Home Depot, Tempur Sealy, SoFi, Houghton Mifflin and more

Check out the companies making headlines in midday trading Tuesday.

Home Depot — Shares of the home improvement retailer fell 8.8% with the broader market sell-off, despite the company reporting a quarterly beat on profit, revenue and comparable store sales for the most recent quarter. Home Depot reported earnings of $3.21 per share and announced a 15% dividend increase.

Medtronic — The medical device maker gained 3.1% after the company reported a mixed quarter, including a revenue miss and an adjusted profit beat. Medtronic said procedure volumes are improving and that strong demand for its heart devices helped drive the quarter.

Kraft Heinz — Shares of the food and beverage company added 5% after the company increased its long-term growth targets and reiterated its adjusted EBITDA guidance for 2022 of between $5.8 billion and $6 billion.

Tempur Sealy — The mattress manufacturer’s shares tumbled 19.4% after the company reported adjusted quarterly earnings that missed analysts’ estimates by 8 cents per share, as well as revenue for the quarter that fell short of forecasts. The company said results were impacted by costs that outpaced sales.

Houghton Mifflin Harcourt — The publishing company saw its shares jump 15.3% following news that private equity firm Veritas Capital would buy it for $21 per share in cash or about $2.8 billion.

SoFi — The digital financial services firm’s shares fell 9.9% after the company announced it will buy Technisys, a maker of banking software, for about $1.1 billion in stock. SoFi said the deal will help it generate up to $800 million in additional revenue through 2025.

Krispy Kreme — The donut company saw its shares rise 8.3% after it reported its first quarterly profit since becoming a public company, though earnings fell short of Wall Street’s expectations. CEO Mike Tattersfield said Krispy Kreme is, like the broader restaurant industry, experiencing inflation. But, the company took it as an opportunity to raise prices, which it did twice in the quarter.

DraftKings — Shares of the sports betting company gained 7.5% despite a downgrade by Wells Fargo to equal weight from overweight. The firm cut its price target on DraftKings to $19 per share from $41 per share, noting its concern about the company’s path to profitability given its expense increases. Investors may have been buying the dip after the shares fell more than 21% on Friday on a higher than expected adjusted EBITDA loss for 2022.

Ford — The automaker’s shares fell 4.1% after Wells Fargo said in a note that a spin-off of the company’s battery electric vehicle business is not compelling. Wells also reiterated the stock as overweight.

McDonald’s — Shares of the fast food chain gained 1.4% before pulling back, after billionaire investor Carl Icahn launched a proxy fight with the company over its treatment of pigs. Icahn is pushing for two board seats and for the chain to to require all its U.S. suppliers to move to “crate-free” pork.