Closing Stock Market SummaryFollowing yesterday's huge rally, there wasn't much up or down price action for the stock market after some mild turbulence coming out of the gate. Nonetheless, it was a pretty good day for the bulls since sellers were reluctant to undo yesterday's gains. There might have also been an element of trepidation in today's trade as participants awaited the November Employment Situation Report tomorrow at 8:30 a.m. ET.
Market participants were contending with the idea that they might have overreacted yesterday and that the growth environment is going to be challenging given the past rate hikes and the rate hikes that are yet to come. A 49.0% reading for the November ISM Manufacturing Index, which is the first sub-50% reading (the dividing line between expansion and contraction) since May 2020, also took some steam out of the upside momentum.
The 2-yr note yield fell 15 basis points to 4.23% and the 10-yr note yield fell 17 basis points to 3.53%.
Strikingly, stocks did not respond more favorably to the big drop in market rates today. There could be some reservations about the growth signaling from the precipitous drop in Treasury yields in play there. A sharp slowdown in economic activity -- or possibly a recession -- is not a plus for earnings growth prospects. Accordingly, some underlying valuation angst may have acted as a restraint for the stock market today.
The main indices moved higher initially after the latest readings for the PCE and core-PCE Price Indexes showed a welcome moderation on a year-over-year basis. The upside momentum ran into a wall as the S&P 500 tested the 4,100 level and participants digested the ISM release.
Starting around 10:30 a.m. ET, the stock market clung to a narrow trading range after the S&P 500 tested a key technical level (its 200-day moving average at 4,048). That line of support held, but it will be a key area to watch in coming days. Market bulls will want to see it hold up and preferably with the support of heavy volume.
Due to the ugly showing from Salesforce (CRM 147.00, -13.25, -8.3%), and a handful of other components, the Dow Jones Industrial Average (-0.6%) trailed its peers. Salesforce reported earnings and announced that Bret Taylor will step down as co-CEO at the end of January.
Only three of the 11 S&P 500 sectors were able to log a gain today, but none of the sectors moved more than 0.7% in either direction. Communication services (+0.3%) and health care (+0.2%) led the outperformers while financials (-0.7%) and consumer staples (-0.5%) brought up the rear.
- Dow Jones Industrial Average: -5.4% YTD
- S&P Midcap 400: -9.5% YTD
- Russell 2000: -16.2% YTD
- S&P 500: -14.5% YTD
- Nasdaq Composite: -26.6% YTD
Reviewing today's economic data:
- Personal income increased 0.7% month-over-month in October (consensus 0.4%) and personal spending jumped 0.8% ( consensus 0.8%). The PCE Price Index was up 0.3% month-over-month ( consensus 0.4%) and the core-PCE Price Index, which excludes food and energy, increased 0.2% ( consensus 0.2%).
- The key takeaway from the report was the improvement in the inflation readings, particularly the core-PCE Price Index given Fed Chair Powell's emphasis that the Fed's policy tools are better designed for working on core inflation.
- Initial jobless claims for the week ending November 26 decreased by 16,000 to 225,000 (consensus 238,000) while continuing claims for the week ending November 19 increased by 57,000 to 1.608 million.
- The key takeaway from the report is that the low level of initial claims remains indicative of an otherwise solid labor market but, importantly, it also continues to favor a potentially softer landing for the economy.
- The final IHS Markit Manufacturing PMI reading for November came in at 47.7 after a 47.6 reading in October.
- The November ISM Manufacturing Index dropped to 49.0% (Briefing.com consensus 49.8%) from 50.2% in October. The dividing line between expansion and contraction is 50.0%, so the sub-50.0% reading for November reflects a contraction in manufacturing activity. The ISM for November hit its lowest level since May 2020, breaking a string of 29 months of expansion.
- The key takeaway from the report is that manufacturing activity contracted for the first time since May 2020, demonstrating that the cumulative effect of rate hikes around the globe are adversely impacting demand while at the same time curtailing inflation pressures.
- Total construction spending decreased 0.3% month-over-month in October ( consensus -0.2%) following a downwardly revised 0.1% increase (from 0.2%) in September. Total private construction declined 0.5% month-over-month while total public construction spending increased 0.6%. On a year-over-year basis, total construction spending was up 9.2%.
- The key takeaway from the report is that private construction spending was weak on the residential and nonresidential side of things, presumably due to rising interest rates that are making construction projects more expensive to finance at a time when broader economic activity is slowing due in part to the rising interest rates.
- Weekly EIA Natural Gas Inventories showed a draw of 81 bcf versus a a draw of 80 bcf last week.
Looking ahead to Friday, market participants will receive the November Jobs Report, which includes: Nonfarm Payrolls (consensus 200,000; prior 261,000), Nonfarm Private Payrolls ( consensus 200,000; prior 233,000), Average Hourly Earnings ( consensus 0.3%; prior 0.4%), Unemployment Rate ( consensus 3.7%; prior 3.7%), Average Workweek (consensus 34.5; prior 34.5)
After Hours Summary: ASAN -12.7%, ZS -10.3%, MRVL -6.8%, AOUT -5.1%, VEEV -4.5% lower on earnings; PATH +8.5%, SMAR +8%, PD +4.7% higher on earningsAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: IOT +21.8%, PATH +8.5%, SMAR +8%, PD +4.7%, ULTA +0.2%
Companies trading higher in after hours in reaction to news: CARG +1.5% (reports Nov operating data), ACHR +1.5% (completes Maker's first full transition flight), MMX +0.9% (Canadian court grants interim order re proposed combination of MMX and TFPM), TFPM +0.7% (Canadian court grants interim order re proposed combination of MMX and TFPM), LEU +0.5% (signs contract with US Dept of Energy with base value of $150 mln), FSR +0.5% (responds to report published by Fuzzy Panda Research), SWBI +0.4% (FBI NICS firearm background checks report), VTEX +0.2% (reports Nov GMV data), MRVI +0.1% (names new CEO, to start in July 2023)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: ASAN -12.7%, ZS -10.3%, MRVL -6.8%, AOUT -5.1%, VEEV -4.5%, ZUMZ -3.8%, CHPT -2.2%, AMBA -1.5%, ARCE -0.9%
Companies trading lower in after hours in reaction to news: YMAB -11.1% (FDA issues CRL for omburtamab, FDA says it's unable to approve the BLA in its current form), PYCR -2.7% (commences 5 mln share offering by selling shareholders), VSTO -1% (FBI NICS firearm background checks report), PCG -0.8% (CPUC says it no longer needs enhanced oversight over PG&E vegetation mgmt practices), OPEN -0.5% (names CFO Carrie Wheeler as CEO), RGR -0.2% (FBI NICS firearm background checks report), CI -0.1% (files mixed securities shelf offering), VAC -0.1% (increases dividend), LMT -0.1% (awarded $431 mln U.S. Army contract), RJF -0.1% (increases dividend; also authorizes new $1.5 bln share repurchase program)
Accord conclu entre Dassault Aviation et Airbus sur l'avion de combat du futur
ENTRETIEN - Le Système de combat aérien du futur (Scaf) franchit une étape clef. Après deux fausses alertes en quinze jours, Éric Trappier, PDG de Dassault Aviation, confirme, dans une interview exclusive au Figaro, et après avoir informé Emmanuel Macron et Sébastien Lecornu, ministre des Armées, avoir trouvé un accord industriel avec Airbus, sur l'avion de combat de nouvelle génération (NGF), composante essentielle du Scaf.
Depuis un an, un différend opposait les deux industriels, ce qui avait gelé ce projet, le plus ambitieux lancé en Europe en matière de coopération dans l'armement. Et dont l'enjeu est d'assurer la sécurité et la défense du vieux continent, en donnant un successeur au Rafale construit par Dassault Aviation et à l'Eurofighter, développé par un consortium associant Airbus, le britannique BAE et l'italien Alenia.
À l’issue de négociations serrées, un accord a donc été trouvé. Il réaffirme le rôle de chef de file de la France, celui de maître d'œuvre et d'architecte du NGF de Dassault Aviation. Il protège aussi la propriété intellectuelle des technologies et savoir-faire français. La France, de son côté, a réaffirmé sa liberté d'exporter le NGF, une « donnée connue » de l'Allemagne et de l'Espagne, les deux pays partenaires du Scaf, sur laquelle « la France ne reviendra pas », selon les mots de Sébastien Lecornu. L'accord industriel ouvre la voie à la signature du contrat d'études, dite Phase 1B, qui doit préparer la construction d'un démonstrateur, dont les essais en vol sont prévus à horizon 2027.
Le Figaro. - Depuis un an, le projet de Système de combat aérien du futur (Scaf) est suspendu à un accord industriel entre Airbus et Dassault Aviation* sur l'avion de combat de nouvelle génération (NGF). Aujourd'hui, êtes-vous en mesure d'annoncer que cet accord a été conclu ?
Éric Trappier. – Le Scaf est un projet politique lancé par le Président Emmanuel Macron et la Chancelière Angela Merkel en 2017, et à l'arrêt depuis l'été 2021. Alors, oui, aujourd'hui c'est fait. Nous avons un accord avec Airbus. Tous les blocages ont été levés. Nous allons pouvoir entrer dans l'exécution de la nouvelle phase d'études, dite 1B, qui doit préparer le développement d'un démonstrateur, qui devrait voler vers 2029. Il ne reste plus que la signature formelle des contrats d'ici à quelques jours. Ils seront notifiés par la Direction générale de l'armement, qui est l'agence exécutive des contrats, au nom des trois pays partenaires – France, Allemagne et Espagne.
Ces deux dernières semaines, des politiques en Allemagne et en France ont annoncé que cet accord avait été trouvé. Avez-vous subi des pressions ?
Il y a eu des pressions de toutes parts. Nous en avons mis. Nous en avons subi. Mais tant que l'accord industriel n'était pas conclu, il était prématuré de l'annoncer. Aujourd'hui, c'est fait, donc nous pouvons le rendre public.
Avez-vous obtenu toutes les garanties que vous exigiez ou avez-vous dû faire des concessions ?
Toute négociation implique des concessions. Mais oui, nous avons obtenu toutes les garanties pour ouvrir une nouvelle phase de ce qui est, je le rappelle, une phase d'études amont et pas encore un programme. Nous sommes confirmés dans notre rôle de maître d'œuvre et d'architecte de l'avion et nous avons obtenu la protection de notre savoir-faire industriel et de nos technologies. Ce qui signifie la mise en place d'une organisation industrielle qui a un leader et des partenaires. La propriété des travaux à réaliser en commun sera partagée, mais les technologies et le savoir-faire qui nous appartiennent ne le seront pas. C'est un accord gagnant-gagnant pour toutes les parties.
Dans quel état d'esprit abordez-vous cette nouvelle phase ?
Nous sommes animés par l'enthousiasme, la détermination et la satisfaction. Enthousiasme et détermination car nous avons l'ambition de faire voler un nouveau démonstrateur d'avion de combat dans quatre à cinq ans, ce qui n'était pas arrivé depuis le premier vol du démonstrateur européen nEUROn voici tout juste dix ans ! Être l'architecte d'un nouvel avion de combat est très motivant pour notre société, nos équipes, celles d'Airbus notre partenaire principal, d'Indra et de nos partenaires historiques que sont Safran, Thales et MBDA. Sans oublier notre écosystème de sous-traitants dans les trois pays, qui participera à l'aventure. Je sais pouvoir compter sur leurs compétences et leur motivation pour relever ce défi. Sans compter tous les jeunes que nous allons recruter pour travailler avec les plus anciens, qui ont participé à l'aventure du Rafale. C'est un projet qui permet le renouvellement des générations et la transmission des compétences.
C'est un projet ambitieux puisqu'il s'agit de préparer le successeur du Rafale, qui sera opérationnel après 2040. Dans l'intervalle, le Rafale continuera à évoluer et à être commercialisé. J'ai confiance dans le fait que de nouveaux pays l'adopteront. Il volera encore pendant des décennies au sein des forces françaises et de celles de nos clients à l'international.
Satisfaction aussi car la Direction Générale de l'Armement, au nom des trois pays, nous accorde sa confiance, ce qui nous place devant nos responsabilités pour répondre aux attentes des armées de ces pays partenaires.
Qu'en est-il de la liberté d'exporter le NGF ?
Nous la revendiquons car notre modèle industriel ne peut pas fonctionner sans exportation. Toutefois, ce sujet n'est pas de notre ressort mais de celui de l'État. Je salue les propos sans ambiguïté adressés à la représentation nationale, à la fois par la Première ministre et par le Ministre des armées, sur le caractère fondamental de la liberté d'exporter. Nos partenaires de longue date ou plus récent, qui ont acheté le Rafale, comptent sur nous pour poursuivre leur relation stratégique avec la France.
Certains estiment que Dassault Aviation a fait traîner les discussions et qu'il ne veut pas vraiment coopérer avec Airbus…
C'est plus un sentiment qu'une réalité. Lorsque l'Espagne a rejoint le projet Scaf en juin 2019, Dassault Aviation et Airbus Allemagne ont accueilli dans le NGF un nouvel industriel qui n'est autre qu'Airbus Espagne. Nous avons accepté que le volume de travail et le leadership des tâches revenant à notre société soient réduits à un tiers, les deux autres tiers revenant à Airbus, via ses deux filiales. Nous avons donc bien fait des concessions.
Nous savons aussi coopérer, comme le montre le succès du projet nEUROn. C'était aussi complexe : six pays européens se sont fédérés avec leurs industriels. Nous avons trouvé une organisation efficace, qui donne à chaque industriel un rôle qui correspond à ses compétences. Et, cela a marché : nous avons fait voler le premier drone de combat furtif en Europe et nous avons tenu le budget et le calendrier.
Notre société coopère également avec Airbus dans le cadre du programme de drone de surveillance Eurodrone. L'organisation est claire : Airbus est maître d'œuvre et leader, Dassault Aviation et l'italien Leonardo sont ses partenaires. Pour le NGF, il faut aussi une organisation claire. À défaut, le risque était de retomber dans les travers de certaines coopérations du passé.
Dassault Aviation sera-t-il impliqué dans d'autres piliers du Scaf ?
Le Scaf est un système de systèmes au sein duquel évolue un avion, le NGF, qui en est le cœur. Il devra être motorisé et capable avec son propre système de tirer les armes du futur mais aussi de communiquer et de s'interfacer avec des drones, des réseaux de communications, etc. C'est pourquoi, nous contribuerons aussi au pilier 2, qui porte sur le développement d'un nouveau moteur, confié à Safran, et aux piliers 3 et 4 qui portent sur la conception de drones, confiée à Airbus, et sur le cloud de combat, placé sous la responsabilité d'Airbus.
Nous allons aussi mettre en place un plateau numérique, avec les outils de Dassault Systèmes, et installer un cloud souverain 100% européen, afin d'assurer des niveaux d'accès aux données et un échange d'informations entre partenaires fluide et sécurisé. Une équipe mixte franco-germano-espagnole sera installée chez Dassault Aviation, sur un plateau à Saint-Cloud.
Quand sera signé le contrat de développement du démonstrateur ?
Les spécifications du démonstrateur sont en cours d'élaboration. La phase 2, qui sera la commande du démonstrateur proprement dit et de ses vols, dépend du résultat de la phase d'études dans laquelle nous entrons. Un nouveau contrat devra être signé d'ici deux à trois ans.
Le Scaf peut-il être un déclencheur pour faire avancer l'Europe de la défense et instaurer une préférence européenne ?
De nombreux pays européens ont préféré acheter américain. Cela m'attriste. Le concept de préférence n'est pas retenu en Europe contrairement aux États-Unis et à la Chine. Or l'industrie de défense est une composante centrale de la souveraineté. Le Scaf peut aider à promouvoir une préférence européenne. La France est un des rares pays de l'UE à l'appliquer. Comme le Ministre des armées l'a rappelé, l'avion de combat du Scaf est stratégique, car il devra être, tant pour l'armée de l'Air et de l'Espace que pour la Marine Nationale, la composante aéroportée de la dissuasion, comme c'est aujourd'hui le cas pour le Rafale.
Intermix Said to Have a Buyer: Regent L.P.
Regent's investments include Club Monaco, Escada, DiamondBack, La Senza, Sassoon, and Lillian Vernon, among others.
Intermix, the 30-unit multi-brand specialty store, appears to be on the verge of being sold.
According to sources, Regent, L.P., the Beverly Hills, California, private equity firm, has signed a deal to acquire Intermix from Altamont Capital Partners, the Palo Alto-based private equity firm. Regent’s investments include Club Monaco, Escada, DiamondBack, La Senza, Sassoon, Lillian Vernon, Plainville Farms, and Sunset Magazine, among other brands.
Officials at Regent and Altamont Capital Partners couldn’t be reached for comment Wednesday night. A spokeswoman for Intermix didn’t return an e-mail seeking comment.
Sources said that 60 Intermix employees have been laid off. As reported last month, Intermix had paused all payments to vendors.
According to sources, Regent had competed against another bid from Intermix co-founder Haro Keledjian and his ex-wife, Sari Sloane (former fashion director of Intermix), who are business partners in The Westside and Everafter, who were putting together a pool of investors to acquire Intermix.
Sources indicate that Regent looks to expand the retail chain, run it more efficiently, and invest more in their direct-to-consumer channel, leveraging their e-commerce expertise.
Last month, when rumors were flying that Intermix was in financial trouble, the company said it was “exploring several options to navigate the challenging retail and economic environment in an effort to strengthen the company’s long-term position. The company is confident in its path forward.”
Intermix has been faced with too much inventory, a slowdown in sales, improperly budgeting for overall expenses, and a highly competitive and challenging retail environment. The retailer’s transition to a stand-alone company after being owned by The Gap Inc. has been a difficult road. In May 2021, The Gap sold Intermix to Altamont Capital Partners, which included all store leases, e-commerce and assets, for an undisclosed sum. Intermix had accounted for less than 1 percent of Gap Inc’s sales. The Gap had acquired Intermix for $130 million in 2012.
Last month, Karen Katz, the interim chief executive officer of Intermix, stepped down and was succeeded immediately by James Rushing, the interim chief financial officer. Rushing was named interim CEO. Katz had been in the role since June 7, and remained on the board, which she joined in April. She couldn’t be reached for comment Wednesday. Katz had taken over from Jyothi Rao, CEO, who resigned for personal reasons last spring after eight years in the role. She had succeeded Intermix co-founders Khajak Keledjian and his brother Haro in leading the company.
Altamont Capital’s portfolio includes such brands as Planet Fitness, Billabong and Brixton.
Among the contemporary and designer brands that are sold at Intermix are Ulla Johnson, Frame, Jimmy Cho, Altuzarra, A.L.C., Ganni, Ronny Kobo, Veronica Beard, L’Agence, Mackage, Missoni, Proenza Schouler, Re/Done, Cinq a Sept, Jonathan Simkhai, Farm Rio, and LaQuan Smith.
In May 2021, Ralph Lauren sold Club Monaco to Regent, L.P. Since its inception, Regent has successfully acquired businesses from leading Fortune 500 and large-cap companies around the globe and deploys its strategic operational expertise to fuel growth. Its portfolio includes companies in retail, media, and technology.
Research Calls
- Upgrades:
- BioXcel Therapeutics (BTAI) upgraded to Neutral from Sell at Goldman; tgt $16
- Cellnex Telecom SA (CLNXF) upgraded to Buy from Neutral at UBS
- Lennox Int'l (LII) upgraded to Overweight from Equal Weight at Wells Fargo; tgt raised to $300
- Navient (NAVI) upgraded to Equal-Weight from Underweight at Morgan Stanley; tgt raised to $16
- Pentair (PNR) upgraded to Overweight from Equal Weight at Barclays; tgt raised to $55
- Regions Fincl (RF) upgraded to Outperform from Peer Perform at Wolfe Research; tgt $24
- SpartanNash (SPTN) upgraded to Buy from Neutral at Northcoast
- StoneCo (STNE) upgraded to Neutral from Sell at Goldman; tgt raised to $11
- Thomson Reuters (TRI) downgraded to Underperform from Neutral at Exane BNP Paribas
- U.S. Bancorp (USB) downgraded to Peer Perform from Outperform at Wolfe Research
- Vontier (VNT) downgraded to Peer Perform from Outperform at Wolfe Research
- Downgrades:
- Ally Financial (ALLY) downgraded to Underweight from Equal-Weight at Morgan Stanley; tgt lowered to $19
- B&G Foods (BGS) downgraded to Underweight from Equal Weight at Consumer Edge Research; tgt $9
- Capital One (COF) downgraded to Underweight from Equal-Weight at Morgan Stanley; tgt lowered to $90
- Eni S.p.A. (E) downgraded to Hold from Buy at HSBC Securities
- Equinor (EQNR) downgraded to Hold from Buy at HSBC Securities
- G-III Apparel (GIII) downgraded to Neutral from Overweight at Piper Sandler; tgt lowered to $22
- Hubbell (HUBB) downgraded to Underperform from Peer Perform at Wolfe Research; tgt $235
- Leslie's (LESL) downgraded to Hold from Buy at Stifel; tgt lowered to $15
- Liberty Global (LBTYA) downgraded to Neutral from Overweight at JP Morgan; tgt $23
- ONE Gas (OGS) downgraded to Sell from Neutral at Guggenheim; tgt $64
- Otis Worldwide (OTIS) downgraded to Equal Weight from Overweight at Barclays; tgt $80
- PagSeguro Digital (PAGS) downgraded to Sell from Neutral at Goldman; tgt lowered to $9
- Pearson Plc (PSO) downgraded to Neutral from Outperform at Exane BNP Paribas
- Regal Rexnord (RRX) downgraded to Peer Perform from Outperform at Wolfe Research
- Saia (SAIA) downgraded to Underperform from Neutral at BofA Securities; tgt lowered to $215
- Sirius XM (SIRI) downgraded to Sell from Buy at Citigroup; tgt lowered to $6
- Synchrony Financial (SYF) downgraded to Underweight from Equal-Weight at Morgan Stanley; tgt lowered to $29
- Others:
- Aclaris Therapeutics (ACRS) initiated with a Buy at Goldman; tgt $25
- ADT (ADT) resumed with a Buy at Citigroup; tgt $11
- Altimmune (ALT) initiated with a Buy at Goldman; tgt $20
- Day One Biopharmaceuticals (DAWN) initiated with a Buy at BofA Securities; tgt $34
- Duck Creek Technologies (DCT) initiated with a Neutral at JP Morgan; tgt $13
- Fusion Pharmaceuticals (FUSN) resumed with a Buy at B. Riley Securities; tgt $10
- GoodRx (GDRX) initiated with a Buy at Citigroup; tgt $7
- Guidewire Software (GWRE) initiated with an Overweight at JP Morgan; tgt $78
- NeoGames (NGMS) initiated with a Buy at Deutsche Bank; tgt $174
- Palo Alto Networks (PANW) initiated with a Buy at Redburn; tgt $270
- RAPT Therapeutics (RAPT) initiated with a Buy at Goldman; tgt $27
- Sapiens Int'l (SPNS) initiated with an Underweight at JP Morgan; tgt $20
- scPharmaceuticals (SCPH) initiated with an Outperform at Cowen; tgt $25
- SentinelOne (S) initiated with a Neutral at Redburn; tgt $18
- SpringWorks Therapeutics (SWTX) initiated with a Buy at BofA Securities; tgt $45
- Sunnova Energy (NOVA) initiated with a Buy at Janney; tgt $33
- Sunrun (RUN) initiated with a Neutral at Janney; tgt $30
- TriplePoint Venture Growth (TPVG) initiated with a Neutral at UBS; tgt $13.50
Gapping down
In reaction to earnings/guidance:
- GIII -28.4% (also extends license agreements with PVH), ESTC -14.4% (also announces workforce reduction), BIG -10.7%, DBI -10.1%, SSL -9.8%, CRM -7.2% (also Bret Taylor will step down as Vice Chair and Co-CEO on Jan 31; Marc Benioff will be Chair and CEO), DG -5.4%, OGS -4.4% (issues downside FY23 EPS guidance), VSCO -4.3%, SNOW -4.2%, LZB -3% (also increases dividend by 10%), SMTC -1.6%
Other news:
- AURA -16% (prices offering of 6.7 mln shares of common stock at $12.00 per share)
- SHLS -9.7% (CEO to step down for health reasons; also launches 20 mln share offering; also files mixed securities shelf offering)
- NTLA -7.2% (prices offering of 6550219 shares of common stock at $45.80 per share)
- XPEV -6.1% (reports Nov deliveries)
- FREY -4.8% (stock offering)
- CTO -4.3% (priced an upsized underwritten public offering of 3000000 shares of its common stock at a price to the public of $19.00/share)
- LI -3.9% (reports Nov deliveries)
- ATUS -3.7% (concludes its review of strategic alternatives for Suddenlink business - unanimously determined that the company continues to operate Suddenlink)
- COST -2.7% (reports Nov comps)
- SAIA -2.3% (provides shipment and tonnage data for first two months of Q4)
- ISEE -1% (prices offering of 13.35 mln shares of common stock at $22.50 per share)
- NIO -0.9% (reports Nov deliveries)
- LMND -0.8% (stock offering)
Analyst comments:
- ALLY -3.8% (downgraded to Underweight from Equal-Weight at Morgan Stanley)
- COF -2.3% (downgraded to Underweight from Equal-Weight at Morgan Stanley)
- BGS -0.9% (downgraded to Underweight from Equal Weight at Consumer Edge Research)
Gapping up
In reaction to earnings/guidance:
- OKTA +16.7%, FIVE +9.4%, PVH +8.7% (also extends license agreements with GIII), SNPS +8.1%, SPLK +7.8%, NTNX +4.4%, KR +3.3%, TGLS +3.2% (guidance), PSTG +2.8%, NCNO +2.2% (also Bank of New Zealand selects nCino Bank Operating System), TD +2.1%
Other news:
- ARCE +13.4% (receives Non-Binding Going Private Proposal for $11.00 per share in cash)
- OFIX +7.4% (receives competing takeover bid from private equity)
- CTXR +6.8% (receives FDA acceptance for BLA of denileukin diftitox)
- RGR +5.6% (declares special dividend of $5.00/sh)
- ONCY +5.1% (receives FDA Fast Track designation for the treatment of advanced/metastatic pancreatic cancer)
- RLYB +4.9% (Rallybio and AbCellera (ABCL) announce strategic alliance to discover develop and commercialize novel antibody-based therapeutics for rare diseases)
- AUPH +2.3% (UK grants Great Britain marketing authorization of LUPKYNIS)
- INVA +2.1% (FDA accepts Priority Review of NDA for Sulbactam-Durlobactam)
- AJRD +1.9% (awarded a $240 mln contract modification from Missile Defense Agency)
- ABCL +1.6% (Rallybio and AbCellera (ABCL) announce strategic alliance to discover develop and commercialize novel antibody-based therapeutics for rare diseases)
Analyst comments:
- ALT +4.6% (initiated with a Buy at Goldman)
- ACRS +0.9% (initiated with a Buy at Goldman)
- DAWN +0.9% (initiated with a Buy at BofA Securities)
Early premarket gappers
- Gapping up:
- OKTA +13.9%, FIVE +8.7%, SPLK +8.1%, PVH +7.9%, RGR +7.4%, NTNX +5.7%, SNPS +5.1%, OFIX +5%, RLYB +4.9%, PSTG +4.2%, AUPH +2.3%, INVA +2.1%, ARCE +1.2%, ABCL +1.1%, RTX +0.8%, GE +0.8%, EDAP +0.7%, YEXT +0.6%
- Gapping down:
- GIII -25.6%, ESTC -14.5%, BIG -14.1%, SHLS -10.4%, XPEV -8.5%, NTLA -8.2%, SSL -7.2%, CRM -6.5%, FREY -6.4%, SNOW -5.2%, LI -5.1%, CTO -4.6%, OGS -4%, NIO -3.5%, COST -3.3%, VSCO -2.3%, LZB -1.9%, BMO -1.9%, ISEE -1.8%, LMND -1.8%, SAIA -1.8%, SMTC -1.6%, WBD -0.9%, TSLA -0.7%, AMZN -0.5%, SPNE -0.5%, NCNO -0.5%, CM -0.5%
