Toronto Stocks Flat as Shopify Soars on 1Q Beat and Logistics Unit Sale

By Adriano Marchese

Stocks in Toronto were virtually flat Thursday as negative headlines weigh on investor sentiment.

The U.S. banking crisis is in the spotlight again, this time with a report that U.S.-based bank PacWest is considering a sale and sparking concerns that the saga is far from over. Canadian financials are down in sympathy, while health tech, and consumer discretionary are also in the red. Materials, consumer durables and tech services are the only gainers in Canada.

At midday, Canada's S&P/TSX Composite Index was down 0.13% at 20329.00 and the blue-chip S&P/TSX 60 was flat at 1227.62.

Shopify's Toronto-listed shares jumped by 26% to 79.64 ($58.50) after the e-commerce platform reported better-than-expected revenue and a profit where a loss was expected in its first quarter, as well as the sale of its logistics unit.

Other market movers:

Toronto-Dominion Bank and Tennessee-based First Horizon added to the banking buzz on both sides of the border after the two companies decided to end their $13.4 billion merger agreement. Shares of TD Bank rose as high as C$83.44 before dipping to C$81.23 at noon. First Horizon shares dived 36% on the news, reaching $9.65.

BCE Inc. shares were 1% lower at C$64.74 after it reported that net earnings declined in the first quarter as financing and other costs dragged.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

May 04, 2023 12:26 ET (16:26 GMT)

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