5 Things to Watch on
May 12, 2026

Stocks are trading down more than -0.3% in premarket today after April's Consumer Price Index came in hotter than expected, adding to investor unease over the fragile U.S.-Iran ceasefire. Consumer prices rose +3.8% from a year ago, the largest annual gain in three years, and +0.6% from March, with soaring energy costs tied to the Iran conflict driving much of the increase.

eBay (EBAY) is down -1% in premarket trading after its board formally rejected GameStop's (GME) unsolicited acquisition proposal, calling it "neither credible nor attractive" and citing concerns over financing uncertainty, leverage, and the governance structure of a combined entity. GME is down -4% in premarket, and with EBAY's market cap more than 4x its own, the bid faced long odds from the start. Attention now turns to whether GME CEO Ryan Cohen will attempt a hostile takeover.

Hims & Hers Health (HIMS) fell -14% in premarket trading after Q1 revenue of $608.1M grew only +4% YoY, with U.S. revenue falling -8%, while EPS of -$0.40 swung sharply from +$0.20 a year ago. Gross margin compressed to 65% from 73% as the company absorbed costs tied to its compounded GLP-1 transition. Management raised full-year revenue guidance to a $2.9B midpoint, above expectations, with Q2 guided to $690M, as the recently announced Novo Nordisk (NVO) partnership is expected to begin contributing in the current quarter.

Novo Nordisk (NVO) today shared new data showing its 7.2 mg Wegovy dose produced 21% average body weight loss over 72 weeks versus 17.5% on the standard 2.4 mg version. Among early responders, defined as patients shedding 15% or more of body weight within the first 24 weeks, the higher dose delivered nearly 28% weight loss compared to roughly 25% on the lower dose. The findings were presented at the European Congress on Obesity in Istanbul.

Allegiant Travel (ALGT) and Sun Country Airlines (SNCY) are expected to close their $1.5B cash-and-stock merger as early as this week, creating a larger leisure-focused U.S. carrier operating under the ALGT name. The deal pairs ALGT's strength in small and mid-sized markets with SNCY's presence in larger cities and international leisure destinations, adding more than 650 combined routes. SNCY's cargo and charter businesses are also folded in, with ALGT shareholders set to own roughly 67% of the combined company.