Citi, Petco, Abercrombie & Fitch: Trending stocks

Yahoo Finance markets contributor Remy Blaire discusses trending stocks, including Citigroup announcing it will pursue an IPO for Banamex, Petco stock falling on soft guidance, and Abercrombie & Fitch shares rising after its Q1 earnings beat.

Video transcript

- Now, for a quick check of what's happening in the markets from the floor of the New York Stock Exchange, we have Yahoo Finance's contributor Remy Blaire there for us. Hey, Remy.

REMY BLAIRE: Well, we are seeing Wall Street trade lower on this Wednesday. But in terms of market moving stocks, Citigroup is also trending lower. Now, Citi announced plans to scrap the sale of its Mexican retail bank. And on the heels of this news, shares to trade lower. Citi will pursue an IPO of its Banamex unit instead, and spin off its Mexican consumer bank. Citi does expect this process to extend into 2025.

We've been getting earnings results out from retailers, but let's take a look at what's happening in the pet care space. Petco shares tumbled this morning, and this comes on the heels of the company issuing softer than expected guidance. Shares of Petco fell by as much as 20% today, and this does come as first quarter results did be in terms of its top and bottom line. But its guidance for the year came in softer than expected and the company's CEO said this is because of macroeconomic trends.

And to give you further insight, we saw that pet food demand was stronger in the latest quarter and this did come even as prices were higher at its stores. There's also a notable decline in sales of supplies, as well as companion animals at its stores, and services at its vet clinics increased in the latest quarter.

And last but not least, let's take a look at Abercrombie and Fitch. Shares of the retailer are rallying this morning, and this does come on the heels of its earnings beat. The clothing retailer posted a surprise profit for Q1 and raised its guidance. Q1 revenue did see gains, and the company reported that inventory levels were down, and this did come on the heels of an improvement in terms of its supply chain. Same store sales rose in the latest quarter versus an expectation for a decline.

Now, as we look ahead to the rest of the week, including Thursday's session, we will be getting further insight into the spending habits of the American consumer. We have Best Buy, Costco, as well as Dollar Tree reporting tomorrow.

- All right, we'll be on the lookout for that as well. Thank you. As always, Remy Blaire there for us.