Premarket stocks: Should Shell be broken up? An activist investor thinks so

A version of this story first appeared in CNN Business’ Before the Bell newsletter. “In our view, Shell has too many competing stakeholders pushing it in too many different directions, resulting in an incoherent, conflicting set of strategies attempting to appease multiple interests but satisfying none,” Third Point’s Daniel Loeb said in a letter to investors dated Wednesday. “If you were to split that into component pieces, I think that can sound really interesting from a financial perspective,” Jessica Uhl, Shell’s chief financial officer, said Thursday. “But in terms of real solutions, I think that breaks down and our ability to integrate and bring these different pieces of the puzzle together will be how we uniquely make a difference in the energy transition.” Investor insight: Shell’s stock is up more than 40% year-to-date, boosted by the rally in fossil fuel prices. But during the pandemic, fewer smokers were taking advantage of those services, the group said in a report earlier this year, citing “stress and anxiety resulting from the pandemic.” Investor insight: Altria, which makes Marlboro cigarettes, noted in a recent earnings call that the 2020 lockdowns saw Americans “add nicotine occasions to their day.” Its stock is still lagging the broader market, though.