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Writer's pictureSimon Charles Hooper

02/05/23 Briefing

Updated: May 3, 2023

The S&P 500 futures are down 7 points and are trading 0.2% below fair value. The Nasdaq 100 futures are down 9 points and are trading slightly below fair value. The Dow Jones Industrial Average futures are down 81 points and are trading 0.2% below fair value.

Stock futures have a somewhat negative bias, but moves are narrow. There's a lot of news to digest this morning that has limited investor conviction at

his juncture.

Treasury Secretary Yellen warned that the debt ceiling could be hit as early as June 1. President Biden will meet with House Speaker Kevin McCarthy and other congressional leaders on May 9 to discuss the debt ceiling.

The Reserve Bank of Australia unexpectedly raised its cash rate by 25 bps to 3.85%.

Manufacturing PMIs from the eurozone, Germany, France, Italy, Spain, and the U.K. for April were all down from the March readings. Core CPI from the eurozone was slightly better than expected at 1.0% month/month (expected 1.1%).

Separately, the Writers Guild of America called for a strike.

The 2-yr note yield up one basis point to 4.13%. The 10-yr note yield is down three basis points to 3.53%.

In corporate news:

  • BP 0.67% (BP 37.95, -2.06, -5.2%): beats by $0.04, misses on revs; bp continues to expect to be able to deliver share buybacks of around $4.0 billion per annum, at the lower end of its $14-18 billion capital expenditure range

  • Uber (UBER 35.32, +2.58, +7.9%): beats by $0.01, beats on revs

  • Pfizer (PFE 39.55, +0.34, +0.9%): beats by $0.24, beats on revs; reaffirms FY23 EPS guidance, revs guidance

  • Chegg (CHGG 10.10, -7.50, -42.6%): beats by $0.01, beats on revs; guides Q2 revs below consensus

  • Marriott (MAR 172.72, +2.58, +1.5%): beats by $0.25, beats on revs; guides Q2 EPS above consensus; raises FY23 EPS above consensus

  • DuPont (DD 65.98, -3.40, -4.9%): beats by $0.04, beats on revs

  • Restaurant Brands Int'l (QSR 71.50, +0.90, +1.3%): beats by $0.11, beats on revs

  • Zimmer Biomet (ZBH 144.00, +5.17, +3.7%): beats by $0.25, beats on revs; raises FY23 EPS above consensus, revs above consensus

  • Lattice Semi (LSCC 83.12, +1.48, +1.8%): beats by $0.01, beats on revs; guides Q2 revs mostly above consensus

  • IBM 0.25% (IBM 126.32, +0.23, +0.2%): aiming to pause hiring for jobs than can be done with artificial intelligence, according to Bloomberg

  • Morgan Stanley (MS 88.18, +0.25, +0.3%): to eliminate 3000 jobs, according to Bloomberg

Reviewing overnight developments:

  • Equity indices in the Asia-Pacific region ended Tuesday on a mixed note while markets in China were closed and will remain closed through tomorrow. Japan's Nikkei: +0.1%, Hong Kong's Hang Seng: +0.2%, China's Shanghai Composite: CLOSED, India's Sensex: +0.4%, South Korea's Kospi: +0.9%, Australia's ASX All Ordinaries: -0.9%.

    • In economic data:

      • South Korea's April CPI 0.2% m/m (expected 0.3%; last 0.2%); 3.7% yr/yr (expected 3.8%; last 4.2%). April Nikkei Manufacturing PMI 48.1 (expected 47.5; last 47.6)

      • Hong Kong's Q1 GDP 5.3% qtr/qtr (expected 1.9%; last 0.0%); 2.7% yr/yr (expected -4.2%; last -4.2%)


  • In news:

    • Finance ministers and central bank officials from China, Japan, and South Korea issued a statement that highlighted the importance of stronger economic and trade ties.

    • President Biden will hold a trilateral meeting with Japan's Prime Minister Kishida and South Korea's President Yoon at the sidelines of the G7 meeting later this month.

    • The Reserve Bank of Australia unexpectedly raised its cash rate by 25 bps to 3.85%.



  • Major European indices trade on a mostly lower note. STOXX Europe 600: -0.2%, Germany's DAX: -0.2%, U.K.'s FTSE 100: +0.1%, France's CAC 40: -0.4%, Italy's FTSE MIB: +0.3%, Spain's IBEX 35: -0.4%.

    • In economic data:

      • Eurozone's April Manufacturing PMI 45.8 (expected 45.5; last 47.3). March Private Sector Loans 2.9% yr/yr (expected 3.2%; last 3.2%) and loans to nonfinancials 5.2% yr/yr (expected 5.8%; last 5.7%). April CPI 0.7% m/m (expected 0.9%; last 0.9%); 7.0% yr/yr, as expected (last 6.9%). April Core CPI 1.0% m/m (expected 1.1%; last 1.3%); 5.6% yr/yr (expected 5.7%; last 5.7%)

      • Germany's March Retail Sales -2.4% m/m (expected 0.4%; last -0.3%); -8.6% yr/yr (expected -6.1%; last -7.1%). April Manufacturing PMI 44.5 (expected 44.0; last 44.7)

      • U.K.'s April Nationwide HPI 0.5% m/m (expected -0.4%; last -0.7%); -2.7% yr/yr (expected -3.6%; last -3.1%). April Manufacturing PMI 47.8 (expected 46.6; last 47.9)

      • France's April Manufacturing PMI 45.6 (expected 45.5; last 47.3)

      • Italy's April Manufacturing PMI 46.8 (expected 49.0; last 51.1). March non-EU trade surplus EUR8.45 bln (last surplus of EUR4.00 bln). March PPI -1.5% m/m (expected -4.6%; last -1.0%); 3.8% yr/yr (expected 1.8%; last 9.6%). April CPI 0.5% m/m (expected 0.3%; last -0.4%); 8.3% yr/yr (expected 8.2%; last 7.6%)

      • Swiss Q2 SECO Consumer Climate -13 (last -9) and April procure.ch PMI 45.3 (last 47.0)

      • Spain's April Manufacturing PMI 49.0, as expected (last 51.3)


  • In news:

    • The European Central Bank's Q1 lending survey showed that more than 25% of eurozone banks tightened lending standards for companies while nearly 40% reported falling demand for credit from businesses.

    • HSBC beat Q1 expectations and affirmed its guidance for FY23 while BP reported better than expected results and announced a $1.75 bln buyback.



U.S. equity futures:

  • S&P 500 Futures: -8 @ 4,160

  • DJIA Futures: -71 @ 33,981

  • Nasdaq 100 Futures: -7 @ 13,225

Overseas:

  • Europe: DAX -0.2%, FTSE +0.1%, CAC -0.4%

  • Asia: Nikkei +0.1%, Hang Seng +0.2%, Shanghai Composite CLOSED

Commodities:

  • Crude Oil -0.20 @ 75.46

  • Nat Gas -0.036 @ 2.282

  • Gold +4.20 @ 1996.40

  • Silver -0.242 @ 24.988

  • Copper -0.0237 @ 3.9103


Earnings/Guidance:

  • Addus HomeCare ( ADUS 0.00% ) beats by $0.06, reports revs in-line

  • ADT ( ADT 0.60% ) beats by $0.04, misses on revs

  • AerCap ( AER 0.60% ) beats by $0.31, beats on revs; affirms FY23 EPS guidance at higher end of range

  • AGCO Corp ( AGCO 0.56% ) beats by $0.80, beats on revs; guides FY23 EPS above consensus, revs above consensus

  • Air Lease ( AL 0.07% ) beats by $0.30, beats on revs

  • Alliance Resource ( ARLP 0.00% ) beats by $0.20; beats on revs

  • Ameresco ( AMRC 1.97% ) misses by $0.03, beats on revs; guides Q2 EPS below consensus, revs below consensus; reaffirms FY23 EPS guidance, revs guidance

  • AmerisourceBergen ( ABC 0.04% ) beats by $0.20, beats on revs; guides FY23 EPS above consensus, revs above consensus

  • Ametek ( AME 1.02% ) beats by $0.08, beats on revs; guides Q2 EPS above consensus; raises FY23 EPS in-line

  • Amkor ( AMKR 0.00% ) reports EPS in-line, misses on revs; guides Q2 EPS below estimate, revs in-line

  • Apartment Income REIT Corp ( AIRC 0.49% ) misses by $0.02; beats on revs; sees FY23 FFO in-line

  • Arista Networks ( ANET 0.00% ) beats by $0.09, beats on revs; guides Q2 revs in-line

  • Avis Budget ( CAR 0.00% ) reports Q1 (Mar) results, revs in-line

  • Axonics Modulation ( AXNX 0.00% ) beats by $0.10, beats on revs; raises FY23 revs guidance

  • Black Stone Minerals ( BSM 0.06% ) beats on top and bottom lines

  • BP ( BP 0.67% ) beats by $0.04, misses on revs

  • Brixmor Property ( BRX 1.08% ) reports FFO in-line, beats on revs; guides FY23 FFO in-line

  • Broadridge Financial ( BR 0.85% ) beats by $0.02, reports revs in-line; reaffirms FY23 EPS in-line

  • California Resources Corporation ( CRC 0.67% ) Reports Record First Quarter Financial Results, Provides an Update on the Progress of Business Repositioning and Further Expands Its Carbon Management Business

  • CF Industries ( CF 0.52% ) beats by $0.31, beats on revs

  • Chegg ( CHGG 2.11% ) beats by $0.01, beats on revs; guides Q2 revs below consensus

  • Cheniere Energy Partners ( CQP 0.24% ) reports Q1 results, beats on revs

  • CNO Financial ( CNO 1.38% ) misses by $0.10, beats on revs

  • Colliers ( CIGI 0.00% ) misses by $0.55, misses on revs; lowers FY23 EPS below consensus, revs below consensus

  • Community Health ( CYH 1.74% ) misses by $0.27, reports revs in-line

  • Commvault Systems ( CVLT 0.00% ) beats by $0.11, beats on revs; increased share repurchase authorization to $250 mln

  • CONSOL Energy ( CEIX 1.31% ) reports Q1 results; beats on revs

  • Credit Acceptance Corp. ( CACC 0.00% ) misses by $0.62, reports revs in-line

  • Cummins ( CMI 0.20% ) reports Q1 (Mar) results, beats on revs; guides FY23 revs above consensus; raises FY23 EBITDA guidance

  • Diamondback Energy ( FANG 0.00% ) reports Q1 (Mar) results, revs in-line

  • Dorman Products ( DORM 0.00% ) misses by $0.38, misses on revs; reaffirms FY23 EPS guidance, revs guidance

  • Douglas Dynamics ( PLOW 0.99% ) reports Q1 results in-line with recent guidance; reaffirms FY23 EPS guidance, revs guidance

  • E2open ( ETWO 0.79% ) misses by $0.01, misses on revs; guides FY24 revs below consensus

  • Easterly Government Properties ( DEA 0.78% ) reports FFO in-line, revs in-line; guides FY23 FFO in-line

  • Eaton ( ETN 0.99% ) beats by $0.10, beats on revs; guides Q2 EPS in-line; guides FY23 EPS above consensus

  • Enpro Industries ( NPO 0.56% ) beats by $0.69, beats on revs; reaffirms FY23 EPS guidance

  • Enterprise Products ( EPD 0.04% ) beats by $0.01, misses on revs

  • ESAB Corp. ( ESAB 0.62% ) beats by $0.11, beats on revs

  • Equitrans Midstream ( ETRN 2.14% ) beats by $0.10, beats on revs

  • Everest Re ( RE 0.62% ) misses by $1.23, beats on revs

  • First Watch Restaurant Group ( FWRG 0.00% ) beats by $0.06, beats on revs, comps of +12.9%; guides FY23 revs in-line, reaffirms comps

  • Flowserve ( FLS 1.59% ) beats by $0.14, beats on revs; raises FY23 EPS and revenue guidance

  • FMC Corp ( FMC 0.15% ) beats by $0.03, misses on revs; guides Q2 EPS below consensus, revs below consensus; guides FY23 EPS in-line, revs in-line

  • Forward Air ( FWRD 0.00% ) reports Q1 (Mar) results, misses on revs

  • Four Corners Property Trust ( FCPT 0.47% ) beats by $0.01, beats on revs

  • Gartner ( IT 1.70% ) beats by $0.78, beats on revs

  • Graphic Packaging ( GPK 0.12% ) beats by $0.14, beats on revs; guides FY23 EPS in-line, revs above consensus

  • Harmony Biosciences ( HRMY 0.00% ) beats by $0.10, beats on revs; appoints Kumar Budur, MD, MS as CMO

  • Hologic ( HOLX 0.00% ) beats by $0.18, beats on revs; guides Q3 EPS in-line, revs in-line; raises FY23 EPS above consensus, revs in-line

  • Howmet Aerospace ( HWM 0.02% ) beats by $0.04, beats on revs; guides Q2 EPS above consensus, revs above consensus; guides FY23 EPS above consensus, revs above consensus

  • HSBC Holdings ( HSBC 0.61% ) beats by $0.11; beats on revs; provides outlook

  • IDEXX Labs ( IDXX 0.00% ) beats by $0.17, beats on revs; guides FY23 EPS in-line, revs in-line

  • Incyte ( INCY 0.00% ) misses by $0.37, misses on revs

  • InMode ( INMD 0.00% ) beats by $0.04, beats on revs; guides FY23 EPS below consensus, revs in-line

  • Instructure ( INST 0.26% ) beats by $0.01, beats on revs; guides Q2 revs above consensus; guides FY23 revs in-line

  • Invitation Homes ( INVH 0.15% ) reports FFO in-line, beats on revs; guides FY23 FFO in-line

  • J&J Snack Foods ( JJSF 0.00% ) misses by $0.03, reports revs in-line

  • Kennametal ( KMT 1.04% ) beats by $0.05, beats on revs; guides FY23 EPS above consensus, revs mostly above consensus

  • Lattice Semi ( LSCC 0.00% ) beats by $0.01, beats on revs; guides Q2 revs mostly above consensus

  • Leggett & Platt ( LEG 2.91% ) beats by $0.13, beats on revs; reaffirms FY23 EPS guidance, revs guidance

  • Leidos ( LDOS 1.14% ) misses by $0.12, beats on revs; maintains FY23 EPS in-line, revs in-line

  • LendingTree ( TREE 0.00% ) beats by $0.36, misses on revs; guides Q2 revs below consensus; guides FY23 revs below consensus

  • LGI Homes ( LGIH 0.00% ) misses by $0.11, beats on revs, guides for FY23 home closings of 6,300-7,100

  • Logitech Int'l SA ( LOGI 0.00% ) beats by $0.21, beats on revs

  • Marathon Petroleum ( MPO ) beats by $0.49, reports revs in-line

  • Marriott ( MAR 0.00% ) beats by $0.25, beats on revs; guides Q2 EPS above consensus; raises FY23 EPS above consensus

  • MDC Holdings ( MDC 0.41% ) beats by $0.54, beats on revs

  • Medifast ( MED 1.18% ) beats by $1.27 (single estimate), beats on revs; guides Q2 EPS below single analyst estimate, revs below estimate

  • MGM Resorts ( MGM 2.49% ) beats by $0.28, beats on revs

  • MicroStrategy ( MSTR 0.00% ) beats by $30.41 (two estimates), beats on revs

  • Molson Coors Brewing ( TAP 1.63% ) beats by $0.28, beats on revs; targeting low single-digit sales increase in FY23 in cc

  • MPLX LP ( MPLX 0.31% ) beats by $0.08, beats on revs

  • MSA Safety ( MSA 0.52% ) beats by $0.31, beats on revs

  • National Storage Affiliates ( NSA 1.06% ) misses by $0.03, reports revs in-line; reaffirms FY23 FFO guidance

  • NXP Semi ( NXPI 0.00% ) beats by $0.10, beats on revs; guides Q2 EPS above consensus, revs above consensus

  • ONE Gas ( OGS 0.44% ) misses by $0.02, beats on revs; reaffirms FY23 EPS guidance

  • OrthoPediatrics ( KIDS 0.00% ) beats by $0.04, beats on revs, raises FY23 revenue guidance

  • Otter Tail Power ( OTTR 0.00% ) beats by $0.47, beats on revs; guides FY23 EPS above consensus

  • Pediatrix Medical Group ( MD 0.00% ) beats by $0.01, reports revs in-line, reaffirms FY23 adj. EBITDA guidance

  • Pfizer ( PFE 0.82% ) beats by $0.24, beats on revs; reaffirms FY23 EPS guidance, revs guidance

  • Piedmont Office Realty Trust ( PDM 0.92% ) beats by $0.01; reaffirms FY23 FFO guidance

  • PJT Partners ( PJT 1.54% ) misses by $0.11, misses on revs

  • Premier ( PINC 0.00% ) reports EPS in-line, misses on revs; lowers FY23 EPS below consensus, revs below consensus

  • Repligen ( RGEN 0.00% ) beats by $0.05, reports revs in-line; guides FY23 EPS below consensus, revs below consensus

  • Restaurant Brands Int'l ( QSR 0.67% ) beats by $0.11, beats on revs

  • Rhythm Pharmaceuticals ( RYTM 0.00% ) misses by $0.21, misses on revs

  • Rivian Automotive ( RIVN 0.00% ) disclosed letter to shareholders last night; says 2023 production guidance of 50,000 vehicles remains on track, representing a 100% increase from 2022

  • SAGE Therapeutics ( SAGE 0.00% ) reports EPS in-line, beats on revs

  • SBA Comm ( SBAC 0.00% ) beats by $0.22, reports revs in-line; guides FY23 AFFO above consensus, revs in-line

  • Scorpio Tankers ( STNG 1.65% ) beats by $0.16, misses on revs; CFO retiring, new CFO named

  • Sealed Air ( SEE 0.25% ) misses by $0.03, misses on revs; reaffirms FY23 EPS guidance, revs guidance

  • Service Corp ( SCI 2.01% ) beats by $0.02, reports revs in-line; reaffirms FY23 EPS guidance

  • SI-BONE ( SIBN 0.00% ) beats by $0.10, beats on revs, guides FY23 revenue above consensus

  • Sonoco Products ( SON 2.49% ) beats by $0.08, misses on revs; guides Q2 EPS in-line; guides FY23 EPS in-line

  • Sprouts Farmers Market ( SFM 0.00% ) beats by $0.13, reports revs in-line, comps of +3.1%; guides Q2 EPS above consensus; guides FY23 EPS above consensus, revs above consensus, raises comp guidance

  • Stryker ( SYK 0.08% ) beats by $0.13, beats on revs; guides FY23 EPS above consensus

  • Sunoco LP ( SUN 1.30% ) beats by $0.18, beats on revs; increases quarterly distribution by 2%

  • Symbotic ( SYM 0.00% ) reports Q1 (Mar) results, beats on revs; guides Q2 revs in-line

  • Terex ( TEX 3.16% ) beats by $0.56, beats on revs; raises FY23 EPS, revs guidance

  • Thomson Reuters ( TRI 0.50% ) beats by $0.02, reports revs in-line; plans return of capital transaction in June

  • TransMedics Group ( TMDX 0.00% ) beats by $0.17, beats on revs; guides FY23 revs above consensus

  • Transocean ( RIG 0.85% ) misses by $0.16, reports revs in-line

  • Trinity Industries ( TRN 0.50% ) misses by $0.18, misses on revs; reaffirms FY23 EPS guidance

  • Triton International ( TRTN 0.11% ) beats by $0.10, reports revs in-line; company acquired by Brookfield Infrastructure

  • T. Rowe Price ( TROW 0.00% ) beats by $0.06, reports revs in-line

  • Uber ( UBER 5.44% ) beats by $0.01, beats on revs

  • Valaris ( VAL 0.82% ) reports Q1 results; beats on revs

  • Varonis Systems ( VRNS 0.00% ) beats by $0.05, reports revs in-line; guides Q2 EPS, revs below consensus; lowers FY23 EPS, revs outlook

  • Vertex Pharma ( VRTX 0.00% ) beats by $0.05, beats on revs

  • VICI Properties ( VICI 0.47% ) misses by $0.08, beats on revs; reaffirms FY23 FFO guidance

  • Viper Energy Partners ( VNOM 0.00% ) reports Q1 (Mar) results, beats on revs

  • Vornado Rlty Trust ( VNO 2.20% ) misses by $0.02, misses on revs

  • Woodward ( WWD 0.00% ) beats by $0.30, beats on revs; guides FY23 EPS above consensus, revs above consensus

  • Zebra Tech ( ZBRA 0.00% ) beats by $0.02, reports revs in-line; guides Q2 EPS below consensus, revs below consensus; guides FY23 revs below consensus

  • Zimmer Biomet ( ZBH 0.28% ) beats by $0.25, beats on revs; raises FY23 EPS above consensus, revs above consensus

  • ZoomInfo ( ZI 0.00% ) beats by $0.02, reports revs in-line; guides Q2 EPS in-line, revs in-line; guides FY23 EPS above consensus, reaffirms FY23 revs guidance

News:

  • President Biden will meet with House Speaker Kevin McCarthy and other congressional leaders on May 9 to discuss debt ceiling

  • Treasury Secretary Janet Yellen says best estimate is that Treasury will be unable to continue to satisfy all of the government's obligations by early June, and potentially as early as June 1

  • President Biden considering two nominations at the Fed: Adriana Kugler for a Fed governor job and current member Philip Jefferson to vice chair, according to the New York Times

  • White House will end COVID-?19 vaccination requirements for federal employees, contractors, international travelers, head start educators, and cms-certified facilities

  • Reserve Bank of Australia Board decided to increase the cash rate target by 25 basis points to 3.85%

  • Writers Guild of America calls strike, effective Tuesday, May 2

  • There were more than 20,000 Russian forces killed since December in Ukraine war, according to the Financial Times

  • Airbus ( EADSY ) new longer range jet is running over a year behind schedule, according to Bloomberg

  • Apyx Medical ( APYX 0.00% ) receives clearance from the U.S. FDA for the use of its APR Handpiece in procedures for coagulation of soft tissues following liposuction

  • Babcock & Wilcox Enterprises ( BW 0.16% ) announces that Black Hills Energy selects its BrightLoop hydrogen generation technology for the feasibility study of a proposed project to produce clean hydrogen from coal and capture carbon dioxide emissions at BHE's Neil Simpson Power Plant in Gillette, Wyo

  • BlackBerry ( BB 0.77% ) initiating review of its portfolio of businesses as it considers strategic alternatives, including possible separation of one or more units

  • CME Group ( CME 0.00% ) reports April 2023 monthly market statistics

  • Curtiss-Wright ( CW 1.11% ) signs agreement with Shell Exploration & Production, a Shell plc (SHEL) subsidiary, to manufacture and provide operational support for an electro-submersible pump for a Shell offshore platform

  • Editas Medicine ( EDIT 0.00% ) announced that the journal Nature Biotechnology published the comprehensive data from a study of the proprietary SLEEK (SeLection by Essential-gene Exon Knock-in) gene editing technology

  • Enpro Industries ( NPO 0.56% ) announces that Milt Childress, Executive Vice President and Chief Financial Officer, plans to retire in the first half of 2024

  • Fisker ( FSR 15.37% ) and Ample partner to deliver Fisker Ocean EVs with innovative swappable batteries by the start of 2024

  • IBM ( IBM 0.25% ) aiming to pause hiring fir jobs than can be done with artificial intelligence, according to Bloomberg

  • Immatics N.V. ( IMTX 0.00% ) announces an interim clinical data update for 11 patients with recurrent and/or refractory solid cancers treated with ACTengine IMA203 TCR-T monotherapy in the ongoing Phase 1b dose expansion Cohort A (

  • Masimo ( MASI 0.00% ) trade secret case against Apple (AAPL) ended in a mistrial, according to Reuters

  • Morgan Stanley ( MS 2.27% ) to eliminate 3000 jobs, according to Bloomberg

  • Northern Oil & Gas ( NOG 0.48% ) increases quarterly dividend to $0.37/share from $0.34/share

  • Sanofi ( SNY 0.00% ) provides update on FDA Advisory Committee vote on Lynparza plus abiraterone for metastatic castration-resistant prostate cancer

  • Starwood Property Trust ( STWD 2.18% ) COO Andrew J. Sossen resigned on April 28

  • SunPower ( SPWR 0.00% ) appoints Jennifer Johnston as COO, effective May 8, 2023

  • Syneos Health ( SYNH 0.00% ) appointed Michael Bonello as the Chief Financial Officer of the Company, effective July 1, 2023, succeeding Stanford (Ben) Rudnick as the Company's principal financial officer as of such date

  • Tesla ( TSLA 0.00% ) increased prices in US, China, Japan, and Canada, according to Reuters

  • Travere Therapeutics ( TVTX 0.00% ) announced topline primary efficacy results from the pivotal Phase 3 DUPLEX Study of sparsentan in focal segmental glomerulosclerosis did not meet primary efficacy endpoint

  • United Healthcare ( UNH 0.73% ) lost legal case against KKR (KKR) doctor group, according to Financial Times

  • Verona Pharma ( VRNA 0.00% ) to Present Expanded Analyses of Positive Phase 3 ENHANCE Studies in COPD in Multiple Presentations at ATS 2023

M&A:

  • 3D Systems ( DDD 0.33% ) to acquire Wematter, a Swedish 3D printer manufacturer; terms not disclosed

  • Ametek ( AME 1.02% ) announces the acquisition of Bison Gear & Engineering Corp.; financial terms were not disclosed

  • Boston Omaha ( BOC 2.39% ) acquires remaining ownership interest, from 48% to 100%, in 24th Street Asset Management

  • Commercial Metals ( CMC 1.61% ), through its Tensar division, acquires a geosynthetics manufacturing facility from BOSTD - America; financial details not disclosed

  • DuPont ( DD 0.49% ) to acquire Spectrum Plastics Group from AEA Investors for $1.75 bln; expects the deal to be immediately accretive to its adjusted EPS and to achieve high single-digit ROIC by year five

  • GMS ( GMS 0.07% ) expands its presence on Vancouver Island with the acquisition of Home Lumber & Building Supplies

Syndicate:

  • Aflac ( AFL 0.73% ) files up to 52,300,000 shares of common stock offering by selling shareholder

  • Belite Bio ( BLTE 0.00% ) files for $300 mln ADS offering

  • Cassava Sciences ( SAVA 0.00% ) files mixed securities shelf offering

  • MoonLake Immunotherapeutics ( MLTX 0.00% ) files mixed shelf securities offering

  • T-Mobile US ( TMUS 0.00% ) files mixed shelf securities offering; files up to 605,110,755 shares of common stock by selling shareholders

IPOs:

  • Expected to Price:

    • Kenvue ( KVUE 0.00% ): The consumer health unit being spun off by Johnson & Johnson (JNJ) is expected to price its 151.2 mln share IPO between $20-$23.


Gapping Up/Down

  • Gapping up:

    • WWD +16.1%, SFM +7.9%, BB +7.7%, STAG +7.6%, ADSE +6.5%, SIBN +6.2%, CHEF +6.1%, TEX +6%, FLS +5.2%, PDM +5%, ZI +4.9%, HSBC +4.9%, NXPI +4.8%, CIFR +4.3%, BOC +2.9%, OTTR +2.7%, SON +2.2%, VNOM +2.2%, MDC +2.1%, NOG +2%, ADUS +2%, LEG +2%, LOGI +2%, CRC +2%, MSTR +1.8%, LSCC +1.7%, INVH +1.7%, WTRG +1.6%, EDIT +1.6%, SYM +1%, RIG +1%, AIRC +0.8%


  • Gapping down:

    • CHGG -43.1%, TVTX -24.4%, ETWO -20%, CYH -13.5%, ANET -7.9%, CACC -6.8%, CNO -6.3%, AXNX -5.4%, BP -5.3%, SYK -4.6%, SCI -3.8%, RMBS -3.7%, BRX -3.1%, SAVA -3%, ACT -3%, RE -3%, FMC -3%, MLTX -2.9%, FWRD -2.5%, TMDX -2.4%, VRTX -2.1%, KIDS -1.9%, OGS -1.7%, FANG -1.4%, MED -1.2%, CAR -1.2%, TMUS -1%, JJSF -1%, LDOS -0.9%, HOLX -0.8%, SPWR -0.6%


Analyst Research (see Upgrades/Downgrades calendar for full list):

  • Upgrades

    • Annaly Capital Mgmt (NLY) upgraded to Overweight from Neutral at Piper Sandler; tgt raised to $21.50

    • Centerspace (CSR) upgraded to Buy from Neutral at Colliers Securities; tgt $70

    • Dell (DELL) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt raised to $55

    • Genuine Parts (GPC) upgraded to Neutral from Sell at Goldman; tgt raised to $164

    • HP Inc. (HPQ) upgraded to Equal-Weight from Underweight at Morgan Stanley; tgt raised to $31

    • PENN Entertainment (PENN) upgraded to Buy from Neutral at ROTH MKM; tgt raised to $40

    • Roper (ROP) upgraded to Mkt Perform from Underperform at Bernstein; tgt raised to $525

    • SGL Carbon (SGLFF) upgraded to Buy from Hold at Deutsche Bank

    • SGS SA (SGSOY) upgraded to Outperform from Sector Perform at RBC Capital Mkts

    • Stora Enso OYJ (SEOAY) upgraded to Overweight from Neutral at JP Morgan

    • VSE Corp (VSEC) upgraded to Outperform from Sector Perform at RBC Capital Mkts; tgt raised to $55


  • Downgrades:

    • Capri Holdings (CPRI) downgraded to Equal Weight from Overweight at Barclays; tgt $46

    • Check Point Software (CHKP) downgraded to Neutral from Buy at BTIG Research

    • Chegg (CHGG) downgraded to Hold from Buy at Jefferies; tgt lowered to $11

    • Coinbase Global (COIN) downgraded to Neutral from Buy at Citigroup; tgt lowered to $65

    • FIGS, Inc. (FIGS) downgraded to Underweight from Equal Weight at Barclays

    • Quest Diagnostics (DGX) downgraded to Neutral from Buy at BofA Securities; tgt lowered to $148

    • Shoals Technologies (SHLS) downgraded to Underweight from Equal Weight at Barclays; tgt lowered to $19

    • SoFi Technologies (SOFI) downgraded to Neutral from Outperform at Wedbush; tgt lowered to $5

    • Walker & Dunlop (WD) downgraded to Mkt Perform from Mkt Outperform at JMP Securities


  • Others:

    • Alvarium Tiedemann Holdings (ALTI) initiated with a Strong Buy at Raymond James; tgt $8

    • Ameresco (AMRC) initiated with a Buy at UBS; tgt $60

    • ChargePoint (CHPT) initiated with a Neutral at Guggenheim

    • CrowdStrike (CRWD) initiated with a Buy at Rosenblatt; tgt $170

    • CyberArk (CYBR) initiated with a Buy at Rosenblatt; tgt $175

    • Ferrari (RACE) initiated with an Equal Weight at Barclays

    • Fortinet (FTNT) initiated with a Buy at Rosenblatt; tgt $80

    • Gildan Activewear (GIL) initiated with a Buy at Stifel; tgt $38

    • J.M. Smucker (SJM) resumed with an Equal Weight at Barclays; tgt $165

    • Palo Alto Networks (PANW) initiated with a Buy at Rosenblatt; tgt $250

    • Planet Labs (PL) initiated with a Mkt Outperform at JMP Securities; tgt $5.50

    • Post (POST) resumed with an Overweight at Barclays; tgt $105

    • Sana Biotechnology (SANA) initiated with a Neutral at H.C. Wainwright

    • Triple Flag Precious Metals Corp. (TFPM) initiated with a Buy at Stifel

    • Zscaler (ZS) initiated with a Buy at Rosenblatt; tgt $135


Econ Data:

  • 10:00 ET: Factory Orders for Mar (Briefing.com Consensus 1.4%; Prior -0.7%)

  • 10:00 ET: JOLTS - Job Openings for Mar (Briefing.com Consensus NA; Prior 9.931M)

Earnings:

  • Monday (May 1)

    • Morning: AMG CHKP CAN BEN GPN KBR NCLH ON PK SOFI WEC

    • Afternoon: ADUS AL AMRC AMKR ANET CAR AXNX BRX CRC CF CHGG CNO CYH CACC FANG PLOW RE FLS FMC FWRD FCPT HOLX INST INVH JJSF KMT LSCC LEG LOGI MED MGM MSTR MSA NSA NXPI OGS OTTR PDM RMBS SBAC SCI SON SFM SYK TEX TMDX RIG TWO VRNS VRTX VICI VNOM VNO WWD ZI


  • Tuesday (May 2)

    • Morning: ADT AER AGCO ABC AME BP BR LNG CQP CIGI CVLT CMI DORM DTM DD DEA ETN ECL NPO EPD ETRN AQUA EXPD FSS FELE IT GPK HRMY HWM IDXX ITW INCY INMD NSIT IPGP LDOS TREE LGIH MPC MAR MDC TAP MPLX NNN MD PRFT PFE PIPR PINC PEG RGEN QSR RYTM SAGE STNG SEE SUN SYY TROW TRI TRN TRTN UBER ZBRA ZBH


  • Tuesday (May 2)

    • Afternoon: ATGE AMD AFG ANDE ARWR APAM ASH AIZ ATRC AXTA BAND BFAM CZR CWH CCCS CHK CLX CRK DENN DEI EIX ET EEFT EXPI EXR F FNV FRSH LOPE THG HLF HMN HURN INSP JKHY JRVR KAI KAR LMAT LSI LFUS LTHM LUMN MTW MTCH MRCY MLNK MCW MUSA NRDS NMIH OHI OMCL OKE PACB PAYC PEN PECO PRO PRU LUNG RNR SRPT SPG SPT SBUX SMCI UFPI UIS UNM VREX VIAV VOYA WELL WU WK XHR YUMC


  • Wednesday (May 3)

    • Morning: ADNT ALE ASTE AVNS AVDX AVNT AVA GOLD BDC BRY TECH BCRX BLKB EAT BIP BLDR BG CDW CHEF CLH CNDT CRTO CVS DCPH XRAY DBRG DIN DFIN DRVN EMR EL EXC FTS FDP GRMN GNRC ROCK GOGO GFF HBI HSC HZNP INGR IONS JHG KHC LIVN LPX LXP MBUU MTRN MIR MUR NBIX NI PCRX PSN PERI PSX PUMP RDWR RXO SPNS SMG SBGI SITE SHC SR SPR SMP SPWR COCO TKR TT TRMB TPB UTHR VRSK WING WWE YUM


  • Wednesday (May 3)

    • Afternoon: TXG ADPT AEIS ALB ALKT ALLO ALL ATUS AMED AMWL ANSS HOUS APA AMK ATO AVT ACLS BHE BKH CPE CDAY CIVI CTSH CODI CFLT CORT CXW CTVA CCRN CW DEN DHT ESTE ECPG NVST EQIX EQH EQC ETSY ES EVH FPI FARO FSLY FATE FNF FLT FORM ULCC GNK GIL GKOS GL HST HUBS NARI INFN IR NGVT IOSP FROG KW KTOS KLIC LMND LESL MGY MRO VAC MMS MELI MET MTG MKSI MOS MYGN NSTG NFG NE NUS OPK OUT PLMR PGRE PDCE PCOR PSA QGEN QRVO QCOM QDEL QNST RDN RYN O RGNX RELY REZI RVLV RPT RSI RHP SIGI SITM SEDG SRC STAA SRI RGR SUM RUN SYNA TNDM TPIC TRIP TTEC TTMI USPH UDMY UGI OLED UPWK VMEO VSTO HCC WTS WERN WES WMB YELL ZG ZIMV


  • Thursday (May 4)

    • Morning: ACIW GOLF AGIO ATI ALNY AEP BUD APG APTV MT ARNC ARW AUPH BALL BHC BCE BDX BGNE BERY BKI BPMC BWA BV BRKR CAH CG CARS CIM IMOS CCOI CGNX COMM COP CEG DDOG DLX DGII DNB ECVT ESMT ENOV XPRO RACE FOCS FTDR GTES GEL GPRE HAYW DINO HII H IDA INSM IBP NTLA ICE IDCC IMXI ITCI IRM IRWD ITRI ITT JLL KRTX K KTB KYMR LAMR LANC LNTH MAC MTSI MMP MLM MDU MFA MGPI MRNA MODV NTCT NFE NJR NWN NVCR DNOW OCSL OGE OPCH OGN PZZA PARA PH PTON PENN PCG DOC PNW PBI PLNT PLTK PTLO PPL PBH PRMW PWR RCM REGN RITM RCL SABR SBH SRE SHAK FOUR SWK STWD STVN TFX TU TIXT THRY BLD UNIT UPBD VNT VMC WD W WCC WLK WRK WOW XPO XYL ZTS


  • Thursday (May 4)

    • Afternoon: AAON ABCL ACCO ATSG LNT AOSL ALTR AEE AMH AIG COLD AMN APLS AAPL TEAM AVID AZEK BGS BBDC BIGC BILL BIO BL SQ BCC BKNG BMBL CABO CDLX CVNA CHUY CRUS CLFD CWAN CDXS COHU COIN COLL ED CTRA CYRX CWK CYTK DH DRH BOOM DLB DASH DKNG DBX LOCO ENV EOG EXPE FRT FIGS FIVN FND FTNT FOXF FNKO GMED GDDY GT GDOT GDYN HTGC INGN PODD IRTC JAMF LGND LYFT MTZ MATX MGRC MERC MTD MCHP MNTV MPWR MNST MSI MP NCR LASR NOG OSPN ONTO OTEX OPEN OEC PCTY PBA PRDO PLYA POST POWI PRTA KWR QLYS RMAX RRR RDFN RRX REG RGA RLAY RLJ RKT RYAN SEM SHOP SIMO SPXC STEM SG TDC TXRH TMST TVTX TRUP TPC RARE UPLD VCYT VRRM WPM WW XPOF YELP ZETA


  • Friday (May 5)

    • Morning: ACMR AMC AXL AMRX BEP CBOE CNK CNHI ROAD D ENB EPAM ESNT EVRG FLR FYBR FSK FUBO FLGT GTN HUN TILE INSW JCI KOP MGA NMRK OMI PBF PAA PNM PRLB QRTEA SSP SHO CI TAC TWST WBD



Asia & Europe detail:

Asia: Nikkei +0.1%, Hang Seng +0.2%, Shanghai Composite CLOSED

Equity indices in the Asia-Pacific region ended Tuesday on a mixed note while markets in China were closed and will remain closed through tomorrow. Finance ministers and central bank officials from China, Japan, and South Korea issued a statement that highlighted the importance of stronger economic and trade ties. President Biden will hold a trilateral meeting with Japan's Prime Minister Kishida and South Korea's President Yoon at the sidelines of the G7 meeting later this month. The Reserve Bank of Australia unexpected raised its cash rate by 25 bps to 3.85%.

  • In economic data:

    • South Korea's April CPI 0.2% m/m (expected 0.3%; last 0.2%); 3.7% yr/yr (expected 3.8%; last 4.2%). April Nikkei Manufacturing PMI 48.1 (expected 47.5; last 47.6)

    • Hong Kong's Q1 GDP 5.3% qtr/qtr (expected 1.9%; last 0.0%); 2.7% yr/yr (expected -4.2%; last -4.2%)


---Equity Markets---

  • Japan's Nikkei: +0.1%

  • Hong Kong's Hang Seng: +0.2%

  • China's Shanghai Composite: CLOSED

  • India's Sensex: +0.4%

  • South Korea's Kospi: +0.9%

  • Australia's ASX All Ordinaries: -0.9%

---FX---

  • USD/JPY: UNCH at 137.47

  • USD/CNH: -0.1% to 6.9457

  • USD/INR: +0.1% to 81.81

Europe: DAX -0.2%, FTSE +0.1%, CAC -0.4%

Major European indices trade on a mostly lower note. The European Central Bank's Q1 lending survey showed that more than 25% of eurozone banks tightened lending standards for companies while nearly 40% reported falling demand for credit from businesses. HSBC beat Q1 expectations and affirmed its guidance for FY23 while BP reported better than expected results and announced a $1.75 bln buyback.

  • In economic data:

    • Eurozone's April Manufacturing PMI 45.8 (expected 45.5; last 47.3). March Private Sector Loans 2.9% yr/yr (expected 3.2%; last 3.2%) and loans to nonfinancials 5.2% yr/yr (expected 5.8%; last 5.7%). April CPI 0.7% m/m (expected 0.9%; last 0.9%); 7.0% yr/yr, as expected (last 6.9%). April Core CPI 1.0% m/m (expected 1.1%; last 1.3%); 5.6% yr/yr (expected 5.7%; last 5.7%)

    • Germany's March Retail Sales -2.4% m/m (expected 0.4%; last -0.3%); -8.6% yr/yr (expected -6.1%; last -7.1%). April Manufacturing PMI 44.5 (expected 44.0; last 44.7)

    • U.K.'s April Nationwide HPI 0.5% m/m (expected -0.4%; last -0.7%); -2.7% yr/yr (expected -3.6%; last -3.1%). April Manufacturing PMI 47.8 (expected 46.6; last 47.9)

    • France's April Manufacturing PMI 45.6 (expected 45.5; last 47.3)

    • Italy's April Manufacturing PMI 46.8 (expected 49.0; last 51.1). March non-EU trade surplus EUR8.45 bln (last surplus of EUR4.00 bln). March PPI -1.5% m/m (expected -4.6%; last -1.0%); 3.8% yr/yr (expected 1.8%; last 9.6%). April CPI 0.5% m/m (expected 0.3%; last -0.4%); 8.3% yr/yr (expected 8.2%; last 7.6%)

    • Swiss Q2 SECO Consumer Climate -13 (last -9) and April procure.ch PMI 45.3 (last 47.0)

    • Spain's April Manufacturing PMI 49.0, as expected (last 51.3)


---Equity Markets---

  • STOXX Europe 600: -0.2%

  • Germany's DAX: -0.2%

  • U.K.'s FTSE 100: +0.1%

  • France's CAC 40: -0.4%

  • Italy's FTSE MIB: +0.3%

  • Spain's IBEX 35: -0.4%

---FX---

  • EUR/USD: UNCH at 1.0973

  • GBP/USD: -0.1% to 1.2482

  • USD/CHF: +0.2% to 0.8970

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