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Once Upon a Farm, co-founded by actress Jennifer Garner, went public today.

Michael Nagle / Bloomberg via Getty Images

Key Takeaways

• Shares of Once Upon a Farm, a children's food company, finished their first trading session at $21.05, slightly above where they opened and well above their $18 IPO price.
• The company, co-founded by actress Jennifer Garner, is known for food pouches and other children's foods.

Shares of children's food company Once Upon a Farm finished their first trading session Friday above their IPO price.

Once Upon a Farm, co-founded by actress Jennifer Garner, late Thursday said its initial public offering raised about $200 million by selling nearly 11 million shares at $18 apiece. Its shares hit the New York Stock Exchange Friday using the symbol "OFRM," opening at $21 and finishing five cents higher. They never dropped below the IPO price, according to NYSE data.

The closing price also beat the $17 to $19 price range the shares were marketed in. It implies Once Upon a Farm has a market capitalization of about $847 million.

Why This News Matters to Investors

Some analysts expect 2026 to be a busy year for initial public offerings. A number of companies, including Bob's Discount Furniture and the crypto company BitGo, have also gone public this year.

The company is known for pouches that keep product safe via cold pressure, rather than heat or pasteurization. It anticipates being profitable soon, co-founder John Foraker said on CNBC.

Sales hit $110.6 million in the first half of 2025, rising 68% from $65.8 million a year earlier, according to regulatory filings. Losses also grew: Once Upon a Farm ended the first half of 2025 about $28.5 million in the red, compared to $4.2 million in the red a year earlier, the S-1 said.

“We will be a very profitable company," said Foraker, who previously ran the organic food brand Annie's. "We’re very confident in that, and in the not too distant future."

Foraker and Garner got involved with Once Upon a Time after discovering the baby food brand launched by Cassandra Curtis and Ari Raz. The brand's focus on fresh and organic ingredients appealed to Garner, who had been making baby food at home because she didn't like the options available at stores, the actress said on CNBC.

She and her partners all sought to create a "business that's pushing social change and democratizing nutrition and making it accessible for more kids," Garner said.

The company sells pouches of blended produce, oat bars, frozen meals and snacks, according to its website. Amazon.com-owned (AMZN) Whole Foods, Walmart (WMT), Target (TGT), Costco (COST) and Kroger (KR) carry its products, Garner said.

This article has been updated since it was first published to reflect new trading data.

Amazon shares are down about 9% since the start of the year

Noah Berger / Getty Images

Key Takeaways

• Amazon shares slumped Friday after the tech giant fell short of profit estimates and outlined bigger-than-expected spending plans.
• Several Wall Street analysts lowered their price targets for Amazon stock after the results, citing concerns about the company's spending.

Amazon said it plans to invest heavily in its AI buildout this year, and investors aren't pleased.

Shares of the world's largest cloud provider dropped over 5% to post the weakest performance in the Dow Jones Industrial Average Friday, on a day when the index rose to a record high.

The tech giant reported profits yesterday that missed expectations and said it could spend up to $200 billion this year on capital expenditures, far more than many Wall Street analysts anticipated. Executives said most of that spending is set to go toward the company's cloud business, as it invests in data centers and equipment to expand its AI capacity.

Why This Matters to Investors

Amazon is the latest Magnificent Seven member to lay out big spending plans, and see its stock tumble afterward. Shares of Microsoft and Google parent Alphabet also took a hit recently after the companies announced massive investments in AI, amid growing concerns over whether the companies will see enough of a return to justify the spend.

Though analysts from Oppenheimer, HSBC, Wedbush, JPMorgan, Citi, Morgan Stanley, and Bank of America maintained bullish ratings for the stock, they all trimmed their price targets following the report, amid worries about how Amazon's spending could affect its finances.

Analysts from Wedbush said many investors "will likely need to see more tangible returns" before giving their support. Still, Morgan Stanley analysts said they believe Amazon could be "the most under-appreciated GenAI winner in our group" at its current valuation.

JPMorgan analysts said they expect Amazon executives are "willing to take some near-term profit pain to drive significant long-term growth opportunities," which Amazon did when first building its cloud business Amazon Web Services.

Friday's drop leaves Amazon shares down roughly 9% since the start of the year.

UPDATE: This article has been updated since it was first published to reflect more recent prices.

Stellantis makes over a dozen car brands, including well-known American brands such as Jeep, Dodge, and Chrysler

Jim West / UCG / Universal Images Group / Getty Images

Key Takeaways

• Stellantis shares sank sharply Friday morning after the company announced a "reset" of its electric vehicle business.
• The company expects to post a net loss for 2025 and will take on about $26 billion in charges for the second half of 2025 as it pivots to focus less on EVs.

Another big automaker is making major changes to its electric vehicle strategy. Investors aren't cheering the move.

Shares of Stellantis (STLA) plunged 25% Friday morning to their lowest point since April 2020, after the automaker announced several changes as part of a "reset" of its business to better meet consumer demand.

The maker of Jeep, Chrysler, Dodge, and other car brands said it expects to take a charge of about 22 billion euros ($26 billion) for the second half of 2025, largely due to an overhaul of its electric vehicle strategy. Ford (F) and General Motors (GM) each made similar announcements in recent months, with plans to take on big charges as they pivot to focus less on all electric vehicles and more on hybrids and traditional internal combustion engine cars.

Why This News is Important

EV demand in the U.S. has taken a hit since federal tax credits for EVs expired late last year, and several automakers have said they plan to focus less on EVs in the U.S. market as consumers are looking for more affordable options.

"The charges announced today largely reflect the cost of over-estimating the pace of the energy transition that distanced us from many car buyers’ real-world needs, means and desires," Stellantis CEO Antonio Filosa said, adding that the charges also "reflect the impact of previous poor operational execution," which he said the company is fixing since he took over in mid-2025.

Stellantis said that it expects to record a net loss for 2025, which led the company to suspend its dividend for 2026 and approve the sale of up to 5 billion euros in hybrid bonds. Revenue and adjusted operating income are expected to improve in 2026, with larger gains coming the second half of the year, Stellantis said.

As part of the realignment of its EV strategy, Stellantis said that it will sell its 49% stake in NextStar Energy, a battery manufacturing joint venture in Canada, to its 51% partner, LG Energy Solution. Stellantis said it still plans to be a leader in the EV space, but said its strategy will continue "at a pace that needs to be governed by demand rather than command."

With Friday's losses, the automaker's stock has lost about a third of its value since the start of the year and nearly half in the last 12 months.

Experts have assumed homes have gotten more expensive because too few have been built. But what if that isn't the case?

David Paul Morris / Bloomberg via Getty Images

Key Takeaways

• Researchers have found evidence suggesting that the housing affordability crisis is directly linked to incomes rather than to housing supply, casting doubt on whether the government can bring down housing costs by encouraging new construction.
  
• The research, by a team at the Federal Reserve Bank of San Francisco, challenges common assumptions about the housing market.
  

A new analysis from researchers at the Federal Reserve Bank of San Francisco challenges the common assumption that homes have gotten more expensive because too few have been built.

The analysis published this week, showed that cities across the country have built housing faster than their populations have grown and that home prices tend to rise alongside income. Indeed, the housing supply grew faster than the population even in expensive markets like San Francisco. In other words, rising incomes, not a shortage of housing, could be fueling the soaring cost of houses.

The research by a team led by Schulyer Louie, a doctoral student at the University of California Irvine, sheds new light on the causes of the housing affordability crisis and has implications for how policymakers should address it. With rent and home-ownership costs soaring relative to typical incomes, politicians from both major parties are looking for ways to bring those costs down. But the problem may have less to do with too few homes being built and more to do with high-income earners bidding prices out of reach of everyone else.

What This Means For The Economy

The research implies that income inequality, not a housing shortage, is the reason homes have become unaffordable for many Americans in recent years.

"House price growth may simply reflect growth in housing demand, driven in part by growth in average income, such that questions of housing affordability may primarily be about differences in income growth at the top of the distribution relative to the middle," the researchers wrote.

So far, the efforts have focused on increasing the supply of housing with simple market dynamics in mind: a higher supply, relative to demand, should bring costs down. Today's high housing costs are partly the result of a restriction in supply. Groups like the National Association of Realtors and other housing advocates contend that restrictive local zoning laws, opposition to new developments, and other factors have, over the last few decades, caused a massive housing shortage.

Ending that shortage could improve housing affordability, the logic goes. For example, the Housing for the 21st Century Act, introduced last year and advancing through Congress with bipartisan support, aims to reduce red tape in home construction and to fund housing programs to increase supply.

But if Louie is correct, those solutions could be off the mark.

"Much of the intense interest in addressing the housing affordability crisis has focused on limitations to the housing supply," Louie wrote. "We argue that differences in the type of underlying labor market growth and subsequent implications for housing demand may offer a better explanation for important housing market dynamics. This suggests that the housing affordability crisis may be best addressed by understanding changes to the labor market, especially the relative distribution of economic growth across income levels and jobs in different areas."

News of the day for Feb. 6, 2026

The tech-heavy Nasdaq Composite is on track to post its fourth consecutive week of losses.

Michael Nagle / Bloomberg / Getty Images

Stock futures are rising this morning as the market looks to end a volatile week of trading on a high note; bitcoin is rebounding after sinking yesterday to its lowest level since October 2024; Shares of Amazon are sharply lower after the tech giant reported disappointing quarterly earnings and announced big AI spending plans; Stellantis shares are tumbling after the automaker said it would take about $26 billion in charges related to an overhaul of its EV business; and shares of Roblox, Reddit and Coty are all making big moves after their latest earnings reports. Here's what you need to know today.

Stocks Point Higher After 3 Days of Big Losses

Major indexes are poised to open higher after three consecutive days of big losses fueled in large part by declines for tech sector stocks amid AI-related concerns. Futures tied to the Dow Jones Industrial Average and the S&P 500 were recently up 0.6%, while those linked to the tech-heavy Nasdaq added 0.7%. All three indexes fell by more than 1% on Thursday, leaving the S&P 500 and the Nasdaq on pace to post losses for the week. The Dow is up slightly for the week and on track to snap a three-week losing streak. Bitcoin was trading at $67,300 recently, up from an overnight low of $60,000. (more on that below) Gold futures were up nearly 1% to $4,935 an ounce, while oil futures ticked lower to around $63 per barrel. The yield on the 10-year Treasury yield, which fell sharply yesterday amid the broader market volatility, was holding steady around 4.20%.

Bitcoin, Crypto Stocks Rebound After Rout

Bitcoin is surging this morning after sinking to its lowest level since October 2024 amid a broader move by investors away from risky assets. The cryptocurrency was recently at $67,300 after falling as low as $60,000 overnight. The digital asset hasn't traded at these levels since before the election of President Donald Trump, which propelled bitcoin to a series of record highs amid optimism about a pro-crypto environment in Washington, DC. Bitcoin has lost nearly half of its value since hitting a record high above $126,000 just three months ago. Crypto-related stocks are also rebounding this morning after several suffered steep declines on Thursday. Shares of Strategy (MSTR), the largest single corporate holder of bitcoin, were up more than 7% in premarket trading, while trading platforms Robinhood (HOOD) and Coinbase (COIN), and bitcoin miner Mara Holdings (MARA), were also solidly higher. Each of the stocks had posted double-digit declines on Thursday.

Amazon Sinks on Weak Earnings, Spending Plans

Amazon (AMZN) shares are tumbling this morning after the tech giant fell short of profit estimates in its quarterly results last night, and outlined big new spending plans. Shares of the e-commerce and cloud computing giant were recently down 8% and on track to open at their lowest level since May. Amazon's fourth-quarter revenue topped estimates at a record $213.4 billion while earnings per share fell just short, but investors are focused on the company's spending outlook. The company projected up to $200 billion in capital expenditures this year as it finances some projects in retail, but largely boosts spending on its AI infrastructure buildout. Amazon became the latest Magnificent Seven member to reveal giant spending plans for 2026, and the announcements have drawn mixed reactions from investors who look to be growing concerned over the plans.

Stellantis Stock Plummets on Business 'Reset'

Shares of Stellantis (STLA) plunged in premarket trading after the automaker made several announcements as part of a "reset" of its business to better meet consumer demand. The maker of Jeep, Chrysler, Dodge and several European car brands said it is taking a charge of about 22 billion euros ($26 billion) for the second half of 2025. The charge is largely due to an overhaul of its electric vehicle strategy, making Stellantis the latest automaker to adjust its EV expectations in the U.S. Stellantis said its EV strategy will continue "at a pace that needs to be governed by demand rather than command." Stellantis said that it expects to record a net loss for 2025, which led the company to suspend its dividend for 2026 and approve the sale of up to 5 billion euros in hybrid bonds. Along with the realigning of its EV strategy, Stellantis said that it will sell its 49% stake in NextStar Energy, a battery manufacturing joint venture in Canada, to its 51% partner, LG Energy Solution. Stellantis shares were down 26% recently, trading at their lowest levels in six years.

Busy Week of Earnings Closes With More Big Moves

A week filled with earnings reports is coming to a close on Friday with several well-known stocks making more big moves. Reddit (RDDT) shares were recently up 8%, recovering from a tumble that hit tech stocks broadly in recent weeks, after the social media company forecast solid revenue growth and announced a $1 billion stock buyback plan. Roblox (RBLX) shares jumped 10% after the video game maker outlined its own solid revenue and bookings forecast. Meanwhile, shares of Coty (COTY) were down 13% after the Covergirl parent withdrew its full-year outlook in its fiscal second quarter earnings report, citing a "complex beauty market backdrop" and the transition to its new CEO announced in December.

Amazon's stock, the weakest-performing Magnificent Seven member in 2025, was down about 4% this year through Thursday's close.

Matthias Balk / picture alliance / Getty Images

Key Takeaways

• Amazon shares took a hit in extended trading Thursday after the cloud giant missed quarterly earnings estimates and followed peers with a big AI spending forecast.
• CEO Andy Jassy said that the company expects a "strong long-term return" on its investments.

Amazon has big AI spending plans. That isn't helping its stock.

Shares of the e-commerce and cloud giant tumbled over 7% in extended trading Thursday after the company missed quarterly earnings estimates and took Wall Street by surprise with a massive spending forecast that landed as investors are increasingly looking for evidence that big AI spending is paying off—and some of its big tech counterparts say they plan to keep shelling out.

Amazon (AMZN) said its capital expenditures could reach $200 billion this year as it invests heavily in AI and robotics. That was well above the roughly $160 billion analysts expected.

Why This Is Significant

Several of Amazon's Big Tech peers, including cloud leaders Microsoft and Google, also saw shares take a hit recently after announcing larger-than-expected spending forecasts.

CEO Andy Jassy said in a statement that the company expects a "strong long-term return" on its investments. He pointed to signals of strong demand at Amazon's cloud segment, which recorded its fastest growth in 13 quarters and which Jassy said on Thursdays' conference call would be the main recipient of the company's spending.

Amazon Web Services revenue grew 24% year-over-year to $35.6 billion in the fourth quarter, above analysts' estimates. That helped propel Amazon's total revenue for the quarter to a record $213.4 billion. Earnings per share, however, came in just short of the analyst consensus at $1.95.

Amazon said it expects first-quarter revenue of $173.5 billion and $178.5 billion. Analysts surveyed by Visible Alpha were expecting $175.38 billion.

The company's report followed another from Google parent Alphabet (GOOG, GOOGL), which yesterday said it too planned to continue plowing money into AI technology.

Amazon's stock, the weakest-performing Magnificent Seven member in 2025, was down about 4% for the year so far through Thursday's close. It finished today around $223, well off Wall Street's consensus price target near $300.

Bonds are offering attractive yields for the first time in over a decade, said Vanguard's CIO on Thursday.

Michael Nagle / Bloomberg via Getty Images

Key Takeaways

• Vanguard is encouraging some clients to consider allocating more than 50% of their portfolios to bonds, according to the mutual fund giant's chief investment officer.
• Elevated stock valuations and risks around AI investment could depress stock market performance for the next decade, putting stock returns on a par with safer bonds.

The 60/40 portfolio is back. Or is it the 40/60 portfolio? 

“It might be time to skew your portfolio more to the bond side versus U.S. equities,” said Gregory Davis, President and chief investment officer at Vanguard, in an appearance on CNBC Thursday. 

“You have a 10-year [yield] that's at 4.2%. You're picking up a nice premium relative to where inflation is today,” said Davis. “It's the first time in almost a decade where you're actually earning a real yield when it comes to investing in bonds."

Why This Is Important

Some market watchers wrote eulogies for the 60/40 portfolio—60% stocks and 40% bonds—during the bear market of 2022, when the Fed's aggressive rate hikes burned investors in both markets. Recently, some money managers have been advocating a return to the classic portfolio—albeit, with some modern updates.

Treasury yields languished at historic lows following the 2008 Global Financial Crisis, and fell even further when the Federal Reserve slashed interest rates in response to Covid-19. Soaring inflation in 2022 forced the Federal Reserve to aggressively hike rates, driving bond yields higher. The yield on the 10-year Treasury note topped 4% for the first time since 2008 in September 2022, and has stayed above that threshold for most of the past three years. 

In that time, the stock market has been on a tear. The S&P 500 is up about 90% since the current bull market began in October 2022. Booming investment in artificial intelligence has fueled three consecutive years of double-digit returns for the benchmark index. 

But the market’s exceptional performance in recent years could be a double-edged sword. U.S. stocks “have been overvalued for some time,” said Davis on Wednesday. That’s one of the reasons he expects the return on stocks and bonds to be “pretty comparable” over the next decade. Vanguard predicted mid-single-digit stock returns over the next decade in its 2026 market preview. Goldman Sachs analysts issued a similar forecast a year earlier. 

The appeal of holding bonds over stocks was on full display Thursday. Stocks sold off for a third consecutive day, putting the S&P 500 and Nasdaq down about 2.5% and 4.5%, respectively, since Monday. On the flip side, bond prices, which have been relatively stable for much of the week, surged on Thursday.

Few investors predict bond yields will rise appreciably in the foreseeable future. (Bond yields and prices are inversely related.) The Federal Reserve is expected to continue gradually lowering interest rates this year unless inflation picks up steam or the job market unexpectedly strengthens. One of the greatest risks bond investors face is President Trump's attacks on Fed independence or America's mounting debt burden completely erode investor faith in the Treasury market, causing bond prices to plummet. Both situations are widely seen as remote possibilities.

Shares of Estée Lauder, which owns Bobbi Brown, lost roughly a fifth of their value today.

Dominika Zarzycka / SOPA Images / LightRocket via Getty Images

Key Takeaways

• Estée Lauder's latest results beat expectations, and the company raised its outlook. Investors, however, didn't like what they saw.
• After rising more than 45% in the past year, the shares dropped today, finishing 19% lower.

Estée Lauder's latest forecast wasn't a winning look.

The cosmetics company reported second-quarter results Thursday that sent investors running—and the stock to its lowest close since December—despite results that beat expectations and an improved outlook for the year. The company's reiteration of a $100 million expected second-half tariff hit to profits, along with the stock's steady climb off April lows that may have led to high expectations, likely weighed on the shares.

Why This News Matters to Consumers

Economists have long said consumers will shoulder most of the cost of tariffs. There has been debate about how long this process may take, as some companies, such as Estée Lauder, acknowledge they have not yet offset the expense.

Estée Lauder Cos. (EL), parent company of Bobbi Brown and Clinique, hoped to cast its results as long-awaited progress. Sales picked up in Europe, China and other Asian markets. And after 10 years of losing market share, Estée Lauder is gaining ground in the Americas by expanding beyond department stores and selling via Amazon (AMZN), Tik Tok and Sephora, CEO Stéphane de la Faverie said on a conference call Thursday.

"One of the main challenges that we see is: the enacted tariffs are starting to hurt consumer confidence in Latin America," de la Faverie said, according to a transcript provided by Alpha Sense. "But overall, I want to say, I feel very strong."

The company reported $4.2 trillion in sales for the quarter ended Dec. 31—a 6% increase from last year, and slightly above the consensus analyst estimate from Visible Alpha. That translated to about $0.89 in adjusted earnings per share, compared to the $0.82 analysts anticipated, per Visible Alpha.

Estée Lauder also raised its earnings outlook for the full fiscal year. The company expects to end 2026 with an adjusted operating profit margin of 9.8% to 10.2%, despite a dip in the third quarter due to tariffs and other headwinds. That's up from the 9.4% to 9.9% margin given in prior guidance.

Today's investor reaction, however, was deeply negative, with the shares finishing 19% lower even after a bounce from intraday lows. The stock finished Wednesday's session above Wall Street's consensus price target, per Visible Alpha Data; it's now some 15% below it.

Hims & Hers Health said its new weight-loss pill comes with same active ingredient as Novo Nordisk's Wegovy

Hims & Hers

Key Takeaways

• Hims & Hers Health said Thursday it would start selling a compounded weight-loss pill, at a lower price than rivals.
• Shares of Eli Lilly and Novo Nordisk tumbled following the announcement, while Hims & Hers shares initially surged before reversing course.

A new pill from Hims & Hers Health is rattling shares of leading weight-loss drugmakers.

Shares of Eli Lilly (LLY) and Novo Nordisk (NVO) each slipped about 8% Thursday after Hims & Hers said it would start selling a compounded weight-loss pill, at a lower price than rivals. Hims & Hers (HIMS) shares initially surged close to 14%, before reversing course to finish nearly 4% lower.

Hims & Hers said the new pill starts at $49 per month for five months, and comes with the same active ingredient as Novo Nordisk's Wegovy, which received FDA approval in December and costs $149 for self-pay patients, according to the company's website.

The new Hims & Hers pill could challenge Novo Nordisk's Wegovy, and the Danish drugmaker said it plans to take legal action in a statement.

Why This Matters to Investors

Hims & Hers has run into conflicts with Eli Lilly and Novo Nordisk with its compounded weight-loss offerings previously. Thursday's stock moves could point to concerns about the new product's impact, as well as responses to its launch.

The announcement comes a day after Eli Lilly and Novo Nordisk shares moved in opposite directions following their latest earnings reports, as Novo Nordisk warned of sales could decline this year, while Eli Lilly said its sales are expected to keep growing.

Eli Lilly said Wednesday that it expects to start selling its own oral weight-loss medication in the second quarter of this year, assuming it gets approved by the FDA, which would add another competitor to Novo Nordisk's Wegovy pill and Hims & Hers' new compounded pill.

With Thursday's moves, shares of Hims & Hers have are down more than 40% over the past 12 months. Novo Nordisk shares have lost roughly half their value over the same period, while Eli Lilly shares have added about 17%.

Parent company Yum! Brands is evaluating strategic alternatives for the Pizza Hut business.

Justin Sullivan / Getty Images

Key Takeaways

• Yum! Brands is closing 250 of 20,000 U.S. Pizza Hut locations after several quarters of declining same-store sales.
• The company has undertaken a "strategic review" of the brand, which will weigh several strategies, including selling the pizza chain.

Yum! is tearing off a slice of its pizza portfolio.

The fast-food giant will close 250 of 20,000 domestic Pizza Hut locations in the first half of the year, Yum! Brands (YUM) said on a conference call Wednesday. The restaurateur’s other brands, including Taco Bell and KFC, are performing well, but Yum! floated the idea of selling Pizza Hut while announcing a strategic review of the brand in November.

On the call, executives declined to share details about Pizza Hut’s future, citing the review. But the company estimated Pizza Hut’s core operating profit will fall 15% in the first quarter as the company invests in new marketing and other attempts to lift sales.

Why This News Matters to Investors

Fast-food companies have been rolling out additional value offerings to entice consumers who they say are looking to curtail their spending. This includes McDonald's, Wendy's and Yum! Brands' Taco Bell.

"We have aligned stakeholders on a targeted program in the US, Hut Forward, that represents a bridge to a longer-term acceleration of the brand," said Yum! Brands CFO Ranjith Roy, according to a transcript made available by AlphaSense. "This program includes alignment on a vibrant marketing program, modernization of certain technology and franchise agreements, and Yum! providing a onetime contribution to marketing support, along with the approval of some targeted closures of underperforming units."

Yum! didn’t respond to questions about which locations will close and how they were selected in time for publication.

The company's overall numbers came in close to expectations. Yum! reported $2.5 billion in revenue—a 6% increase over last year and slightly less than analysts anticipated, according to consensus estimates from Visible Alpha. That amounted to about $1.73 in adjusted earnings per share, which was in line with the consensus estimate from Visible Alpha.

Greater competition in the sector and consumers’ hunger for value have weighed on Pizza Hut sales, the company said in April. The brand had a 3% year-over-year decline in domestic same-store sales in the fourth quarter, which followed 6% and 5% drops in earlier quarters of the year, according to press releases.

Yum! Brand shares were up about 1% in late trading Thursday and have gained some 22% over the past year.