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09.30.2022 11 new Morning Note posts under Morning Note (10) and CAPIS Insights (1)

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"CAPIS Morning Note – 03/31/22: Stocks Barely Positive After Losing Overnight Gains, Q1 Ends Today. PCE Core Release To Impact Markets"

posted by CAPIS on 03/31/2022 at 8:13 am

by CAPIS

03/31/2022 at 8:13 am

Overnight Summary: The S&P 500 closed Wednesday at 4602.45 from 4631.60  on Tuesday. The S&P 500 finally rested after its four day winning streak. Futures hit an early peak, then pulled back, rallied until about 4:00 a.m. EDT before hitting current levels. The overnight high was hit at 8:45 p.m. EDT at 4,614.50. The low was just hit at 4,598 at 7:20 a.m. EDT up +2.50 points +0.03%.

Breaking News:  President Biden to speak this afternoon and release 1 million barrels a day from the Strategic Petroleum Reserve (SPR). (Bloomberg)

Earnings Out After The Close:

  • Beats: PHR +0.13, PATH +0.02.
  • Flat: None of note.
  • Misses: None of note.

Capital Raises:

  • IPOs Priced or News: None of note.
  • New SPACs launched/News:
    • Profitable GameTech Company Novibet to Combine With Nasdaq-listed Artemis Strategic Investment Corporation (ARTE) and to Pursue High Growth iGaming and Online Sports Betting Opportunities in Europe and the Americas.
  • Secondaries Priced:
    • Hess Midstream LP (HESM) Announces Upsizing and Pricing of Secondary Public Offering of Class A Shares.
  • Notes Priced of note:
    • DTM: Pricing of Private Offering of Senior Secured Notes.
    • Workday (WDAY) Announces Pricing of $3.0 Billion Senior Notes Offering.
  • Common Stock filings/Notes:
    • ROVR: Filed Form 424B3.. 91,476,337 Shares of Class A Common Stock.
  • Pricing of Over-Allotment/Notes: None of note.
  • Direct Offering: None of note.
  • Selling Shareholders of note: None of note.
  • Private Placement of Public Entity (PIPE): None of note.
  • Mixed Shelf Offerings:
    • BOLT: Filed Form S-3.. $250 Million Mixed Security.
    • MDV Modiv files for $200 million mixed securities shelf offering.
    • RWLK: Filed Form S-3.. $100 Million Mixed Shelf.
  • Convertible Offering & Notes Filed:
    • BitNile Holdings (NILE) Announces Completion of Payment in Full of $66 million in Senior Secured Notes.

Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.

News After The Close:

  • After Hours: 
    • Trading Up: PRG +8%.
    • Trading Down: PATH -18%, EXFY -16%, MASI -10%, MDV -9%, FRGI -7%, PHR -4%.
  • News After The Close:
    • “.. the US will not hit a recession in 2022. .. $6T in stimulus .. under Trump and Biden .. and more than half of that money is yet to be spent; instead, it sits in household and gov’t balance sheets .. the US is uniquely positioned to weather the [inflation] storm.” JPM.  (CNBC)
    • Datadog (DDOG) partners with Microsoft (MSFT) to add its monitoring and security capabilities within the Azure Cloud Adoption Framework.
    • Federal Reserve’s projected rate hikes ‘won’t sufficiently tame’ inflation, Credit Suisse says. (MarketWatch)
    • House Rules Committee advances bill to legalize marijuana, but it is currently not on the list for bills to be voted on in House today. MSOS, ACB, CGC, CRON, MJ, TLRY, GTBIF, CURLF, HEXO.
    • Tesla (TSLA) pauses solar roof installations due to supply issues; some clients are left without a roof for months. (Electrek)
    • ASL Orders Up to 20 Additional 737-800 Boeing (BA) Converted Freighters to Drive Environmental Sustainability.
    • Russian/Ukraine News:
      • Ukraine’s Zelenskiy: Talks With Russia Are Continuing, But For The Moment There Are Just Words, Nothing Concrete.
      • Ukraine’s Zelensky on Russian claims of scaleback: ‘we don’t believe anyone’.
      • US official warns that a significant increase in Russian oil imports by India could expose New Delhi to a “great risk” as US prepares to step up enforcement of sanctions against Moscow.
      • Russians are starting to withdraw from Chernobyl nuclear site.  (AFP)
      • Ukraine Presidential Adviser: Russia Has Destroyed Practically All Of Ukraine’s Defence Industry.
  • Exchange/Listing/Company Reorg and Personnel News:
    • Aqua Metals (AWMS) Announces Changes to its Board of Directors.
    • Calix (CALX) Announces Changes to Board of Directors.
    • Faraday Future Intelligent Electric (FFIE) provides update on status of filings and investigation.
    • Canada Goose (GOOS) announced the appointment of Carrie Baker to President, Canada Goose, immediately.
    • Marathon Digital (MARA) appoints Hugh Gallagher as CFO, effective March 31.
    • Nuvalent (NUVL) announced Anna Protopapas, President and CEO of Mersana Therapeutics, as Chair of its Board of Directors.
    • Orphazyme (ORPH) is delisting from the Nasdaq tomorrow. The new symbol will be ORPHY.
    • PagerDuty (PD) Appoints Shelley Webb as New Senior Vice President, General Counsel.
    • PennantPark Investment (PNNT) to transfer listing to the NYSE April 14.
    • Prudential Plc (PUK) confirms Mike Wells will retire as Group CEO.
    • Yandex N.V. (YNDX) halted; its Yango Deli is exploring strategic shifts for its businesses in the UK and France, according to Bloomberg.
  • Buyback Announcements:
    • ABB Ltd (ABB) authorizes new share buyback program of up to $3 billion.
    • BioNTech (BNTX) Announces ADS Repurchase Program.
    • Kingsoft Cloud (KC) Announces US$100 Million Share Repurchase Program Plan.
    • OneWater Marine Inc. (ONEW) Announces $50 Million Share Repurchase Authorization.
    • Vipshop (VIPS) Announces US$1 Billion Share Repurchase Program.
    • Weibo (WB) authorized a $500 million repurchase program.
  • Stock Splits: None of note.
  • Dividends Announcements: None of note.
    • Glacier Bancorp (GBCI) increases its quarterly dividend to $0.33  per share, a 3.1% increase.

What’s Happening This Morning: Futures value reflects the change with fair value.

S&P 500 +1 , Dow Jones -17, NASDAQ +38, and Russell 2000 -2.  Europe and Asian markets lower.  VIX Futures are at 22.20 from 22.15 yesterday morning. Gold, Silver and Copper lower. WTI Crude Oil and Brent Oil Futures are lower  with Natural Gas lower as well. $ is higher vs Euro, lower vs Pound and lower vs Yen. US 10 year Treasury sees yields at 2.32% from 2.422%. Bitcoin is at $47.213 from $47,362 yesterday morning higher by 0.42% this morning from overnight. As of 8:08 a.m. EDT.

Wednesday’s Action – 03/30/22 Close:  

  • Daily Positive Sectors: Energy, Utilities, Basic Materials of note.
  • Daily Negative Sectors: Technology, Consumer Cyclical, Financial, Real Estate, Communication Services of note.
  • One Month Winners: Energy, Utilities and Basic Materials of note.
  • Three Month Winners: Energy, Utilities and Basic Materials of note.
  • Six Month Winners: Energy, Basic Materials, Utilities of note.
  • Twelve Month Winners: Energy, Utilities, and Basic Materials of note.
  • Year to Date Winners: Energy, Utilities, and  Basic Materials of note.

Four day winning streak is snapped.  No breakthrough with peace talks between Russia and Ukraine pulled the major indexes back for the day.  RUT down 1.97%.  USO up 2.31% and UNG popped 4.19%.  Updated 03/30/22 close.

Upcoming Earnings Of Note: (sorted by market cap, highest to lowest with most visible names)

  • Thursday After the Close: None of note.
  • Friday Before the Open: None of note.

Earnings of Note This Morning:

  • Beats: WBA +0.19, SHCR +0.08.
  • Flat: None of note.
  • Misses: None of note.
  • Still to Report: None of note.

Guidance:

  • Positive Guidance: CNM, UNF, PAYX, PHR, BRZE.
  • Negative Guidance: FIVE, PATH, TPX, SHCR.

Erlanger Research Advance/Decline Chart: Updated through 03/30/22 close.

Gap Ups & Down In Early Pre-Market:

  • Gap Up: CLVS +34%, MYNZ +10%, VIPS +8%, PRG +6%, AMLX +5%, OEC +5%, CGC +4%.
  • Gap Down: YNDX -21%, EXFY -14%, PATH -14%, MASI -10%, FRGI -7%, IQ -7%, PHR -6%, HCM -5%, MDV -4%, FTK -4%.

Insider Action: OXY sees Insider buying with dumb short selling. BNED sees Insider buying with smart short sellers. 03/30/22 close.

Rags & Mags: Repeated stories from prior days never listed, i.e. “rehashed news”. Sorted by Global, U.S. and stock specific.

  • Stocks Making The Biggest Moves: WBA NVAX BIDU AMD  (CNBC)
  • Five Things You Need to Know to Start Your Day. (Bloomberg)
  • Ukraine believes Russia has no intent to move to a ceasefire but rather move forces around for the next assault on Kyiv. (CNN)
  • Shanghai to begin Phase Two of the lockdown which impacts 2/3 of the city and 16 million people. (Bloomberg)
  • Formula One will return to Las Vegas in 2023 for a Saturday night race. (Bloomberg)
  • Apple (AAPL) to add more memory and chip suppliers to its roster. (Bloomberg)
  • Softbank (SFTBY) may slow their number of new investments. (FT)
  • Tempur Sealy (TPX) issues sales warning as geopolitical impacts and consumer confidence weigh on company.
  • Technology jobs are moving to Florida and Texas from California as they are pro business and tax free plus workers can be remote. (WSJ)
  • Robinhood Snacks looks at  Chewy (CHWY) share drop as puppy love slows and supply chain issues hit company. Celebrity driven brands drive shapewear market.

Moving Average Update:

  • Score notches down to 90% from 96%.  Updated 03/30/22 close.

Geopolitical: 

  • President’s Public Schedule:
    • The President and The Vice President receive the President’s Daily Brief, 10:15 a.m. EDT
    • The President delivers remarks on his Administration’s actions to reduce the impact of Putin’s price hike on energy prices and lower gas prices at the pump for American families, 1:30 p.m. EDT
    • Press Briefing with Director of Communications Kate Bedingfield, 3:00 p.m. EDT

Economic

  • Challenger Job Cuts 7:30 a.m. EDT
  • Initial Jobless Claims 8:30 a.m. EDT
  • February Personal Income is due out at 8:30 a.m. EDT and is expected to rise to 0.5% from 0.00%.
  • February PCE Prices – Core is due out at 8:30 a.m. EDT and is expected to fall to 0.4% from 0.5%.
  • March Chicago PMI is expected to rise to 56.80 from 56.30 and is due out at 9:45 a.m. EDT.
  • EIA Natural Gas Report 10:30 a.m. EDT
  • Farm Prices 3:00 p.m. EDT

Federal Reserve Speakers:

  • Federal Reserve New York President John Williams 9:00 a.m. EDT

M&A Activity:

  • CI Financial (CIXX) to Acquire Former Eaton Vance Investment Counsel Division, Expanding U.S. Wealth Management Strategy.
  • IDEX Corporation (IEX) to Acquire KZValve Business, Expanding Solutions for Agriculture & Industrial Applications.
  • Royal Bank of Canada (RY) to acquire Brewin Dolphin.
  • Sundial Growers (SNDL) Completes Acquisition of Alcanna.

Meeting & Conferences of Note:

  • Sellside Conferences:
    • Bank of America Securities Energy & Utilities Conference 2022 (03/31/22-04/01/22)
    • Gabelli Waste & Environmental Services Symposium 2022
    • Goldman Sachs Corporate Day SGX 2022
    • Goldman Sachs Green Tech Symposium
    • Wedbush Battery Event
      • Previously Announced  Conferences:
        • Jefferies Pan-European Mid-Cap Conference 2022 (03/29/22-03/31/22)
        • Guggenheim Healthcare Talks 2022 (03/16/22-04/01/22)
        • Leerink Biopharma Private Company Connect
        • MedInvest Pharmaceutical and Biotechnology Investor Conference 2022 (03/28/22-04/01/22)
        • Stephens Banks & the Blockchain Field Trip
  • Company Meetings: CIEN.
  • Fireside Chat:None of note.
  • Investor/Analyst Day/Calls: ASMB, ASTS, BBW, CORT, CYDY, EGRX, SAVE, SPWR.
  • Update: CORT, VTSI.
  • R&D Day: None of note.
  • Company Event: ADDYY Innovation Day (03/21/22-03/30/22), BBW.
  • Industry Meetings:
    • American College of Sports Medicine (ACSM) 2022 International Health & Fitness Summit 2022 (03/31/22-04/03/22)  
    • NYSE Basic Materials Investor Access Day 2022
      • Previously Posted and Ongoing Conferences:
        • 121 Mining Investment Vegas 2022 (03/30/22-03/31/22)
        • ESMOs European Lung Cancer Congress (ELCC) 2022 (03/30/22-04/02/22)
        • 31st Annual Meeting of the Society for Virology 2022 (03/30/22-04/04/22)
        • Academy of Managed Care Pharmacy (AMCP) 2022 (03/29/22-04/01/22)
        • Drug Information Association (DIA) Europe 2022 (03/29/22-03/31/22)
        • Tugs, Towboats & Barges Conference (03/29/22-03/30/22)
        • BIO Europe Spring 2022 (03/28/22-04/06/22)
        • International Battery Seminar 2022 (03/28/22-03/31/22)

Top Tier Sell-side Upgrades & Downgrades:

The recommendations listed below in this “Upgrade/Downgrade” section are compiled from what we believe are Tier I, II and III firms. Recommendations posted are taken from a variety of sources each day and we only post upgrades or significant initiations as well as downgrades to underweight or sell. The purpose of this posting it to make the reader aware of market moving recommendations. None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.

Today’s Upgrades and Downgrades:

      

Wednesday’s Upgrades and Downgrades:

DISCLAIMER

This communication is for informational purposes only and is solely intended for use by institutional investors. Use of this communication by others, including retail investors, is prohibited. No statement herein is to be construed as a recommendation to purchase or sell a security, or to provide investment advice. Certain products, including options and futures, may involve substantial risk and are not suitable for all investors. The information on this webpage is provided by an independent third party. While the information and opinions presented in this material have been obtained or derived from sources believed by Capital Institutional Services, Inc. (CAPIS) to be reliable, CAPIS makes no representations concerning its accuracy or completeness, and accepts no liability for loss arising from the use of this material.