After Hours Summary: HEI up on earnings, BA lower on MAX suspensionAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: HEI +2.3% (also increases dividend)
Companies trading higher in after hours in reaction to news: AGIO +4.8% (receives Breakthrough Therapy Designation for TIBSOVA from the FDA), ONCE +0.8% (FTC closes Roche investigation), LLY +0.5% {dividend increase), OFLX +0.4% declares special dividend of $3.50 per share), KALU +0.3% (announces new five year labor agreement)
After Hours Losers:
Companies trading lower in after hours in reaction to news: MEIP -23.1% (announces offering), CLVS -10.7% (files for $250 mln mixed shelf offering), CARS -3% (CEO resigns), ROKU -2.9% (CFO to step down), APTO -0.9% (announces offering), BA -0.6% (confirms it will suspend 737 MAX production in Jan)
Closing Stock Market SummaryThe stock market rose further into record territory on Monday, as the Phase One trade deal and an improving Chinese economy helped maintain the market's bullish bias. The Nasdaq Composite (+0.9%) rose above the S&P 500 (+0.7%), Dow Jones Industrial Average (+0.4%), and Russell 2000 (+0.7%).
The initial reaction to the trade deal was muted on Friday, so today was less about the actual deal and more about what it means moving forward: less uncertainty, and optimism, in the economic outlook. This view contributed to Monday's strong open, which accounted for most of today's gains as the S&P 500 drifted sideways for most of the session.
China's industrial production and retail sales figures, which grew faster than expected in November, added to the positive economic outlook also shared by the homebuilders. For instance, the NAHB Housing Market Index hit its highest level since 1999, increasing to 76 in December (Briefing.com consensus 69) from 69 in November.
The S&P 500 energy (+1.4%), utilities (+1.3%), and health care (+1.1%) sectors each rose more than 1.0%. The market also continued to draw influential support from Apple (AAPL 279, +4.71, +1.7%).
Conversely, the industrials sector (-0.03%) was pressured by weakness in shares of Boeing (BA 327.00, -14.67, -4.3%) and FedEx (FDX 164.10, -1.57, -1.0%) following separate reports from The Wall Street Journal.
Boeing is reportedly considering halting or cutting back production for its 737 MAX amid continued re-certification uncertainty. Amazon (AMZN 1769.21, +8.27, +0.5%) reportedly banned third-party sellers from using FedEx Ground for Prime shipments until delivery performance improves.
In M&A activity, DuPont (DD 64.89, +0.09, +0.1%) agreed to merge its Nutrition & Biosciences unit with International Flavors (IFF 120.00, -13.98, -10.4%) in a combined $45.4 billion deal. WPX Energy (WPX 11.90, +0.99, +9.1%) agreed to purchase Felix Energy for $2.5 billion.
U.S. Treasuries finished on a lower note, driving yields higher in a curve-steepening trade. The 2-yr yield increased three basis points to 1.53%, and the 10-yr yield increased seven basis points to 1.89%. The U.S. Dollar Index declined 0.1% to 97.05. WTI crude increased 0.2%, or $0.10, to $60.21/bbl.
Reviewing Monday's economic data:
- The NAHB Housing Market Index for December increased to 76 (consensus 69) from 69 in November, hitting its highest level since 1999.
- The Empire State Manufacturing Survey for December increased to 3.5 (consensus 3.5) from the prior month's reading of 2.9.
Looking ahead, investors will receive Housing Starts and Building Permits for November, Industrial Production and Capacity Utilization for November, and the JOLTS - Job Openings survey for October on Tuesday.
- Nasdaq Composite +32.8% YTD
- S&P 500 +27.3% YTD
- Russell 2000 +22.4% YTD
- Dow Jones Industrial Average +21.0% YTD
Renault’s Bolloré Called Foul on Nissan’s Ghosn Probe Days Before Ouster
Boardroom clash highlights how secret moves by executives last year are still disrupting management
Three days before he lost his job in October, then- Renault SA RNO 1.38% chief Thierry Bolloré demanded an independent audit of Nissan Motor Co. NSANY 0.26% ’s investigation into former Chairman Carlos Ghosn, citing concerns the probe was tainted by conflicts of interest, according to a letter by Mr. Bolloré.
Nissan rejected the demand, accusing Mr. Bolloré of being a Ghosn sympathizer. The boardroom clash pointed to how secret moves by the Japanese car maker’s executives last year that resulted in Mr. Ghosn’s arrest are still disrupting management.
At a Nissan board meeting on Oct. 8, Mr. Bolloré read out a letter in which he said he was moved to act after reading articles in The Wall Street Journal that highlighted concerns about the Ghosn investigation raised by Nissan’s general counsel and former audit chief.
“To my astonishment, none of these problems has been raised to my attention by Nissan’s management or governance bodies,” Mr. Bolloré said in the letter, which was viewed by the Journal. He said he learned of the complaints “only through an article in The Wall Street Journal.”
He called for “the formal launch of an external, fully independent audit” of the Nissan investigation “and more broadly of any conflict of interest.”
Later that week, Mr. Bolloré was fired as Renault chief executive officer. The next month, he also gave up the Nissan board seat he had also held as part of the global alliance between the French and Japanese auto makers.
A Nissan spokeswoman said Monday: “Nissan was and remains satisfied that its internal investigation was properly conducted.”
In a letter of response to Mr. Bolloré, excerpts of which were viewed by the Journal, Nissan said it wouldn’t “investigate the investigation.” It said the former Renault chief’s letter included inaccurate information and “read like allegations that one would expect to be made by a representative of Mr. Ghosn.”
Nissan’s letter to Mr. Bolloré said its investigation “greatly benefited” both auto makers in part because the findings enabled Nissan to cancel nearly $200 million in payments to which Mr. Ghosn may otherwise have been entitled.
Mr. Ghosn, who was arrested in November 2018, is living in Tokyo and awaiting trial on charges of financial wrongdoing. He says he is innocent of all the charges.
The Bolloré letter casts new light on the Renault CEO’s ouster. He was removed in part because of his increasingly rocky relationship with Nissan, which was threatening the viability of the 20-year-old partnership, say people familiar with the Renault board proceedings.
In addition to prompting a backlash at Nissan, Mr. Bolloré’s actions also peeved Renault Chairman Jean-Dominique Senard, according to a person close to Renault. “Mr. Senard was aware, but didn’t approve of the letter being read at the board meeting,” said the person.
The reading of the letter came before the board’s discussion of Nissan’s next CEO at the same meeting, which involved some diplomacy by Mr. Senard, people close to Renault said.
Mr. Bolloré disputed that he acted out of turn, saying that the statements he made to Nissan’s board were decided together with Mr. Senard and had been prepared by Renault and its consultants.
“By mutual agreement with Jean-Dominique Senard, it was decided that I would speak for the directors who represented Renault on the Nissan Board of Directors, by reading this document emanating from Renault,” Mr. Bolloré said Monday.
In the letter, Mr. Bolloré took particular aim at the roles of Hari Nada, a Nissan executive who oversaw legal and compliance issues, and Latham & Watkins, the law firm hired by Nissan to conduct its investigation.
Mr. Bolloré questioned why Mr. Nada retained his roles at Nissan despite being one of the Nissan executives who brought allegations against Mr. Ghosn to prosecutors. Mr. Nada had knowledge of alleged wrongdoing by Mr. Ghosn and signed an agreement to cooperate with prosecutors in return for not being charged. Mr. Bolloré said the board needed to “take immediate steps” to ensure that Mr. Nada would “no longer be involved in any way in the misconduct matters.”
At the board meeting where Mr. Bolloré read his letter, directors decided to remove Mr. Nada from his role overseeing legal affairs. But in its later response to Mr. Bolloré, Nissan rejected the suggestion that harsher measures were required, using language in defense of Mr. Nada that hasn’t been previously disclosed.
“Mr. Nada is a whistleblower who has made various protected disclosures,” the Nissan letter said. “The actions proposed by Renault would not be appropriate or legal.”
Regarding Latham & Watkins, Mr. Bolloré said the law firm conducted its investigation “despite multiple, clear conflicts of interests” because it had earlier given advice to Nissan about some of the issues being examined.
“There is no basis to suggest that Latham’s previous advice to the company has compromised the investigation’s findings in any way,” Nissan wrote in its response. The potential for conflicts of interest was raised and vetted at Nissan, and the firm took steps to remove conflicts by using lawyers who had no prior dealings with Nissan, the company said.
Latham has defended its role in the investigation, saying it was regularly vetted by Nissan management. Latham representatives didn’t respond to requests for comment Monday.
Nissan has said it needs to refocus on its business, where sales and profit are falling and 12,500 job cuts are planned. But the legal fallout from Mr. Ghosn’s arrest has preoccupied management, say people involved in the discussions.
The Nissan reply to Mr. Bolloré dominated the attention of senior Nissan executives and lawyers for weeks, said one of the people. At Nissan’s last board meeting in November, where directors were planning for the Dec. 1 installation of a new CEO and top management team, most of the discussion dealt with legal issues, said people familiar with the meeting.
One person close to the board said the lesson of the Bolloré clash was the need for more transparency between Nissan management and directors. “We must put everything on the table to move past these issues,” this person said. “We just don’t want everything in the press.”
Capri Holdings to Acquire Italian Shoe Manufacturer and Atelier Alberto Gozzi
The factory, owned and operated by the Gozzi family since its founding in 1974, has manufactured high-end shoes for many of the world’s top luxury brands over the years.
Capri Holdings Ltd., parent of Michael Kors, Versace and Jimmy Choo, has signed a definitive agreement to acquire Italian atelier and shoe manufacturer Alberto Gozzi Srl in Pistoia, Tuscany. The price of the deal was undisclosed. The transaction is expected to close in the company’s fourth fiscal quarter.
The 15,600-square-foot factory, owned and operated by the Gozzi family since its founding in 1974, has manufactured high-end shoes for many of the world’s top luxury brands over the years, including the Gozzi family’s private label collection. The Gozzi brand is being discontinued and is not part of the acquisition.
Moving forward, the factory will develop and produce shoes exclusively for Capri’s brands Jimmy Choo and Versace. The production of Michael Kors Collection shoes will be added at a later date.
“We are excited to welcome all of Gozzi’s talented craftsmen to the Capri Holdings Group,” said John D. Idol, chairman and chief executive officer of Capri. “This acquisition allows us to further align with the industry’s best practices and to strengthen our technical competencies while cementing our position in the global luxury market.”
Idol was unavailable for further comment regarding the factory’s capabilities and which styles it will specifically be making. Gozzi officials weren’t available for comment.
Capri delivered mixed results in its most recent quarter ended Sept. 28. Total sales increased 5.1 percent to $1.4 billion compared to $1.25 billion a year ago, thanks to the addition of Versace, which was acquired in December 2018. Total income declined to $73 million, down from $138 million a year earlier.
As Handbag Sales Dip, the Luxury Bag Sees a Renewed Focus at Retail
"The trend is reversing to the designer level," said Lisa Aiken, fashion director of Moda Operandi.
The status bag, the shining star of the handbag category, had its golden period in the Aughts. Names like the Paddington, the Muse, the Saddle bag or the Motorcycle bag were part of a trend for an “It” bag of the moment.
Now, more than a decade later, the idea of one bag having it all has dimmed. According to an October report from The NPD Group, the handbag business is down 20 percent in the first eight months of 2019, compared to 2016.
Using the amount of bags on the spring runways as an indicator, the category is still a key driver of business and buzz for brands, but the entry points have expanded over the last five years. The rise of the resale market — where prestige names like Chanel and Hermès, two brands that sit atop the status food chain, can be bought at reduced prices — is beginning to chip away at market share. New brands are building buzz on social media and offer an entry-level contemporary price.
“The ability to have multiple avenues is changing the landscape,” said Lisa Aiken, fashion director at Moda Operandi. “Many brands came out of the direct-to-consumer model, which can be quite powerful and build longevity as the brand is able to control its scarcity. So, for a new brand, entertaining that concept can be interesting, but it limits growth if held onto it for too long. Ultimately, it can become difficult to sustain and gain momentum versus more traditional models. Resale is yet another interesting facet. It gives customers the confidence to invest in designer as it holds value for longer.”
Consumers’ attitudes about the resale market have shifted. Once the favorite of thrifty college students and hipsters, the resale accessories market now offers a buy-in on luxury handbags with marquee names that telegraph a level of social capital.
“We’ve experienced exponential growth this year,” said Charles Gorra, chief executive officer and founder of Rebag.
The digital native luxury retailer, a privately held company, also has a nascent brick-and-mortar footprint. In June, the company opened its largest store yet, in Miami, at 2,800 square feet.
Gorra said at resale, Hermès, Chanel and Louis Vuitton rule the roost, as they account for more than half of the market. He calls them “collectibles,” noting that some styles can often go for higher amounts at resale than a new-to-retail style.
The company has launched a subscription program, Rebag Infinity, where die-hard bag lovers can every few months swap out bags they bought on the site. The program allows shoppers to resell bags within six months of purchase for a guaranteed 70 percent of the original price. The credit is applied toward their next purchase with Rebag.
While Gorra, who had a brief stint in business development at Rent the Runway before launching his company in 2014, wouldn’t share how many customers use the program, he said in 2020 the strategy is “to make it not a feature, but our core business.”
“We have seen an overwhelming response to Daniel Lee’s Bottega Veneta, along with Prada and Loewe,” Akin said of the luxury brands at Moda that have been performing well.
She added that Bottega Veneta is the retailer’s fastest-selling bag brand, adding that the over $2,000 price “doesn’t deter interest or volume.”
“The best way to run a really successful accessories business is to understand which brands have a really strong offering. And then to put your money into those brands,” explained Jeffery Kalinsky, president and founder of Jeffrey USA, and vice president and designer fashion director of Nordstrom Inc.
Kalinsky said it’s no longer about just one bag shape as “there are all types of shapes that perform well.”
Similar to the resale market, the lion’s share of the category goes to Chanel.
“There is nothing that can compare to the Chanel handbag business. Season after season, year after year, historically a strong business that is a phenomenon,” he said.
Kalinsky noted the luxury category is rounded out by the usual European suspects — naming Saint Laurent, Gucci, Prada and Fendi, with the Celine handbag business “really starting to become more and more important,” noting the Triomphe as an important shape for the brand.
Another game changer is the rise of social media where tags — #purse has 16.9 million tags, #handbags 6.2 million and #itbag 488,000 tags — and “likes” do all the talking. Brands like Wandler, Staud and Cult Gaia, which sit at a more accessible price point, first resonated with consumers on Instagram. But social media can quickly burn through a trend, before it can gain traction at the sales level.
“In recent years, there has been a flush of contemporary bag brands that were able to make their name through social media,” said Aiken. “I believe this trend is slowly going to wind down. Instead, the trend is reversing to the designer level. Ultimately, people are returning to those investment pieces, like a handbag.”
In March, Instagram unveiled Checkout, a feature that lets users shop seamlessly within the app and allows creators to tag specific pieces of clothing, accessories or products, complete with links to purchase. It remains to be seen how this will affect the luxury handbag category.
“There was definitely a mix this past season,” Akien said of preorders placed at Moda after the spring runway shows concluded. “The soft leather clutch resonated with Moda team and our customers — like Loewe’s reintroduction of the Flamenco bag. Bottega Veneta will continue to be a powerhouse in the handbag space.
“The Simone Rocha bag struck a chord with our customers also as it was our best-selling bag from our spring-summer 2020 trunk shows. Another bag of note was Valentino’s Super V. The house has seen success from their take on the logo belt and it is now gaining traction within the handbag category in multiple sizes and color options,” she added.
So even though handbag sales are down overall, at retail there is a renewed focus on brands with a luxury price point. “Perhaps the better phenomenon is the ‘it’ brand,” Kalinsky said.
Chanel and Farfetch Unveil ‘Boutique of Tomorrow’
After seven months of testing at Chanel’s largest store in Paris, the digital innovation project is ready to roll out to other boutiques.
PARIS — Chanel and Farfetch are finally ready to roll out their “boutique of tomorrow.”
Almost two years after announcing an exclusive long-term tie-up, the French fashion house and the luxury e-commerce platform have unveiled the first results of their pilot digital innovation project at 19 Rue Cambon, Chanel’s largest store in Paris, as they prepare to share the technology with other boutiques in the French capital.
“Welcome to the best boutique in the world,” said a smiling Bruno Pavlovsky, president of Chanel fashion activities and president of Chanel SAS, as he stood in the ready-to-wear section on the second floor of the store.
At first glance, the space — dominated by an 18th-century Coromandel screen reminiscent of the one in Gabrielle “Coco” Chanel’s nearby apartment — looked identical to when it was inaugurated in November last year.
But over the last seven months, store manager Elisa Lagayette and her team have upended the way they interact with customers, with the introduction of two apps — one for clients, the other for sales associates — and connected mirrors in the changing rooms.
“We always say the best technology is technology you can’t see,” said Sandrine Deveaux, executive vice president of Farfetch’s retail innovation business unit, called Store of the Future. “The team worked incredibly hard to apply that principle throughout the process,” she added.
Indeed, the technology — developed in concertation with store staff — is designed to augment, not replace the human connection between customers and their fashion advisers, or FA’s, in Chanel parlance. “That’s very different from e-commerce. One of the main objectives was about storytelling and inspiration,” said Deveaux.
“The context is very simple: Our customer has no time,” explained Pavlovsky. “When they dedicate one hour or two hours in the boutique, they just want to be sure that they see the maximum of what they like,” he said, reiterating that the brand has no plans to introduce online sales for its ready-to-wear and handbag categories.
“The question is to be able to offer an experience which is much richer or deeper than just e-commerce. You can get everything you want to have on e-commerce,” he noted. “Here, it’s something different. We want to be sure that if you pick a jacket, it’s the right one for you.”
So far, some 1,400 customers have been invited to download the client application, which allows them to view content and create a wish list before coming to the store. Once on site, they can access exclusive connected content via 30 pads, roughly the size of a makeup compact, discreetly dotted throughout the store.
The most popular takes the viewer on a virtual tour of Chanel’s private apartment, a stone’s throw away at 31 Rue Cambon, which can be visited by appointment only. Customers can also view runway images of the collections designed by creative director Virginie Viard, dive into product categories and access playlists and podcasts.
During this time, the sales associate will prepare the fitting room, using the information she has received by scanning the client’s QR code to suggest additional or alternative items, depending on in-store availability. Using the connected mirror, she can show footage of how the item appeared on the runway or in a campaign.
The tool, which can be switched off anytime by the client, is designed as a shortcut to get to know her tastes. Rather than spend time fetching items from the shop floor, the FA will run them past the customer first by sending an image to the connected mirror and eliminating unsuitable options.
Lagayette said the technology has already had a positive impact on sales.
“This conversation is really helping us to sell the accessories of the look or different accessories, so I think the cross-sell is really impactful. The engagement of the client also: the number of visits she does, the amount she spends,” she reported. “It’s creating a huge difference.”
Deveaux underlined, however, that none of the project’s key performance indicators were linked to turnover.
“The reaction of the customers is extremely positive,” said Pavlovsky, who noted that the technology is being continuously fine-tuned, based on the response of clients and the roughly 50 sales associates who work at the store.
“It’s not perfect. We still have some improvements to offer to the customers. We listen to these customers because every week, we have a minimum of 60 of them with whom we have connections, so we get their feedback,” the executive said. “It’s an endless process.”
The partnership with Chanel, announced in February 2018, was the first of its kind for Farfetch since it launched its Store of the Future division in 2015 and acquired London boutique Browns, turning it into a testing ground for innovations in omnichannel retail technology, or what it calls augmented retail.
As part of the agreement, Chanel took a minority stake in Farfetch, though financial details and the size of the stake were not disclosed.
Back in his office at Chanel headquarters, Pavlovsky and Farfetch founder and chief executive officer José Neves, joining by telephone from London, delved into the philosophy behind the project, and discussed how they plan to bring it to other locations.
“We believe it is ready to be scaled,” said Neves. “We plan to roll out to other Chanel boutiques starting with France, and then we will see. The first pilot was obviously the most important step. The adoption is amazing from both the FA’s and the clients and it is a real solution.”
Farfetch plans to eventually offer similar platforms to other brands such as Thom Browne, in addition to its own Browns boutique opening on Brook Street in London in the second quarter of 2020. But while the operating system might be the same, it will develop tailor-made content for each brand.
“The tech can be the same. It’s not about tech. It’s about experience, and the experience is specific for each brand,” said Pavlovsky. “The beauty of what we have done here is that we have been able to develop something which is just Chanel.”
Neves said that once they started working together, Farfetch’s team realized they would have to reconsider everything they thought they knew about luxury retailing. “This is not a clienteling app. It’s not even an app. It’s a suite of technologies which include a client-facing app, which is very innovative,” he said.
“But it’s the entire journey: it’s the client app and how it interfaces with the fashion adviser app, it’s the in-store experience, the several ways you can interact, not just with product but with content, and then how we make it invisible, how we make it absolutely seamless and a joy to use. This will be different from brand to brand, even within Chanel from boutique to boutique and from region to region,” he added.
Pavlovsky expects three more boutiques in Paris to adopt the platform in the next year, though he declined to specify which ones.
“It’s a full new process that we are starting by having other boutiques in Paris on board with the same kind of app because we want to keep each boutique specific. We don’t want to copycat everything we are doing. At Chanel we have a principle: one boutique, one story,” he said.
“Do we want to have an app per boutique, do we want to have an app per region, per country? There are still a lot of questions to take the experience to another level,” he noted. “It’s not something that you will see tomorrow in all Chanel boutiques.”
Gapping down
In reaction to disappointing earnings/guidance:
- N/A.
M&A news:
- IFF -5.4% (Intl Flavors to merge with DuPont's (DD) Nutrition & Biosciences business; deal values the combined company at $45.4 bln; both IFF and DD reaffirm FY19 guidance)
Other news:
- GOSS -31% (trading lower once again following negative updated from Novertis (NVS) DP2 antagonist Fevipiprant)
- PCG -26% (California Governor Gavin Newsom rejects PG&E reorganization plan)
- BGNE -9.8% (announces results of phase 3 aspen trial of zanubrutinib compared to ibrutinib for the treatment of patients with waldenström's macroglobulinemia; primary endpoint of statistical superiority related to deep response (vgpr or better) was not met)
- WPX -3.9% (to purchase Felix Energy for $2.5 bln; Transaction is accretive on all important metrics: EPS, CFPS, FCF per share, ROCE and NAV)
- NK -3.1% (NantKwest and ImmunityBio present results of landmark trial of first-in-human natural killer cell combination immunotherapy with durable, complete response data and 78% disease control in refractory triple negative breast cancer at SABCS)
- FRTA -1.4% (files for ~45.1 mln share common stock offering by selling stockholders)
- QTNT -1.1% (entered into a Registration Rights Agreement with its CEO, Chairman, and CFO with respect to an aggregate of 105,000 ordinary shares owned by these individuals)
Analyst comments:
- URBN -1.7% (downgraded to Hold from Buy at Loop Capital)
- CRS -1.4% (downgraded to Neutral from Buy at Longbow)
- REGN -1.4% (downgraded to In-line from Outperform at Evercore ISI)
- PEP -0.8% (downgraded to Equal-Weight from Overweight at Morgan Stanley)
Gapping up
In reaction to strong earnings/guidance:
- N/A.
M&A news:
- DD +3.4% (Intl Flavors to merge with DuPont's (DD) Nutrition & Biosciences business; deal values the combined company at $45.4 bln; both IFF and DD reaffirm FY19 guidance)
Select financial related names showing strength:
- BCS +3.3%, LYG +2%, HSBC +2%, DB +1.9%, BBVA +1.5%, SAN +1.5%, RBS +1.2%, GS +1.1%
Other news:
- AXSM +82.2% (announces axs-05 achieves primary endpoint in gemini phase 3 trial in major depressive disorder; AXS-05 met the primary endpoint)
- AMRN +7.3% (FDA approves use of drug to reduce risk of cardiovascular events in certain adult patient groups)
- HZNP +6.6% (Horizon Pharma confirms unanimous FDA DODAC vote to support the use of teprotumumab for the treatment of Thyroid Eye Disease )
- GLOG +5.6% (announces newbuild financing facility, enhancements to existing facilities and payment of special dividend of $0.38/share)
- KURA +3.2% (receives fast track designation for Tipifarnib in HRAS mutant hnscc and provides enrollment guidance for AIM-HN Trial)
- ATNX +2.4% (expands its strategic partnership with Guangzhou Xiangxue Pharmaceutical through a licensing agreement for its product candidates oral paclitaxel and oral irinotecan, as well as tirbanibulin ointment, in China, Hong Kong and Macao)
- ETRN +2% (Equitrans Midstream and EQM Midstream Partners (EQM) provide 2020 financial and CAPEX guidance)
- ESRT +1.7% (reauthorizes the repurchase of up to $500 million of Class A common stock, and ESRO's Series ES, Series 250 and Series 60 operating partnership units)
- SCVL +1% (authorizes new share repurchase program for up to $50 mln of outstanding common stock, effective January 1, 2020)
Analyst comments:
- ELF +7.1% (upgraded to Overweight from Equal-Weight at Morgan Stanley)
- WDC +3.4% (upgraded to Positive from Neutral at Susquehanna)
- MU +3.2% (upgraded to Positive from Neutral at Susquehanna)
- KMT +2% (upgraded to Overweight from Equal Weight at Wells Fargo)
- COHR +1.7% (upgraded to Positive from Neutral at Susquehanna)
- AGCO +1.5% (upgraded to Equal-Weight from Underweight at Morgan Stanley)
- SPB +1.3% (upgraded to Outperform from Perform at Oppenheimer)
- GS +1.1% (upgraded to Buy from Neutral at Citigroup)
- USB +0.8% (upgraded to Neutral from Sell at Citigroup)