Trending stocks this week as strong jobs report underscore resilience of U.S. economy

Stocks ended Friday close to session highs as investors assessed the latest signals on health of US economy.

A stronger-than-expected jobs report on Friday, along with a slew of other economic data this week, underscored the resilience of the U.S. economy. Nonfarm payrolls increased 254,000 in September, data showed, the most in six months, mitigating investor concerns about the jobs market and bolstering hopes that the Fed will be able to pull off a soft landing.

The S&P 500 and the Nasdaq 100 advanced the most since Sept. 19, and posted modest gains for the week. The policy-sensitive two-year US Treasury yield hit 3.93%, while the dollar had its best week in two years.

Elsewhere, geopolitical concerns persisted after Iran’s retaliatory missile attack against Israel on Tuesday. While Brent crude (CO1:COM) and WTI oil (CL1:COM) jumped ~9% over the past five days, oil pared some gains after U.S. President Joe Biden sought to discourage Israel from attacking Iran’s oil fields.

Amid rising geopolitical conflicts, these were the trending stocks of the week:

Spirit Airlines (SAVE) stock nosedived 30% this week to an all-time low in reaction to a Wall Street Journal article claiming the company has already begun discussions with creditors to support a bankruptcy filing. The carrier has a $3.3B debt load with a third of that due in less than a year.

Hims & Hers (NYSE:HIMS), the telehealth platform that offers compounded versions of weight loss drugs, dropped more than 10% on Thursday after the FDA confirmed Eli Lilly’s (LLY) GLP-1 tirzepatide was no longer in shortage. Shares managed to make a slight recovery on Friday but the stock still ended the week down around 1%.

CVS Health (CVS) was in the news this week after reports that it was exploring a possible break-up of its retail and insurance units in response to activist shareholder pressure. Media reports indicated that many as 2,900 jobs may be cut as part of a $2B cost-cutting drive. Shares managed to end the week up around 2%.

Levi Strauss & Co (LEVI) was down just over 8% this week after the company lowered its full-year revenue growth guidance in its fiscal Q3 report and said it is considering strategic alternatives for its Dockers brand, which could result in a sale.

Similarly, Nike (NKE) also saw an around 7% decline in the week after a mixed-bag fiscal Q1 report. Shares were initially up on the profit beat, but moved lower on the miss on total sales and postponement of the company’s Investor Day.

Humana (HUM) plummeted 25% in the week and reached a new 52-week low on Wednesday after the managed care player announced a sharp decline in membership enrolled in its top-rated Medicare Advantage (MA) plans, the latest headwind related to government-backed insurance.

ZIM Integrated Shipping Services (ZIM) saw a similar 25% fall over the five-day trading period as dockworkers on the East and Gulf coasts went on strike, their first walkout since 1977, blocking shipments at all ports from Maine to Texas that handle about half of America’s ocean shipping.

Conagra Brands (CAG) shares fell 9% on the heels of disappointing fiscal Q1 results, underscoring the negative impact from manufacturing disruptions, cost inflation, and a challenging consumer environment.

Blue Bird (BLBD) declined nearly 12% in the week, during which it was downgraded by Roth Capital over doubts that the U.S. EPA would disperse in a timely fashion the $965M in funding earmarked for the Clean School Bus Rebate Program.

Palantir Technologies (PLTR) was up around 9.4% this week, part of the price rally it is seeing after its inclusion in the S&P 500 index. Chairman Peter Thiel last sold over $600M worth of stock the previous week, bringing his total disposals this year to over $1B. An analysis by Envision Research warns that the substantial insider sales seen in the past six months signal heightened valuation risks.