Morning Note – 5/3/19

Corporate Actions IPOs on deck for This Week: 7 IPOs due this week. Hottest deals for the week were Beyond Meat (BYND) and TransMedics Group (TMDX) and they ripped higher on Thursday. IPOs on deck for Today: River Red Bancshares (RRBI) SciPlay (SCPL) Trevi Therapeutics (TRVI) Yunji (YJ). Secondaries on deck:  TSLA VCYT ZLAB SRC . IPO News: Other Filings…

Corporate Actions

IPOs on deck for This Week: 7 IPOs due this week. Hottest deals for the week were Beyond Meat (BYND) and TransMedics Group (TMDX) and they ripped higher on Thursday.

IPOs on deck for Today: River Red Bancshares (RRBI) SciPlay (SCPL) Trevi Therapeutics (TRVI) Yunji (YJ).

Secondaries on deck:  TSLA VCYT ZLAB SRC .

IPO News:

Other Filings of Note:   TDS files mixed shelf offering. SRC files common offering.

Courtesy of IPO Financial

Earnings After The Close:

Beat: CRC +0.94, LPLA +0.35, OLED +0.34, ATVI +0.33, AOSL +0.31, X +0.28, MELI +0.26, ACA +0.26, ANET +0.24, TDS +0.19, EOG +0.16, BKH +0.16, GILD +0.16, MTZ +0.15, PMT +0.15, USM +0.14, MSI +0.13, POST +0.13, BAND +0.13, TSLX +0.12, BLDR +0.11, ANIK +0.11, CATM +0.11, WW +0.10, RPD +0.10, ERI +0.10, ACIA +0.09, ICFI +0.09, FNKO +0.08, UCTT +0.08, CBPX +0.08, MRC +0.07, FTNT +0.07, FLS +0.07, AMN +0.06, MERC +0.06, PODD +0.06, AMKR +0.06, GSHD +0.06, CCS +0.05, CPSI +0.05, MNST +0.05, BRKR +0.04, EPAY +0.04, GPOR +0.04, RMD +0.04, SWKS +0.04, ECOL +0.04, LYV +0.03, HTGC +0.03, SPXC +0.03, ATGE +0.03, ZIXI +0.03, BL +0.03, DATA +0.03, PVG +0.03, WAIR +0.03, G +0.03, CNXN +0.03, ERII +0.02, MDRX +0.02, TDC +0.02, SHLX +0.02, WTS +0.02, ED +0.02, EXPE +0.01, VIAV +0.01, AMH +0.01, NSA +0.01, RMAX +0.01, UPLD +0.01, AIV +0.01, CPT +0.01, KWR +0.01, FND +0.01, PLNT +0.01, PBA +0.01.


Missed: LGND (28.73), BZH (3.34), CARB (0.81), PTCT (0.60), XOG (0.60), FSLR (0.52), EBS (0.31), CC (0.31), SRCL (0.30), LPSN (0.21), BLUE (0.16), VRAY (0.13), UIS (0.13), ATUS (0.13), CTSH (0.13), ARCB (0.12), HAYN (0.11), FTAI (0.10), CUB (0.08), NPTN (0.08), OEC (0.08), NFG (0.07), RBBN (0.06), PCTY (0.06), GDDY (0.05), GMED (0.05), BGS (0.05), MATW (0.05), FLDM (0.04), APPF (0.04), TTOO (0.03), USX (0.03), HLF (0.02), CYRX (0.02), TRUP (0.02), ALEX (0.01), REG (0.01), KLIC (0.01), CSLT (0.01).

Still To Report: 

Dividend Increases: 

Stock Repurchases: ANIK ANET MERC

News After The Close:

Amgen (AMGN) and Syapse announce a precision medicine collaboration in oncology.

J.P. Morgan (JPM) and Microsoft (MSFT) to work together on enterprise blockchain.

Tata Motors (TTM) sees April Sales drop -22%.

Hourly Action This  Week:

This week now sees two hours positive and five hours negative. Ugly!

Courtesy of Quantitative Partners, Inc.

What’s Happening This Morning: Futures on the S&P 500 .

U.S. futures: S&P +8.75, Dow Jones +67, NDX +43 and Russell 2000 +4 with fair values HIGHER CUTTING INTO GAINS, EX THE RUSSELL WHICH IS LOWER.  Asia mixed and Europe stronger, click through for details by country.

Gold lower, silver higher and copper higher. WTI Crude and Brent Oil Futures lower. Natural Gas is higher. $ is higher vs Euro, higher vs. Pound and flat vs. Yen. US 10 year Treasury price $123.11 from $123.45 with yields lower since Wednesday morning with the yield at 2.558% from 2.523%. Prices as of 8:15 a.m. EDT.

Top Sectors Thursday: Healthcare.

Weakest Sectors Thursday: Conglomerates, Materials and Technology.

One Month Winners: Services, Technology, Financials and Industrials.

Three Month Winners:  Technology, Consumer Goods and Services.

Six Month Winners: Technology, Services, Industrials and Utilities.

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

Year to Date: All higher led by Conglomerates, Technology, Services, Industrials and Consumer Goods.

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

Today After The Close:  CBPO of note.


Earnings This Morning Of Note 

Beat: SIX +0.26, AMT +0.16, OPI +0.14, XRAY +0.10, TRP +0.09, WPC +0.08, NWL +0.08, ITT +0.07, VST +0.07, NJR +0.05, HMSY +0.05, BIP +0.04, ESNT +0.04, IMGN +0.03, GLOG +0.01. 


Missed: AFI (0.29), FCAU (0.14), TWI (0.11), NBL (0.03), VIRT (0.03), D (0.02)

Still To Report:

Rags & Mags: Highlighted Stories may be clicked through to the original story.

Top Story:

Five Things You Need To Know To Start Your Day. (Bloomberg) Bank of England out after the Fed yesterday. Earnings are a mixed bag. Attorney General standoff. Markets mixed and more economic data.

Warren Buffet notes that Berkshire Hathaway (BRKB) has been buying Amazon (AMZN). (CNBC)

Iranian Oil Minister believes that OPEC is at risk of a collapse. (Bloomberg)

Facebook (FB) will introduce a cryptocurrency based payments system. (WSJ)

DOJ warns the FTC that there should not be a broad award in the FTC case with Qualcomm (QCOM). (WSJ)

Marriott (MAR) CEO Arne Sorenson diagnosed with stage 2 pancreatic cancer, will begin treatment immediately.

CNBC Interviews this morning. Comments of note. Warren Buffet would not have fired Wells Fargo (WFC) Tim Sloan. Mario Gabelli positive on Textron (TXT) and Genuine Parts (GPC). (CNBC)

Softbank in discussion for several hundred billion fro Oman. (The Trade Exchange)

Data Points

We are changing the comments on the various moving averages to a table. We  added a few more indexes on Tuesday. Major violations across the board yesterday.

Yesterday saw 1303  stocks rise and 1539 fall on the NYSE. NASDAQ saw 908 rise and 1568 fall.

The QPI10 Day Moving Average of Breadth (10DMA) is invested on the open from cash Friday morning 3/22 at 2854.88. For a move from  cash to buy, the 10DMA needed to have two days in row above +200. We remain with a buy as our 10 day moving average remains above -200. 

Courtesy of Quantitative Partners, Inc.

YTD 79% (+1% week over week) of stocks are higher and 21% are lower. Updated 4/26/19 close with next update on 5/3/19 close.

Courtesy of Phil Erlanger Research, Inc.

Algo/HFT Trading Levels:

The Erlanger Value Lines track the intraday range of resistance, pivot and support used by Algo/HFT Traders. Each day we show where we closed within the range.

Thursday saw the S&P and Russell close pivot to support while the Dow finished below support.

Courtesy of Phil Erlanger Research

The Value Lines may be accessed via Bloomberg. For a free trial if you are a Bloomberg user go to APPS CS:ERLA

Economic & Related:

April Nonfarm Payrolls are due out at 8:30 a.m. EDT and are expected to rise to 200,000 from 196,000. The unemployment rate is expected to stay at 3.8%.


President Trump meets with the president of the Slovak Republic.

Federal Reserve Vice Chairman Richard Clarida speaks at 11:30 a.m. EDT.

Federal Reserve New York President John Williams speaks at 1:45 p.m. EDT.

After the close, Federal Reserve St. Louis President James Bullard speaks at 7:45 p.m. EDT.

Conferences & Analyst Meetings: 

Analyst Meetings/Notable Conference Call: KBR (investor meeting) MSON (conference call on Solsys acquisition)

Sellside Conferences: None of note. 

Industry Conferences: The American Society of Pediatric  Hematology/Oncology. American Urological Annual Meeting. American Association of Orthodontists Annual Meeting. American Society of Cataract and Refractive Surgery and American Society of Ophthalmic Administrators Annual Meeting.

M&A Activity

Misonix (MSON) to buy Solsys Medical, LLC.

Balchem (BCPC) announces they are buying Chemogas NV, no terms.

Upgrades & Downgrades

Best Upgrade of the Day. Maxim upgraded BREW to buy as stock has been weak and shorts now heavy. When short squeezed on average they lose 26% in BREW.

Worst Upgrade of the Day – Deutsche Bank upgrade MELI after it is up 76% for the year.

Pre-Market Movers:


WW +16%, OLED +15%, ZIXI +14%, BYND +14%, MELI +13%, CARB +10%, UCTT +8%, CRC +8%, CBLK +7%, SHAK +7%, MNST +7%, FNKO +6%, MTZ +6%. 


FND -15%, SRCL -14%, ANET -14%, APPN -13%, EPAY -11%, TDC -9%, GMED -8%, RBBN -8%, LOCO -7%, CTSH -7%, NPTN -6%, LGND -6%, KLIC -5%, BGS -5%, PLNT -5%, ACIA -5%, APPF -5%, FSLR -5, UIS -5%, BL -5%, ATVI -4%.