blog

Latest from the Quantamize Blog

Trump call to Xi plus ECB signalling willingness to cut send US stocks close to record territory today

Jun 18, 2019

 

Great Trades. Great Data. Always FreeGreat Trades. Great Data. Always Free
Great Trades. Great Data. Always FreeGreat Trades. Great Data. Always Free

US Market Snapshot

Stocks Trending in the News

Click name for Q-Factor rating and financials data.

Global Consumer Stocks Trending in the News

  • Amazon (AMZN) said it will lease an additional 15 Boeing 737-800 cargo aircraft from GE Capital Aviation Services.  Amazon continues to expand its Amazon Air fleet of planes and expects to have 70 planes in its fleet by 2021.  Amazon needs the planes to make more of its own deliveries after it instituted 1-day deliveries for its Prime customers.  Amazon is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Consumer Discretionary Global Top Stock Ideas.
  • Lennar (LEN) saw its stock downgraded to market perform from outperform at Raymond James.  Lennar also saw its price target cut to $55 which implies just 4% upside.  The unexpected drop in homebuilders sentiment on Monday was cited in the downgrade of Lennar.  Lennar is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.
  • Sotheby’s (BID) is being acquired and taken private by media billionaire Patrick Drahi in a $2.7 billion deal.  Drahi is paying $57 to acquire the 275-year-old firm.  The offer for Sotheby’s is a 60% premium to Friday’s close.  Sotheby’s will now join auction house Christie’s as a private company, with both in the hands of French billionaires.  Sotheby’s is rated “Attractive” in our US SMID-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.
  • Tesla (TSLA) is revamping its Asian structure to focus more on China.  Tesla will get rid of its Asia Pacific unit and create a new division focused on greater China.  China is key to Tesla’s future as it prepares to start manufacturing cars in China.  Tesla’s factory in Shanghai is due to start production later in the year.  Tesla is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Consumer Discretionary Global Top Stock Ideas.

Global Information Technology Stocks Trending in the News

  • Apple (AAPL) saw its revenue estimates cut at KeyBanc Capital Markets which cited “ongoing softness” in iPhone sales.  KeyBanc now expects iPhone sales growth of only 2% in 2020, down from 5%.  KeyBanc said it sees iPhone demand that has stabilized but has serious doubts about any time in 2020.  iPhones accounted for about 60% of Apple’s revenue n 2018.  Apple is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology Global Top Stock Ideas.  
  • Dish Network (DISH) is preparing a $6 billion bid for assets from Sprint (S) and T-Mobile (TMUS) as the two look to shed assets to win approval to merge from regulators.  Dish is hoping to acquire spectrum and Sprint’s Boost Mobile prepaid service as part of a deal.  Dish Network is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas.  Sprint is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas.  T-Mobile is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology Global Top Stock Ideas.
  • Facebook (FB) officially unveiled plans for its own cryptocurrency called Libra.  Facebook is promising a secure blockchain-based system backed by hard assets and designed for mainstream use.  Facebook has teamed up with a number of large companies to launch the coin.  Facebook will create a regulated subsidiary called Clariba for this new business, separating the social and financial data within the company.  Calibra will create a crypto wallet to pay for things and send money using Libra.  Facebook is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas.  Fox is not rated in our Global Top Stock Ideas.
  • MoneyGram International (MGI) saw blockchain-technology company Ripple take a stake in it with options to buy more.  Ripple invested $30 million with warrants to buy $20 million more.  MoneyGram will use Ripple’s xRapid as part of its cross-border international payment system.  The initial contract is for a two-year term.  MoneyGram is rated “Neutral” in our US SMID-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas.  
  • Oracle (ORCL) saw its stock downgraded at Macquarie to neutral from outperform ahead of reporting results Wednesday.  Macquarie said that through its channel checks it sees softening demand toward the end of the quarter.  Also, Oracles’s $10 billion per quarter stock buybacks are due to end within a quarter or two and it is not clear how much in buybacks there will be after that.  Oracle is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Information Technology Global Top Stock Ideas.  
  • Snap Inc. (SNAP) shares surged by double digits as analysts continue to grow more confident of a turnaround in the social media company. From its December low, Snap shares have now gained more than 190%. Snap’s latest breakout was driven by a price target hike from BTIG from $5/share to $20/share. Snap is rated “Top Short” in our US Large-Cap Global Top Stock Ideas and “Unattractive” in our US Information Technology Global Top Stock Ideas.
  • SunPower Corp (SPWR) surged the most in 6-years in the wake of an upgrade from Goldman Sachs.  SunPower was upgraded to buy and its price target was hiked 83% to $11.  The upgrade started the rally and then short sellers covering continued it as 28% of outstanding shares have been shorted.  SunPower is rated “Neutral” in our US SMID-Cap Global Top Stock Ideas and “Unattractive” in our US Information Technology Global Top Stock Ideas.  
  • Telephone & Data Systems (TDS) and United States Cellular (USM) both had their best days since 2008 after Morgan Stanley upgraded the stocks from equal-weight to overweight. In a note to clients, Morgan Stanley wrote that the telecommunication stocks, “are now very attractively valued following recent underperformance.” Worth noting that Telephone & Data Systems owns more than 70% of outstanding US Cellular shares. Telephone & Data Systems is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Information Technology Global Top Stock Ideas. US Cellular is rated “Top Buy” in our US SMID-Cap Global Top Stock Ideas and “Top Buy” in our US information Technology Global Top Stock Ideas.

Global Industrials Stocks Trending in the News

  • Boeing (BA) exited its plane order drought with a new order for 787s.  Korean Air (KOSE:A003490) placed an order for 20 787s at the Paris Air Show ending Boeing’s 2-month dry spell for orders.  Boeing has not received any orders as it dealt with its 737 Max grounding over the last 2 months.  Boeing is rated “Unattractive” in our US Large-Cap Global Top Stock Ideas and “Unattractive” in our US Industrials Global Top Stock Ideas.   
  • Embraer (ERJ) announced a $1.9 billion jet order from United Airlines (UAL) at the Paris Air Show.  United is buying 20 firm aircraft with the option for 19 more.  United is replacing older regional jets with this order and expects to start receiving deliveries soon.  Embraer has won over 80% of all orders in the 70-76 seat category since 2013.  Embraer is rated “Neutral” in our Brazil All-Cap Global Top Stock Ideas.  United Airlines is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Industrials Global Top Stock Ideas
  • FedEx (FDX) will offer package drop-off services at Dollar General (DG) stores starting late summer.  FedEx will initially offer the service at 1,500 Dollar General stores and later expand it to all 8,000 stores.  Once in all Dollar General stores, 90% of Americans will be within 5 miles of a FedEx retails location.  FedEx is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Industrials Global Top Stock Ideas.  Dollar General is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Consumer Discretionary Global Top Stock Ideas.

Global Financials Stocks Trending in the News

  • Prosperity Bancshares (PB) has agreed to acquire LegacyTexas Financial Group (LTXB) in a cash and stock transaction valued at $2.1 billion.  LegacyTexas has 42 locations in Texas and the deal will create the second largest bank in Texas.  Prosperity said its greater size will allow it to better serve customers.  Prosperity’s CEO said the bank is very much in the “M&A game” now and that could see it sitting on either side of the table, meaning acquirer or acquiree.  Prosperity Bancshares is rated “Neutral” in our US Large-Cap Global Top Stock Ideas.  LegacyTexas Financial Group is rated “Neutral” in our US SMID-Cap Global Top Stock Ideas.

Global Healthcare Stocks Trending in the News

  • Allergan (AGN) shares advanced after Evercore ISI analyst Umer Raffat wrote to clients that he expects a stock split coming soon. Following a call with Allergan’s general counsel, Raffat told clients that he, “walked away with the sense that Allergan is heading towards a split and may likely lay out timelines.” Allergan is rated “Unattractive” in our US Large-Cap Global Top Stock Ideas.
  • Ambu A/S (CPSE: AMBU B) shares sold off after CEO Juan-Jose Gonzalez issued a profit warning after just a month in the position. After the stock fell by double-digits as a direct result of the profit warning, Gonazlez and CFO Michael Hojgaard each bought shares of the company on the relative discount. Prior to the profit warning, hedge funds had built up a record-level of short bets against Ambu. Ambu is rated “Attractive” in our European SMID-Cap Global Top Stock Ideas.
  • Teva Pharmaceuticals (TEVA) had its price target cut at Bernstein to $11 from $17.  Bernstein writes that there is no reason to own the stock at this point.  Teva needs to resolve its legal issues first before investors should consider owning the stock, at 13x FCF the stock is not cheap, in Bernstein’s view.  Teva is not rated in our Global Top Stock Ideas.

 

Better Data for Better Investment DecisionsBetter Data for Better Investment Decisions
Better Data for Better Investment DecisionsBetter Data for Better Investment Decisions

US Treasuries

  • US 2-Year Treasury Notes are higher with yields down -0.03 basis points to 1.86%
  • US 5-Year Treasury Bonds are higher with yields down -2.16 basis points to 1.83%
  • US 10-Year Treasury Bonds are higher with yields down -3.64 basis points to 2.05%
  • The US Treasury 2s-5s Spread has narrowed 2.13 basis points to -0.03%
  • The US Treasury 2s-10s Spread has narrowed 3.61 basis points to 0.19%
  • US Treasury 5s-10s Spread has narrowed 1.48 basis points to 0.22%

Currencies

  • EUR€ is down 0.178% against the USD$ in after hours to 1.1198
  • GBP£ is up 0.199% against the USD$ in after hours to 1.2559
  • CHF is little changed 0.09% against the USD$ in after hours to 1
  • JPY¥ is little changed 0.101% against the USD$ in after hours to 108.43

Commodities

  • WTI Crude is up 3.79% to USD$53.9/bbl with the Brent-WTI spread down USD$-1.58 to USD$8.62/bbl
  • Gold is up 0.49% to USD$1346.26/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

 

We Crunch the Numbers, You Make the Trade.We Crunch the Numbers, You Make the Trade.
We Crunch the Numbers, You Make the Trade.We Crunch the Numbers, You Make the Trade.

S&P 500 Movers

On Mobile/Tablet scroll to the right.

 

Outperformers Sector Price 1D % Chg Volume
Xilinx Inc Information Technology 91.2 6.94%            1,491,225
Micron Technology Inc Information Technology 33.9 5.74%            8,731,034
Qorvo Inc Information Technology 61.6 5.56%                512,288
Wynn Resorts Ltd Consumer Discretionary 108 5.46%                802,249
Boeing Co/The Industrials 352 5.41%            1,266,181
 
Underperformers Sector Price 1D % Chg Volume
SL Green Realty Corp Real Estate 87.5 -3.50%                222,592
Constellation Brands Inc Consumer Staples 160 -2.81%                320,259
Western Union Co/The Information Technology 17.7 -2.44%            2,219,953
Kellogg Co Consumer Staples 59.3 -1.86%                411,463
Gap Inc/The Consumer Discretionary 24.9 -1.77%            1,345,489

 

OptionsQuantitatively derived options trades TRANSPARENT AND EASILY EXECUTABLE
OptionsQuantitatively derived options trades TRANSPARENT AND EASILY EXECUTABLE