Morning Note -5/8/19

Corporate Actions IPOs on deck for This Week: 11 IPOs  still due this week with Uber coming public on Friday. Hot deals include Axcella Health, HeadHunter Group, South Plains Financial and Uber. IPOs on deck for Today: Parsons (PSN) of note. Secondaries on deck: ED IZEA of note. IPO News: Uber has enough demand to…

Corporate Actions

IPOs on deck for This Week: 11 IPOs  still due this week with Uber coming public on Friday. Hot deals include Axcella Health, HeadHunter Group, South Plains Financial and Uber.

IPOs on deck for Today: Parsons (PSN) of note.

Secondaries on deck: ED IZEA of note.

IPO News: Uber has enough demand to price at the top of range.

Other Filings of Note:   SPR files mixed shelf offering.  ED GMS files common offering.  IFF files senior notes.

Courtesy of IPO Financial

Earnings After The Close:

Beat:  PAGP +0.53, JAZZ +0.51, RNR +0.42, POWL +0.33, PLT +0.29, ENTA +0.25, PEN +0.19, PLYA +0.18, QRVO +0.16, SWX +0.16, AVLR +0.15, IRTC +0.15, Y +0.14, ESE +0.14, LOPE +0.13, CGBD +0.13, HUBS +0.11, EA +0.10, PAA +0.10, MTCH +0.09, DIOD +0.09, EVRI +0.08, IOSP +0.07, PZZA +0.07, CRZO +0.07, BECN +0.06, ACLS +0.06, CSOD +0.06, FG +0.06, INSP +0.05, GHDX +0.05, KGC +0.05, TRIP +0.05, EDIT +0.04, MODN +0.04, FANG +0.04, MYGN +0.03, OHI +0.03, PRI +0.03, TWOU +0.03, CWK +0.03, WING +0.03, FLT +0.03, EVH +0.02, PUMP +0.02, OUT +0.02, CHUY +0.02, AVD +0.01, LADR +0.01, TWO +0.01, LC +0.01, COLD +0.01.

Flat: NVTA +0.00, QUOT +0.00, HCKT +0.00, GTES +0.00, CTRE +0.00, WMC +0.00, VREX +0.00, NCR +0.00.

Missed: YFT (7.93), FARM (3.08), S (0.53), SEMG (0.32), ADT (0.31), RTRX (0.27), WMGI (0.27), BOLD (0.25), PEGA (0.24), SGMS (0.21), ZAGG (0.12), OSPN (0.11), WTTR (0.11), INGN (0.09), DDD (0.08), PBPB (0.08), CRAY (0.08), FATE (0.07), OAS (0.06), VOYA (0.05), HCLP (0.05), JBGS (0.05), MMI (0.05), HALO (0.04), WU (0.04), CERS (0.03), OPK (0.02), DVA (0.02), LTHM (0.01), ICHR (0.01), APEI (0.01), QTWO (0.01), PRMW (0.01), MTSI (0.01).


News After The Close:

Hawaiian Airlines (HA) traffic rises +3.7% in April over April 2018.

Skywest (SKYW) traffic rises +6.2% in April over April 2018.

Farm Brothers (FARM) announces that Interim CEO Michael Keown to depart immediately and Christopher Ottern to take over.

Secretary of State Pompeo skips Germany and arrives in Iraq.

Stock Repurchase: MTW VOYA ALSN SRI CATY

Dividend Increase: VOYA (in Q3)

Hourly Action This  Week:

This week now sees four hours positive and three hours that are negative. Updated through Tuesday.

Courtesy of Quantitative Partners, Inc.

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

U.S. futures: S&P -17.25, Dow Jones -136, NDX -56 and Russell 2000 -10.20 with fair values  HIGHER ADDING TO LOSSES.  Asia and Europe mixed, click through for details by country.

Gold and silver higher with copper lower. WTI Crude 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 $124.14 from $123.81 with yields lower since Tuesday morning with the yield at 2.43% from  2.48%. Prices as of 8:15 a.m. EDT.

Top Sectors Tuesday: None of note.

Weakest Sectors Tuesday: Healthcare, Industrials, Services and Technology.

One Month Winners: Conglomerates, Financials, Services and Consumer Goods.

Three Month Winners:  Conglomerates, Services, Technology, Consumer Goods and Industrials.

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

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

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

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


Thursday Before The Open:  DUK BDX BAM KDP CNQ PDD TU AEE MGA LNG CNP CAH NCLH of note.

Earnings This Morning Of Note 

Beat: ESPR +2.83, TGI +0.46, BG +0.32, CEIX +0.22, CBRE +0.18, HZNP +0.18, SATS +0.17, NXST +0.17, BCOR +0.15, ATRO +0.14, RDUS +0.12, TRI +0.11, SUM +0.09, MCHP +0.08, FTDR +0.08, ATHM +0.06, MPLX +0.05, ACM +0.05, CFX +0.04, MYE +0.04, VG +0.03, MCK +0.03, WAAS +0.02, WEN +0.02, GOLD +0.02, BV +0.02, ODP +0.01, COTY +0.01, SMI +0.01, VER +0.01

 Flat: GCP +0.00

Missed:  HMC (-7.93), ICPT (0.45), CBB (0.37), NCS (0.30), FOLD (0.27), MPC (0.27), STWD (0.24), MSG (0.19), SGRY (0.17), MGI (0.12), TAST (0.12), SPB (0.11), GOLF (0.11), MIDD (0.10), ANDX (0.10), PLUG (0.05), SBGI (0.03), GTN (0.03), FUN (0.02), TELL (0.02), MDGL (0.01), PFGC (0.01), CHK (0.01), LXP (0.01)


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

Top Story: China backtracks on trade deal according to Reuters. (CNBC)

Five Things You Need To Know To Start Your Day. (Bloomberg)

Iran to stop complying with nuclear deal. (NYT)

China trade hawks since Trump Administration gaining ground. (Bloomberg)

Data Points

Major weakness across the board yesterday gave ground again and today based on futures could see more weakness. Changes in bold.

Yesterday saw 509  stocks rise and 2356 fall on the NYSE. NASDAQ saw 717 rise and 2379 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 to cash from buy, the 10DMA needs to have two days in row below -200. We remain with a buy as our 10 day moving average for now but the 10DMA is below -200. If today finishes below +60, then we will stay bel0w -200 and go to cash. 

Courtesy of Quantitative Partners, Inc.

YTD 79% (+1% week over week) of stocks are higher and 21% are lower. Updated 5/3/19 close with next update on 5/10/19 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.

Yesterday saw all indexes close 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:

API Petroeuem Data Institute saw Crude Oil Inventories build by +2.80 million barrels and Gasoline Inventories drew 2.833 million barrels.

Weekly Crude Oil Inventories are due out at 8:30 a.m. EDT.

$27 Billion of 10 year Treasuries to be auctioned at 1:30 p.m. EDT.


President Trump meets with his cabinet at 11:30 a.m. EDT and then visits Florida to see area where Hurricane Michael hit and then later hold a MAGA Rally.

Federal Reserve Governor Brainard speaks at 8:30 a.m. EDT and she speaks again on Friday. 

Conferences & Analyst Meetings: 

Analyst Meetings/Notable Conference Call: COST (monthly sales call) INTC (investor meeting)  USAK (analyst/investor day) MJCO (investor/analyst day) LPSN (investor day) EOLS (investor/analyst day) VRNA (investor/analyst R&D day)

Sellside Conferences: D.A. Davidson Financial Institutions Conference. Deutsche Bank Annual Healthcare Conference. Oppenheimer Annual Industrial Conference.  SunTrust Robinson Humphrey Annual Life Sciences Conference. J.P. Morgan Annual China Summit. Jefferies Software Conference. Credit Suisse Spring Utilities & Renewables Conference.

Industry Conferences:  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. American Academy of Neurology Annual Meeting.

M&A Activity

Dover (DOV) to buy All-Flo, no terms.

Andeavor Logistics LP (ANDX) to be acquired by MPLX in unit for unit transaction.

Upgrades & Downgrades

Best Upgrade of the Day: None of note.

Worst Upgrade of the Day: None of note.

Pre-Market Movers:


OUT +13%, EVH +9.5%, EVRI +9%, MTSI +9%, MTCH +9%, AVLR +8%, EA +8%, DIOD +8%, AKCA +7%, CYH +6%, SGMS +6%, TXMD +5%, QRVO +5%


INGN -26%, NVTA -18%, TWOU -17%, DDD -16%, SUPN -13%, PBPB -12%, LTHM -11%, HCLP -8%, AERI -8%, MYGN -7%, FARM -7%, TRIP -6%, OPK -6%, X -5%,