Summary:
- Nikola announces recall of over 200 electric heavy duty trucks due to battery fire possibility.
- Urban Outfitters downgraded by Citi, citing fashion inconsistency impacting customer loyalty.
- Okta receives double upgrade from Goldman Sachs, potential turnaround in subscription growth.
It's a sluggish Monday ahead of retail results. The S&P 500 looking for some direction as stocks struggle to keep up the summer rally. Weakness in China also weighing on sentiment with property giant Country Gardens halting trading. And looking at some individual movers, Nikola slumping after the troubled electric vehicle maker announced a voluntary recall of over 200 of its electric heavy duty trucks. That's due to the possibility of battery fires. This roadblock cutting into the stock's recent rise shares were up over 150 percent over the past three months, boosted by orders for Nikola's hydrogen fuel cell powered trucks today. They are down by nearly 12 percent. Urban outfitter is also feeling some pain today after the retailer getting a downgrade from Citi. The bank cutting its reading to neutral from buy and its price target $236 from $40. Analysts saying that they expect the company to beat second quarter earnings estimates and issue a strong forecast, but they believe the brand's fashion inconsistency is resulting in lower customer loyalty. And we're also watching shares of Okta popping today after getting a double upgrade from Goldman Sachs. The bank boosted the shares all the way to a buy rating from a sell. Analysts saying there the tech company could see a turnaround in subscription growth and stabilization of its workforce segment. Those shares higher by three and a half percent.