CAPIS Morning Note -6/4/21: Nonfarm Payrolls Miss Estimates Again, Stocks Rally

Breaking News: Nonfarm Payrolls grew by 559,000 against estimates of 671,000. Earnings Of Note After The Close: Beats: ZUMZ +0.98, SAIC +0.40, COO +0.29, LULU +0.25, FIVE +0.23, MDB +0.21, AVGO +0.16, DOCU +0.16, NX +0.13, WORK +0.09, ASAN +0.07, CRWD +0.04, PD +0.01, SUMO +0.01 Flat:  None Misses: NGL (1.92), PHR (0.06), CHPT (0.05)…

Breaking News: Nonfarm Payrolls grew by 559,000 against estimates of 671,000.

Earnings Of Note After The Close:

Beats: ZUMZ +0.98, SAIC +0.40, COO +0.29, LULU +0.25, FIVE +0.23, MDB +0.21, AVGO +0.16, DOCU +0.16, NX +0.13, WORK +0.09, ASAN +0.07, CRWD +0.04, PD +0.01, SUMO +0.01

Flat:  None

Misses: NGL (1.92), PHR (0.06), CHPT (0.05)

Capital Raises: 

IPOs Priced or News:

New SPACs launched: Roth CH Acquisition LL: Reservoir Holdings to buy Tommy Boy Music for $100 million.

Secondaries Priced: EVA ZIM of note.

Notes Priced of note:  RC (preferred) of note.

Common Stock filings: ADIL BKTI EVA VTVT 0f note.

Selling Shareholders of note: None of note.

Private Placement of Public Entity (PIPE):

Mixed Shelf Offerings: BOH of note.

Convertible Offering & Notes Filed:  None of note.

Note Offerings Filed: None of note.

Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.

News After The Close:

Science Applications (SAIC) to buy Halfaker & Associates for $250 million.

Costco (COST) May Sales rose 14.7%, E-Commerce Sales up 8.7%.

CBOE Global Markets (CBOE) sees Options up 15% and Futures up 99% from May of 2020.

Xenia Hotels (XHR) reports that all 35 hotels are now open.

Oshkosh Defense (OSK) wins $940 million Army contract.

Pershing Square Tontine Holdings (PSTH) may buy Universal Music Group with a value of $40 billion. (WSJ)

TRGP to join S&P 400 Mid Cap

After Hours:  SENS +36% ASAN +10% TLYS +8% FIVE +7% IDT +6% ZUMZ +6% DOCU +6% MDB +5% JOAN +5%  and NGL -16% PSTH -8% PD -5% AMC -3%

Dividend Increases: AEO 

Dividend Decreases: NHI


Mixed Guidance: MDB PD CHPT  SAIC

Lower Guidance: SUMO

Buyback Announcements:

What’s Happening This Morning: Futures value reflects the change with fair value.

S&P 500 +12 Dow Jones Industrial Average +71 NASDAQ 34 Russell 2000 +6.  Fair values are lower today. Asia mixed and Europe mixed. VIX is at 19.20 from 19.82 in futures. VIX closed at 18.04 from 17.48 .

Gold higher, silver lower and copper higher. WTI Crude Oil and Brent Oil Futures higher. Natural Gas is higher. $ is higher vs Euro, lower vs Pound and lower vs Yen. US 10 year Treasury price is at $131.61 from $131.89  with the yield at 1.625% from 1.593%.  Bitcoin $35878.01 from $37,289 yesterday morning down  $2666.42 and -6.91%.

Thursday’s Action – 6/3.  Equity indexes were higher into the weekend.

Positive Sectors On Thursday: Utilities and Healthcare of note.

Negative Sectors On Thursday: Consumer Cyclical, Materials and Communication Services of note.

One Month Winners: Energy, Financials, Materials and Industrials  of note.

Three Month Winners: Energy, Materials, Industrials and Financials of note.

Six Month Winners: Energy, Financials, Materials and Industrials of note.

Twelve Month Winners: Materials, Industrials, Financials and Consumer Cyclicals of note.

Year to Date: Energy, Communication Services, Financials and Materials of note.

Stocks were lower, Bonds lower, U.S. Dollar higher and Commodities lower ex crude oil.

Upcoming Earnings Of: (sorted by market cap, highest to lowest with most visible names)

Today After the Close: None of note.

Monday Before the Open: None of note.

Earnings This Morning Of Note:

Beats: none

Flat:  none

Misses: none

Still to Report: none

Insider Purchases:

Below is the list of insider buys from  Wednesday morning and this morning sorted by day. The idea here is simple. Find stocks where insiders are buying and the shorts are “dumb short sellers”. Insider buying and dumb short selling exists in DLTR. We note that VERO has above average short selling but no history.  Updated 6/4

Erlanger Research Advance/Decline Chart/Table –Updated through 6/3.

Gap Ups & Down In Early Pre-Market:

Gap up: SENS +39%, ASAN +11%, CHRS +11%, MDB +9%, TRGP +7%, ENV +7%, IDT +6%, ZUMZ +6%, FIVE +6%, DOCU +6%, TLYS +6%, JOAN +5%, PHR +5%, NX +5%, NCTY +5%

Gap down: NGL -16%, AMC -10%, PSTH -8%, PD -4%, EVA -4%

Rags & Mags: Highlighted Stories may be clicked through to the original story.  Repeated stories from prior days never listed, i.e. “rehashed news”.

Stocks making the biggest moves DOCU FIVE MDB LULU AVGO CHPT CRWD AMC     (CNBC)

5 Things To Know Before Trading Starts. (CNBC)

G-7 meets today and tomorrow. (Reuters)

The CMA and EU Commission open investigation into anticompetitive conduct of Facebook (FB).

10 million renters are behind on rent as eviction ban to end July 1st. (CNBC)

Apple (AAPL) develops iPad Pro wireless charging. (Bloomberg)

Bristol-Myers (BMY) sued for delaying Breyanzi. (NY Post)

Robinhood looks at Tesla (TSLA) and move to restaurants. Twitter (TWTR) launches first subscription service in Australia and Canada for $3 a month.

Index Moving Averages: 6/1 Close – The Confidence Score is at 100%.


The President receives the President’s Daily Brief, Biden Beach House, Rehoboth Beach, DE, 9:00 a.m. EST

The President delivers remarks on the May jobs report, Biden Beach House, Rehoboth Beach, DE, 10:15 a.m. EST

The President and The First Lady depart Rehoboth Beach, Delaware en route the White House for 12:20 p.m. EST arrival, Delaware, 10:55 a.m. EST

Press Briefing by Press Secretary Jen Psaki, 1:00 p.m. EST

Federal Reserve Speakers:

Federal Reserve Chairman Jerome Powell spoke at 7:00 a.m. EDT.


May Nonfarm Payrolls is due out at 8:30 a.m. EDT and is expected to rise to 720,00 from 266,000. The unemployment rate is expected to drop to 5.9% from 6.1%.

April Factory Orders is due out at 10:00 a.m. EDT and is expected to fall to 0.50% from 1.1%.

Baker Hughes Rig Count is due out at 1:00 p.m. EDT.

M&A Activity

Science Applications (SAIC) to buy Halfaker & Associates for $250 million.

Meetings of Note:

Sellside Conferences:  Jefferies Global Health Conference (6/1-4) Bank of America Emerging Markets Debt & Equity Conference (6/1-4) Bernstein Annual Strategic Decisions Conference (6/2-4) Piper Sandler Annual Consumer Marketplace Conference (6/3-4) Citi Consumer Access Conference (6/3-4)

Company Meetings: WTM (Investor Meetings) MGNX AMGN CLRB RMAX (Conference Call)  ALKS HARP CCX (Webcast)

Industry Meetings: American Society of Clinical Oncologists (ASCO) Meetings (6/4-8)

Upgrades & Downgrades:

Thursday Recommendations