>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance: IDTI -15.3%, RCII -9.6%,BP -8.9%, ARRY -8.2%, UBS -7.7%, UBS -7.7%, UBS -7.7%, RCL -7.6%, TSO-5.9%, WDR -5.7%, ADM -5.4%, HAIN -4.1%, PBI -2.3%, XOM -1.7%, PFE-1.6%, PFG -1.2%, SIRI -1.1%, ALLY -1.1%, AGNC -0.9%, FLS -0.9%, CIT-0.9%, BEAV -0.9%, HRS -0.8%, LAZ -0.6%

Select Brazil related names showing weakness: CIG -14%, ITUB -6.2%,BBD -2.8%, BBD -2.8%, PBR -2.7%

Select metals/mining stocks trading lower: BBL -7.1%, RIO -5.9%, BHP-5.8%, MT -5.4%, GFI -3.9%, FCX -2.3%, AA-1.2%, GDX -1.0%

Select oil/gas related names showing early weakness: SDRL -5.9%, TOT-4.3%, RDS.A -3.8%, WLL -3.8%, RIG -2.5%, COP -1.8%, SLB -1.6%, CVX-1.2%

Other news: CBYL -46.2% (announced top-line results from COR1.1 for the treatment of pain associated with osteoarthritis of the knee), ZINC -32% (Horsehead Holding and certain of its subsidiaries files voluntary petitions for relief under Chapter 11), HEAR -17.9% (Turtle Beach to offer and sell shares of its common stock in an underwritten public offering; Insiders intend to purchase an aggregate of $3.15 million of common stock at the offering price), SYN -16.8% (reported independent third party analysis of the investigator-sponsored Phase 2 clinical trial of Trimesta), PDLI -11.1% ( reduces quarterly dividend to $0.05/share from $0.15/share with shift to quarterly assessment of dividends to capitalize on long-term growth opportunities; webcast call to be held today at 5:00pm EST to discuss developments), CS -5% (in symp with UBS earnings (miss)), CUK -3.9% (Carnival plc (CUK) and Carnival Copr (CCL) confirms ordinary share offering & intends to use the net proceeds to repurchase Carnival Corporation common stock), CCL -3.7% (Carnival plc (CUK) and Carnival Copr (CCL) confirms ordinary share offering & intends to use the net proceeds to repurchase Carnival Corporation common stock), TS -3.7% (provides updates on two previously reported proceedings), RBS -3% (in symp with UBS earnings (miss)), SAN -2.9% (in symp with UBS earnings (miss)), ACC -1.9% (prices 15.6 mln shares of common stock at $41.25 per share), FCAU -1.7% (provides an update on its diesel emmissions; takes voluntary measures to adapt to new standards)

Analyst comments: LOGI -5.1% (downgraded to Underweight at Morgan Stanley), TWTR -3.4% (downgraded to Sell from Hold at Stifel), TSLA-1.6% (Pacific Crest is out cautious on channel checks, concerns regarding demand ), RSTI -1% (downgraded to Neutral from Buy at Longbow ), SYY-0.8% (downgraded to Underweight at Morgan Stanley)

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance: KORS +14.7%, FN +9.8%, MAT+6.5%, PVH +6.5%, (PVH sees FY16 EPS above consensus; PVH unit Tommy Hilfiger Licensing and G-III (GIII) enter into a multi-year license agreement ), MNK +6.2%, LMNX +6%, GOOG +5.4%, CACC +3.1%, HW+3.1%, UPS +2.9%, APC +2.7%, (also said in its earnings release that it anticipates recommending to its Board an initial 2016 budget of ~$2.8 bln, which would be nearly 50% lower than 2015 ), DOW +2.7%, KMDA+2.4%, APU +1.2%, BAX +0.8%, NEU +0.6%, AGCO +0.5%

M&A news: LOJN +20.9% (CalAmp to acquire LoJack for $6.45/share; expected to be Accretive to CalAmp Non-GAAP Earnings per Share by $0.15 to $0.25 in First 12 Months), SYT +5.4% (Bloomberg headline that ChemChina is near a deal to acquire Syngenta for ~$43 bln), FEYE +1.2% (acquires Invotas International)

Other news: ASTI +4% (cont strength), DD +2.3% (in symp with SYT), DOW+2.2% (in symp with SYT), CHRS +1.8% (CHS-1701, a proposed biosimilar of Neulasta (pegfilgrastim), met both primary endpoints), EVH +1.6% (forms new strategic alliance with Passport Health Plan, acquires certain assets and capabilities), CAMP +1.5% (CalAmp to acquire LoJack for $6.45/share; expected to be Accretive to CalAmp Non-GAAP Earnings per Share by $0.15 to $0.25 in First 12 Months), M +1.4% (likely in symp with KORS), COH +0.8% (likely in symp with KORS)

Analyst comments: FIT +2.9% (Fitbit initiated with Outperform at Oppenheimer), NFLX +1.6% (upgraded to Overweight from Neutral at Piper Jaffray), KITE +0.5% (Kite Pharma initiated with Outperform at RBC Capital Mkts)

>>> Royal Caribbean beats by $0.02, misses on revs; guides Q1 EPS below consensu

--> RCL -4.86% Pre Open , CCL trading lower

Royal Caribbean beats by $0.02, misses on revs; guides Q1 EPS below consensus; guides FY16 EPS below consensus
  • Reports Q4 (Dec) earnings of $0.94 per share, $0.02 better than the Capital IQ Consensus of $0.92; revenues rose 4.6% year/year to $1.9 bln vs the $1.95 bln Capital IQ Consensus. Constant-Currency NCC excluding fuel were down 4.7%, 70 basis points better than guidance, mainly due to timing.
  • Co issues downside guidance for Q1, sees EPS of $0.30 vs. $0.46 Capital IQ Consensus Estimate, noting costs are more concentrated than usual in the first quarter.
    • Constant-Currency Net Yields are expected to be up approximately 4.0% in the first quarter of 2016 (approximately 0.5% As-Reported). A strong Caribbean environment, combined with Quantum of the Seas' first winter product in China, is driving the majority of the improvement.
  • Co issues downside guidance for FY16, sees EPS of $5.90-6.10 vs. $6.27 Capital IQ Consensus Estimate.
    • Net Yields are expected to increase 2.0% to 4.0% on a Constant-Currency basis (in the range of flat to up 2% As-Reported).
    • NCC excluding fuel are expected to be up 1% or less on a Constant-Currency basis (up 0.5% or less As-Reported).

>>> Michael Kors beats by $0.13, beats on revs; guides Q4 below consensus

--> KORS +14.5% Pre open

Michael Kors beats by $0.13, beats on revs; guides Q4 below consensus
  • Reports Q3 (Dec) earnings of $1.59 per share, $0.13 better than the Capital IQ Consensus of $1.46; revenues rose 6.3% year/year to $1.4 bln vs the $1.36 bln Capital IQ Consensus. On a constant currency basis, total revenue increased 9.9% vs. mid single digit guidance. Retail net sales increased 11.1% to $766.2 million driven primarily by e-commerce sales from the Company's digital flagships and 114 net new store openings since the end of the third quarter of fiscal 2015.
    • Comparable store sales decreased 0.9% vs. negative mid single digit decline guidance. On a constant currency basis, retail net sales grew 15.7%, and comparable store sales increased 2.0%. Wholesale net sales increased 0.3% to $575.5 million and on a constant currency basis, wholesale net sales grew 3.0%. Licensing revenue increased 8.4% to $55.8 million.
    • Total revenue in the Americas increased 0.4% to $1.06 billion on a reported basis and increased 1.4% on a constant currency basis. European revenue grew 14.3% to $276.0 million on a reported basis, and grew 29.1% on a constant currency basis. Revenue in Japan increased 59.1% to $25.5 million on a reported basis, and increased 68.0% on a constant currency basis.
  • Co issues downside guidance for Q4, sees EPS of $0.93-0.97 vs. $1.00 Capital IQ Consensus Estimate; sees Q4 revs $1.13-1.15 bln vs. $1.16 bln Capital IQ Consensus Estimate. On a constant currency basis, total revenue is expected to increase in the high-single digit range assuming an impact of ~$20 million from the change in foreign currency rates. The Company expects comparable store sales to be flat on a reported basis and to increase in the low single digits on a constant currency basis.

>>> Exxon Mobil beats by $0.03, beats on revs --> -1.61% pre open

Exxon Mobil beats by $0.03, beats on revs
  • Reports Q4 (Dec) earnings of $0.67 per share, $0.03 better than the Capital IQ Consensus of $0.64; revenues fell 31.5% year/year to $59.81 bln vs the $55.29 bln Capital IQ Consensus
  • Higher Downstream and Chemical earnings were offset by sharply lower commodity prices in the Upstream
  • U.S. Upstream earnings declined $2 bln from the fourth quarter of 2014 to a loss of $538 mln in the fourth quarter of 2015
    • Non-U.S. Upstream earnings were $1.4 bln, down $2.6 bln from the prior year
  • Downstream earnings were $1.4 bln, up $854 mln from the fourth quarter of 2014
  • Stronger margins and favorable volume and mix effects increased earnings by $610 mln and $70 mln, respectively.
  • Oil-equivalent production increased 4.8% from the fourth quarter of 2014, with liquids up 14% and natural gas down 5.6%
  • Cash flow from operations and asset sales was $5.1 bln, including proceeds associated with asset sales of $785 mln
  • On an oil-equivalent basis, production increased 4.8 percent from the fourth quarter of 2014
  • Liquids production totaled 2.5 mln barrels per day, up 299,000 barrels per day
  • Project ramp-up, work programs and entitlement effects were partly offset by field decline
  • Natural gas production was 10.6 bln cubic feet per day, down 631 mln cubic feet per day from 2014 due to regulatory restrictions in the Netherlands and field decline, partly offset by entitlement effects