>>> US Early premarket gappers

Early premarket gappers
Gapping up: LTBR +115.3%, SSTI +15%, DLB +10.2%, TAL +9.4%, ANGO +8.7%, VAR +7%, AYX +6%, SGYP +5.9%, SGYP +5.9%, AMSC +5.6%, LGF.A +5.5%, ONCE +4.8%, APTS +4.6%, LRCX +4.4%, XLNX +3.8%, BIIB +3.5%, NURO +3.1%, PX +2.7%, AMAT +2.5%, MKC +2.4%, ENDP +2.3%, FCAU +2.2%, FFIV +2.1%, STM +1.8%, DEO +1.7%, DDE +1.6%, LUV +1.4%, HP +1.3%, AEP +1.3%, RTN +1%, IOVA +0.9%, NG +0.9%, JPM +0.7%

Gapping down: CFMS -16.3%, OCUL -11.1%, OPGN -7.9%, CLS -7.4%, VUZI -5.6%, ALBO -4.9%, LM -4.9%, BGG -4.6%, ETH -3%, AGEN -2.8%, CRK -2.2%, WHR -2.2%, TER -1.7%, URI -1.4%, TCBI -0.9%

>>> Caterpillar beats by $0.38, beats on revs; guides FY18 EPS upside

Caterpillar beats by $0.38, beats on revs; guides FY18 EPS upside (mid-point of guidance is easily above expectations) (168.34)
  • Reports Q4 (Dec) earnings of $2.16 per share, excluding non-recurring items, $0.38 better than the Capital IQ Consensus of $1.78; revenues rose 34.7% year/year to $12.9 bln vs the $12.01 bln Capital IQ Consensus.
    • Co issues upside guidance for FY18, sees EPS of $8.25-9.25, excluding non-recurring items, vs. $8.29 Capital IQ Consensus Estimate (Note the mid-point is easily above consensus)
  • The increase in Q4 sales was primarily due to higher sales volume, mostly due to improved end-user demand
  • In addition, favorable changes in dealer inventories contributed to increased sales volume
  • The improvement in end-user demand was across all regions and most end markets. The favorable change in dealer inventories was primarily due to a decrease in the fourth quarter of 2016, compared to dealer inventories that were about flat in the fourth quarter of 2017
By segment...
  • The largest sales volume increase was in Construction Industries, mostly due to higher end-user demand for construction equipment and the favorable impact of changes in dealer inventories
  • Energy & Transportation's sales volume increased due to higher demand across all applications. Sales volume for Resource Industries increased due to higher end-user demand for equipment and aftermarket parts. Favorable price realization, primarily in Construction Industries and Resource Industries, also contributed to the sales improvement. Financial Products' revenues were about flat
  • Sales increased across all regions with the largest increase in North America
  • Sales improved 46% in North America primarily due to higher end-user demand for both equipment and aftermarket parts. Changes in dealer inventories were favorable as dealer inventories decreased in the fourth quarter of 2016 and increased slightly in the fourth quarter of 2017
  • EAME sales increased 38% primarily due to higher end-user demand for equipment and favorable price realization
  • Asia/Pacific sales increased 22% primarily due to higher end-user demand for construction equipment. About half of the sales improvement in Asia/Pacific was in China resulting from increased building construction and infrastructure investment
  • Sales increased 39% in Latin America due to stabilizing economic conditions in several countries in the region that resulted in improved end-user demand from low levels, as well as favorable changes in dealer inventories
Back to its 2018 forecast...
  • Caterpillar is beginning 2018 with strong sales momentum resulting from strong order rates, lean dealer inventories and an increasing backlog
  • Additionally, there are positive economic indicators across most of the world and in many of the company's end markets
  • Caterpillar is preparing its factories and suppliers to be ready for continued growth, while remaining focused on managing with a flexible and competitive cost structure that should enable the company to respond quickly if economic fundamentals change
  • Construction Industries -- The company expects growth in 2018 with some tempering in the latter part of the year, largely due to anticipated seasonality of sales in China.
  • Resource Industries -- The company believes that global economic momentum and increasing commodity prices are restoring miners' business confidence and financial health
  • Energy & Transportation -- Sales into Oil and Gas applications are expected to increase in 2018, led by reciprocating engines for gas compression and well servicing in North America.

>>> Oshkosh beats by $0.28, beats on revs; guides FY18 EPS above consensus, revs

Oshkosh beats by $0.28, beats on revs; guides FY18 EPS above consensus, revs above consensus
  • Reports Q1 (Dec) earnings of $0.84 per share, excluding non-recurring items, $0.28 better than the Capital IQ Consensus of $0.56; revenues rose 31.0% year/year to $1.59 bln vs the $1.43 bln Capital IQ Consensus.
  • Co issues upside guidance for FY18, sees EPS of $5.00-5.45 (Prior $4.25-4.65), excluding non-recurring items, vs. $4.61 Capital IQ Consensus Estimate; sees FY18 revs of $7.1-7.3 bln (Prior $6.9-7.1 bln) vs. $7.08 bln Capital IQ Consensus Estimate.

>>> Blackfin hires Arma for the sale of Neoxam (Temenos mentionned)

Blackfin hires Arma for the sale of Neoxam
24 JAN 2018
Blackfin Capital Partners has mandated Arma Partners to oversee the sale of Neoxam, a French investments software specialist, a source close to and two sources briefed on the situation said.
The company had EUR 13m in EBITDA for FY17, the source close and the second source briefed said. This should increase to EUR 16m over the next year, the second source briefed added.
IMs will be sent to private equity firms and trade buyers in the next few weeks, the source close and the second source briefed said.
BlackFin acquired GP3 and Decalog, both software companies, from Sungard, a US-based financial software provider, in 2014 for an undisclosed sum, which were merged into NeoXam following the deal.
NeoXam has since acquired SmartCo, a French enterprise data management software company, and Nexfi, a French software provider specialising in fund management, in 2015 for undisclosed sums. It also bought Density Technologies, a French asset management software provider, in 2014 for an undisclosed sum.
Neoxam is an attractive business due to its low level of customer churn, a sector banker said. However, he saw room for its acquisitions to be better integrated effectively, and warned its legacy software is a bit out of date. The company specialises in software solutions for the buyside and sellside. It processes more than USD 14 trillion worth of assets per day and serves more than 10,000 users.
Competitors in the marketplace include SimCorp, a Danish investment software company, which acquired APL Italiana, an Italian investment software company, last year for EUR 35m, the second source briefed said.
Similar deals in the sector include Temenos Group’s [SWX:TEMN] acquisition of Multifonds, a fund administration software company in Luxembourg, for EUR 235m in 2015, the second source briefed and the sector banker said. The sale of Multifonds received a valuation of around 20xEBITDA , the sector banker added.
Neoxam has more than 450 employees with offices in Paris, Frankfurt, Luxembourg, Zurich, Geneva, Milan, New York, Boston, Hong Kong, Shanghai, Beijing, Tunis and Cape Town.
Blackfin and Arma declined to comment.

FT : Gove to press supermarkets over ‘appalling’ excess plastic

Gove to press supermarkets over ‘appalling’ excess plastic
Environment secretary encourages shoppers to buy local


Michael Gove, the UK environment secretary, vowed to push British supermarkets on their use of excessive plastic packaging -- part of a broader crackdown by Theresa May’s government on avoidable plastic waste.

Mr Gove encouraged British shoppers to buy products from independent retailers, arguing that shoppers invest in the local economy when they buy produce from smaller high street shops.


“While I have no wish to undermine Asda, which is an admirable retailer, I find that when buying meat the best thing to do is to go to one’s local butcher – in order to buy locally and to invest in the local economy”, he said in the House of Commons.

His comments came in response to a question from Ian Lucas, a Labour MP, who accused supermarkets of using “appalling” amounts of plastic and follow a promise by the government to eliminate avoidable plastic waste by the end of 2042.

The prime minister Theresa May has called on supermarkets to introduce plastic-free aisles — with non-packaged items. Speaking earlier this month, she said the government is prepared to “take action at every stage of the production and consumption of plastic”.

Mrs May also announced a consultation on “single-use” products that could see consumers face new taxes on takeaway food packaging, including disposable coffee cups. Plans to extend the 5p plastic bag charge to all high street shops in England as part of an effort to tackle the “throwaway culture” have also been announced this year.

Last week the UK grocer Iceland, citing the “scourge” of pollution, promised to eliminate plastic packaging from its own-brand products by the end of 2023.

>>> Biogen misses by $0.19, beats on revs; guides FY18 EPS above consensus, revs

Biogen misses by $0.19, beats on revs; guides FY18 EPS above consensus, revs above consensus
  • Reports Q4 (Dec) earnings of $5.26 per share, excluding non-recurring items, $0.19 worse than the Capital IQ Consensus of $5.45; revenues rose 15.1% year/year to $3.31 bln vs the $3.08 bln Capital IQ Consensus. MS revenues grew 5% versus prior year to $2.3 billion, which included $77 million in royalties on our estimate of OCREVUS sales. U.S. MS revenues in the fourth quarter of 2017 benefited by ~$40 million from increased inventory in the channel for TECFIDERA, AVONEX, PLEGRIDY, and TYSABRI compared to the third quarter of 2017.
  • Tecfidera sales +7% to $1.08 bln; Spinraza (owned by IONS) +34% Q/Q to $363 mln.
  • Co issues upside guidance for FY18, sees EPS of $24.20-25.20, excluding non-recurring items, vs. $24.13 Capital IQ Consensus Estimate; sees FY18 revs of $12.7-13.0 bln vs. $12.68 bln Capital IQ Consensus Estimate.
  • "With a renewed focus on our strategic priorities, we delivered record full year revenues, solid earnings, and significant progress in strengthening the foundation for our future with seven additions to our neuroscience pipeline in 2017." "Our core MS business demonstrated resilience in an increasingly competitive market, and SPINRAZA has had one of the most successful rare disease launches of all time, bringing new hope to patients and their families. We are also proud of our achievements in business development, with 2017 being one of the most productive years in Biogen's history."

>> Trump to announce $1.7 trillion infrastructure package at State of the Union

--> Watch :
  • Water Utility Stocks: POR, DUK, WTR, MWA, STRL, YORW, AWK, CWT, SJW, AEGN, XYL, LNN, BMI
  • General Infrastructure Stocks: CAT, CX, MLM, VMC

  • Trump to announce $1.7 trillion infrastructure package at State of the Union

    President Trump said Wednesday he plans to discuss a $1.7 trillion infrastructure package during next week's annual State of the Union address.

    During a White House meeting with mayors from across the country, Trump said his administration is "working to rebuild our crumbling infrastructure by stimulating a $1 trillion investment, and that will actually, probably, end up being about $1.7 trillion."

    “And we'll probably be putting that in a week or two, right after the State of the Union address. We'll be talking about it a little bit in the State of the Union; we'll put that in," he added.

    The impending announcement comes after a document purporting to detail the administration's infrastructure principles leaked earlier this week.

    The White House refused to comment on the substance of that document, but said it "looks forward to presenting our plan in the near future.”

    The Trump administration previously said it would release "detailed legislative principles" on an infrastructure package this month.

    Trump vowed to repair the nation’s roads, bridges and transit systems during his presidential campaign, but that effort was put on hold in the first year of his presidency as the GOP pursued health care and tax reform.

    Lawmakers in both parties are eager to work on an infrastructure plan and address pressing issues like the solvency of the Highway Trust Fund, which provides financing to build roads.

    Trump has proposed using private investment to fund his forthcoming infrastructure plan.

    In a budget request last year, the administration proposed a $1 trillion infrastructure investment through both federal funding and private sector investment.

    One portion of the memo that leaked earlier this week indicates that half of the appropriations would go toward private, state and local investment in infrastructure projects through grants.

    The draft also specifically proposes removing “constraints” currently in place on public-private partnerships for transit systems.

>>> Praxair beats by $0.04, beats on revs; guides Q1 EPS in-line

Praxair beats by $0.04, beats on revs; guides Q1 EPS in-line (160.87)
  • Reports Q4 (Dec) earnings of $1.52 per share, excluding non-recurring items, $0.04 better than the Capital IQ Consensus of $1.48; revenues rose 11.7% year/year to $2.95 bln vs the $2.84 bln Capital IQ Consensus.
  • Co issues in-line guidance for Q1, sees EPS of $1.53-1.58, excluding non-recurring items, vs. $1.55 Capital IQ Consensus Estimate.
  • Reported and adjusted operating profit margins were 21.5% and 22.1%, respectively. EBITDA margin was 32.3% and adjusted EBITDA margin was 32.9%.
  • In North America, fourth-quarter sales were $1,542 million, 9% above the prior-year quarter, excluding currency translation. Sales growth was driven primarily by stronger volumes to the downstream energy, manufacturing and electronics end-markets and higher price.
  • Praxair Surface Technologies had fourth-quarter sales of $159 million, up 7% above prior-year quarter. Sales growth was driven primarily by aerospace coatings