Why are Callon Petroleum, Teva Pharmaceutical Industries and PG & E slumped today?

<p class = "canvas-atom-text-canvas Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Monday was a quiet day for the stock market, investors expect fireworks to begin this week, as many companies begin to publish their results, and that the Federal Reserve's imminent decision on interest rates later this month should also For some companies, stock prices have fallen due to concerns about their respective businesses. Callon Petroleum (NYSE: CPE), Teva Pharmaceutical Industries (NYSE: TEVA), and PG & E (NYSE: PCG) were among the worst performers. Here's why they worked so badly. "Data-reactid =" 11 "> Monday was a quiet day for the stock market, with key benchmarks remaining close to the start of the session as investors expect fireworks to begin this week. Many companies are starting to publish their results, and the Federal Reserve's imminent decision on interest rates later this month is also expected to have a significant impact, but for some companies, stock prices have fallen due to concerns affecting their respective activities. Callon Petroleum (NYSE: CPE), Teva Pharmaceutical Industries (NYSE: TEVA), and PG & E (NYSE: PCG) were among the worst performers. Here's why they hurt so badly.

Callon makes a purchase

<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The shares of Callon Petroleum fell by 16% after Petroleum company announced a merger agreement with a sector counterpart. Carrizo Oil & amp; Gas (NASDAQ: CRZO) will unite alongside Carrizo's investors to receive 2.05 Callon shares for every Carrizo share they own. This transaction will create a more diversified portfolio of energy assets covering the Permian and Eagle Ford shale deposits. Joe Gatto, CEO of Callon, believes that the company resulting from the operation "will benefit from a more extensive infrastructure and a critical mass for our production market and our supply chain functions. "Yet, investors seem to think that Callon overpaid for Carrizo, especially given the balance sheet concerns that both companies have had in a challenging environment for the oil and gas sector. "data-reactid =" 13 "> Callon Petroleum shares fell 16% after the oil company announced a merger agreement with industry pair, Callon and Carrizo Oil & Gas (NASDAQ: CRZO) will unite alongside Carrizo's investors to receive 2.05 Callon shares for every Carrizo share they own. This transaction will create a more diversified portfolio of energy assets covering the Permian and Eagle Ford shale deposits. Joe Gatto, CEO of Callon, believes that the company resulting from the operation "will benefit from a more extensive infrastructure and a critical mass for our production market and our supply chain functions. "Yet, investors seem to think that Callon is overpaid for Carrizo, especially given the balance sheet concerns that both companies have had in a challenging environment for the oil and gas sector.

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Source of the image: Callon Petroleum.

Teva feels the pain

<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Teva Pharmaceutical Industries saw its stock fall by nearly 8 Following the demotion of a major Wall Street analyst, Morgan Stanley has brought back the drug maker from an equivalent weight to an underweight, his main concern being ongoing litigation involving opioid manufacturers. Teva has already settled a dispute With regard to opioids, the analyst believes that generic opioids in society could open it to future litigation. Moreover, with higher debt levels in its balance sheet, Teva could be more vulnerable to a potentially catastrophic verdict than some of its competitors in the industry. "Data-reactid =" 27 "> Teva Pharmaceutical Industries saw its stock fall by nearly 8% Morgan Stanley, who had been demoted from an equivalent weight to an underweight, had for main concern to look at the ongoing litigation involving opioid manufacturers.Teva has already settled a dispute over opioids.The company's generic opioids could pave the way for new litigation.In addition, with a higher level of debt in its balance sheet, Teva may be more vulnerable to a potentially catastrophic verdict than some of its peers in the industry.

Will creditors challenge PG & E?

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Finally, the PG & E shares have ended lower Nearly 9% of California utilities have been facing challenges for years, while many have blamed their power lines for causing devastating wildfires across the state.Besides the $ 21 billion fund that the California state government has just created, some believe today that its creditors might seek to come up with another bankruptcy recovery plan than the one that the utility company has already put in forward. PG & E could come out of bankruptcy with significant prospects for complete recovery, but even the threat of a potential roadblock was enough to make them nervous today. "data-reactid =" 29 "> Finally, PG & E's shares ended down by nearly 9% The Californian public service was faced Despite a $ 21 billion fund that the government of California has just created, the state government of California has just created this fund, but some of those who follow PG & E now believe that its creditors could seek to propose another plan of reorganization.The shareholders hoped that PG & E could come out of bankruptcy with considerable prospects for full recovery, but even the threat of a potential roadblock was enough to make them nervous today.

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<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Dan Caplinger has no position in any of the actions mentioned. The Motley Fool has no position in the mentioned actions. The Motley Fool has a disclosure policy."data-reactid =" 38 ">Dan Caplinger has no position in the mentioned actions. The Motley Fool has no position in the mentioned actions. Motley Fool has a disclosure policy.