Hot Stocks: NVDA drops on Arm termination; PFE falls on earnings; CHGG rises; GM downgrade
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A broken merger deal took the spotlight in Tuesday's pre-market trading. Nvidia (NASDAQ:NVDA) lost ground on news that its massive deal to acquire Arm has officially died. 
Elsewhere in the market, Pfizer (NYSE:PFE) retreated in the wake of its quarterly report, despite exceeding expectations with its profit figure. Revenues were not as strong as analysts had hoped and the firm's guidance fell short of high expectations as well.
General Motors (NYSE:GM) was another major decliner before the opening bell. The stock fell following an analyst's downgrade.
Looking to the upside, Chegg (NYSE:CHGG) got a boost from its quarterly update. Shares climbed on strong earnings and guidance.
Decliners
After a long struggle with regulators, a deal for Nvidia (NVDA) to acquire Arm from Softbank has been terminated. The news sent NVDA falling nearly 2% in pre-market trading.
The cash-and-stock deal was valued at $40B when it was announced in September 2020, although with NVDA's massive rise in stock value, it would now carry a value of $80B. Arm is now expected to pursue an IPO.
In other news, Pfizer (PFE) reported a quarterly profit that topped expectations. However, its revenue figure fell short of projections, despite more than doubling from last year, bolstered by sales of its COVID vaccine. 
PFE also gave a disappointing forecast for 2022. The firm predicted revenues of $98B-$102B, compared to analysts' consensus of about $104B. Weighed down by the guidance figures, PFE retreated nearly 4% in pre-market trading.
An analyst's downgrade put pressure on shares of General Motors (GM). The stock retreated nearly 5% before the opening bell, as Morgan Stanley cut its rating to Equal-weight from Overweight. The firm cited GM's disappointing guidance released last week.
Gainer
Earnings news prompted a buying spree in Chegg (CHGG) during pre-market action. The stock rose more than 7%. 
CHGG topped expectations with its Q4 earnings and revenue. The company also gave a strong forecast, predicting Q1 revenue of $200M-$205M. Analysts had a consensus projection of around $198M.

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