After Hours Summary: Quiet after hours session; COST +0.1% reports March comps; LNDC -9.4% falls on earningsAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: RGP +3.3%
Companies trading higher in after hours in reaction to news: SBBP +3.3% (announces publication of diabetes subgroup analysis), HRZN +0.9% (provides portfolio update for Q1), BNGO +0.4% (announces presentations on optical genome mapping at AACR), TWTR +0.1% (has discussed a $4 bln deal to buy audio chat app Clubhouse, according to Bloomberg), COST +0.1% (reports March adjusted comps of +11.1%)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: LNDC -9.4%
Companies trading lower in after hours in reaction to news: OTIC -7.8% (stock offering), PRGS -4.8% (convertible notes offering), VIEW -2.6% (stock offering), AMRS -1.3% (files mixed securities shelf offering; also stock offering), IEA -0.9% (stock offering), TPL -0.6% (new CFO), INVE -0.3% (stock offering), FPI -0.3% (stock offering), ASR -0.3% (reports March passenger traffic data), ES -0.1% (names new CEO)
From: research@oscargruss.com At: 04/07/21 15:15:20
To: Laurent Chekroun (MAKOR SECURITIES LO ) Subject: Attractive SPAC Upcoming IPOs
DISCLAIMER This information represents neither an offer to buy or sell any security nor, because it does not take into account the differing needs of individual clients, investment advice. Those seeking investment advice specific to their financial profiles and goals should contact their Oscar Gruss & Son Incorporated sales representative. Oscar Gruss & Son Incorporated believes this information to be reliable, but no representation is made as to accuracy or completeness. This information does not analyze every material fact concerning a company, industry, or security. Oscar Gruss & Son Incorporated assumes that this information will be read in conjunction with other publicly available data. Matters discussed here are subject to change without notice. There can be no assurance that reliance on the information contained here will produce profitable results. A security denominated in a foreign currency is subject to fluctuations in currency exchange rates, which may have an adverse effect on the value of the security upon the conversion into local currency of dividends, interest, or sales proceeds. The value of securities and depositary receipts of foreign issuers that are denominated in United States dollars are also influenced by fluctuations in currency exchange rates. © 2021 Oscar Gruss & Son Incorporated. All rights reserved.
Gapping up
In reaction to earnings/guidance:
- HIMX +7.1%, SMPL +2%, SGH +1.8%, UMC +1.5%
Other news:
- CAHC +9.4% (LumiraDx to list on Nasdaq via merger with CA Healthcare Acquisition Corp)
- NVST +8.9% (to join S&P MidCap 400)
- AKBA +7.8% (FGEN's news is seen as a positive for AKBA's competing anemia drug candidate)
- TMDX +6.9% (receives positive FDA Advisory Committee vote for OCS Heart System)
- APDN +6.9% (enters into a Material Transfer Agreement that establishes a real-time surveillance program for the tracking of SARS-CoV-2 mutations in Northwell's COVID-positive specimens)
- IDCC +6% (to join S&P SmallCap 600)
- EBON +5.2% (responds to Hindenburg Report)
- ALKS +5.2% (entered into a clinical trial collaboration and supply agreement with Merck (MRK) for a planned phase 3 study to evaluate nemvaleukin alfa in combination with KEYTRUDA in comparison to investigator choice chemotherapy in patients with platinum-resistant ovarian cancer)
- NCLH +3.5% (US cruises could resume by mid-summer with restrictions, says CDC, according to Bloomberg)
- CCL +3% (US cruises could resume by mid-summer with restrictions, says CDC, according to Bloomberg)
- AER +2.5% (announced its major business transactions during the first quarter 2021)
- RCL +2.3% (US cruises could resume by mid-summer with restrictions, says CDC, according to Bloomberg)
- FOXA +2.1% (files suit against Flutter to enforce its rights to acquire interest in FanDuel)
- SAIC +1.9% (awarded a contract worth ~$800 mln from US Army)
- QGEN +1.3% (launches QIAseq DIRECT SARS-CoV-2 Kit)
Analyst comments:
- KTB +2.8% (upgraded to Buy from Neutral at UBS)
- ANF +2.4% (upgraded to Buy from Neutral at UBS)
- LB +2.4% (upgraded to Buy from Neutral at UBS)
- VIAC +2% (upgraded to Outperform from Peer Perform at Wolfe Research)
- EPR +1.6% (upgraded to Buy from Underperform at BofA Securities)
Gapping down
In reaction to earnings/guidance:
- MAXN -4.8% (also announces major new initiative to expand in US solar market), RPM -1.4%, MSM -0.8%
Other news:
- FGEN -29.1% (provides clarification of certain prior disclosures on roxadustat; receives FDA notice of CRDAC date for NDA for roxadustat set for July 15)
- FIXX -11.1% (stock offering)
- GEO -9.1% (suspends quarterly dividend to maximize repayment of debt while it evaluates corporate structure)
- PHR -5.6% (stock offering)
- IONS -4.8% (announces private placement of $500 mln of convertible notes)
- UPST -4.5% (offering of 2 mln shares of its common stock)
- LI -4.3% (convertible notes offering)
- CXW -4.2% (files for mixed securities shelf offering)
- XOMA -2.8% (prices $35 mln offering of depositary shares; represent an interest in 8.375% Series B Cumulative Perpetual Preferred Stock)
- OM -1.9% (stock offering)
Analyst comments:
- VERX -2.9% (downgraded to Underweight from Equal-Weight at Morgan Stanley)
- BFAM -1% (downgraded to Underweight from Equal-Weight at Morgan Stanley)
- CMS -1% (downgraded to Neutral from Buy at Seaport Global Securities)
- CS -0.6% (downgraded to Neutral from Outperform at Exane BNP Paribas)
JPMorgan CEO Jamie Dimon Sees ‘Goldilocks Moment’ for U.S. Economy
Stimulus, infrastructure spending and vaccines could fuel an economic boom into 2023, he tells shareholders in his annual letter
The leader of America’s biggest bank said the U.S. economy is emerging from the coronavirus pandemic into a boom that could last until 2023.
In his annual letter to shareholders Wednesday, JPMorgan JPM -0.70% Chase & Co. Chief Executive Jamie Dimon said strong consumer savings, expanded vaccine distribution and the Biden administration’s proposed $2.3 trillion infrastructure plan could lead to an economic “Goldilocks moment”—fast, sustained growth alongside inflation and interest rates that drift slowly upward.
Mr. Dimon’s outlook is decidedly rosier than it was a year ago, when he warned shareholders to brace for a “bad recession” in which U.S. gross domestic product could fall by up to 35%. He wrote last year’s letter just weeks after he was rushed into emergency surgery to repair a life-threatening heart injury, and the U.S. went dark to stop coronavirus from spreading.
The U.S. government’s rapid and deep monetary and fiscal intervention over the past year helped prevent many of the worst outcomes, said Mr. Dimon, who has since made a full recovery from the aortic tear he suffered in March 2020.
“It’s a lot of money, and it’s bound to cause a booming economy,” he said in an interview with The Wall Street Journal. “Shame on us if we don’t use that growth to help those who need it most.”
In his letter, Mr. Dimon called for laying the foundation for long-term economic growth with a yearslong, nationwide “Marshall Plan”—referring to the U.S. initiative to help Western Europe rebuild after World War II.
Affordable child care, streamlined safety-net programs and job training that leads to higher-wage jobs would increase labor-force participation, he said. But such a plan, Mr. Dimon said, “may very well mean higher taxes for the wealthy.”
“[Taxes] are going to have to go up; you can’t run a 10% to 15% deficit forever,” he said in the interview. “If people thought their taxes were going toward helping the poor and disadvantaged, they would much prefer to pay a higher amount.”
Any changes to the corporate-tax rate, he said, should be “reasonable and moderate” to keep the U.S. competitive with other countries.
Banks, which tend to benefit from periods of growth, would welcome a boom. They held up better than expected after the coronavirus devastated the economy last year, thanks largely to the unprecedented government stimulus granted to consumers and businesses. Much of that aid coursed through big banks such as JPMorgan.
The $3.4 trillion-asset bank posted a record quarterly profit in the final three months of 2020, a strong end to a year that began with a 69% decline in earnings. Analysts expect a profit of about $9.26 billion when JPMorgan reports first-quarter results next week.
In the coming months, JPMorgan and other big banks are expected to free up tens of billions of dollars in reserves they set aside to cover soured loans that still haven’t materialized, a year into the pandemic.
Still, a number of obstacles could derail the boom, Mr. Dimon said. Faster-than-expected inflation could lead the Federal Reserve to raise short-term interest rates, which would weigh on business investment and overall growth. The recovery could also fail to meet its potential if government investments in infrastructure aren’t accompanied by specific mechanisms to measure efficacy, he said.
In his 65-page letter, Mr. Dimon also laid out how the bank’s roughly 250,000 employees will work post-pandemic. Many will be in the office full-time, with smaller numbers splitting time between home and the office or working totally remotely, Mr. Dimon said.
A coronavirus outbreak on the trading floor of the bank’s Madison Avenue headquarters last March and April rattled some rank-and-file employees who were expected to continue coming into the office.
The bank is moving forward with plans to construct a new headquarters in New York that will accommodate between 12,000 and 14,000 employees, he said.
Early premarket gappers
- Gapping up:
- CAHC +20%, NVST +9.1%, AKBA +7.1%, IDCC +6.9%, EBON +5.6%, TMDX +4.9%, NCLH +2.7%, SGH +2.5%, CCL +2.4%, RCL +1.9%, UMC +1.6%, HIMX +1.6%, QGEN +1%, FOXA +0.8%
- Gapping down:
- FGEN -28.7%, XOMA -10.5%, FIXX -10.4%, PHR -6.7%, UPST -5.1%, IONS -4.2%, MSM -4%, LI -3.6%, OM -1.9%, MAXN -0.8%, KXIN -0.7%, MGI -0.7%
- Imperial Brands (ITB TH) +2.2%
-
Shop Apotheke (SAE TH) +2%
- Shop Apotheke Prelim 1Q Revenue EU284M
- BP (BPE5 TH) +2%
-
CD Projekt (7CD TH) +1.9%
- Street Insider: CD Projekt SA (CDR:PW) (OTGLY) PT Lowered to PLN180 at Morgan Stanley
- Telefonica (TNE5 TH) +1.7%
- IAG (INR TH) +1.7%
- Ryanair Sees FY Net Loss EU800m-850m, Saw Loss EU850m-950m (1)
- Glaxo (GS7 TH) +1.6%
- TUI (TUI1 TH) +1.3%
- ASML (ASME TH) -0.8%
- Some Samsung Suppliers Up on Results; Chip Stocks Little Changed
- Saint-Gobain (GOB TH) -0.8%
- Faurecia SE (FAU TH) -1%
-
Maersk (DP4B TH) -1.1%
- Watch Shipping Stocks After Cosco Surges in Hong Kong on Beat
- Stellantis (8TI TH) -1.5%
- ABN AMRO (AB2 TH) -1.6%
- Equinor (DNQ TH) -2.2%
DAX:
- No major moves
MDAX:
- Nordex (NDX1 TH) +2.8%
- Statement: Nordex Group receives 68 MW orders from Energiequelle from Finland
- Shop Apotheke (SAE TH) +2.5%
- Shop Apotheke Prelim 1Q Revenue EU284M
- K+S (SDF TH) +1%
- Aixtron (AIXA TH) +0.6%
- Some Samsung Suppliers Up on Results; Chip Stocks Little Changed
- Thyssenkrupp (TKA TH) -0.6%
SDAX:
- Deutz (DEZ TH) +1.3%
- Grenke (GLJ TH) -0.9%
- Grenke 1Q Leasing New Business Volume EU365.8M Vs. EU681.3M Y/y
- Borussia Dortmund (BVB TH) -0.9%