173.71 +0.53 (0.31%)
Pre-Market: 4:40AM EDT
|Bid||173.53 x 800|
|Ask||173.58 x 1000|
|Day's Range||172.45 - 176.68|
|52 Week Range||146.33 - 187.53|
|PE Ratio (TTM)||9.75|
|Beta (3Y Monthly)||1.19|
|Expense Ratio (net)||0.20%|
Live from the floor of the New York Stock Exchange, Yahoo Finance's Jared Blikre joins Jen Rogers and Myles Udland to discuss the latest market moves after another series of intraday selloffs in U.S. equities. Here's the performance of select trending stocks for the day of 10/18/2018: HMNY(HB,F) -11.50% ROKU -6.15% JCP(HB) -1.31% NIO(HB) -4.12% SOGO(HB) -3.24% SQ -3.13% CAT -3.71% ADBE -3.13% BIDU(HB) -4.40% BABA -4.04% SNAP(HB) -3.54% IQ(HB) -1.85% NFLX -4.87% NKTR -4.45% TRXC(HB) -0.44% SRPT -1.66% CGC(HB) -2.94% ARWR -1.04% DBX -2.98% AVGO -3.86% FB -2.65% CRM -2.22% PBR -2.93% GOOGL -2.46% FIT -3.21% AMAT -2.97% ABBV -2.57% TSLA -2.70% GOOG -2.22% AMZN -3.27% PYPL 3.38% IBM -2.40% AMD -2.38% HD -2.52% V -1.90% GILD -1.92% AAPL -2.16% QQQ -1.93% BAC -2.11% WFC -2.22% MSFT -1.68% F -2.28% BA -1.67% CELG -1.58% NVDA -1.28% INTC -1.85% SHOP(HB) -1.18% LRCX -0.82% MU -2.29% NKE -0.65%
Thought we’d get a rubber-band bounce back up? Not the case this time. U.S. stocks bounced off their lows last week, but quickly gave up their gains for this week. Equities continue to languish as investors weigh higher rates, among other things. In light of this action, here are our top stock trades for Friday.Top Stock Trades for Tomorrow #1: Apple
In the week that ended on October 12, the S&P 500 Index (SPY) fell 4.1%, but it bounced back earlier this week. In the last three sessions, the S&P 500 Index has recovered 1.5% as of October 17, primarily due to solid bank earnings and a sharp recovery in tech stocks. In contrast, the market turned negative again today, and at 1:45 PM EDT, the S&P 500 benchmark was down 1.8%, while the Dow Jones Industrial Average Index (DIA) and the NASDAQ Composite Index (QQQ) were down 1.8% and 2.3%, respectively, from the previous session’s close.
It’s a bloodbath in the market today as the S&P 500 Index (SPY) is down over 1% and the Nasdaq Composite Index (QQQ) is nearing a 2% decline, and five popular stocks are making big moves lower. United Rentals, Inc. (NYSE: URI) is down about 9.7% following the release of its third-quarter earnings results after the market closed yesterday. The company also raised its revenue outlook for the year, now calling for a range of $7.77 billion-$7.87 billion compared with its previous outlook of $7.64 billion-$7.84 billion.
Yesterday, the Federal Reserve released the minutes from its September 25–26 meeting. Read When Will Fed Tightening Start to Hurt the US Economy? for a summary of the Fed’s actions at the meeting and the market’s reaction to them. The meeting minutes were slightly more hawkish than expected, and they signaled that most Fed officials believe that interest rates must continue to rise.
U.S. stock index futures pointed to a relatively flat open as investors digested comments from the Federal Reserve's most recent meeting that showed the central bank was leaning toward more rate hikes moving forward. At around 7:10 a.m. ET, Dow Jones Industrial Average futures were down 71 points, indicating a decline of 28.68 points at the open. Futures on S&P 500 and Nasdaq 100 also pointed to a flat-to-negative open.
My view on the pullback after the Euphoria is that even thought he net sub add for 4q was impressive, it does represent a high bar for the company to jump over. And the stock is still trading at 85 times next’s years EPS for 57% growth. And cash flow per share is still negative all the way into 2020. I guess another question is do you want to put your eggs in the Netflix basket when DIS, TWX, T, and Hulu ramp up their own streaming services. Ultimately isn’t Netflix just a content studio competing with a lot of other streaming content services? Does it look like some weird version of CBS at some point. CBS trades at 1.3x revenues – Netflix is 8x revenues. That won’t happen for a while – but is that the mentality of some investors? This is rare for me, but I don’t have a real opinion on this one – feels like no man’s land for the stock as it waits for direction from the market. Guess while I wait, I will watch The Crown or Stranger Things.
For the ninth consecutive month, the so-called FAANG and BAT stocks—the US stocks Facebook (FB), Apple (AAPL), Amazon (AMZN), Netflix (NFLX), and Google (GOOGL) and China’s Baidu (BIDU), Alibaba (BABA), and Tencent (TCEHY)—remained the most crowded trades. These trades were determined the most crowded by 32% of professional investors, down from 36% last month.
We’ve seen how ServiceNow (NOW) has generated impressive returns over the last few years. The stock fell 3% in 2016 and then rose 69% in 2017. Since the start of 2018, it has risen ~48%. Although the stock has risen 57% in the last 12 months, ServiceNow has undergone several corrections in the past year and has bounced back quickly.
Lam Research reported and guided last night, and it was another stinker:-3% EPS growth last quarter and a guide for -18% EPS growth this quarter. Overall EPS is supposed to drop 14% next year to just over $15. So why is the stock up 6%+ today? Back in July, we recommended that members of Market Realist Pro avoid or short the stock at $190. And I have recommended shorting it back in April on Market Realist. Why? We saw the exact same pattern play out in 2011 and 2012. A deceleration early in the year, followed by capitulation after the report in October of 2011. Stocks are excellent at anticipation and their entire function is to discount future earnings and earnings growth. So always look out on the horizon. It was absurd in June to say “Oh great – they are growing EPS at 87%”. Because there was a see of red after that. From July 30th to the bottom a few days ago, LRCX dropped 23%+ while the QQQ’s only dropped 4.5%. Yikes.
BAML (Bank of America Merrill Lynch) conducted a survey that polled 231 global investors with $646 billion in total assets under management from October 5–11. The sell-off and concerns of peaking growth in the US might have tempted investors to shift into emerging markets (EEM). The emerging market currencies were in a free fall with many countries like Argentina, Turkey, India, Indonesia, and Brazil bearing the brunt.
This year started on a lukewarm note for gold and gold miners, and things started worsening after April. Gold prices have failed to draw a bid in 2018 despite many market uncertainties, including trade war tensions, the emerging market (EEM) currency crisis, and other geopolitical concerns.
What a rebound in the stock market! The PowerShares QQQ ETF (NASDAQ:QQQ) surged 2.6%, the Dow Jones jumped almost 500 points and for once, small caps led the rally rather than the decline. That sets up a ton of must-see stock charts and top stock trades for tomorrow.Top Must-See Stock Charts #1: Adobe (ADBE)
Live from the floor of the New York Stock Exchange, Yahoo Finance's Jared Blikre joins Adam Shapiro to discuss the latest market moves.