CAPIS Morning Note – 6/4/24: Stock Weakness On India’s Elections

• Stocks are lower today.
• Factory Orders are out at 10:00 a.m. EDT.

• IPOs For The Week:
• New SPACs launched/News:
• IPOs Filed:
• Secondaries Files or Priced:
  • ALZN files 125 million shares of stock.
  • BIOL files a S-1.
  • SDG files S-1 for 6,266,818 shares of common stock.
• Common Stock filings/Notes:
  •  GPCR files for 8,000,000 ADS representing 24,000,000 ordinary shares offering; relates to warrants.
  • TTWO files FORM S-ASR for 516,179 common stock under 2017 Incentive Plan.
• Notes Priced of note:
  • H priced senior notes
  • RPRX priced $1.5 billion of senior unsecured notes.
• Direct Offering:
• Exchangeable Subordinate Voting Shares:
• Selling Shareholders of note:
• Debt/Credit Filing and Notes:
  • PNM announces offering of $500 million of junior subordinated convertible notes due 2054
  • TCOM proposes offering $1.3 billion of convertible senior notes due 2029
• Mixed Shelf Offerings:
  • ELTX: files a $200 million mixed shelf offering
  • SDA: files a $300 million mixed shelf offering.
  • SWVL: files a $100 million mixed shelf offering.
• Rights Offering:
• PIPE:
• Convertible Offering & Notes Filed:
  • TCOM proposes offering $1.3 billion of convertible senior notes due 2029
• Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.

News After The Close :

• Biggest Gainers and Losers After The Close:
  • FGEN +27%, HQY +4.6%, CSGS +3.8%, SRRK +3.4%, GPCR +2.9%, DXCM +2.1%
  • BLD -5.2%, GLTB -3.3%, ELDN -2.5%,  . 

• News Items After the Close:
  • ASCO Presentations after the close JNJ, SRRK, LEGN, ASND.
  • LMT awarded $1.93 bln U.S. Army contract modification.
  • META testing un-stoppable ads. (The Verge)
  • ILMN approves spinoff of GRAIL on June 24 and will be listed on NASDAQ.
  • BP saw its credit rating revised to Stable from Positive on slower debt reduction.
  • Jim Cramer interviewed  on Mad Money. (CNBC).
• Stock Splits or News:
• Exchange/Listing/Company Reorg and Personnel News:
  • ODP announces that Board member Wendy Schoppert will assume the role of independent Board Chair as Joseph Vassalluzzo steps down from the Board, effective June 10.
  • CWH President Brent Moody to retire on July 1, 2024; CFO Karin Bell to retire on same date; Matthew Wagner appointed President; Tom Kim appointed CFO.
  • OSK CFO Michael Pack appointed President of Vocational segment, effective immediately; initiates search for new CFO 
• Dividends Announcements or News:
  •  Stocks Ex Div Today:

What’s Happening This Morning: Futures S&P 500 -24, NASDAQ 100 -73, Dow Jones -142. Asia and Europe are lower this morning on India’s drop of -5%. VIX Futures are at 14.10 from 13.57 yesterday.  Gold, Silver and Copper lower. WTI Crude Oil and Brent Crude Oil lower while Natural Gas is higher. US 10-year Treasury sees its yield at 4.383% from 4.475%  yesterday. The U.S. Dollar is higher versus the Euro, higher versus the Pound and lower against the Yen. Bitcoin is at $68,880 from $69,153 lower by -0.31% this morning.

• Daily Positive Sectors: Technology, Healthcare and Communication Services of note.
• Daily Negative Sectors: Energy, Industrials, Utilities and Materials of note.
• One Month Winners: Energy, Technology, Utilities and Communication Services of note.
• Three Month Winners: All led by Utilities, Energy,  Materials, Financials and Communication Services of note.
• Six Month Winners: Communication Services, Technology, Industrials and Financials of note.
• Twelve Month Winners: Communication Services, Technology, Financials,  Industrials, and Consumer Cyclicals of note.
• Year to Date Winners:  Communication Services, Energy, Utilities, Technology, Financials, Industrials and Consumer Defensive of note.

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

• Gap Up: CORZ +47.4%, ANNX +34.3%, FGEN +17.1%, HQY +5.8%, IPHA +5.6%, SDA +4.1%, EPRT +3.2%, SRRK +3.1%, ASUR +3%, CWH +2.7%, LEGN +2.4%, DAVE +2.2%,of note.
• Gap Down: PNM -4.5%, PNM -4.5%, TCOM -3.4%, GTLB -3.4% of note.

Insider Action:   No stocks see Insider buying with dumb short selling.  No stocks 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.

• 5 Things To Now Before The Market Opens on Monday. (CNBC)
• Bloomberg Lead Story: Indian Stocks Post Biggest Loss in Four Years On Tight Vote. (Bloomberg)
• Stocks Making The Biggest Moves in Pre-Market: GME INTC BBWI (CNBC)
• Market Wrap: Stock futures point to losses as data sows doubt. (Bloomberg)
• India’s market drops as Modi victory margin drops as does his mandate. (Bloomberg)
• Airbus (EADSY) on tracks to sell 100+ planes to China. (Bloomberg)
• Turkish Airlines looking to buy 250 jets from Boeing (BA). (Bloomberg)
• Taiwan Semi (TSM) may raise production fees for Nvidia (NVDA). (Nikkei)
• Intel (INTC) fires back at Nvidia. (Bloomberg)

Moving Average Update: Score at 70% from 63% from Monday.

Geopolitical: 

M&A Activity and News:

• None of note.

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.

Today’s Upgrades and Downgrades:

• Upgrades SUN S of note.
• Downgrades MAXN ALLE of note.