Morning Note – 2/28/19

In After Hours Trading IPOs on deck This Week:  Two new IPOS on deck for this week include Kaleido Biosciences and Super League Gaming.  IPOs on deck for Today:  Kaleido Biosciences (KLDO) and Tortoise Acquisition Unit (SHLLU) of note. Secondaries on deck:  ALDR EQIX SKY DPHCU KOS of note.  IPO Filings Announced After The Close:  No common…

In After Hours Trading

IPOs on deck This Week:  Two new IPOS on deck for this week include Kaleido Biosciences and Super League Gaming

IPOs on deck for Today:  Kaleido Biosciences (KLDO) and Tortoise Acquisition Unit (SHLLU) of note.

Secondaries on deck:  ALDR EQIX SKY DPHCU KOS of note. 

IPO Filings Announced After The Close:  No common stock offerings filed today.  Potential for Lyft to file this week.

Announcements For Secondary Filings & Financings:    IVR files mixed shelf offering. COLD NOVT  SKY GTYH file common stock offering.   AAOI convertible offering. SIGI CYH senior notes filing. NOVT debt filing.  LPSN convertible filing.

Courtesy of IPO Financial

Earnings After The Close:

Beat: BKNG +2.99 FGEN +.47 NNI +.44 COLL +.39 KW +.30 ECPG +.22 BILI +.21 FIT +.07 LB +.07 CHDN +.07 APA +.04 BOX +.04


Missed: HHC -.77 CABO -.76 TDOC -.40 SWX -.18 QRTEA -.12 SRPT -.12 XLRN -.07 GPOR -.04 PRG0 -.03 WING -.02

Positive Guidance: BILI ACA

Negative Guidance: BKNG WIFI BOX LB 

News After The Close:

Wellington does not support Bristol Myers (BMY) acquistion of Celgene (CELG).

General Electric Aviation (GE) awarded $370 million Navy contract.

Dividend Increase: WLTW SILG WHI

Stock Repurchase:  ECA WU

Hourly Action This Past Week:

Courtesy of Quantitative Partners, Inc.

What’s Happening This Morning: Futures moved modestly lower until 3:00 a.m. EST and then have moved higher by 5 points on the S&P 500 as we came into 7:00 a.m. EST. Can we move back above 2800 today?

U.S. futures: S&P -7.25, Dow Jones -53,  NDX -28.50 and Russell 2000 -4.00  with fair values LOWER LESSENING THE PAIN. Asia and Europe mixed.

Gold and silver higher with copper lower. WTI Crude higher and Brent Oil Futures lower. Natural Gas is higher. $ is lower vs Euro, higher vs. Pound and lower vs. Yen. US 10 year Treasury price 122.36 with yields lower since Wednesday morning with the yield at 2.67% from 2.634%. Prices as of 8:15 a.m. EST.

Top Sectors Wednesday: Conglomerates, Industrials and Financials.

Weakest Sectors Wednesday: Consumer Goods, Healthcare and Technology.

One Month Winners:  Industrial Goods,Technology, Materials and Utilities.

Three Month Winners: Technology, Industrials and Services.

Six Month Winners: Utilities.

Twelve Month Winners: Utilities, Conglomerates, Healthcare and Services.

Year to Date: All higher led by Industrial Goods, Conglomerates, Services, Technology, Materials and Financials.

Upcoming Earnings Of Note (sorted by market cap, highest to lowest):


Friday Before The Open:  XRAY FL TRCO SNH STRA PTLA of note.

Earnings This Morning Of Note:

Beat Estimates: JD +.78 NRG +.74 BID +.26 HWHC +.24 ECA +.16 ENDP +.16 CROX +.13 GTN +.08 SPAR +.05 IRDM +.04 AMCX +.04 DAVA +.04 STWD +.03 


Missed Estimates: ICPT -.48 NLSN -.27 TD -.15 ACIW -.14 BUD -.13 CARS -.07 SEAS -.01

Rags & Mags:

Top Story: Q4 GDP will provide clues on whether there is any economic slowing. Out at 8:30 a.m. EST.

5 Things You Need To Know To Start Your Day – . (Bloomberg) Talks end in North Korea. Markets like Powell testimony. Markets mixed. Q4 GDP.

North Korea Summit ends with no agreement after U.S. says will not end sanctions. (CNBC)

Pakistan to release Indian pilot as a peace gesture. (CNBC)

Blackberry (BB) files patent lawsuit against Twitter (TWTR). (Tech Crunch)

Canopy Growth (CGC) to partner with Martha Stewart to develop pot products. (Bloomberg)

Uber and Lyft to let drivers participate in their IPO. (WSJ)

3G may take Kraft (KHC) private. (Bloomberg)

Data Points:

Yesterday saw 1464 stocks rise and 1390 fall on the NYSE. NASDAQ saw 1575 rise and 1471 fall. The fifth day this month the advance/decline line was negative.

The SP 500 is still above its 50 and 200 day simple moving average. The Russell 2000 is also above its 50 day simple moving average and now back below its 200 day simple moving average. The Dow is also above its 50 and 200 day simple moving average.  The Dow and the S&P 500 are now above their 5, 10 and 20 day moving averages. The Russell 2000 is back below its 5 day moving average but is above its 10 and 20 day moving average.

The QPI10 Day Moving Average of Breadth (10DMA) moved to buy on January 7th at 2549.69. For a move to a buy from cash, the 10DMA needed to have two days in row above +200 which happened January 7th. The next move will be to cash or sell which right now seems a long ways off but a couple more days like Thursday may cause a signal change.

Courtesy of Quantitative Partners, Inc

YTD  89% of stocks are higher and 11% are lower. Updated 2/22/19 close with next update on 3/1/19 close.

Courtesy of Phil Erlanger Research, Inc.


The Erlanger Value Lines track the intraday range of resistance, pivot and support. Each day we show where we closed within the range. 

Economic & Related:

Weekly Jobless Claims are due out at 8:30 a.m. EST.

Q4 GDP is due out at 8:30 a.m. EST and is expected to come in at 2.3% from 3.4% in Q3.

February Chicago PMI is due out at 9:45 a.m. EST and is expected to rise to 57.5 from 56.7.

Weekly Natural Gas Inventories are due out at 10:30 a.m. EST.


Conferences & Analyst Meetings:

Analyst Meetings/Notable Conference Call: NUS (investor day), QTWO (investor day), WAT (investor day), WNC (investor day), MSCI (investor day), CR ( analyst day), ALDX( R&D day).

Sellside Conferences: Morgan Stanley Telecom, Media, Technology Conference.  BMO Metals & Mining Conference. Leerink Partners Global Healthcare Conference.

Industry Conferences: Mobile World Congress and EnerCom Dallas 2019 Oil & Gas Conference.

M&A News & Rumors:

Liberty Global (LBTYA) to sell its Swiss unit to Sunrise Communication Group.

Walt Disney (DIS) may take WarnerMedia’s (T) 10% stake in Hulu.

Standex International (SXI) to sell its Cooking Solutions Group to Middleby (MIDD) for $105 million.

ZF Friedrichshafen may bid for WABCO Holdings (WBC).

Western Union (WU) to sell Speedpay to ACI Worldwide (ACIW) for $750 million.

Pre-Market Movers:


TTOO +37%, RUBI +14%, CRC +13%, SRRA +12%, COLL +9%, TWNK +8%, CVNA +8%, JD +8%, MNST +7%, TBIO +6%, RGNX +6%, SOI +6%, WBC +6%, TPC +6%, IMGN +5%, BILI +5%, HGV +5%, KW +5%,


SYNH -27.9%, BOX -25.1%, WIFI -16.2%, TDOC -14.5%, FIT -14.1%, HPQ -13.6%, BKNG -9.7%, CELG -8.4%, AAOI -7.6%, PRAH -6.9%, ORBC -6.6%, LB -6.6%, SQ -6.3%, SKY -5.9%, PDCE -5.7%, KOS -5.6%, ITRI -5.6%,