet reported third-quarter revenue of $77 billion Tuesday, up 11% from the same period last year.
The results marked the third consecutive quarter of accelerating growth for the search giant following an economic slowdown that briefly caused a rare drop in the company’s advertising sales.
Google finished the week 9.5% lower.
Meta warns weaker ad spend could hurt profits
Shares in Meta Platforms (META:NASDAQ) fell 3.7% after a warning from the social-media giant about weaker spending on advertisements outweighed forecast-beating sales and profits.
Meta posted quarterly revenue of $34.15 billion with an income of $11.58 billion. The company also said it has substantially completed planned layoffs, with headcount down 25% on the year as of Sept. 30.
The shares are up 140% this year, but finished the week 4.1% lower.