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US stocks are mixed, little changed as investors await the Federal Reserve decision this afternoon

Nov 08, 2018

 

 

US Market Snapshot

  • US stocks are mixed, little changed as investors await the Federal Reserve decision due later this afternoon: consensus is for no hike
  • The S&P 500 is currently down 0.06%, Nasdaq Composite is down 0.29%, and Russell 2000 is down 0.08%
  • Financials (+0.68%), Consumer Discretionary (+0.5%), and Healthcare (+0.27%) stocks are the top performers in the S&P 500 today
  • Telecom (-0.68%), Utilities (-0.78%), and Energy (-0.89%) stocks are the worst performers in the S&P 500 today
  • Investor sentiment for US stocks is neutral with the advance/decline ratio for the S&P 500 currently at 1.07x
  • 158 stocks in the S&P500 are at 4-week highs while 5 stocks are at 4-week lows
  • 21 stocks in the S&P 500 are overbought while 4 stocks are oversold according to the 16-day RSI Measure
  • 88 stocks in the Nasdaq Composite are at 4-week highs while 100 stocks are at 4-week lows
  • 459 stocks in the Nasdaq Composite are overbought while 175 stocks are oversold according to the 16-day RSI Measure
  • The VIX is currently moving down at 16.29 from yesterday's close of 16.36

Stocks Trending in the News

Click name for Q-Factor rating and financials data.
 

  • Bombardier (BBD/B CN) announced it is cutting 5,000 jobs and selling assets, as its CEO looks to overhaul the company.  Bombardier will sell its Q400 turboprop business and others assets looking to make a total of USD$900mn in divestures.  Bombardier sees USD$250mnin annual savings from the moves by 2021 and will take a charge for the same amount in 2019.  Bombardier is rated “Neutral” in our Canada All-Cap Global Top Stock Ideas.
  • DR Horton (DHI) fell the most in more than three years after executives at the builder said that the housing market is getting “choppy” and that the pace of order growth may slow next quarter”.  DH Horton reported FY4Q2018 financials pre-market as well, matching consensus analyst EPS estimates of USD$1.22/share with their EPS of USD$1.22/share. DR Horton’s revenue fell just short of expectations, however, reporting FY4Q2018 sales of USD$4.51bn while consensus called for USD$4.56bn. DR Horton is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.  
  • L Brands (LB) shares are trading higher today after the owner of Victoria’s Secret reported better-than-monthly comp sales. In October, L Brands saw its comparable sales growth at Victoria’s Secret remain flat at 0% while analysts expected a -4.2% decline. In its Bath and Body Works stores, L Brands reported October comparable sales growth of 11% while analysts expected 8%. L Brands reported preliminary CY3Q2018 adjusted EPS of ~USD$0.15/share. L Brands is rated “Unattractive” in both our US Large-Cap and US Consumer Discretionary Global Top Stock Ideas. 
  • News Corp (NWSA) reported 1Q results that came in line with expectations.  News Corp reported revenue of USD$2.52 billion while consensus was for USD$2.53 billion.  News Corp adjusted EPS of 17 cents came above 5 cents consensus.   News Corp is testing a sports streaming service in its Foxtel unit, presently going through a turnaround, as management is confident of the unit’s strong future.  News Corp is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.
  • Party City (PRTY) shares are falling today after the company reported full-year guidance that missed the lowest analyst estimate. Party City forecasts FY2018 adjusted EPS of between USD$1.60/share and USD$1.65/share while analyst adjusted EPS estimates range between USD$1.79/share and USD$1.86/share. Party City also announced FY3Q2018 adjusted EPS of USD$0.08/share while consensus estimates called for more than double that, at USD$0.17/share. Party City is rated “Attractive’ in our US SMID-Cap Global Top Stock Ideas and “Unattractive” in our US Consumer Discretionary Global Top Stock Ideas. 
  • Qualcomm (QCOM) gave tepid guidance for the coming year as Apple (AAPL) has stopped placing orders with the two preparing to face off in court.   Qualcomm sees 1Q sales of USD$4.5-5.3 billion while present consensus is USD$5.56 billion.  Qualcomm expects a pickup later in the year as 5G rollout picks up steam.   Apple is preparing to go to trial against Qualcomm, the supplier of chips for its phones for years, alleging that its practice of taking a cut of the selling price of a phone as its patent fee is illegal.  Qualcomm is countersuing alleging Apple owes it USD$7 billion in unpaid royalties.  Apple is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology Global Top Stock Ideas.  Qualcomm is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Information Technology Global Top Stock Ideas.
  • Tesla (TSLA) announced one of its independent directors, Robyn Denholm, will take over as chairman of the board effective immediately.  She will take over from CEO Elon Musk as he vacates the chairman position as part of his settlement with the SEC.  Robyn Denholm has been an independent director since 2014.  Tesla is rated “Unattractive” in our US Large-Cap Global Top Stock Ideas and “Top Short” in our US Consumer Discretionary Global Top Stock Ideas.
  • Wynn Resorts Ltd (WYNN) said gaming revenue in Macau since the passage of Golden Week has been “sporadic”.   Wynn Resorts Ltd has seen weak revenue over the last week in Macau, adding fuel to the belief that the trade war and weaker economy in China are holding back gamblers.   Wynn Resorts Ltd believes the current pullback is temporary and sees underlying demand still strong.  Wynn Resorts Ltd is rated “Neutral” in our US Large-Cap and US Consumer Discretionary Global Top Stock Ideas.
  • Zayo Group Holdings (ZAYO) shares are spiraling in the stock’s largest intraday drop since October 2014 after the company reported FY1Q2019 EPS of USD$0.09/share while analyst consensus forecasts called for USD$0.11/share.  As a result of its earnings, Zayo was downgraded from buy to neutral at both BTIG and UBS. Zayo is rated “Neutral” in our US Large-Cap Global Top Stock Ideas.  
     

 

US Treasuries

  • US 2-Year Treasury Notes are flat with yields little changed 0.01 basis points to 2.95%
  • US 5-Year Treasury Bonds are lower with yields up 0.18 basis points to 3.08%
  • US 10-Year Treasury Bonds are higher with yields down -0.56 basis points to 3.22%
  • The US Treasury 2s-5s Spread has widened 0.17 basis points to 0.12%
  • The US Treasury 2s-10s Spread has narrowed 0.57 basis points to 0.27%
  • US Treasury 5s-10s Spread has narrowed 0.74 basis points to 0.15%

Currencies

  • EUR€ is currently little changed against the USD$ at 1.1411
  • GBP£ is currently little changed against the USD$ at 1.311
  • CHF is currently little changed against the USD$ at 0.9963
  • JPY¥ is currently up 0.326% against the USD$ to 113.89

Commodities

  • WTI Crude is currently down -0.96% to USD$61.08/bbl with the Brent-WTI spread down USD$-0.46 to USD$9.23/bbl
  • Gold is currently little changed -0.23% to USD$1223.65/oz

 

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

S&P 500 Sector ETFs - Intraday

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

Russell 1000 Factor ETFs - Intraday

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

 

 

S&P 500 Movers

On Mobile/Tablet scroll to the right.

Outperformers Sector Price 1D % Chg Volume
TripAdvisor Inc Communication Services 67.13 15.34%            1,927,812
Flowserve Corp Industrials 54.44 10.88%                141,054
Microchip Technology Inc Information Technology 75.40 7.26%            1,171,410
ANSYS Inc Information Technology 168.05 5.38%                143,733
Johnson Controls International plc Industrials 35.11 5.29%                516,313
 
Underperformers Sector Price 1D % Chg Volume
Perrigo Co PLC Health Care 64.07 -14.53%                460,084
Wynn Resorts Ltd Consumer Discretionary 101.1 -11.70%            1,637,639
DaVita Inc Health Care 69.81 -8.65%                224,869
QUALCOMM Inc Information Technology 58.66 -6.85%            4,858,900
DR Horton Inc Consumer Discretionary 35.44 -5.48%                791,638