CAPIS Morning Note – 8/4/21: Stocks Lower, ADP Report Tanks

Breaking News: ADP Jobs Report misses wide to the left as only 330,000 jobs were created. Bonds yields sink towards 1.10%. Earnings Out After The Close: Beats: CAR +4.30 PRU +0.70 FNF +0.64 AMGN +0.37 OXY +0.29 of note. Flat: None of note. Misses: H -0.30 SKLZ -0.12 OSUR -0.06 of note. Capital Raises:  IPOs Priced…

Breaking News: ADP Jobs Report misses wide to the left as only 330,000 jobs were created. Bonds yields sink towards 1.10%.

Earnings Out After The Close:

Beats: CAR +4.30 PRU +0.70 FNF +0.64 AMGN +0.37 OXY +0.29 of note.

Flat: None of note.

Misses: H -0.30 SKLZ -0.12 OSUR -0.06 of note.

Capital Raises: 

IPOs Priced or News: 

New SPACs launched: None of note.

Secondaries Priced: LIVN OPCH RNA ZI  of note.

Notes Priced of note:  None of note.

Common Stock filings: TELL UTL APRN MOHO PALI PNT of note.

Selling Shareholders of note: OPCH IR ZI UP of note.

Private Placement of Public Entity (PIPE): None of note.

Mixed Shelf Offerings: RIGL AMTX BTCM DRRX EVFM GBLI LMFA PROG 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: announces $21 million of new energy power system orders.

American Superconductor (AMSC)

Zymergen (ZY) no longer sees product revenue in 2021 and CEO steps down.

President Biden comments on Covid-19 that lots of misinformation , the fact is vaccinated people are “highly unlikely” to get Covid-19.

NASDAQ (NDAQ) sees equity options volume was 243 million versus 286 in June and 218 a year ago.

Apple (AAPL) to partner with Affirm (AFRM) for buy now, pay later.

Spirit (SAVE) and American Airlines (AAL) cancel hundreds of flights amid staff shortages.

Lockheed Martin (LMT) CFO Kenneth R. Possenriede to retire immediately.

Department of Justice may seek to block United Healthcare (UNH) acquisition of Change Healthcare.

Activision Blizzard (ATVI) head of Human Resources departs. (The Verge)

CDC stops evictions in most counties in the U.S. until October 3rd.

Dividend Increases: FNF MCHP KWR NOG ETH (special) MCFE (Special)

Stock Split:


Mixed Guidance:

Lower Guidance: SPWR OSUR FMC PSN

Buyback Announcements: FNF CWH 

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

S&P 500 -11 Dow Jones Industrial Average -108 NASDAQ -19 Russell 2000 -18.  Fair values are mixed. Asia higher ex Japan and Europe higher. VIX is at 20.25 from 20.85 in futures. VIX closed at $18.04 from $19.46. Gold and silver higher with copper lower. WTI Crude Oil and Brent Oil Futures lower. Natural Gas is higher. $ is flat vs Euro, flat vs Pound and flat vs Yen. US 10 year Treasury price is at $135.17 from $134.95 with yields at 1.182% from 1.17%  yesterday. Bitcoin at $38486 from $38231 yesterday, trading at $300 or +0.79%.

Tuesday’s Action – 8/3 Close.  

Positive Sectors On Tuesday:  Energy, Industrials and Materials of note.

Negative Sectors On Tuesday: Communication Services of note.

One Month Winners: Technology, Consumer Cyclical and Materials of note.

Three Month Winners: Energy, Real Estate and Healthcare of note.

Six Month Winners: Real Estate, Communication Services, Energy and Financials of note.

Twelve Month Winners: Materials, Communication Services, Industrials, Financials and Energy of note.

Year to Date: Energy, Communication Services, Financials, Real Estate and Industrials of note.

Stocks were higher, Bonds were higher, U.S. Dollar higher and Commodities mixed. Updated 8/3 Close.

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


Thursday Before the Open: ZTS, CI, DUK, BDX, REGN, TRI, LHX, BCE, SRE, PH, DDOG, EPAM, W, BLL, CQP, BIP, PPL, LNG, K of note.

Earnings of Note This Morning:

Beats: HMC +69.33 JLL +2.47 SMG +0.46 TUP +0.38 CVS +0.35 

Flat: None of note.

Misses: SBGI -4.25 RCL -0.68 PSN -0.19 VIRT -0.14 

Still to Report: 

Insider Purchases:  None of note today. 

Below is the list of insider buys from this morning and is sorted by Erlanger Short Intensity. The idea here is simple. Find stocks where insiders are buying and the shorts are “dumb short sellers”.  AFL has  heavy short selling at 100% with dumb short sellers so this should be considered as a potential buy. Updated last 8/3

Erlanger Research Advance/Decline Chart –Updated through 8/3 close. 

Gap Ups & Down In Early Pre-Market:

Gap up:

CERS +15.8%, LMRK +14.8%, COUR +13.4%, INSP +12.4%, GBT +11.9%, NVTA +11.5%, NPTN +9.9%, BXC +9%, PAYC +7.5%, GDOT +7%, UNM +6.4%, QUAD +6.1%, OBSV +6%, ATVI +5.8%, AMSC +5.7%, TISI +5.5%, VECO +5.3%, LL +4.5%

Gap down:

ZY -72.2%, CDLX -20.1%, TELL -11.7%, OSUR -11.3%, LPSN -9.2%, CHNG -9%, HTA -8.1%, AYX -8%, INFN -6.8%, UTL -5.6%, KAR -5.4%, AKAM -5.4%, KTOS -5.2%, SPWR -3.8%, NCR -3.8%, RNA -3.6%, MRCY -3.5%

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 GM CVS KHC TUP (CNBC)

Covid-19 Data sees 78,806 cases versus 53,772 cases. 40,453 hospitalizations versus 27,802. Deaths 392 versus 286.

Democrats think they will lose the House in 2022 without better messaging. (CNN)

Latest Covid-19 attack in China could impact nation’s consumer recovery. (Bloomberg)

65% of workers would take a pay cut to never go to office again. (Bloomberg)

FDA to approve Pfizer (PFE) Biontech (BNTX)  Covid-19 vaccine by September. ((NYT)

Robinhood Snaps looks at the impact of the Delta variant. Pepsi (PEP) sell Tropicana.

Index Moving Averages: 8/2 Close – The Confidence Score moves to 63%.  


President Biden receives the daily presidential briefing at 10:00 a.m. EDT.

President Biden meets with President Science Advisor and Director of Science and Technology on the pandemic at 11:00 a.m. EDT.

Press Briefing at 12:30 p.m. EDT with Jen Psaki.

Fed Speakers

Federal Reserve Vice Chairman Richard Clarida to speak at 10:00 p.m. EDT.


July ADP Employment Report is due out at 8:15 a.m. EDT and is expected to come in at 650,000 from 692,000.

July ISM Non-Manufacturing Index is due out at 10:00 a.m. EDT and is expected to come in at 60.5% from 60.10%.

Weekly Crude Oil Inventories are due out at 10:30 a.m. EDT.

M&A Activity:

Landmark Infrastructure Partners (LMRK) receives $16.25 bid from Melody Investment Advisors.

Meeting & Conferences of Note:

Sellside Conferences: Credit Suisse Disruptive Business Conference (8/2-6) Jefferies Industrial Conference (8/3-4) Keefe Woods & Bruyette Community Bank Investor Conference (8/3-5)

Company Meetings: COST (Monthly Sales Call) ACST (Conference Call) PGR BOSSY (Investor Event) 

Upgrades & Downgrades: Today recs see 13 upgrades and 3 downgrade. 

Tuesday Recs