|Day's Range||2,976.31 - 3,000.00|
|52 Week Range||2,346.58 - 3,027.98|
Shares of Pinterest Inc. are up 3.2% in premarket trading Monday after RBC analyst Mark Mahaney upgraded the stock to outperform from sector perform. He's optimistic about the stock since the lockup on shares expired last week. "Our analysis of 60-plus tech IPOs since 2017 shows lockup periods have generally acted as a significant overhang leading up to the expiration (median 3-month prior return: -11%), with performance improving thereafter (median 3-month after return: +8%)," Mahaney wrote. He's also upbeat about new advertising strategies and the company's opportunity to close the monetization gap with other social-media names with generate higher per-user revenue than Pinterest. Mahaney boosted his target price to $35 from $30. Shares are off 16% over the past month as the S&P 500 has lost 0.2%. Mahaney's upgrade is at least the second over the past week, with Pivotal Research Group also turning bullish on the stock a few days back.
Coty Inc. stock rose 5.8% in Monday premarket trading after the beauty company announced it will explore strategic alternatives for its professional beauty business. Coty's professional beauty business includes the OPI, Clairol and Wella brands. The move is part of the company's turnaround plan, and an effort to focus on the fragrance, cosmetics and skin care business, Coty said in a statement. Coty is also considering the options for its Brazilian operations, including a divestiture. The entire scope of business under consideration is expected to generate $2.7 billion in 2019 revenue. The company expects to use the proceeds from any transaction to pay down debt, with the excess going back to shareholders. There is no change to the company's guidance for operating margin between 14% to 16% by fiscal 2023. Coty stock has rallied 54.3% for the year to date, but is down nearly 4% for the last year. The S&P 500 index has gained nearly 8% for the past 12 months.
Bank of America said Monday its Merrill Edge Self-Directed platform will expands its offer of zero-dollar online trading, offering unlimited commission-free stock, exchange-traded fund and options trading. About 87% of trades on the platform were already commission-free through benefits offered to members of the company's Preferred Rewards program, the company said in a statement. The news comes after Charles Schwab Corp. announced that it would offer fully commission-free trades to its clients, prompting other online discount brokerages to follow suit. Bank of America said clients that are not enrolled in the rewards program will receive flat-trade pricing of $2.95 for online stock and ETF trades, down from $6.95. Bank of America shares rose 0.9% in premarket trade, and have gained 23% in 2019, while the S&P 500 has gained 19%.
Hudson's Bay Co. said Monday that it will be taken private by a group of shareholders for C$10.30, about a 62% premium to the department store company's closing share price on the Toronto Stock Exchange on June 7, 2019. That was the last day before the initial proposal to go private. The price is a 9% increase over the initial proposal of C$9.45 per share. Hudson's Bay's portfolio includes Saks Fifth Avenue. In August, the company announced that it was selling its Lord & Taylor brand to a clothing rental subscription company, Le Tote, for $100 million. That came after the company shuttered or sold some of the store's locations, including the iconic Fifth Avenue Lord & Taylor shop. The company reported a sales miss in its most recent earnings. Hudson's Bay expects to hold a special meeting in December 2019. Shares are up 29.6% for the year to date while the S&P 500 index has gained 19.1% for the period.
It may seem counter-intuitive but home builder stocks are a strong cyclical buy, according to several analysts citing multiple data points, and they’re also a seasonal play for late October into early November.
Investors focus on the giant stocks in the S&P; 500\. They're missing out on up-and-comers growing so fast they may even soon find their way into the S&P; 500.
Shares of McKesson Corp. , Cardinal Health Inc. , AmerisourceBergen Corp. and Teva Pharmaceutical Industries Ltd. all fell in premarket trading Monday, after the drug companies reached a last-minute settlement with two Ohio counties in opioid litigation, according to a report in The Wall Street Journal. The report, which cited people familiar with the matter, said the settlements come just in time to avoid a trial. Walgreens Boosts Alliance Inc. , which is also in litigation on its role in the opioid crisis, had not yet reached a deal by Monday morning, the WSJ report said. The settlement still falls short of a more comprehensive deal being negotiated to resolve thousands of opioid lawsuits. Shares of McKesson slid 2.2% ahead of the open, Cardinal Health fell 1.5%, AmerisourceBergen shed 1.8% and Teva dropped 4.0%, while futures for the S&P 500 rose 8 points, or 0.3%. Walgreens's stock slipped 0.6% premarket.
Chinese Vice Premier Liu He said on Saturday that Beijing would work with Washington to address core concerns, adding to optimism from President Donald Trump's comments on Friday that he expected a trade deal to be signed by mid-November. Microsoft Corp rose 0.8% in premarket trading after German business software group SAP said it had signed a three-year cloud partnership with the company. Wall Street has been steadily recovering after a rough start to the month on signs of progress in talks between the world's two largest economies.
Shares of McDermott International Inc. rocketed 31% in premarket trading Monday, after the provider of technology, engineering and construction services to the energy industry announced an agreement on $1.7 billion in new financing. Under terms of the agreement, the company will have immediate access to $650 million in financing, including $550 million available under a term loan and a $100 million letter of credit facility. McDermott said it expects to use the new financing for working capital and to support the issuance of required performance guarantees on new projects. The new financing comes after reports surfaced that the struggling company was in talks to restructure its balance sheet. "This new credit agreement is a continued signal from our lenders that they support McDermott, our underlying business, growth strategy and ability to achieve a long-term balance sheet solution," said Chief Executive David Dickson. Separately, the company said it was withdrawing its previously stated 2019 financial guidance. The stock has plunged 77.5% over the past three months, while the SPDR Energy Select Sector ETF has lost 9.1% and the S&P 500 has ticked up 0.3%.
Dominion Energy Inc. said Monday it has agreed to transfer a 25% non-controlling equity interest in Cove Point to Brookfield Super-Core Infrastructure Partners, an infrastructure fund managed by Brookfield Asset Management Inc., for just over $2 billion in cash. Cove Point owns a liquefied natural gas import, export and storage facility located in Chesapeake Bay in Lusby, Md. The deal is part of Dominion's plan to establish a permanent capital structure for Cove Point, which has a 136-mile pipeline that connects the facility with the interstate pipeline system. The facility provides services to clients in the U.S., India and Japan. The deal has an implied enterprise value of $8.22 billion, said Dominion, excluding working capital. Proceeds will be used to reduce annual common equity financing and for general corporate purposes. The deal is expected to close by year-end. Dominion shares were not yet active premarket, but have gained 15% in 2019, while the S&P 500 has gained 19%.
U.S. stock futures edge slightly higher Monday morning to start the last full week of trade in October as optimism over tariff talks and between Washington and Beijing persists.
Canadian cannabis company Canopy Growth Corp. said MOnday it has become the exclusive supplier of medical cannabis to Luxembourg in a deal that extends through Dec. 31, 2021. Luxembourg launched a medical cannabis program by decriminalizing it for patients with severe unmet needs in 2018. The Duchy is also expected to fully legalize the production and consumption of recreational cannabis in the near term and may be the first European country to do so. Canopy will provide cannabis to the Duchy via its Spectrum Therapeutics subsidiary. Spectrum has also been granted a license to store and distribute medical cannabis-based products in the UK. The UK has had a medical program for less than a year. "We are actively working with regulators to find the best way to ensure we can deliver continuous treatment to patients within the framework," Cosmo Feilding Mellen, managing director of Spectrum in the UK said in a statement. Canopy's U.S.-listed shares rose 1.9% in premarket trade, but are down 25% in 2019, while the ETFMG Alternative Harvest ETF has fallen 21% and the S&P 500 has gained 19%.
Casper Sleep Inc. is working with Morgan Stanley and Goldman Sachs Group Inc. on an initial public offering, according to a Bloomberg report. The New York-based online mattress seller's IPO could occur by the end of this year, or in the first half of 2020, the Bloomberg report said, citing people with knowledge of he matter. Casper's valuation could exceed $1.1 billion, the report said. The company is reportedly working on going public at a time that the Renaissance IPO ETF has lost 13.6% over the past three months while the S&P 500 has tacked on 0.3%.
Shares of Halliburton Co. slipped 0.7% in premarket trading Monday, after the oil services company reported a third-quarter profit that was in line with expectations but revenue that fell below, amid lower pressure pumping activity and reduced drilling and wireline activity. Net income fell to $295 million, or 34 cents a share, from $435 million, or 50 cents a share, in the same period a year ago. The FactSet consensus for earnings per share was 34 cents. Revenue dropped 10.1% to $5.55 billion, missing the FactSet consensus of $5.82 billion, as completion and production revenue declined 15.9% to $3.51 billion to miss expectations of $3.66 billion while drilling and evaluation revenue rose 2.1% to $2.04 billion but missed projections of $2.15 billion. Halliburton's stock has lost 15.3% over the past three months, while the VanEck Vectors Oil Services ETF has tumbled 21.1% and the S&P 500 has edged up 0.3%.
Earnings season is trundling on, and even though we got numbers from companies like JPMorgan Chase, Netflix and UnitedHealth Group last week, this week looks set to be even more exciting.
It very well could take you longer to read this story than it would to ride on the world’s shortest scheduled passenger flight. Loganair, a Scottish regional airline, holds that title thanks to its itinerary between Westray and Papa Westray, two of the Orkney Islands located north of Great Britain. The 10,000-mile nonstop voyage on a Boeing (BA) 787-9 from New York to Sydney will be the world’s longest flight.
October is proving to be as gentle as a kitten to stock-market investors so far, belying its history as the most volatile month of the year.
Our research team has been attempting to answer the question that seems to be on everyone’s minds right now – are we setting up another Black Monday type of event in the global markets and what should traders/investors know before the event potentially takes place.
Asian stocks edged up on Monday as Chinese shares reversed early losses, supported by hopes for progress in resolving the U.S.-China trade war, while sterling slipped after the British parliament delayed a crucial vote on a Brexit withdrawal deal. MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.25%. Chinese shares advanced 0.31%, while Japan's Nikkei rose 0.30%.
U.S. stock futures rise modestly Monday amid hopes for progress in the trade war between the U.S. and China but also uncertainties about Britain's exit from the European Union.
Lansdowne Partners, one of Europe’s biggest and most influential hedge funds, is betting that financial markets are on the brink of a reversal that will see a big fall in “idiotic” bond prices, a slump in technology stocks and a revival in UK equities. The portfolio overhaul is likely to mean a significant increase in Lansdowne’s exposure to UK equities, the person said. “It’s pretty clear [Lansdowne] thinks things are different,” the person said.