GM cut to sell, Under Armour hit with downgrade, Lennar to buy CalAtlantic

Here’s a look at some of the stocks the Yahoo Finance team will be watching for you today.

Homebuilder CalAtlantic (CAA) shares soared early Monday g after rival Lennar (LEN) announced it’s buying the company for $9.3 billion. The stock and cash deal will make the company the largest homebuilder in the US. The new company will have a market cap of around $18 billion and control over a thousand active communities.

General Motors (GM) shares fell this morning. Goldman Sachs is advising its clients to dump the stock after downgrading it to sell from neutral. The firm says the North American auto cycle has peaked and it expects a big pullback in the company’s stock next year. This comes just days after Morgan Stanley downgraded the automaker.

Under Armour (UA) also got hit with a downgraded. Shares of the athletic footwear maker fell to a new low in early trading before bouncing back. Bank of America Merrill Lynch lowered its rating on the  stock to underperform from neutral with a price target of $12.00 a share. This comes ahead of the company’s earnings report tomorrow.  In another blow to Under Armour, Steph Curry’s latest signature sneaker, the Curry 4, was late to stores. Analysts say when the shoe does arrive, its target market will have already moved on.

Investors are keeping a close eye on Apple (AAPL) today. The tech giant is saying on Friday that iPhone X pre-orders are “off the charts.” Initial responses show that demand is strong, however analysts are monitoring continuing production problems. Delivery time estimates were extended to five to six weeks shortly after online pre-orders began Friday, largely due to problems with the X’s facial recognition software.

And Nintendo (NTDOY) is expecting its highest earnings in seven years, almost double its full-year operating profit. The company says supply shortages for its new Switch console have begun to ease and raised its Switch sales forecast to 14 million from 10 million. The company’s president says the upcoming holiday season will be the true test for the device, especially as competition increases from Microsoft’s new Xbox.