Shell, Merck, Twitter: Stocks That Defined the Week

Ford is picking up speed. The auto maker reported a nearly 32% increase in U.S. sales in June, outpacing the broader industry as it benefited from pent-up demand, previously placed orders and a new all-electric truck. For the first six months of 2022, Ford’s U.S. sales were down 8% from a year earlier, amid supply-chain constraints that continued to roil the car business. The auto maker’s U.S. sales for the first half were better than the 18% drop recorded industrywide for the same period, according to Wards Intelligence. Ford shares dropped 1.1% Tuesday.

Amazon.com Inc.

Amazon Prime members have a new delivery: Grubhub. The e-commerce giant is offering a yearlong subscription to the food-ordering company, allowing members to access free delivery from Grubhub’s network of restaurants. Grubhub’s parent, Netherlands-based

Just Eat Takeaway.com

said Amazon has an initial option to take a 2% stake in U.S.-based Grubhub. The deal brings Amazon further into food-related services through its Prime membership program, which also includes grocery benefits under its Whole Foods Market division. Amazon shares gained 0.7% Wednesday.

American Airlines Group Inc.

Pilots’ pay is ascending at American Airlines. The carrier will pay them triple their normal wages to work flights that were mistakenly dropped because of a computer glitch, the Allied Pilots Association union said. An airline scheduling system that took place over the holiday weekend had mistakenly allowed pilots to drop thousands of future trips, leaving as many as 12,075 July flights without a captain or first officer, or both. Air carriers are already straining to accommodate rising travel demand this summer, while tensions with pilot groups have escalated. American Airlines shares increased 1.5% Thursday.

Seagen Inc.

Two drug companies are experimenting with a new combination.

Merck

MRK -0.25%

& Co. is in advanced talks to buy Seagen in a deal that could be worth roughly $40 billion or more, The Wall Street Journal reported. The companies are discussing a price for Seagen above $200 a share and are seeking to seal a deal on or before the announcement of Merck’s quarterly earnings, set for July 28. Acquiring Seagen would help broaden Merck’s lineup of cancer drugs, which is led by the blockbuster immunotherapy Keytruda. The drug is the company’s top-selling product with $17.2 billion in sales last year. Seagen shares rose 1.6% Thursday.

Twitter Inc.

Elon Musk

wants out of Twitter’s nest. The Tesla CEO is seeking to terminate his $44 billion deal to buy the social-media company, according to a regulatory filing Friday, saying the company hasn’t provided the necessary data and information he needs to assess the prevalence of fake or spam accounts. The billionaire also questioned the legitimacy of those accounts in May, when he announced that the deal was “on hold.” The new filing about Mr. Musk came a day after Twitter said it laid off 30% of its talent acquisition team. Twitter shares lost 5.1% Friday.

Levi Strauss

& Co.

Dressing down is lifting Levi up. The jeans maker saw sales rise in its latest quarter, sidestepping issues of excess inventory among retailers and a slowdown in consumer spending. Company leaders said Levi has benefited from a more casual dress code as workers opt for jeans over slacks in postpandemic office settings. Levi’s revenue gains come as a range of retailers grapple with excess inventory that could restrain orders from suppliers. Target, a major Levi customer, in June issued a profit warning amid a glut of inventory, causing the company to cancel orders with vendors and offer large discounts on unwanted items. Levi Strauss shares gained 1% Friday.

Write to Francesca Fontana at [email protected]