Midday Fly By: Meta buys AI startup Manus, Cvent to acquire On24

The major averages were mostly unchanged near noon on the penultimate trading day of the year as markets contend with light year-end volumes and a pullback in heavyweight tech and AI names that stalled last week’s strong rally. Investors are also awaiting the release of the Federal Reserve’s December meeting minutes and digesting recent economic signals that have fueled debate over the pace of future rate cuts.

Looking to commodities, gold edged higher following yesterday’s sharp losses, while oil is fractionally higher ahead of the API crude numbers set for release this afternoon.

Get caught up quickly on the top news and calls moving stocks with this Midday Fly By.

1. STOCK NEWS:

• Meta Platforms (META) agreed to acquire AI startup Manus, with the Wall Street Journal reporting that Meta is paying over $2B for the business
• Applied Digital (APLD) agreed to combine its cloud computing business with Ekso Bionics (EKSO)
• On24 (ONTF) agreed to be acquired by Cvent for $8.10 per share in cash
• Citi’s (C) board approved a plan to sell AO Citibank

2. WALL STREET CALLS:

• Argus upgraded BHP Group (BHP) to Buy on “firming” commodity prices
• Mereo BioPharma (MREO) downgraded to Hold at Jefferies
• Benchmark started Lindblad Expeditions (LIND) with a Buy on high growth visibility
• Stephens initiated coverage of Rubrik (RBRK), Commvault (CVLT), and AvePoint (AVPT) with Overweight ratings and Varonis (VRNS) at Equal Weight

3. AROUND THE WEB:

• SMIC (SMICY) intends to acquire the remaining 49% stake in unit SMNC for Y40.6B, or $5.79B, giving the company full control of the subsidiary, Reuters says
• The U.S. government has granted Samsung Electronics (SSNLF) and SK Hynix (HXSCL) an annual license to bring chip manufacturing equipment to their Chinese facilities for 2026, Reuters reports
• Power-hungry AI projects are benefiting Caterpillar (CAT) as a range of customers looks to purchase the company’s engines and generators, WSJ says
• Softbank (SFTBY) has completed its $40B investment in OpenAI, CNBC reports
• Warner Bros. Discovery (WBD) is expected to reject the latest offer made by Paramount Skydance (PSKY), CNBC says

4. MOVERS:

• Hycroft Mining (HYMC) increases after filing a $500M mixed securities shelf
• Boeing (BA) gains after being awarded a $8.58B Air Force contract for the F-15 Israel Program and a ceiling $4.2B modification to a previously awarded Air Force contract for E-4B contractor logistic service
• Energy Fuels (UUUU) falls after Roth Capital said shares of the company remain “overvalued”
• Truth Media (DJT) lower after Yorkville America launched five Truth Social ETFs on the New York Stock Exchange

5. EARNINGS/GUIDANCE:

• Ree Automotive (REE) reported results for 1H25, with EPS higher year-over-year
• Etoiles Capital (EFTY) reported 1H revenue
• Cemtrex (CETX) reported results for FY25, with revenue higher year-over-year
• AMTD IDEA Group (AMTD) reported 6 month revenue results, with CFO Xavier Zee commenting, “We are proud to deliver another half year of strong performance”

INDEXES:

Near midday, the Dow was down 0.20%, or 98.77, to 48,363.16, the Nasdaq was down 0.04%, or 9.76, to 23,464.59, and the S&P 500 was down 0.06%, or 3.88, to 6,901.86.