CAPIS Morning Note – 3/17/25: Stocks Lower As Markets Await The Fed on Wednesday

• IPOs For The Week: APUS, FATN, KMTS. OMGE, SAGT,
  WGRX
• New IPOs/SPACs launched/News:
• IPOs Filed/Priced: None of note. 
• Secondaries Filed or Priced:
  • CTM – Proposed Public Offering of Common Stock and Warrants
  • FOA: Form S-3.. 5,337,928 Shares of Class A Common Stock
• Notes Priced:
• Direct Offering: None of note.
• Exchangeable Subordinate Voting Shares: None of note.
• Selling Shareholders of note:
  • FOA files for 5,337,928 share common stock offering by selling shareholders  
• Mixed Shelf Offerings:
  • HWC files mixed securities shelf offering 
  • AIRS files for $100 mln mixed securities shelf offering.
  • BBWI  files mixed securities shelf offering files mixed securities shelf offering.
  • JVA: Form S-3.. $30,000,000 Mixed Shelf
• Convertible Offerings & Notes Filed:

Biggest Movers Up & Down Last Week: Well none posted as last week was too volatile for an update. If that does not mark the bottom, then I do not know what does.

• Movers Up:  None of note.
• Movers Down: None of note.

News After The Close:

• Discover Financial (DFS) reports February operating data delinquency rate was 3.78% in Feb vs 3.87% in January.
• Genco Shipping (GNK) freight rates in March 2025 to date have increased meaningfully, particularly for Capesize vessels, relative to levels seen earlier in Q1.
• Klarna Klarna files IPO F-1 docs for possible IPOfiles IPO F-1 docs for possible IPO.
• GE awarded a $5 bln-ceiling US Air Force contract for F110 Foreign Military Sales (FMS) engines.
• LMT awarded a $123 mln modification to a previously awarded US Air Force contract.
• BAESY awarded a $188 mln modification to a previously awarded US Navy contract.
• Senate passed a bill to fund the government through September 30, leaving Democrats deeply divided.
• Spain’s credit rating maintained at a Stable outlook. 
• Saudi Arabia raised To ‘A+’ On Sustained Socioeconomic And Capital Market Reforms; Outlook Stable.
• President Trump ordered military action against Houthi terrorists in Yemen over the weekend following Houthi attacks on US vessels; US will use overwhelming lethal force until objectives are achieved; will hold Iran “fully accountable” if it continues support for Houthi terrorist
• Barrons + GOOGL AMZN META NVDA INTU PM. +/- on TSLA.
• 10K or Qs Filings/Delays –  (Filed),   (Delayed) of note.

Exchange/Listing/Company Reorg and Personnel News:

• PRIM announced that David King, Chairman and our prior Chief Executive Officer, has been named Interim President and Chief Executive Officer. David will succeed Tom McCormick, who will be separating from the Company effective March 20, 2025.
• STRL announces departure of CFO Sharon Villaverde, appoints Ronald Ballschmiede as interim CFO. 

• SWKS names Reza Kasnavi to the new position of EVP, Chief Operations and Technology Officer.
• CHD names Lee McChesney as CFO.

• Stocks Ex Div Today: MRK ICE HCA AIG ARES HES TCOM DTE IRM CRBG FNF EG AFG PR DTM PARA OLED WH EXP UGI BRKR BYD SLGN MTH NEU FG PECO WTM RRR RYN WU TDS TNL IRDM.
• Stocks Ex Div Tomorrow: 
• IVAC announces that a one-time special cash dividend of $0.052 per share of common stock will be paid on March 28, 2025, to all stockholders of record as of the close of business on March 24 

What’s Happening This Morning: (as of 8:15 a.m. EDT) Futures S&P 500 -19, NASDAQ -37, Dow Jones -196, Russell 2000 -10.70. Europe is higher with Asia higher as well. Bonds are at 4.281% from 4.324% Friday on the 10-Year. Crude Oil and Brent Crude are higher with Natural Gas higher. Gold and Silver are lower with Copper higher. The U.S. Dollar is lower versus the Euro, lower against the Pound and lower against the Yen. Bitcoin is at $83,211 from $83,358 higher by $107 by +0.13%.

• Daily Positive Sectors: All were higher.
• Daily Negative Sectors: None were lower.
• One Month Winners:  Real Estate, Consumer Defensive, Utilities and Healthcare of note.
• Three Month Winners: Communication Services, Consumer Defensive, Financials and Healthcare of note.
• Six Month Winners: Communication Services, Financials, Consumer Cyclical and Utilities of note.
• Twelve Month Winners: Financials, Utilities, Communication Services, Technology and Consumer Defensive of note.
• Year to Date Winners: Financials, Healthcare, Consumer Defensive, Materials and Real Estate of note.

Upcoming Earnings Of Note: (From Chartroom Software – sorted by market cap, highest to lowest with most visible names)

• Monday After the Close: GETY of note.

• Tuesday Before The Open: HUYA BEKE TMW of note.

Notable Earnings of Note This Morning:

• Gap Up: ZNTL +9%, NIU +8.8%, DYN +6.2%, QFIN +5.7%, AIRS +4.5% of note.

• Gap Down: CTM -21.7%, PRIM -4.3%, HWC -3.3%, IIPR -2.4% of note.

Insider Action:  BYON BBY see Insider Buying with dumb short selling. None 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.

• Market Wrap: Futures slip as Bessent says downplays selloff. (Bloomberg)
• Bloomberg:  OECD Says Trump Tariff Action Pushes World Towards Slower Growth, Faster Inflation. (Bloomberg)
• Stocks Making The Biggest Moves: AFRM NFLX INCY NCL. (CNBC)
• S&P 500 follows the NASDAQ into correction territory on Thursday close and back out of correction Friday close. Shortest correction on record?
• Klarna to IPO to take prepaid deal away from Affirm (AFRM) at Walmart. (CNBC)
• Volkswagen (VWAGY) wants to introduce 11 models in China. (Bloomberg)
• China unveiled plan to increase domestic consumption.
• Treasury Secretary Scott Bessent in interview says he is “not worried” about the stock market. He said there are “no guarantees” that a recession will be avoided. (NBC)
• President Trump will speak with Russian President Putin tomorrow to discuss ending Ukraine war.
• China President Xi to meet with global CEOs. (Bloomberg)
• 5 Things To Know Before The Market Opens Today. (CNBC)
• Bloomberg Odd Lots – Antitrust under Trump. (Podcast)
• Bloomberg The Big Take – Darker Than A Dark Poo. (Podcast)

Bolded Royal Blue means behind a Pay Wall.

M&A Activity and News:

• .

Moving Average Table:  Move from 0% to 20% today. No fifth day in a row take that Bears!!

Meeting & Conferences of Note: (Not updated today, back tomorrow)

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.

• • • Upgrades: ELV SFM NFLX MNDY FWONA BX AMT
    • Downgrades: TPVG FSK CION