Overnight Summary & Early Morning Trading: The S&P 500 closed Friday higher by 0.25% at 6090.27 from Thursday lower by -0.19% at 6075.11. The overnight high was hit at 6105.75 at 3:00 a.m. EDT and the low was hit at 6088.50 at 6:35 a.m. EDT. The overnight range is 17 points. The current price is 6090.06 at 6:45 a.m.
Executive Summary: The fall of the Assad Regime is a big deal but who is in charge remains a big question? CPI and PPI are up this week.
Articles That Matter: “Who Is Al-Jolani, the Syrian Rebel Who Ended Assad’s Rule?” (Bloomberg)
Key Events of Note Today:
- 3 & 6 Month Treasury Bill Auction at 11:30 a.m. EDT.
- The RBA is out with its latest interest rate announcement after the close.
Daily Chart Request: Want to see an Erlanger Chart? Simply email us at [email protected].
Next up is Nvidia (NVDA). The stock has weakened technically to a rank of 40%. Short Intensity is moderate at 78% with the Short Ratio at 0.68. This morning the stock is at $139.80 down 2.59%. The stock is lower on news China is looking at the company over monopoly issues.
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- What to Do: We would not buy this stock as a Short Squeeze given the technical rank has deteriorated. If we owned, then we hold shares.
- To Short or Not To Short: We are not okay with being short or shorting this name as it is a potential short squeeze. We note that shorts get squeeze 58% of the time when the short selling is moderate.
Notable Earnings Out After The Close
- Beats: None of note.
- Flat: None of note.
- Misses: None of note.
- IPOs For The Week: ALEH, FTRK, HIT, MIMI, MTRS, NTCL, PHH,
YSXT - New IPOs/SPACs launched/News: None of note.
- IPOs Filed/Priced: None of note.
- Secondaries Filed or Priced:
- Notes Priced: None of note.
- Direct Offering: None of note.
- Exchangeable Subordinate Voting Shares: None of note.
- Selling Shareholders of note:
- SVRE files for 3 mln ADS offering by selling shareholder.
- Mixed Shelf Offerings:
- SNA mixed shelf securities offering.
- CRGX files mixed securities shelf offering.
- WOLF: Form S-3ASR Mixed Shelf Offering
- PIPE: None of note.
- Convertible Offerings & Notes Filed: None of note.
Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.
Biggest Movers Up & Down Last Week:
- Movers Up: NVCR (27.76 +38.52%), GRPN (13.04 +39.04%), SERV (11.66 +34.02%), LULU (400.6 +24.93%), DAN (12.43 +24.3%), SNBR (18.6 +24%), PETS (5.7 +23.11%), DOCU (106.71 +33.91%), DAKT (19.76 +28.31%), MXL (18.9 +24.92%), MRVL (113.89 +22.87%), HIMX (6.64 +22.87%), PSTG (65.08 +22.82%) of note.
- Movers Down: ARRY (5.63 -16.13%), EVH (11.02 -14.71%), CRBP (15.24 -14.48%), AVAV (164.15 -15.6%), PLCE (11.95 -24.94%), LB (64.6 -15%), SEDG (12.77 -19.18%), DOMO (7.97 -14.85%) of note.
News After The Close:
- Huntingdon Ingalls (HII) successfully undocked USS Zumwalt (DDG 1000) taking the ship one step closer to testing and returning to the U.S. Navy fleet.
- BioAge Labs (BIOA) Announces Discontinuation of STRIDES Phase 2 Clinical Trial Evaluating Azelaprag in Combination with Tirzepatide for the Treatment of Obesity…stock halted.
- Anduril and Palantir (PLTR) to Accelerate AI Capabilities for National Security. (Full Release)
- Enanta Pharmaceuticals (ENTA) to Present Topline Results from First-in-Pediatrics Phase 2 Study Evaluating Zelicapavir for Respiratory Syncytial Virus (RSV). (Release)
- OMI awarded a maximum $4.5 bln modification to Defense Logistics Agency contract.
- Index Changes
- Apollo Global Mgmt (APO) and Workday (WDAY) to join S&P 500.
- Qorvo (QRVO) and Amentum Holdings (AMTM) move from the S&P 500 to the S&P 600.
- Comerica (CMA) and Carpenter Tech (CRS) will replace Vishay Intertechnology (VSH) and Carters (CRI) in the S&P MidCap 400 respectively, and Vishay Intertechnology and Carters will replace Comerica and Carpenter Tech in the S&P SmallCap 600.
- Terreno Realty (TRNO) and Champion Homes (SKY) will replace Hudson Pacific Properties (HPP) and REGENXBIO (RGNX) in the S&P SmallCap 600, respectively.
- 10-K Delays – None of note.
Buybacks or Repurchases:
Exchange/Listing/Company Reorg and Personnel News:
- AMR Chairman David Stetson to retire, effective December 13.
- CVLG declares a two-for-one stock split on Class A and Class B common stock.
- BNED CFO Kevin Watson to resign, effective January 4, 2025; current Senior VP, Treasury, Jason Snagusky appointed successor.
- FWRD announces departure of President and COO, Chris Ruble; effective December 6. He was terminated “without cause”.
- PLSE CEO Burke T. Barrett to resign, effective today; also to resign from Board.
- PACB CFO Susan G. Kim resigns; company appoints President and CEO Christian Henry to role of interim CFO.
Dividends Announcements or News:
- Stocks Ex Div Today: GOOG, GOOGL, UNH, FDX, SPG, UNP, ADI, BDX, FIS, CME, GOGL, G, GBDC, AIZ, ESEA, KTB, FAF, DLNG, SPTN, DCI, CVTR, CCBG.
- Stocks Ex Div Tuesday: TRV, ROST, PEG, OXY, PPL, TXRH, CX, VFC, XP, GBCI, UMBF, HOG, CNO, YOU NSP.
- MORN raises its quarterly dividend by 12.3% to $0.455/share; annual yield of 0.5%.
- CARR announces 18% increase in quarterly dividend to $0.225/share.
- WRB declares a special cash dividend of $0.50/share.
- LAMR declares special cash dividend of $0.25/share, which is in addition to regular $1.40/sh dividend.
- AIN increases quarterly dividend by 4% to $0.27/share.
- AES increases quarterly dividend by 2% to $0.17595/share.
What’s Happening This Morning: (as of 8:13 a.m. EDT) Futures S&P 500 -3, NASDAQ -33, Dow Jones +10 and Russell 2000 +4. Europe is higher with Germany lower. Asia is higher with China lower. Bonds are unchanged at 4.18% on the 10-Year. Crude Oil and Brent are higher with Natural Gas higher as well. Gold, Silver and Copper are higher. The U.S. Dollar is higher versus the Euro, higher the Pound and higher against the Yen. Bitcoin is at $98,293 from $97,777 on Friday lower by $-1680 at -1.68%.
- Daily Positive Sectors: Consumer Cyclical, Communication Services and Technology of note.
- Daily Negative Sectors: Energy, Utilities, Materials, Consumer Defensive and Industrials of note.
- One Month Winners: Consumer Cyclicals, Financials, Industrials, Energy and Utilities of note.
- Three Month Winners: Consumer Cyclicals, Financials, Communication Services, Industrials, Utilities, Consumer Defensive and Technology of note.
- Six Month Winners: Financials, Real Estate, Utilities, Consumer Cyclical and Technology of note.
- Twelve Month WinnerMOmONTs: Financials, Technology, Industrials, Utilities and Communication Services note.
- Year to Date Winners: Technology, Financials, Utilities, Communication Services and Industrials of note.
Upcoming Earnings Of Note: (From Chartroom Software – sorted by market cap, highest to lowest with most visible names)
- Monday After the Close:
- Tuesday Before The Open:
Notable Earnings of Note This Morning:
- Beats: MOMO +0.96 of note.
- Flat: none of note.
- Misses: none of note.
- Still to Report: none of note.
Company Earnings Guidance:
- Positive Guidance: None of note.
- Negative or Mixed Guidance: None of note.
Advance/Decline Daily Update: As SPX moves up through December, AD line has started to pull back. Something to watch.
Gap Ups & Down In Early Pre-Market: (+2% or down more than -2%):
- Gap Up: IPHA +56.5%, AFMD +19.3%, ANGO +12.1%, PRTC +10.9%, SVRE +10.4%, WDAY +9.2%, ACLX +8.8%, CCCC +8.8%, MOMO +8.7%, PLTR +6.6%, APO +6.1%, DOW +5.1%, BEAM +4.9%, NOAH +4.1%, COGT +3%, XENE +2.3%, OMI +2.3%, GLPG +2.3%
- Gap Down: BIOA -70%, AGIO -7.5%, MRUS -5.9%, MOLN -4%, ENTA -2.1%
Insider Action: No stock sees Insider buying with dumb short selling. No stock see 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.
- Lead Story on Bloomberg: Assad’s Fall After 24-Year Rule Creates Power Vacuum in Middle East. (Bloomberg)
- Stocks Making The Biggest Moves: Check back as not out yet. (CNBC)
- Market Wrap: Stocks waver as politics offset China-led boost. (Bloomberg)
- China signals bolder stimulus next year as Trump returns. (Bloomberg)
- China investigating Nvidia (NVDA) over anti-monopoly laws. (Bloomberg)
- President-Elect Trump says he will not try to remove Fed Chairman Powell. (CNBC)
- Bloomberg: The Big Take – Macron’s Grand Project in Ruins After French Government Falls. (Podcast)
- Bloomberg: Odd Lots – How Magnetar is financing the AI boom. (Podcast)
Economic:
- None of note for today. CPI tomorrow.
Geopolitical: (Watch our Twitter feed, Bullet86, for any impromptu appearances)
- Federal Reserve Speakers are in a blackout until the last FOMC meeting of the year which is next week.
- President Biden receives the Daily Briefing at 10:00 a.m. EDT.
- President Biden delivers remarks to the Tribal Nations Summit and the Department of Interior at 3:45 p.m. EDT.
- President Biden hosts the Holiday Ball for members of Congress at 6:00 p.m. EDT.
M&A Activity and News:
- Omnicom (OMC) to acquire Interpublic (IPG).
Moving Averages On Major Equity Indexes: Moves down from 85% to 80%.
Meeting & Conferences of Note:
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- Sellside Conferences:
- Bank of America Home Care Conference
- Goldman Sachs Energy Clean Tech & Utilities Conference
- Jefferies Bank Summit
- Jefferies Gas Utilities Mini-Conference
- Mizuho Power, Energy & Infrastructure Conference
- Needham Growth Conference
- Piper Sandler Healthcare Conference
- Raymond James TMT and Consumer Conference
- Stifel MedTech Madness West Coast Bus Tour
- TD Cowen Human Capital Management Summit
- UBS Global Media & Communications Conference
- Wolfe Research Reshoring Conference
- Sellside Conferences:
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- Fireside Chat: None of note.
- Top Analyst, Investor Meetings: ACLX, KURA, MBLY, NRIX, NVS, SLG, SNDX
- Shareholder Meetings: AZN, BMY, CSCO, GILD, INCY, JNJ, LLY, MRK, REGN
- Update: None of note.
- R&D Day: None of note.
- FDA Presentation:
- Presenting at ASH Conference –
AFMD, ACLX, BEAM, CLRB, COGT, GERN, GLYC,
KROS, LLY, LYEL, NRIX, OMER, PSTX, RIGL
- Presenting at ASH Conference –
- Company Event: None of note.
- Industry Meetings or Events:
- American Epilepsy Society Annual Meeting
- American Society of Hematology
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 is to make the reader aware of market-moving recommendations. None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.
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- Upgrades: PYPL NWL MKC KOD EHAB DAN BX
- Downgrades: MTG HLI
