Morning News

MAY 18, 2015

US futures slipping at this 7AM hour following mostly red arrows around the world with little on the economic calendar today but what could be a revealing week as some heavyweight retails announce earnings on Tues and Wed.,  and we get a look at the FOMC minutes on Wednesday.  Overnight, crude rose back over $60/barrel as oil bulls and bears play tug-of-war. Increased fighting in the Middle East spurns fears that supply may be disrupted in that area, while traders remain cautious over the upcoming OPEC meeting and the expected recovery in t US shale production.

NEWS:

  • BABA: Alibaba sued in US by luxury brands over counterfeit goods,  reuters reports
  • AAPL: Top U.S. hedge funds continued to dump Apple amid rally, reuters reports
  • ENDP: Endo to buy generic drug maker Par Pharmaceutical in a +$8B deal
  • RIO: Rio Tinto plans to sell Pacific Aluminum for $1B, reports reuters
  • AAPL: Apple has acquired high-precision GPS firm Coherent Navigation, reports thenextweb
  • GOOG: GOOGL: AMZN: EBAY:  Google to launch “buy” buttons, which will take them to a Google product page, where they can purchase the item(s).
  • SYT: Barrons out positive on Syngenta even without Monsanto
  • RL: Barrons out positive, sees possible +15-20%
  • AAL: JBLUE: UAL: LUV: DAL: US airlines expect to carry a record number of passengers this summer, reports wsj
  • JBLU: announces flights into and out of Mexico City starting in October
  • JKS: JinkoSolar to Supply 50 MW of Solar Panels to Tegnatia for Projects in Turkey, reports prnewswire
  • GILD: The WHO has added new treatments for hepatitis C to its essential medicines list, including Gilead Sciences’ Sovaldi and Harvoni, but says prices must come down before most people will be able to access them, from daily drug bulletin
  • CELG, XLRN: Celgene and Acceleron annouce fast track approval for luspatercept
  • ANN: ASNA: Ascena Retail Group acquires Ann Inc for $47/share
  • MDVN: Enzalutamide meets primary endpoints

ON THE ECONOMIC CALENDAR:

10AM: NAHB Housing Market Index

EARNINGS: 

  • JASO:  Q1 EPS of $0.13 beats by  $0.07: revenue of $387.7M misses by  $22.44M: conference call 8AM EST

SOME NOTABLE EARNINGS AFTER THE CLOSE TODAY:

A, LF, MOMO, NOAH, PLAB, TTWO, URBN

ANALYSTS’ RATINGS CHANGES:

UPGRADES:

  • CTRP: upgrade: neutral to overweight: JPM: pt raised from $63 to $87
  • CBI: upgrade: sell to neutral: Goldman: pt raised from $40 to $55
  • CPQ: upgrade: neutral to buy: Goldman: $44
  • EMES: upgrade: neutral to buy: Goldman: $41
  • NFX: upgrade: neutral to sell: Goldman: $46
  • CLR: upgrade: neutral to buy: Goldman: $60

DOWNGRADES:

  • YELP: downgrade: overweight to neutral: Piper: pt cut from $70 to $46
  • KSU: downgrade: buy to neutral: BofA/Merrill:
  • CPG: downgrade: buy to neutral: Goldman: $28
  • CHK: downgrade: buy to neutral: Goldman: $16
  • CTXS: downgrade: buy to neutral: Goldman: $69
  • CVX: downgrade: neutral to sell: Goldman: $99
  • GPOR: downgrade: neutral to sell: Goldman: $34
  • LINE: downgrade: neutral to sell: Goldman: $10
  • MUR: downgrade: neutral to sell: Goldman: $38
  • RRC: downgrade: conviction buy to neutral: Goldman: $60 (thats a double downgrade)
  • HES: downgrade: buy to neutral: Goldman: $68

INITIATIONS:

  • PCDE: initiated: Conviction Buy: Goldman: $77
  • NSA: initiated: overweight: Morgan Stanley: $16
  • NSA: initiated: buy: Jefferies: $17
  • TNP: initiated: overweight: JP Morgan: $13
  • ASC: initiated: overweight: JP Morgan :$16

PRICE TARGET CHANGES:

  • AMAG: pt raised from $60 to $85: Leerink
  • CLVS: pt raised from $90 to $125: Stifel

About the Author

Leave a Reply 0 comments

Leave a Reply: