Overnight Summary: The S&P 500 closed Tuesday at 4119.17 lower by -0.46% from Monday at 4138.12 up 0.05%. The overnight high of 4142.50 was hit at 3:05 a.m. EDT. The low was hit at 4120.50 at 4:10 a.m. EDT, a range of ~22 points high to low which is a mid-vol night. At 7:30 a.m. EDT, the current price was 4130.25 which is -0.09% and -3.75 points. As we move into mid-May we will use a 10-day moving average of overnight ranges.
Earnings Out After The Close:
- Beats: IAC +5.39, MRTX +0.39, CE +0.38, AXON +0.34, RIVN +0.33, WYNN +0.29, TWLO +0.26, EXAS +0.24, IOVA +0.23, CELH +0.21, ARRY +0.21, HLI +0.19, PRIM +0.19, DUOL +0.18, NVTA +0.16, AFRM +0.15, NHI +0.12, DIOD +0.12, VVX +0.12, DAR +0.12, CARG +0.10, PUBM +0.10, RVNC +0.10, ICHR +0.10, PETQ +0.09, HCAT +0.09, ALC +0.09, ABNB +0.08, RCUS +0.08, AKAM +0.08, RNG +0.07, ZIP +0.07, RPD +0.07, RXDX +0.06, CDRE +0.06, GXO +0.06, ESE +0.05, STR +0.05, MODN +0.05, TTGT +0.05, MASI +0.04, ZD +0.04, AGTI +0.04, GO +0.04, ONL +0.03, MTTR +0.03, CTOS +0.03, LPRO +0.03, APPN +0.03, ICFI +0.02, KGC +0.02, WTI +0.02, VZIO +0.02, AMPL +0.02, OLO +0.02, BIRD +0.02, GH +0.01, LZ +0.01, MODG +0.01, TWNK +0.01, MNKD +0.01, BROS +0.01, RXT +0.01, BTG +0.01 of note
- Flat: ANGI +0.00, CPNG +0.00, CRCT +0.00, EXEL +0.00 of note.
- Misses: EBS (1.83), CMP (1.07), CUTR (0.97), PTRA (0.82), JXN (0.80), UPST (0.77), VRDN (0.59), EA (0.46), EDR (0.39), IRBT (0.35), PRA (0.33), HRB (0.26), EVCM (0.17), OXY (0.17), EXFY (0.15), BBAI (0.12), COMP (0.10), EOLS (0.10), HRT (0.09), OSCR (0.09), TOST (0.09), VTLE (0.08), QTWO (0.08), NTRA (0.07), BLNK (0.07), ORA (0.06), MQ (0.05), CLNE (0.04), AZTA (0.04), SILK (0.04), SPCE (0.04), KDNY (0.03), XENE (0.03), LAZR (0.03), GPRO (0.03), LNW (0.03), LPSN (0.02), SUPN (0.02), FLYW (0.02), VTEX (0.01), BE (0.01), HALO (0.01), LNC (0.01) of note.
Short Interest Initial Review: NYSE rose by 0.07% while NASDAQ rose by 0.09%.
- IPOs Priced or News:
- ACELYRIN, INC. (SLRN) Announces Closing of Upsized Initial Public Offering and Full Exercise of Underwriters’ Option to Purchase Additional Shares.
- New SPACs launched/News:
- IX Acquisition Corp. (IXAQ) Announces Second Extension of Deadline to Complete Initial Business Combination.
- Secondaries Priced:
- AMT: Prices Senior Notes Offering.
- IAS: Announces Pricing of Secondary Offering of Common Stock by Selling Stockholders.
- W: Announces the pricing of $600 mln aggregate principal amount of 3.50% convertible senior notes due 2028 in a private offering.
- Notes Priced of note: None of note.
- Common Stock filings/Notes:
- FDMT: Closing of Upsized Public Offering of Common Stock and Full Exercise of Underwriters’ Option to Purchase Additional Shares.
- IMGN: Closing of Public Offering and Full Exercise of Underwriters’ Option to Purchase Additional Shares.
- Direct Offering: None of note.
- Selling Shareholders of note:
- BGNE: Files for 298,738,765 share common stock offering by selling shareholders; also files for 222,835,028 share common stock offering by selling shareholders in the form of ADSs.
- IAS: Launch of Proposed Secondary Offering of Common Stock by Selling Stockholders. 10 Million. (MS and Jefferies bookmanager).
- NEXT: Filed Form S-3.. 5,835,277 shares of Common Stock for Sale by the Selling Stockholders.
- Private Placement of Public Entity (PIPE): None of note.
- Mixed Shelf Offerings:
- BLUE: Form S-3. $350,000,000 Mixed Shelf.
- BGNE: Filed Form S-34ASR.. Mixed Shelf.
- CUE: Form S-3. $300,000,000 Mixed Shelf.
- MRSN: Filed Form S-34ASR.. Mixed Shelf.
- PRTK: Form S-3. $250,000,000 Mixed Shelf.
- RIVN: Filed Form S-3ASR.. Mixed Shelf.
- SILK: Filed Form S-3ASR.. Mixed Shelf.
- VS: Filed Form F-1.. Mixed Shelf Offering.
- WTFC: Filed form S-3ASR .. Mixed Shelf.
- Debt/Credit Filing and Notes:
- DAN: Launches €425 Million Senior Notes Offering.
- EL: to Issue $2.0 Billion of Senior Notes.
- Tender Offer:
- VVV: announces tender offer for common stock.
- Convertible Offering & Notes Filed:
- FFIE: Future Announces $100 Million in Unsecured Convertible Notes Financing Commitments.
- VIEW: To Offer $150 Million of Senior Convertible Notes.
Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.
News After The Close:
- After Hours:
- Trading Up: UPST +42%, SYNH +17%, ANGI +12%, COMP +11%, CARG +10%, IAC +10%, RNG +9%, LZ +8%, CELH +7%, FLYW +7%, EXAS +7%, KIND +7%, LPSN +7%, VVX +6%, GH +6%, RIVN +6%, OLO +6%, LPRO +6%, TOST +5%, LNW +5%, SUPN +5%, AKAM +4%, QTWO +4%, VZIO +4%, DAR +4% of note.
- TradingDown: JXN -18%, CUTR -18%, NVTA -15%, TWLO -14%, ABNB -11%, SILK -11%, RUM -10%, IAS -10%, EBS -9%, AFRM -9%, MODG -8%, RVNC -8%, BBAI -8%, HRB -7.9%, TTGT -8%, IRBT -7%, ZIP -7%, ARRY -7%, EVCM -6%, GPRO -5%, BLNK -5%, BROS -4%, AGL -4% of note.
- News After The Close:
- Stocks making the biggest moves after hours: ABNB, RIVN, TWLO, OXY, AKAM, TOST, WYNN, AFRM, EA, UPST (CNBC)
- Topgolf Callaway (MODG) stock falls nearly 10% after company cuts its profit forecast for the year. (MarketWatch)
- Airbnb’s (ABNB) bookings rise amid strong travel demand. (WSJ)
- Toast (TOST) stock surges on beat-and-raise quarter. (MarketWatch)
- US Department Of Justice is looking at short selling activity in regional bank shares – Reuters – Justice Department is looking for potential securities market manipulation.
- API Reporting Biggest Crude Build Since Feb. API Crude Oil Stock Change Actual 3.618m (Forecast -1.6m, Previous -3.939m)
- Exchange/Listing/Company Reorg and Personnel News:
- Amerant Bancorp (AMTB) appoints Sharymar Calderón as CFO.
- BigBear.ai (BBAI) appoints Norm Laudermilch as COO.
- Performant Financial Corporation (PFMT) Announces Executive Leadership Transitions.
- SVB Financial Group (SIVB) to delay 10-Q filing.
- Steakholder Foods (STKH) Announces Structural Changes in its Finance Department.
- Tellurian (TELL) hires investment banker Simon Oxley as new CFO.
- Buyback Announcements or News:
- Airbnb (ABNB) authorizes new share repurchase program of up to $2.5 billion.
- Equity Bancshares, Inc. (EQBK) Announces Transfer of Listing of Common Stock ‘EQBK’ to the New York Stock Exchange.
- Everi (EVRI) authorizes new $180 million share repurchase program.
- GFL Environmental Inc. (GFL) Announces Renewal of Share Repurchase Program.
- National Bank Holdings Corporation (NBHC) Increase in its Stock Repurchase Program to $50 million. (see Dividends)
- New York Times (NYT) announces that William Bardeen, chief strategy officer, has been appointed EVP and CFO.
- Hostess Brands (TWNK) Board approved a $150 million buyback authorization to replace its previous authorization.
- Taboola (TBLA) Announcing Up To $40 Million Buyback and $50 Million Debt Repayment.
- Stock Splits or News: None of note.
- Dividends Announcements or News:
- Artesian Resources (ARTNA) increases its quarterly dividend 2% to $0.284 per share.
- DUK Goes ex div tomorrow for $1.005.
- National Bank Holdings Corporation (NBHC) Announces 4.0% Increase to Quarterly Dividend.
- SCHW Goes ex div tomorrow for $0.25.
- Sitio Royalties Corp. (STR) cuts its quarterly dividend 17% to $0.50 per share.
- Wynn Resorts (WYNN) Resumes Dividend With Qtr Cash Div Of 25c per share.
What’s Happening This Morning: Futures value reflects the change with fair value.
S&P 500 -4, Dow Jones -51, NASDAQ +3, and Russell 2000 -1. (as of 7:59 a.m. EDT). Asia is lower as is Europe. VIX Futures are at 21.35 from 21.27 yesterday. Gold, Silver and Copper lower. WTI Crude Oil and Brent Crude Oil lower with Natural Gas lower. US 10-year Treasury sees yields at 3.50% from 3.484% yesterday. The U.S. Dollar is higher versus the Euro, higher versus the Pound and higher against the Yen. Bitcoin is at $27,623 from $27,627 yesterday, lower by -0.08%.
Sector Action – (1/3/6/12/YTD Updated Weekly with Monday release):
- Daily Positive Sectors: Industrials of note.
- Daily Negative Sectors: Technology, Communication Services, Healthcare, Real Estate, Consumer Defensive of note.
- One Month Winners: Industrials, Consumer Defensive, Healthcare, of note.
- Three Month Winners: Consumer Defensive, Technology, Healthcare of note.
- Six Month Winners: Technology, Communication Services, Basic Materials of note.
- Twelve Month Winners: Industrials, Healthcare of note.
- Year to Date Winners: Technology, Communication Services, Consumer Cyclical of note.
The major U.S. stock indexes slipped Tuesday as investors awaited key inflation data and worries about the U.S. debt ceiling loomed over markets. The S&P 500 fell -0.50%. The Dow Jones Industrial Average eased 0.20%, or about 57 points. The Nasdaq Composite fell 0.60%. Investors have been watching for progress on talks about raising the federal dect ceiling as the U.S. confronts the risk of defaulting on its obligations for the first time. The government could become unable to pay all of its bills on time as soon as June 1 if the debt ceiling isn’t raised, Treasury Secretary Janet Yellen has projected. (WSJ – edited by QPI)
Upcoming Earnings Of Note: (From Chartroom Software – sorted by market cap, highest to lowest with most visible names)
- Tuesday After the Close: DIS, NTR, MFC, TTD, STE, DOX, RBA, U, FLEX, JAZZ, HOOD, TTEK, ALGM, PAAS, APP, NTNX, DV, PYCR, CR, CPA, ALRM, GBDC, NUVA, SOVO, CRSR, FORG, CAKE, MDRX, CDE, FRG, STKL, RPAY, OSUR, CDNA, COOK, LAW, VUZI, INO, PLBY, GRPN
- Monday Before the Open: JD, PKI, NICE, ENTG, CRL, TPR, USFD, AQN, DDS, HAE, YETI, ATHM, DAVA, LSPD, NVMI, UTZ, DNUT, TNK, HIMX, FVRR, KELYA, FLWS, HLLY
Earnings of Note This Morning:
- Beats: ODP +0.44, MCFT +0.32, VSH +0.23, MIDD +0.22, EVRI +0.19, PFGC +0.12, SYNH +0.09, NOMD +0.07, WWW +0.06, BCO +0.06, EBIX +0.04, XMTR +0.03, VVV +0.03, LI +0.02, NYT +0.02, KRNT +0.01, DIBS +0.01, CAMT +0.01, CLBT +0.01, NABL +0.01, WEN +0.01 of note.
- Flat: RETA , GDRX , REYN, VERX, FA, NVEI, VCEL of note.
- Misses: SPHR (0.68), FRG (0.42), EXK (0.26), COHR (0.24), TEVA (0.15), CEVA (0.12), SHCR (0.06), BW (0.06), LFST (0.06), RBLX (0.05), ZNTL (0.05), BEAM (0.03), TBLA (0.03), SKIN (0.02), HL (0.01), IMCR (0.01) of note.
- Still to Report: BLDP, MLCO, TGNA of note.
- Positive Guidance: PAYO, LZ, DUOL, AKAM, GO, EXAS, FLYW, TOST, CARG, APPN, RNG, NTRA, UPST, GH, ESE, AFRM, BIRD, EBS, MTTR, OLO, NHI, LI, NABL, VERX, VSH, MCFT, SKIN of note.
- Negative Guidance: ADTN, EA, TWLO, AZTA, EDR, HRB, RPD, CE, RXT, ICHR, MODN, QTWO, MODG, TTGT, LPSN, COHR, GDRX, TBLA, PFGC, XMTR, NVEI of note.
Erlanger Research Advance/Decline Chart:
Gap Ups & Down In Early Pre-Market:
- Gap Up: CTIC +84%, UPST +32%, PLX +17%, SYNH +12%, CARG +11%, CELH +10%, FLYW +10%, RNG +9%, IAC +9%, LZ +8%, LPSN +8%, EXAS +8%, VZIO +7%, KIND +7%, RIVN +6%, GH +6%, GO +6%, LI +6%, ALC +6%, TOST +5%, LNW +5%, LPRO +5%, HALO +5%, AKAM +5%, SUPN +5%, MNKD +4%, PRIM +4%, BEN +4%, ZD +4%, EVRI +4% of note.
- Gap Down: AMPL -18%, CUTR -17%, TWLO -16%, JXN -14%, ABNB -14%, IAS -13%, NVTA -12%, COHR -12%, TTGT -10%, RVNC -9%, SILK -9%, HRB -8%, AFRM -8%, BROS -7%, EBS -7%, ZIP -6%, RUM -6%, STR -6%, GDRX -6%, EVCM -6%, MODG -5%, ARRY -5%, CLNE -5%, ICHR -5%, MQ -5%, BLUE -4%, BBAI -4%, WTI -4%, EXFY -4%, VRDN -4%, FA -4%, AGL -4% of note.
Insider Action: VRSK, USB sees Insider buying with dumb short selling. No stock sees Insider buying with smart short sellers.
Rags & Mags: Repeated stories from prior days never listed, i.e. “rehashed news”. Sorted by Global, U.S. and stock specific.
- Stocks making the biggest moves before the bell: RIVN, ABNB, TWLO, GDRX, CELH, BROS (CNBC)
- 5 things to know before the stock market opens. (CNBC)
- 5 Things You Need to Know to Start Your Day. (Bloomberg)
- Bloomberg Lead Story: Default insurance cost for treasuries CDS eclipses Brazil and Mexico. (Bloomberg)
- Bloomberg Most Shared Story: Steve Schwarzman holds off giving money to DeSantis after meeting him. (Bloomberg)
- Stocks are muted as caution prevails before US CPI: Market Wrap. (Bloomberg)
- Bank of England (BOE) set for 12th straight rate hike. (CNBC)
- First Citizens (FCNCA) seeing deposits beat estimates in wake of SIVB purchase. (Bloomberg)
- Mortgage demand surged after Fed signaled a potential pause in rate hikes. (CNBC)
- Airbnb (ABNB) earnings hint at travel easing in U.S. (Reuters)
Moving Average Update:
- Score moves down to 68% from 74%.
- President’s Public Schedule:
- The President receives the Presidential Daily Briefing, 9:00 a.m. EDT
- The President departs the White House en route to Joint Base Andrews, 10:50 a.m. EDT
- The President departs Joint Base Andrews en route to New York, New York, 11:20 a.m. EDT
- The President arrives in New York, New York, 12:15 p.m. EDT
- The President arrives at Westchester Airport, White Plains, New York, 12:45 p.m. EDT
- The President discusses why Congress must avoid default immediately and without conditions, and how the House Republican Default on America Act will cut veterans’ health care visits, teachers and school support staffs, and Meals on Wheels for seniors, 1:30 p.m. EDT
- The President departs Westchester Airport, White Plains, New York, en route to New York, New York, 3:40 p.m. EDT
- The President arrives at Wall St. Landing Zone, New York, New York, 4:00 p.m. EDT
- The President participates in a campaign reception, 5:15 p.m. EDT
- The President participates in a campaign reception, 7:00 p.m. EDT
- The President departs Wall St. Landing Zone en route to John F. Kennedy International Airport, 8:30 p.m. EDT
- The President departs New York, New York en route to Joint Base Andrews, 9:00 p.m. EDT
- The President arrives at Joint Base Andrews, 10:00 p.m. EDT
- The President arrives at the White House, 10:20 p.m. EDT
- MBA Mortgage Applications 7:00 a.m. EDT
- MBA Mortgage Applications: Composite: +6.3%, Purchase: +4.8, ReFi: +10%
- U.S MBA MORTGAGE APPLICATIONS (WOW) ACTUAL: 6.3% VS -1.2% PREVIOUS
- April CPI is due out at 8:30 a.m. EDT and is expected to come in at 0.4% from 0.1%.
- EIA Petroleum Report 10:30 a.m. EDT
- April Treasury Budget is due out at 2:00 p.m. EDT and is came in last month at $-378.1 billion.
Federal Reserve / Treasury Speakers: None of note.
- Franchise Group, Inc. (FRG) Announces Definitive Agreement to Be Acquired by a Consortium Led by Management Group for $30.00 per share.
- Livent (LTHM) and Allkem to to combine in an all-stock merger of equals.
- Sobi to acquire CTIC for $9.10 per share in cash.
- Syneos Health (SYNH) to be Acquired by a Private Investment Consortium for Approximately $7.1 Billion.
Meeting & Conferences of Note:
- Sellside Conferences:
- Canaccord Global Metals & Mining Conference (05/10/23-05/12/23)
- EF Hutton Global Conference (05/10/23-05/11/23)
- Sidoti Micro Cap Virtual Conference (05/10/23-05/11/23)
- Wolfe May Global Consumer Conf (05/10/23-05/12/23)
- Previously posted and ongoing conferences:
- Top Shareholder Meetings: AIG, BRKL, CNC, CSX, EQH, D, DO, EQNR, JNPR, KGC, PSX, SYK, WWR
- Fireside Chat: None of note.
- Investor/Analyst Day/Calls: AAL, BMO, BP, DZSI, PECO, PRGO, TSM
- Update: IREN, TLIS.
- R&D Day: None of note.
- Company Event: None of note.
- Industry Meetings:
- Electric Aircraft Exhibition & Conference 2023 (05/10/23-05/11/23)
- American Society of Pediatric Oncology/Hematology (ASPHO) Conference 2023 (05/10/23-05/13/23)
- Previously posted and ongoing conferences:
- AISTech Conference and Exposition (05/08/23-05/11/23)
- 121 Mining Investment London 2023 (05/09/23-05/10/23)
- Xponential Conferece
- Women In Business Week
- Global Momentum Conference
Top Tier Sell-side Upgrades & Downgrades:
The recommendations listed below in this “Upgrade/Downgrade” section are compiled from what we believe are Tier I, II and III firms. Recommendations posted are taken from a variety of sources each day and we only post upgrades or significant initiations as well as downgrades to underweight or sell. The purpose of this posting it to make the reader aware of market moving recommendations. None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.
Today’s Upgrades and Downgrades:
Previous Day’s Upgrades and Downgrades: