>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance: KN +24.5%, TCS +21.3%, SANM+8.3%, BP +4.9%, SAVE +3.6%, PCAR +3.5%, NXPI +3.2%, TMUS +3.2%, IR+3.1%, GPK +3.1%, PXD +2.9%, SSW +2.4%, SCL +2.1%, COH +1.8%, DD +1.6%,BAX +1.6%, ENTG +1.6%, AVG +0.9%, POL +0.9%, JBLU +0.9%, WYN +0.7%,PAG +0.6%

M&A news: AMID +27.3% (American Midstream Partners announced the acquisition of interests in Gulf of Mexico midstream infrastructure and incremental ownership in Delta House for ~$225 mln; revised 2016 guidance with adj EBITDA and reduced distribution)

Select EU financial related names showing strength after peer Standard Chartered posted better than expected earnings: SC +5%, DB +3.3%, HSBC+3.1%, SAN +2.9%, LYG +2.7%, CS +1.9%, RBS +1%, BCS +0.9%


Select oil/gas related names showing strength: BCEI +2.7%, RIG +1.4%, CHK+1.4%, RIG +1.4%

Other news: SEED +25% (names Dr. William S. Niebur as President and CEO),PETX +15.8% (Aratana Therapeutics announces that Elanco Animal Health, a division of Eli Lilly (LLY), has licensed animal health rights to Aratana's Galliprant), BLDP +13.7% (Ballard Power Protonex subsidiary demonstrates UAV propulsion system with Boeing (BA) Insitu; flight demonstrations planned for the second half of 2016), REXX +10% (provides update on balance sheet initiatives, closes 2 privately negotiated exchange transactions with certain holders of securities ), OGXI +7.4% (following 30%+ move higher on Monday),PACB +2.5% (announce the signing of an agreement to jointly promote technology solutions for long-read DNA sequencing), VRX +1.3% (stock continues to remain volatile in pre-mkt action)

Analyst comments: DDD +-2.6% (downgraded to Hold from Buy at Needham),AMCX +1.1% (upgraded to Outperform from Neutral at Macquarie)

>>> AK Steel beats by $0.03, reports revs in-line

AK Steel beats by $0.03, reports revs in-line
  • Reports Q1 (Mar) loss of $0.08 per share, $0.03 better than the Capital IQ Consensus of ($0.11); revenues fell 13.2% year/year to $1.52 bln vs the $1.51 bln Capital IQ Consensus.
  • Shipments of 1,658,200 tons in the first quarter of 2016 were 5% lower than the first quarter of 2015, reflecting the company's strategic decision to reduce exposure to commodity products.
  • The company's adjusted EBITDA increased 41% to $81.1 million in the first quarter of 2016 from the first quarter of 2015, principally due to a better product mix, operational improvements, a continuous focus on reducing costs, and lower raw material and energy costs.

>>> Relypsa target lowered to $36 at H.C. Wainwright; Patiromer MAA submitted in

Relypsa target lowered to $36 at H.C. Wainwright; Patiromer MAA submitted in europe; reducing sales trajectory
H.C. Wainwright lowers their RLYP tgt to $36 from $63 affirms Buy rating on fundamentally strong growth prospects. Given the moderate pace of patient starts on Veltassa so far, they lower 2016 projections: 2016 Veltassa sales estimate to $16.1M from $19.0M previously, and their peak year sales projection to $1.1B from $1.6B previously. They believe that what is weighing on the shares most acutely, even more so than the perception by some of a slow initial launch for Veltassa, is that Relypsa clearly has less than one year of cash runway.

>>> Freeport-McMoRan reports EPS in-line, revs in-line; raises cash flow guidanc

Freeport-McMoRan reports EPS in-line, revs in-line; raises cash flow guidance; still in talks to sell assets
  • Reports Q1 (Mar) loss of $0.16 per share, excluding $3.19/share in charges, in-line with the Capital IQ Consensus of ($0.16); revenues fell 15.1% year/year to $3.53 bln vs the $3.52 bln Capital IQ Consensus.
  • Consolidated sales totaled 1.1 billion pounds of copper, 201 thousand ounces of gold, 17 million pounds of molybdenum and 12.1 million barrels of oil equivalents (MMBOE) for first-quarter 2016, compared with 960 million pounds of copper, 263 thousand ounces of gold, 23 million pounds of molybdenum and 12.5 MMBOE for first-quarter 2015.
  • Consolidated sales for the year 2016 (adjusted for the anticipated closing of the Morenci transaction in second-quarter 2016) are expected to approximate 5.0 billion pounds of copper, 1.85 million ounces of gold, 71 million pounds of molybdenum and 54.4 MMBOE, including 1.15 billion pounds of copper, 195 thousand ounces of gold, 19 million pounds of molybdenum and 13.5 MMBOE for second-quarter 2016. Average realized prices were $2.17 per pound for copper, $1,227 per ounce for gold and $29.06 per barrel for oil for first-quarter 2016. Consolidated unit net cash costs averaged $1.38 per pound of copper for mining operations and $15.85 per barrel of oil equivalents (BOE) for oil and gas operations for first-quarter 2016. Consolidated unit net cash costs for the year 2016 are expected to average $1.05 per pound of copper for mining operations and $15 per BOE for oil and gas operations.
  • Capital expenditures for oil and gas operations for the year 2016 are estimated to total $1.5 billion, excluding $0.8 billion in idle rig costs (which reduce operating cash flows). ~90 percent of the 2016 capital budget is expected to be directed to the GOM.
  • Operating cash flows for the year 2016 are expected to ~$4.8 bln, up from $3.4 bln (including $0.8 billion in working capital sources and changes in other tax payments). Capital expenditures are expected to ~$3.3 bln for FY16, down from $3.4 bln, consisting of $1.8 billion for mining operations (including $1.4 billion for major projects) and $1.5 billion for oil and gas operations.
  • FCX continues to advance discussions for the sale of certain interests in its mining and oil and gas assets to accelerate its debt reduction initiatives. While the process did not identify a buyer for the entire oil and gas business, a number of parties have interest in select assets, and FCX continues to engage in discussions with parties interested in potential asset or joint venture transactions. In the interim, FCX is taking immediate steps to reduce oil and gas costs further.

(TechCrunch) Dropbox’s latest idea could change the way you think about cloud st


One of the problems with Dropbox and indeed all cloud storage is the way they have implemented how you view your cloud storage on your local drive. If you want to access your cloud file system in your local file management tool, you literally need to have it stored on your drive, which really defeats the idea of having cloud storage in the first place — especially on devices with smaller hard drives.

Alternatively, you could open Dropbox.com and navigate to your files in a separate interface, an approach just about everyone dislikes.

Dropbox wants to change that.

Today at the Dropbox Open conference in London, the company announced Project Infinite with the goal of giving business customers local access to files no matter where they live — in the cloud, on network drives or local drives. In practice, this means when you open Windows Explorer or OSX Finder, you will have access to all of your Dropbox files without having to store them on your drive.

With the Infinite Drive, you have visibility across the entire system, but the files can live in the cloud as designated by a cloud icon next to the file, or on your hard drive with a cloud backup as designated by a green check mark. This enables you to manage your cloud files as though they were local, but they’re not taking up space on your drive — and that’s a huge difference.

Project Infinite isn’t really infinite, but it does provide a seamless layer between your physical drive and your cloud storage in Dropbox. It means if you have a huge amount of content that would normally overwhelm your hard drive, you have the option of leaving a file or set of files and folders in place in the cloud or only downloading the ones you need. Yet you have everything together in a unified folder system, regardless of where it’s stored — locally or in Dropbox.

Dropbox was simply announcing a preview of Project Infinite today without giving any indication of when this would be available, so if like me this sounded pretty good to you, you’ll have to wait. As such, there was no mention of pricing or availability or if it would eventually be available for consumers or just business customers.

We’ll just have to wait for GA for more definitive answers to those questions. In the meantime, Dropbox has solved a big cloud storage problem, and it’s about time.

>>> PACCAR beats by $0.03, misses on revs; sees Class 8 truck industry retail sa

PACCAR beats by $0.03, misses on revs; sees Class 8 truck industry retail sales for the U.S. and Canada in 2016 at 220-250K vehicles
  • Reports Q1 (Mar) earnings of $0.99 per share, excluding non-recurring items, $0.03 better than the Capital IQ Consensus of $0.96; revenues fell 11.8% year/year to $4.01 bln vs the $4.05 bln Capital IQ Consensus.
  • "PACCAR benefitted from a favorable truck market in North America and record DAF market share of 16.6% year-to-date in Europe. PACCAR generated increased truck and parts segment margins, and good financial services results worldwide. I am very proud of our 23,000 employees who have delivered industry leading products and services to our customers."
Global Truck Markets:
  • DAF is the above 16-tonne market share leader in the United Kingdom, the Netherlands, Hungary and Poland. "Our customers recognize DAF's excellent product quality, low operating costs and strong resale value," said Preston Feight, DAF president and PACCAR vice president. "European truck industry sales in the above 16-tonne truck market are estimated to increase and be in the range of 260,000-290,000 vehicles in 2016, the strongest market since 2008."
  • Class 8 truck industry retail sales for the U.S. and Canada in 2016 are expected to be in a range of 220,000-250,000 vehicles, the third highest market in the last 10 years. "The truck market reflects the good economy and steady freight demand," said Gary Moore, PACCAR executive vice president. "Our customers' operations are benefitting from the fuel-efficient PACCAR MX engines, Kenworth and Peterbilt aerodynamic trucks and low oil prices."

>>> Lockheed Martin beats by $0.18 ex-severance charges, beats on revs; raises F

Lockheed Martin beats by $0.18 ex-severance charges, beats on revs; raises FY16 guidance slightly, in-line
  • Reports Q1 (Mar) earnings of $2.79 per share, excluding $0.21 in charges for workforce reductions at the Corporation's Aeronautics and Information Systems & Global Solutions (IS&GS) business segments, $0.18 better than the Capital IQ Consensus of $2.61; revenues rose 15.7% year/year to $11.7 bln vs the $11.38 bln Capital IQ Consensus.
  • Co issues in-line guidance for FY16, raises EPS to $11.50-11.80 from $11.45-11.75 vs. $11.77 Capital IQ Consensus; raises FY16 revs to $49.6-51.1 bln from $49.5-51.0 bln vs. $50.35 bln Capital IQ Consensus; operating profit to $5.625-5.775 bln from $5.6-5.75 bln.

>>> Early premarket gappers

Early premarket gappers
Gapping up: SEED +28.5%, KN +24.5%, AMID +21.5%, AMID +21.5%, TCS +21.3%, PETX +17.2%, BLDP +13.7%, REXX +9.1%, SANM +8.3%, OGXI +7.4%, SAVE +3.7%, DB +3.3%, PXD +3.2%,GPK +3.1%, SAN +2.9%, MT +2.8%, HSBC +2.6%, SSW +2.4%, NXPI +2.3%, CS +1.9%, MU +1.8%, CR +1.8%, CR +1.8%, VRX +1.6%, BAX +1.6%, ENTG +1.6%, DNR +1.5%, AMD +1.4%, RACE+1.3%, FCX +1.1%, SHPG +1.1%, RIG +1%, RBS +1%, AVG +0.9%, POL +0.9%, PG +0.9%, BCS +0.8%, COH +0.8%

Gapping down: SRPT -48.1%, MCUR -9%, DRRX -7%, CNI -6.3%, NBR -5%, CNX -4.2%, STLY -3.9%, ING -2.8%, WHR -2.7%, CMCM -2.6%, ESRX -2.4%, SVU -2.3%, CDNS -2.1%, HUN -1.6%,AZN -1.5%, FCAU -1.5%, PRGO -1.4%, AUY -1.4%, SAP -1.3%, SBGL -1.1%, AGNC -1.1%, FBC -1.1%, GSK -0.9%, AHGP -0.9%, VALE -0.8%, B -0.8%, GLW -0.7%

>>> 3M beats by $0.03, beats on revs; reaffirms FY16 guidance (168.38)

M beats by $0.03, beats on revs; reaffirms FY16 guidance
  • Reports Q1 (Mar) earnings of $1.95 per share, excluding $0.10 gain from adopting new FASB accounting standard, $0.03 better than the Capital IQ Consensus of $1.92; revenues fell 2.2% year/year to $7.41 bln vs the $7.33 bln Capital IQ Consensus.
  • Organic local-currency sales declined 0.8% while acquisitions, net of divestitures, added 1.6 percent to sales. Foreign currency translation reduced sales by 3.0 percent year-on-year.
  • Organic local-currency sales growth was 6.2 percent in Health Care, 2.8 percent in Consumer and 2.4 percent in Safety and Graphics, with declines of 1.9 percent in Industrial and 11.7 percent in Electronics and Energy. On a geographic basis, organic local-currency sales growth was 4.2 percent in Latin America/Canada, 1.7 percent in EMEA (Europe, Middle East and Africa) and 0.3 percent in the U.S., with a decline of 5.6 percent in Asia Pacific.
  • Co reaffirms guidance for FY16, sees EPS of $8.10-8.45, excluding non-recurring items, vs. $8.24 Capital IQ Consensus; organic sales +1-3% ex-FX

>>> Parker-Hannifin beats by $0.06, reports revs in-line; raises guidance for F

Parker-Hannifin beats by $0.06, reports revs in-line; ​raises guidance for FY16 EPS, above consensus
  • Reports Q3 (Mar) earnings of $1.51 per share, excluding non-recurring items, $0.06 better than the Capital IQ Consensus of $1.45; revenues fell 10.5% year/year to $2.83 bln vs the $2.82 bln Capital IQ Consensus.
  • Diversified Industrial Segment: North American Q3 sales decreased 13% to $1.25 bln and operating income was $202.2 mln, compared with $235.5 mln in the same period a year ago
    • International third quarter sales decreased 11% to $1.02 bln and operating income was $105.2 mln, compared with $139.5 mln in the same period a year ago.
  • Aerospace Systems Segment: Q3 sales decreased 2% to $561.0 mln and operating income was $84.2 mln, compared with $73.3 mln in the same period a year ago
  • Parker reported a decrease of 6% in orders for the quarter ending March 31, 2016, compared with the same quarter a year ago
  • Co raises guidance for FY16, sees EPS of $6.20-6.40, excluding non-recurring items, vs. $6.15 Capital IQ Consensus Estimate, up from $5.90-6.30, ex-items