Overnight Summary: The S&P 500 closed Wednesday at 4481.15 from 4525.12 on Tuesday. Futures have been moving higher after weakness into the midnight hour. The overnight high was hit at 7:10 a.m. EDT at 4,497. The low was hit at 4,454 at 12:30 a.m. EDT. At 7:30 a.m. EDT the current price is 4485 up +10 which is 0.22%.
Earnings Out After The Close:
- Beats: RGP +0.25, LEVI +0.04, CXM +.04.
- Flat: None of note.
- Misses: None of note.
- IPOs Priced or News: None of note.
- New SPACs launched/News: None of note.
- Secondaries Priced:
- AvalonBay Communities (AVB) Prices Public Offering of 2,000,000 Shares of Common Stock.
- SELB $38 million offering at $1.41/share with warrants at $1.55/share.
- Xponential Fitness (XPOF) prices offering of 4.5 million shares of common stock at $20.00 per share.
- Notes Priced of note:
- Burford Capital (BUR) Limited Announces Pricing and Upsizing of Senior Notes Offering.
- Common Stock filings/Notes:
- CCC Intelligent Solutions Holdings Inc. (CCCS) Announces Pricing of Secondary Offering of Common Stock by Selling Stockholders.
- IGMS: Closing of $230.0 Million Public Offering.
- 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):
- Civeo (CVEO) and Conversant Capital Announce Stock Purchase Agreement.
- Mixed Shelf Offerings:
- GNLN: Filed Form S-3/A Addendum $200 Million Mixed Shelf.
- Convertible Offering & Notes Filed:
- Hannon Armstrong (HASI) Announces Proposed Private Offering of $200 Million Green Exchangeable Senior 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: CXM +10%, GENI +7%, SKIL +6%, RGP +5%.
- Trading Down: VAPO -19%, IRNT -10%, CCCS -10%, SOFI -5%.
- News Since The Close:
- SEC Is Investigating How Amazon (AMZN) Disclosed Business Practices. (WSJ)
- Tesla (TSLA) has raised price of Model 3 Long Range by $1,500 to $55,990 in the US and Model 3 Performance by $1,000 to $62,990. Prices in China are currently unchanged. (CNEV)
- TSLA: China’s market regulator SAMR recalls 34,207 imported and 93,578 Shanghai-made Tesla Model 3 from April 7.
- SoFi (SOFI) stock falls after outlook cut, executives expect student-loan moratorium to be extended through 2022. (MarketWatch)
- COST: today reported net sales of $21.61 billion for the retail month of March, the five weeks ended April 3, 2022, an increase of 18.7 percent from $18.21 billion last year.
- Senate Majority Leader Schumer schedules Senate vote for Thursday to confirm Ketanji Brown Jackson to Supreme Court. (MarketWatch)
- Hypersonic-Missile Delay Puts U.S. Further Behind Russia and China. (LMT) (Bloomberg)
- Russian/Ukraine News:
- The latest on the invasion of Ukraine. (CNN)
- Kremlin: Western arms deliveries to Ukraine will hamper Moscow-Kiev talks.
- Exchange/Listing/Company Reorg and Personnel News:
- Altus Power, Inc. (AMPS) Announces Automatic Conversion of 201,250 of Its Alignment Shares Into 2,011 Shares of Class a Common Stock.
- Aptose Biosciences (APTO) announces that Dr. Jotin Marango, Senior Vice President, CFO and Chief Business Officer, is resigning to pursue another opportunity.
- Drive Shack (DS) announced the appointment of Kelley Buchhorn to Interim CFO.
- Nasdaq Accepts Evofem (EVFM) Plan to Regain Listing Compliance.
- HF Foods (HFFG) receives non-compliance letter from Nasdaq for late filing.
- HMHC Halt – Additional Information Requested by NASDAQ.
- Hostess Brands (TWNK) announced that Travis Leonard will join the company as Chief Financial Officer on May 11.
- JD.com (JD) promotes Lei Xu as CEO.
- Legacy Housing Corporation (LEGH) Receives Notification of Deficiency from Nasdaq Related to Delayed Filing of Annual Report on Form 10-K.
- RISE Education (REDU) Receives Nasdaq Notification Regarding Minimum Bid Price Compliance.
- SoFi (SOFI) Announces Changes to Its Board of Directors.
- Buyback Announcements:
- Capital One (COF) authorizes repurchase of up to an additional $5 billion of common shares beginning in Q3.
- FS Bancorp, Inc. (FSBW) celebrates 10 years as a NASDAQ listed company with the approval of an additional $10 million share repurchase plan. (see below dividend)
- North American Construction Group Ltd. (NOA) Announces Share Purchase Program in Canada and the United States.
- Stock Splits: None of note.
- Dividends Announcements:
- FS Bancorp, Inc. (FSBW) celebrates 10 years as a NASDAQ listed company with a $0.10 special cash dividend (see above Buyback).
- GFL Environmental (GFL) raises quarterly dividend by 10%.
What’s Happening This Morning: Futures value reflects the change with fair value.
S&P 500 +6, Dow Jones -8, NASDAQ +48, and Russell 2000 +4. Europe higher ex the FTSE and Asian markets lower. VIX Futures are at 23.45 from 23.90 from yesterday morning. Gold and Silver higher with Copper lower. WTI Crude Oil and Brent Oil Futures higher with Natural Gas higher. $ is lower vs Euro, lower vs Pound and higher vs Yen. US 10 year Treasury sees yields at 2.605% from 2.631%. Bitcoin is at $43,706 from $44,916.30 on Wednesday morning higher by 0.11% this morning. As of 8:09 a.m. EDT.
Wednesday’s Action – 04/06/22 Close:
- Daily Positive Sectors: Utilities, Healthcare, Consumer Defensive, Real Estate of note.
- Daily Negative Sectors: Consumer Cyclical, Technology, Communication Services, Financial, Industrial 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.
Fed Minutes give stocks pause. Talk of a shrinking balance sheet spooked markets. NASDAQ pulled back 2.22%. TLT closed at 127.45, down 0.81%. Updated 04/06/22 close.
Upcoming Earnings Of Note: (sorted by market cap, highest to lowest with most visible names)
- Thursday After the Close: PSMT, WDFC of note.
- Friday Before the Open: None of note.
Earnings of Note This Morning:
- Beats: STZ +0.25, APOG +0.19, ANGO +0.04.
- Flat: CAG.
- Misses: None of note.
- Still to Report: LW.
- Positive Guidance: QUOT, CXM, IRNT of note.
- Negative Guidance: SOFI, VAPO, CAG of note.
Erlanger Research Advance/Decline Chart: Updated through 04/06/22 close.
Gap Ups & Down In Early Pre-Market:
- Gap Up: HPQ +15%, SPRO +9%, SKIL +6%, NETI +6%, RGP +5%, SLP +5%, GENI +4%, CXM +4%.
- Gap Down: VAPO -22%, CCCS -11%, IRNT -9%, SOFI -4%, SELB -4%.
Insider Action: HPQ sees Insider buying with dumb short selling. GRPN sees Insider buying with smart short sellers. 04/06/22 close.
- Groupon (GRPN): 10% owner (Pale Fire’s Jan Barta) disclosed the purchase of ~375K shares worth ~$7.5 million.
- HP (HPQ): Berkshire Hathaway’s Warren Buffett disclosed the purchase of ~11.1 million shares worth nearly $400 million (WSJ)
- Eneti (NETI) announces that its President, Robert Bugbee, recently purchased 40,000 shares of common stock at average price of $5.88/share
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: CAG LEVI RAD (CNBC)
- Five Things You Need to Know to Start Your Day. (Bloomberg)
- Ukraine urges citizens to leave Eastern Ukraine as Russia to attack that region after regrouping. (WSJ)
- China begins to pay for Coal and Oil in Yuan. (Bloomberg)
- European Union (EU) fails to agree on oil and gas sanctions as Germany caves in and will continue to buy from Russia. (WSJ)
- House to vote on a $55 billion restaurant bill to provide relief to businesses that never got relief during the pandemic. (NYT)
- Additional spending bill on Covid-19 delayed in the Senate until after April Recess. (NYT)
- Tesla (TSLA) recalls 127K Model 3 EV in China over semiconductor product part faults that could cause crashes. (Nikkei)
- Robinhood Snacks looks at Tiger returns to the Masters will it help Nike (NKE)? JetBlue (JBLU) outbids Frontier for Spirit (SAVE), will it get regulatory approval?
Moving Average Update:
- Score dive bombs to 26% from 76%. Updated 04/06/22 close.
- President’s Public Schedule:
- The President and The Vice President receive the President’s Daily Brief, 10:15 a.m. EDT
- Press Briefing by Press Secretary Jen Psaki, 1:00 p.m. EDT
- Initial Jobless Claims 8:30 a.m. EDT
- EIA natural Gas Report 10:30 a.m. EDT
- February Consumer Credit is due out at 3:00 p.m. EDT and is expected to rise to $15.5 billion from $6.8 billion.
Federal Reserve Speakers:
- Federal Reserve St. Louis President James Bullard 9:00 a.m. EDT
- Federal Reserve Chicago President Charles Evans 2:00 p.m. EDT
- Federal Reserve New York President John Williams 4:05 p.m. EDT
- Axon (AXON) Announces Acquisition of Virtual Reality Training Studio ‘Foundry 45’.
- Grove (GRVI) To Acquire Pet Care Company Via Amazon Aggregation Division, Upexi.
- Pfizer (PFE) to acquire ReViral and Its respiratory syncytial virus therapeutic candidates.
- Berkishire Hathaway (BRKB) takes a $4.2 billion stake in Hewlett Packard (HP).
Meeting & Conferences of Note:
- Sellside Conferences:
- B. Riley Disruptive Biotech Enabling Technologies Mini Conference
- Credit Suisse The Investor Landscape: Hidden Gems Conference 2022
- Previously Announced Conferences:
- Alliance Global Partners Virtual Energy Conference 2022
- Atlassian TEAM 22 User Conference
- Bradesco BBI 8th Brazil Investment Forum
- BMO Biopharma Spotlight Series: Inflammation & Immunology 2022
- BTIG Global Cannabis Conference (04/06/22-04/07/22)
- Goldman Sachs & TWSE Virtual Taiwan Corporate Day
- HSBC West Coast Financials Conference 2022 (04/04/22-04/08/22)
- JP Morgan Retail Round Up (04/06/22-04/07/22)
- Lytham Partners Spring Investor Conference 2022 (04/04/22-04/07/22)
- Scotiabank CAPP Energy Symposium
- Wells Fargo Software Symposium (04/06/22-04/07/22)
- Previously Announced Conferences:
- Company Meetings: DQ, KBH.
- Fireside Chat: None of note.
- Investor/Analyst Day/Calls: ACN, AFYA, ARBE, CRWD, HHC, REVB, TEAM, WLK.
- Update: None of note.
- R&D Day: None of note.
- Company Event: None of note.
- Industry Meetings:
- NYU Schack Institute of Real Estate 26th Annual REIT Symposium 2022
- SEC 41st Annual Small Business Forum 2022
- Previously Posted and Ongoing Conferences:
- Bitcoin 2022 Conference (04/06/22-04/09/22)
- 3rd Annual Dermatology Drug Development Summit Europe 2022 (04/06/22-04/07/22)
- 35th Symposium on Advanced Wound Care (SAWC) 2022 (04/06/22-04/10/22)
- Moscow Exchange Forum 2022
- National Kidney Foundation Spring Clinical Meetings 2022 (04/06/22-04/10/22)
- American Burn Association (ABA) Annual Meeting 2022 (04/05/22-04/08/22)
- ECRM Supplier Diversity Week 2022 (04/05/22-04/08/22)
- Mines and Money (online) 2022 (04/05/22-04/07/22)
- Sea Air Space 2022 (04/04/22-04/06/22)
- American Academy of Neurology AAN 74th Annual Meeting 2022 (04/02/22-04/07/22)
- BIO Europe Spring 2022 (03/28/22-04/06/22)
- Previously Posted and Ongoing Conferences:
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: