>>> BGC Partners reports Q3 earnings of $0.28 per share vs. $0.31 in the prior y

BGC Partners reports Q3 earnings of $0.28 per share vs. $0.31 in the prior year's quarter; revenues rise 12.5% to $827.0 mln
  • BGC anticipates revenues of between ~$800 million and $850 million, compared with 2016 recast revenues of $755.8 million. BGC's historical revenues for the fourth quarter of 2016 before the recast were $673.2 million
  • BGC expects pre-tax distributable earnings before noncontrolling interest in subsidiaries and taxes to be in the range of $140 million and $160 million, versus the 2016 recast figure of $149.1 million. The Company's historical pre-tax distributable earnings for the fourth quarter of 2016 before the recast were $129.1 million

(Craig Hallum) STMicroelectronics target raised to $26 (24% upside)

STMicroelectronics target raised to $26 at Craig Hallum -- It's not just Apple
Craig Hallum raises their STM tgt to $26 from $21. STM reported results slightly above estimates with guidance also better than expectations. Firm continues to like shares and believe investors need to own this well diversified company. Many investors might think STM is only a 3D sensing play on Apple (AAPL) and miss the underlying strength across all of its business segments. STM's Q4 guide calls for all four business segments to be up and above normal seasonality. They believe investors continue to miss STM's SiC opportunity that is just beginning to ramp, with a significant runway ahead.

>>> Time Warner beats by $0.23, beats on revs; continues to expect its pending m

Time Warner beats by $0.23, beats on revs; continues to expect its pending merger with AT&T (T) to close before year-end 2017 (98.71)
  • Reports Q3 (Sep) earnings of $1.82 per share, excluding non-recurring items, $0.23 better than the Capital IQ Consensus of $1.59; revenues rose 6.0% year/year to $7.59 bln vs the $7.40 bln Capital IQ Consensus.
  • Co reaffirms its 2017 full-year business outlook. Co continues to expect its 2017 full-year Adjusted Operating Income to increase in the high single-digits, based on current foreign exchange rates.
  • "We delivered very strong third-quarter results, keeping us on track to achieve our objectives for 2017. Both Turner and HBO achieved double-digit gains in Subscription revenues, including HBO's highest quarterly growth in 13 years, while Warner Bros. had a terrific quarter in theatrical, which all contributed to us increasing Operating Income by 11% and Adjusted Operating Income by 13%."
  • Merger Update: Co continues to expect its pending merger with AT&T (T) to close before year-end 2017.

>>> American Airlines beats by $0.02, reports revs in-line; sees sequential impr

American Airlines beats by $0.02, reports revs in-line; sees sequential improvement in Q4 unit rev (51.02)
  • Reports Q3 (Sep) earnings of $1.42 per share, $0.02 better than the Capital IQ Consensus of $1.40; revenues rose 2.7% year/year to $10.88 bln vs the $10.88 bln Capital IQ Consensus. Pre-tax earnings excluding net special items for the third quarter of 2017 were $1.1 billion, a $369 million decrease from the third quarter of 2016. During the third quarter, the company's operations were affected by Hurricanes Harvey, Irma and Maria, causing more than 8,000 flight cancellations, and reducing pre-tax earnings by an estimated $75 million For the first time since the second quarter of 2014, yield grew in every geographic region, with notable strength in Latin America.
  • Third-quarter TRASM increased by 1.1 percent on a 1.6 percent increase in total available seat miles.
  • American expects its fourth-quarter TRASM to increase ~2.5 to 4.5 percent year-over-year, which reflects continued improvement in demand for both business and leisure travel. The co also expects its fourth-quarter pre-tax margin excluding special items to be between 4.5 and 6.5 percent.

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance:
  • MNOV +19.1%, BWLD +18.3%, TREE +12%, TWTR +9.4%, ECHO +7.1%, STM+6.7%, TER +5.7%, IRDM +5%, NVCR +5%, AEM +4.2%, INVA +4%, BGG +4%,DCM +3.6%, LKQ +3.3%, SXCP +3.3%, SAN +3.2%, GDI +2.9%, MAA +2.7%,ABEV +2.6%, RS +2.5%, PTC +2.4%, ABB +2.3%, VSH +2.3%, SRPT +2.2%,LVS +2%, SAVE +2%, ELY +1.9%, GG +1.7%, SU +1.7%, EQT +1.7%, MCK+1.7%, WLL +1.6%, FTI +1.6%, VALE +1.6%, F +1.5%, RTN +1.5%, VLO+1.5%, XRX +1.5%, SBGL +1.4%, CSLT +1.2%, FNF +1.1%, PX +1.1%, O +1%,CSII +1%, CX +1%, QSR +1%, AFL +0.9%, MO +0.9%
Other news:
  • VTGN +33.3% (announces FDA has authorized the Co to proceed, under its Investigational New Drug application, with its planned Phase 2 clinical study of AV-101
  • MNOV +18.4% (announces that the SPRINT-MS Phase 2b Trial of MN-166 (ibudilast) in progressive multiple sclerosis (progressive MS) achieved both primary endpoints)
  • TRVN +17% (announces publication of the results of APOLLO-1 and APOLLO-2 at the 2017 Annual Meeting of the American Society of Anesthesiologists from positive Phase 3 trials )
  • NNVC +6.3% (extended its agreement with SUNY Upstate Medical Center for further testing of its nanoviricides drug candidates against Shingles)
  • QTNT +5.4% (indicated higher after Highbridge Capital discloses increased passive stake to 9.92%)
  • TGTX +4.3% (announces results from the Phase 2 multicenter trial of TG-1101)
  • PSTI +4% (received approval from Israel's Ministry of Health to initiate a Phase I trial studying the company's PLX-R18 cell therapy)
  • AGEN +3.2% (CDC Advisory Committee on Immunization Practices voted in favor of three recommendations for the use of Shingrix containing QS-21 Stimulon for the prevention of shingles)
  • VERU +2.8% (files for $50 mln mixed securities shelf offering)
  • CZR +2% (LVS sympathy)
  • TSRO +1.8% (receives FDA approval for VARUBI IV )
  • WYNN +1.2% (LVS sympathy)
Analyst comments:
  • LEA +0.5% (upgraded to Outperform at RBC Capital Mkts)

>>> UPS reports EPS in-line, beats on revs; raises low end of FY17 EPS, in-line

UPS reports EPS in-line, beats on revs; raises low end of FY17 EPS, in-line
  • Reports Q3 (Sep) earnings of $1.45 per share, in-line with the Capital IQ Consensus of $1.45; revenues rose 7.0% year/year to $15.98 bln vs the $15.62 bln Capital IQ Consensus on Balanced Shipment Growth and Yield Expansion International Operating Profit Climbs 8.9%; Currency-Neutral Profit up 20%.
  • Daily Export Volume up 19% for 3rd Straight Quarter of Double-Digit Growth
  • U.S. Domestic Revenue up 3.9% on Higher Package Demand and Yields
  • U.S. Operating Profit of $1.2B, Including $50M of Negative Hurricane Impact
  • Supply Chain & Freight Boosts Revenue more than 13%; Profits up 9.7%.
  • Co issues in-line guidance for FY17, raises EPS to $5.85-6.10 vs. $6.01 Capital IQ Consensus Estimate. Momentum in the business will continue, led by the International segment. Focus remains on delivering a successful peak season for customers and investors.

>>> Charter Comm reports Q3 (Sep) results, revs in-line

Charter Comm reports Q3 (Sep) results, revs in-line (344.91)
  • Reports Q3 (Sep) GAAP earnings of $0.19 per share, likely not comparable to the Capital IQ Consensus of $0.85; revenues rose 4.2% year/year to $10.46 bln vs the $10.49 bln Capital IQ Consensus, driven by residential revenue growth of 4.4% and commercial revenue growth of 8.0%, partly offset by a decline in advertising revenue of 11.1%, due to lower political revenue. Third quarter Adjusted EBITDA of $3.8 billion grew 5.0% year-over-year, and 4.7% when excluding transition costs.
    Third quarter total customer relationships increased 212,000, compared to 275,000 during the third quarter of 2016, when excluding the impact of customer activity related to Legacy Bright House's seasonal customer plan in 2016.2 Third quarter total residential and SMB primary service units ("PSUs") increased by 257,000, while third quarter 2016 PSUs grew by 395,000, when adjusted for the seasonal customer program changes at Legacy Bright House. During the third quarter of 2017, Charter's residential customer relationships grew by 172,000, while third quarter 2016 customer relationships grew by 245,000, or 241,000 when adjusted for seasonal program changes made at Legacy Bright House. Residential video customers decreased by 104,000 in the third quarter of 2017, while third quarter 2016 video customers decreased by 47,000, or 51,000 when adjusted for seasonal program changes made at Legacy Bright House

>>> Early premarket gappers

Early premarket gappers
Gapping up:
  • TRVN +18.4%, BWLD +18.2%, MNOV +14.9%, TWTR +8.3%, ECHO +7.1%,STM +6.9%, TER +5.7%, QTNT +5.4%, NVCR +5.2%, IRDM +5%, AEM +4.2%,INVA +4%, BGG +4%, DCM +3.6%, SAN +3.5%, LKQ +3.3%, AGEN +3.2%, GDI+2.9%, VERU +2.8%, MAA +2.7%, ABEV +2.6%, SBGL +2.5%, CX +2.5%, RS+2.5%, PTC +2.4%, ABB +2.4%, MCK +2.4%, FTI +2.3%, SAVE +2.3%, AXTI+2.2%, PRAH +2.1%, CZR +2%, GNC +2%, ELY +1.9%, LVS +1.9%, F +1.9%,SRPT +1.7%, EQT +1.7%, WLL +1.6%, XRX +1.5%, WYNN +1.2%, CSLT+1.2%, VALE +1.2%, FNF +1.1%, PX +1.1%, RTN +1.1%
Gapping down:
  • ATOS -25.7%, NOK -16.4%, UCTT -14.2%, NTRI -9.9%, TAL -8.4%, MLNX-8.3%, ESND -8%, VAR -6.6%, ONCS -6.1%, JAKK -5.9%, IART -5.8%, VBIV-5.7%, BCS -5.5%, UHS -5.2%, XLNX -5%, ALKS -5%, NOW -4.9%, ORLY-4.9%, DLB -4%, CA -3.9%, SSNC -3.9%, MC -3.5%, POT -3.5%, AAP -2.9%,CSX -2.9%, CDE -2.9%, TSCO -2.9%, NTGR -2.8%, MMLP -2.7%, BOFI -2.7%,PKG -2.7%, TRN -2.6%, DNKN -2.5%, FAF -2.4%, HLI -2.3%, BUD -2.2%,AZO -1.9%, ALLE -1.9%, CTXS -1.7%, WPG -1.6%, DB -1.5%, TREE -1.5%,ABMD -1.4%, AMGN -1.4%, STO -1.4%, ABMD -1.4%, OII -1.2%, BMY -1.2%,CMO -1%, VC -1%

>>> Altria beats by $0.03, misses on revs; guides FY17 EPS in-line (63.79)

Altria beats by $0.03, misses on revs; guides FY17 EPS in-line (63.79)
  • Reports Q3 (Sep) earnings of $0.90 per share, $0.03 better than the Capital IQ Consensus of $0.87; revenues fell 1.8% year/year to $5.1 bln vs the $5.22 bln Capital IQ Consensus.
  • Co issues in-line guidance for FY17, sees EPS of $3.26-3.32 vs. $3.27 Capital IQ Consensus Estimate.
  • During the qtr, Altria repurchased 11.1 mln shares at an avg price of $67.99, for a total cost of approx $759 mln. Co had $576 mln remaining in the $4 bln share repurchase program, which it expects to complete by the end of the second quarter of 2018.

>>> Hershey Foods beats by $0.04, beats on revs; reaffirms FY17 EPS at high-end

Hershey Foods beats by $0.04, beats on revs; reaffirms FY17 EPS at high-end of range, updates other metrics; announces $100 mln repurchase (108.60)
  • Reports Q3 (Sep) earnings of $1.33 per share, excluding non-recurring items, $0.04 better than the Capital IQ Consensus of $1.29; revenues rose 1.5% year/year to $2.03 bln vs the $2.01 bln Capital IQ Consensus.
  • Adjusted gross margin was 45.3% in the third quarter of 2017, compared to 45.6% in the third quarter of 2016. Supply chain productivity and cost savings initiatives, as well as lower input costs, were more than offset by higher freight rates and increased manufacturing and distribution costs associated with an effort to maintain customer service targets, as well as unfavorable sales mix.
  • Co reaffirms guidance for FY17, sees EPS at high-end of $4.72-4.81, excluding non-recurring items, vs. $4.82 Capital IQ Consensus Estimate.
    • The company continues to execute against the priorities outlined earlier in the year. Our seasonal business and programs are on track and the fourth quarter launch of Hershey's Gold, a caramelized crème with peanuts and pretzels, should enable us to deliver on our objectives. The company is committed to its business model of investing in its brands and go-to-market capabilities that should strengthen Hershey's leadership position and build upon marketplace results. The company reaffirms its full-year constant currency net sales growth of around 1.25% and expects foreign currency exchange rates to be about neutral, versus a prior estimate of 0.25 points unfavorable.
    • For the full year, we expect adjusted gross margin to increase about 25 basis points versus our previous outlook of about a 50 basis point increase. Productivity and cost savings initiatives, as well as lower input costs, are expected to be partially offset by the aforementioned higher freight, new packaging and customer service costs. Our brands typically respond positively to marketplace investments and there is no change to our full-year North America advertising and related consumer marketing outlook. International and Other segment advertising and related consumer marketing expense is estimated to be lower in 2017 versus 2016, resulting in total company spend that should be about the same as last year. In 2017, the company continues to anticipate its effective tax rate to be in the 26.5% to 27.0% range. As discussed earlier this year, the reduction in the 2017 tax rate versus 2016 is primarily driven by favorable foreign rate differential and investment tax credits, as well as the adoption of Accounting Standards update 2016-09 for the accounting of employee share-based payments. As a result, the company continues to expect the full year increase in adjusted earnings per share-diluted to be around the high end of its outlook of $4.72 to $4.81, or a 7% to 9% increase versus last year.
  • The Hershey Company's board of directors approved a new $100 million stock repurchase authorization. Hershey's solid balance sheet and strong cash flow generation gives the company continued flexibility against its cash priorities, including, returning cash to shareholders in the form of buy backs and dividends while also being able to participate in opportunistic merger and acquisition activity.