CAPIS Morning Note -11/6/19 Democrats Take Over House and Senate In Virginia For The First Time in Two Decades

Breaking News –  Chinese to invest $5-10 billion into Saudi Aramco through a variety of investment vehicles. IPOs on deck: 89bio (ETNB) potential pricing of note, could be tomorrow. IPOs Filed: None filed after the close. Secondaries Priced: HAS MPW I of note. Notes Priced: DRE of note. Common Stock filings:  None of note. Mixed Shelf…

Breaking News –  Chinese to invest $5-10 billion into Saudi Aramco through a variety of investment vehicles.

IPOs on deck: 89bio (ETNB) potential pricing of note, could be tomorrow.

IPOs Filed: None filed after the close.

Secondaries Priced: HAS MPW I of note.

Notes Priced: DRE of note.

Common Stock filings:  None of note.

Mixed Shelf Offerings filed:  ALLO ZYME EQM ETRN CHCT  of note.

Convertible Offering Files: ABR of note.

Senior Notes Filed: None of note.

Courtesy of IPO Financial

Earnings After The Close:


MBI +1.67, Y +0.70, JAZZ +0.52, DVA +0.29, PTLA +0.19, PRA +0.16, IOSP +0.15, FTR +0.12, AINV +0.11, PAA +0.11, WIFI +0.10, VGR +0.10, PAGP +0.10, INGN +0.09, NEWR +0.09, DVN +0.08, HUBS +0.08, PE +0.08, AVLR +0.08, NP +0.08, RDUS +0.08, LC +0.07, GPRE +0.06, TSLX +0.06, GTES +0.06, CARG +0.05, FIVN +0.05, ALRM +0.05, SCOR +0.05, INSP +0.05, JBGS +0.05, MTCH +0.05, BEAT +0.04, CCRN +0.04, TRUP +0.04, EVRI +0.04, MODN +0.04, CSOD +0.04, AIZ +0.03, CDK +0.03, CPSI +0.03, ES +0.03, NUS +0.03, SXI +0.03, EVH +0.03, HCR +0.03, CGBD +0.02, WW +0.02, PAYS +0.02, GWPH +0.02, KTOS +0.02, LPI +0.02, AKCA +0.02, ICHR +0.02, DEI +0.01, GHL +0.01, SSRM +0.01, HST +0.01 of note.


 CPS (1.13), CZR (0.50), RARE (0.41), CMP (0.34), IRTC (0.34), RRR (0.34), WLL (0.26), FANG (0.24), TWO (0.15), LGND (0.13), ANDE (0.12), PLT (0.10), CENX (0.10), FRGI (0.09), GTE (0.09), CWK (0.08), SWIR (0.08), PRMW (0.08), COHR (0.07), KAR (0.05), AVD (0.05), SUPN (0.05), FATE (0.04), ATUS (0.04), PODD (0.04), VOYA (0.04), ACHC (0.03), OAS (0.03), WMC (0.03), RGNX (0.03), OPK (0.02), CNO (0.02), HCKT (0.01), IPAR (0.01), KRG (0.01), LTHM (0.01), MCHP (0.01), MWA (0.01), BTG (0.01) of note.


 FLDM +0.00, OHI +0.00, RRGB +0.00, INN +0.00  of note.

Hourly Action This Week:

Updated through Friday’s close.

News After The Close (In Order of Time)

Nexstar (NXST) to sell three Fox (FOXA) t.v. stations for $350 million.

Stock Repurchase Announcements:

Dividend Increase: IPAR AAN HII AKR .

Early Morning Gap Up/Down: (>4% or <-4%)

Gap Higher:

SESN +14%, CCRN +10%, FIVN +9%, INGN +9%, KTOS +6%, DVA +6%, EVH +6%, EVRI +6%, HCR +6%, AVLR +5%, ICHR +5%, PERI +5%, PAYS +5%, CVIA +5%, AES +5%, DVN +4%, CVS +4%.

Gap Lower: 

PLT -28%, SUPN -26%, FLDM -24%, VGR -23%, SWIR -19%, AMRX -17%, ATUS -14%, WW -13%, GWPH -13%, MTCH -12%, FANG -11%, FRGI -10%, WLL -9%, LTHM -9%, RRR -7%, HUBS -6%, RRGB -6%, CENX -6%, NEWR -5%, COHR -5%, MODN -5%.

What’s Happening This Morning: Futures value reflects the change with fair value. We will still indicate the fair value direction. 

S&P 500 +3 Dow Jones Industrial Average +26 NASDAQ +7 Russell 2000 +3 Fair values are mixed. Asia and Europe mixed.

Gold higher with silver lower and copper lower. WTI Crude Oil and Brent Oil Futures lower. Natural Gas is lower. $ is lower vs Euro, lower vs Pound and lower vs Yen. US 10 year Treasury price is at $129.11 from $129.34 with yields at 1.835% from 1.82%. Prices as of 8:30 a.m. EDT.

Positive Sectors On Tuesday:  Materials, Energy, Services and Industrials of note.

Negative Sectors On Tuesday: Utilities, Healthcare and Conglomerates of note.

One Month Winners: Healthcare, Industrials, Financials and Technology.

Three Month Winners: Industrials, Financials and Consumer Goods.

Six Month Winners: Utilities, Consumer Goods, Technology and Industrials.

Twelve Month Winners: Utilities, Technology, Industrials and Services.

Year to Date: Technology, Industrials, Consumer Goods, Services and Utilities.

Upcoming Earnings Of Note (sorted by market cap, highest to lowest)

Today After The Close:  


Thursday Before The Open:


Earnings This Morning Of Note


 CVIA +0.57, IONS +0.51, HUM +0.46, CYBR +0.18, PFGC +0.14, HZNP +0.14, IMOS +0.12, WLH +0.11, PRGO +0.10, RDWR +0.09, AES +0.08, CVS +0.07, WD +0.06, CRL +0.05, WAAS +0.05, WNC +0.04, WEN +0.04, VNTR +0.04, BCOR +0.04, ELAN +0.04, MDGL +0.03, NYT +0.03, GOLD +0.03, OMI +0.03, ENBL +0.02, BKI +0.02, SEE +0.02, WEC +0.02, VER +0.02, COTY +0.01, GCP +0.01, CBRE +0.01, DNOW +0.01, CRCM +0.01, ODP +0.01 of note.


NXST (1.54), ESPR (0.60), LAUR (0.52), SBGI (0.27), GEL (0.27), LL (0.15), FUN (0.12), JELD (0.11), CWEN (0.10), IPHS (0.10), CPRI (0.09), AMRX (0.09), SND (0.09), VG (0.08), GLOG (0.08), SMG (0.06), CNR (0.06), MIDD (0.06), VMC (0.04), CARS (0.04), KELYA (0.03), ALE (0.03), CSTE (0.02), BR (0.02), PZZA (0.01)  of note.


 BLMN +0.00, LXP +0.00, DEA +0.00, GIB +0.00  of note.

Still to Report:

Rags & Mags: Highlighted Stories may be clicked through to the original story.

Top News Story: Democrats had a good night in state elections. (CNN)

The Wall Street Journal Lead Headline: Xerox Considers Bid To Takeover HP, Valued At $27 Billion. (WSJ)

Five Things You Need To Know To Start Your Day. (Bloomberg)

Stocks Making The Biggest Moves (CNBC)

Saudis push other OPEC members to cut production in front of Saudi Aramco IPO. (WSJ)

Softbank CEO Masa Son takes blame on poor investments. (CNBC)

Democrat Andy Beshear appears to have won the Kentucky Governor’s Race. (CNBC)

Democrats take the House and Senate in Virginia.

CEO Changes hit a high in October. (CNBC)

Vale (VALE) withheld information from government on dam collapse. (WSJ)

ASML (ASML) delays shipment of key tool needed by China to develop its semiconductor industry. (Nikkei)

New Papa John’s (PZZA) CEO cans CFO and makes other management changes as well. (Reuters)

Data Points

All stock indexes see the best possible strength. Current through 11/04.

Bold means a change from prior day.

The advance/decline line model is now a buy. Updated through 11/04. Year to date model up 10. 64% on the S&P 500. 5 buy signals and 4 cash signals in 2019. Current signal is a buy.

YTD 62% (+2% change week over week) of stocks are higher and 38% are lower. Updated  through 11/1/19 close.

Courtesy of Phil Erlanger Research, Inc.

Algo/HFT Trading Levels:

The Erlanger Value Lines track the intraday range of resistance, pivot and support used by Algo/HFT Traders. Each day we show where we closed within the range. Update through 11/04.

Economic & Related:

API Petroleum Institute released its weekly data yesterday at 4:30 p.m. EDT and saw a .

Weekly MBA Mortgage Applications were out at 7:00 a.m. EDT and fell 0.1%.

Weekly Crude Oil Inventories are due out at 10:30 a.m. EDT.


President Trump will deliver remarks on the Federal Judicial Milestones hit at 3:00 p.m. EDT and then depart for Louisiana for a Keep America Great Rally.

Federal Reserve Chicago President Charles Evans to speak at 8:00 a.m. EDT.

Federal Reserve New York President John Williams to speak at 9:00 a.m. EDT and then again at 6:30 p.m. EDT.

Conferences & Analyst Meetings:

Company Analyst Meetings and Conference Calls:  PSX WGO (Investor Day) 

Sellside Conferences: Baird Global Industrial Conference (11/5-11/7). Bank of America Future of Financials Conference. (11/5-11/6). Wolfe Research Healthcare Conference. Piper Jaffray Western Bank Symposium (11/6-11/7)

Industry Conferences: Kia World (11/4-11/7). Morningstar Behind The Moat Conference. Society for Immunotherapy of Cancer Annual Meeting (10/6-10/10)

M&A Activity

Xerox (XRX) may make a bid for Hewlett Packard (HPQ).

Walgreens (WAG) may move forward on a leveraged buyout.

Allianz (AZSEY) buys $1 billion stake from Goldman Sachs (GS) in Taikang Life Insurance.

Taylor Morrison Home (TMHC) to buy William Lyon Homes (WLH) for $21.45 a share in cash & stock.

Upgrades & Downgrades: