CAPIS Morning Note – 8/22/24: Stocks Higher As Jackson Hole Symposium Starts

• 30-Year TIPS Auction at 1:00 p.m. EDT.
• The Weekly Jobless Claims has become the “new new thing” that moves markets. Pay attention to futures are 8:30 a.m. EDT.

Earnings Out After The Close: 

• IPOs For The Week: IBG, PMAX, SKK, TDTH, YXT
• New IPOs/SPACs launched/News:
• IPOs Filed/Priced:
• Secondaries Filed or Priced:
  • SILO: Form S-1.. Up to 820,911 Shares of Upon Exercise of Certain Common Stock Purchase
    Warrants
  • VRAX – $5 Million Registered Direct Offering of Ordinary Shares 1,108,892 of its ordinary shares
    @$4.50
  • WINT: Form S-3.. Up to 27,668,106 Shares of Common Stock
• Notes Priced:
• Direct Offering:
• Exchangeable Subordinate Voting Shares:
• Selling Shareholders of note: 
  • ALVO  files for 1,789,087 ordinary shares offering by selling shareholder 
• Debt/Credit Filing and Notes:
• Mixed Shelf Offerings:
• PIPE:
• Convertible Offering & Notes Filed:
  • JBLU issued $400 mln aggregate principal amount of its 2.50% Convertible Senior Notes due 2029 on August 16
• Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.

Biggest Movers Up & Down After The Close:

• Movers Up: WOLF +10.5%, ZUO +5.2%, ZM +2.6%
• Movers Down: SNOW -8.1%, CAAP-5.1%, URBN -3.6%

News After The Close :

• • MSFT updates 2025 guidance and specifically Q1. (Slides)
  • RJF reports operating data but not earnings data.
  • TD Bank (TD) takes further provision of $2.6 bln in Q3 results; sells 40,500,000 shares of common stock of Charles Schwab, reducing its ownership interest to 10.1% from 12.3%
  • CSX finalizes early labor agreements, 5 year collective bargaining agreement, securing wage increases and enhanced benefits
  • 10-Q Delays none of note.

Buybacks or Repurchases: Buybacks should be slow as most companies are in a blackout period as earnings season kicks into gear.

• FSV announces NCIB; provides ability to repurchase up to 1,600,000 common shares or 4.0% of the public float from August 26, 2024 to August 25, 2025

Exchange/Listing/Company Reorg and Personnel News:

• AGX announces retirement of Richard Deily, effective September 15; Josh Bauger to succeed Mr. Deily as CFO
• DIS names Board member James Gorman to chair its Succession Planning Committee
• IOT names Meagen Eisenberg as Chief Marketing Officer
• ZM CFO Kelly Steckelberg to resign; will continue to serve as CFO through the release of Q3 (Oct) results
• SSTK notified John Caine that his employment as Chief Product and Digital Officer will end, effective August 23, 2024; reaffirms guidance

Dividends Announcements or News:

• Stocks Ex Div Today: AMAT MCHP DFS KSPI SBAC WWD LFUS WD ENR  
• Stocks Ex Div Tomorrow: PBR CRH HLT TEL CMI TRU

What’s Happening This Morning: Futures S&P 500 +11 NASDAQ 100 +72 Dow Jones +30 Russell 2000 +0.74. Asia is higher  while Europe is higher as well this morning. VIX Futures are at 16.10 from 15.95 yesterday while Bonds are at 3.827% from 3.814% on the 10-Year. Crude Oil and Brent higher with Natural Gas lower. Gold lower with Silver higher and Copper lower. The U.S. Dollar is higher versus the Euro, lower versus the Pound and higher against the Yen. Bitcoin is at $61,241 from $59,305 lower by -0.09% this morning.

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

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

• Gap Up: ZUO +7.5%, WOLF +7.4%, RLGT +6.5%, BILI +4.8%, PARA +3.3%, ZM +3%, DB +2.4%, SNPS +2.3%, A +2.2%

• Gap Down: CSIQ -11.5%, URBN -11%, SNOW -9.4%, LU -8.8%, AAP -7.9%, AEG -5.7%, BWLP -4.9%, NTES -4.5%, SCHW -4.1%, TD -3.8%, CTKB -3.3%, LQDA -2.7%, ALVO -2%, SSRM -2%

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

• Bloomberg Lead Story: VP Nominee Walz Offers Dems A Pep Talk on Freedom. (Bloomberg)
• Pre-Market Movers CROX PARA DB SNOW (CNBC)
• 5 Things to Know Before The Market Opens. (CNBC)
• Markets Wrap: Global Stocks on the brink of an all time high. (Bloomberg)
• CP locks out TCRC employees, moves to full shut down of Canadian rail network
• Updates to Private Mortgage Insurer Eligibility Requirements (PMIERS)  are out and impact multiple companies.
• Greek Oil Tanker adrift and burning in the Red Sea after attacked by Houti rebels.
• The Big Take: Flying Cars and Race to Air Taxi Industry. (Podcast)
• Odd Lots: How Banks get risk off their balance sheets. (Podcast)
• NYT The Daily: The Republican plan to challenge a Harris victory and focus is on Georgia again. (Podcast)
• Wealthion: The ultimate hedge against soaring U.S. debt with Rick Rule. (Podcast)

M&A Activity and News:

• None of note.

Moving Averages On Major Indexes:  Remain at 100% of the moving averages being positive.

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.

Upgrades: UL  NVGS

Downgrades: SPT