Midday movers: GameStop stock slips but Robinhood jumps on new credit card as markets rise

Investors were mostly optimistic about stocks on Wednesday, as all the major market indexes were moving up. The S&P 500 jumped 0.3%, and the tech-heavy Nasdaq gained 0.03%. The Dow Jones Industrial Average advanced 245 points, or 0.6%, to 39,469.

Here’s a midday look at what’s moving the market.

Robinhood gets in on the credit card business

Robinhood stock jumped more than 3% as the trading platform entered the credit card market with its new Robinhood Gold Card, which offers 3% cash back on purchases. The stock reached its peak on Wednesday morning, trading around $20 per share.

H&M beats Wall Street expectations

H&M stock surged more than 16% after it beat earnings expectations for its fiscal first quarter. The company’s operating profit increased to 2.08 billion Swedish Krona (~$196 million). Analysts had forecast the company would generate 1.43 billion Swedish Krona (~$134.6 million). The stock was trading at $154 per share around midday.

Coinbase stock falls on a judge’s ruling

Who regulates crypto? We don’t have an answer yet. A judge ruled on Wednesday that a jury could hear the SEC’s claim that the cryptocurrency exchange Coinbase sold unregistered securities. Coinbase stock fell about 2.6% after the federal judge in Manhattan rejected the company’s bid to dismiss the SEC complaint.

GameStop struggles to find customers

GameStop stock dropped more than 18% as it struggles with weak revenue and cuts jobs. The video game retailer is trying to stay relevant in a digital age. The stock was at $13 per share around midday and heading toward what could be its worst day in a year.

Merck gets an FDA approval

The Food and Drug Administration on Tuesday approved a Merck drug for a rare, progressive lung disease. Merck stock price was up more than 5% on Wednesday to $130 per share.

Cintas jumps after earnings report

Cintas, a provider of workplace equipment and cleaning supplies, soared on Wednesday after beating third-quarter projections and raising its guidance. Earnings guidance was raised by $14.80 to $15 per share, up from a previous range of $14.35 to $14.65 per share. The revenue forecast for the year was $9.57 billion to $9.6 billion, up from $9.48 billion to $9.56 billion in the prior forecast. Cintas stock rose 9% to $690 per share.

AI stocks take a pause

After weeks of rallying high, AI stocks took a breather on Wednesday. AI chip maker Nvidia’s stock fell 2.7% to $900, and Super Micro Computer stock dropped 2.6% to $998.