JULY 17. 2015
US futures steady at this 7AM hour with the exception of the tech heavy Nasdaq which is seeing a nice rally to record highs off the stellar Google earnings reported last night after the close. Overnight, the Shanghai, with 3% gains, led Asian stocks higher. Oil futures remain weak, pressured by the Iranian nuclear deal and the most recent US inventory report.
NEWS:
- AMGN: announces positive results in Phase 2 ALL study
- HTZ:Hertz Completes Financial Restatement; Provides 2015 Business Outlook: reaffirms plans to repurchase $1B of shares: increases annual cost savings target to $300M: conference call 8AM EST
- TSLA: sends invitations for event on July 17th: the event is scheduled for 2PM and is rumored to involve the Tesla Model X
- TWX: HBO Now service available on Android and Amazon devices
- EA: GME: TTWO: ATVI: June NPD video software sales up 18% in June, reports Home Media Magazine
- PYPLV: PayPal to replace Noble Corp in S&P 500 as of today’s close
- NFLX: Hulu explores adding ad-free option to its service,as the streaming video provider tries to become a stronger rival to Netflix Inc, reports the wsj
ON THE ECONOMIC CALENDAR:
- 8:30AM: Housing Starts
- 8:30AM: Consumer Price Index
- 9:55AM: Reuters/UofM Consumer Sentiment
EARNINGS:
- CMA: Q2 EPS of $0.73 misses by $0.02.Revenue of $682M beats by $8.75M
- STI: Q2 EPS of $0.86 beats by $0.05.Revenue of $2.07B beats by $50M
- GE: Q2 EPS of $0.28 in-line.Revenue of $32.75B beats by $4.05B: Q2 orders up 8% to $27.1B: raises FY15 Industrial EPS $1.13-$1.20, consensus $1.29
- ALV: Q2 EPS of $1.62 beats by $0.08.Revenue of $2.29B beats by $10M
- ROSE: Q2 EPS of $0.16 beats by $0.16.Revenue of $101.27M (-54.2% Y/Y) misses by $81.17M
- GWW: Q2 EPS of $3.27 beats by $0.22.Revenue of $2.52B in-line: cuts FY15 EPS to $12.00-12.50 from $12.25-12.95 vs. consensus $12.3
- HON: Q2 EPS of $1.51 beats by $0.02.Revenue of $9.78B beats by $40M:raises FY15 EPS to $6.05-6.15 from $6.00-6.15 vs. consensus $6.09
RECAP OF EARNINGS FROM LAST NIGHT:
- GOOG: Q2 EPS of $6.99 beats by $0.28.Revenue of $17.72B misses by $30M: paid clicks rose 7% Q/Q and 18% Y/Y
- SWI:Q2 EPS of $0.52 beats by $0.06.Revenue of $119.07M misses by $3.55M
- MAT: Q2 EPS of $0.01 beats by $0.05.Revenue of $988.2M misses by $7.16M
- AMD: Q2 EPS of -$0.17 in-line.Revenue of $942M misses by $8.51M: soft Q3 guidance
- SLB:Q2 EPS of $0.88 beats by $0.09.Revenue of $9.01B beats by $40M
ANALYSTS’ RATINGS CHANGES:
UPGRADES:
- GOOGL: upgrade: hold to buy: Axiom Capital: pt raised from $615 to $850
- RKUS: upgrade: neutral to buy: SunTrust: pt raised from $12 to $14
DOWNGRADES:
- TE: downgrade: buy to neutral: UBS: NOTE: pt raised from $20 to $22
- STAG: downgrade: hold to sell: UBS: $18
- CVC: downgrade: buy to hold: Jefferies: $24
- AGN: downgrade: top pick to outperform: $361
- NOV: downgrade: neutral to sell: UBS
- DPZ: downgrade: overweight to sector weight: KeyBanc
- BBY: downgrade: buy to underperform: BofA/Merrill: pt cut from $45 to $32
INITIATIONS:
- SPLK: initiated: outperform: RBC Capital: $85
- PYPLB: initiated: neutral: Wedbush: $40
- ILMN: initiated: buy: Canaccord: $275
PRICE TARGET CHANGES:
- SWI: pt cut from $62 to $56: Jefferies
- SWI: pt cut from $60 to $52: FBR Capital
- C: pt raised from $62 to $65: RBC Capital
- SCHW: pt raised from $28 to $32: Compass Point
- GOOGL: pt raised from $631 to $723: Piper Jaffray
- GOOGL: pt raised from $570 to $630: Pivotal Research
- GOOGL: pt raised from $670 to $780: Deutsche Bank
- GOOGL: pt raised from $595 to $715: Mizuho
- GOOG: pt raised from $693 to $775: Cowen
- GOOG: GOOGL: pt raised from $625 to $720: JMP Securities
- UNH: pt raised from $146 to $150: Mizuho
- EBAY: pt raised from $65 to $70: Mizhuho
- EBAY: pt raised from $57 to $62: RBC Capital
- MTB: pt raised from $125 to $135: FBR Capital
- AERI: pt raised from $24 to $33: Brean Capital
- TSCO: pt raised from $95 to $105: Telsey Advisory