Traders Market Weekly: March 14 – 20 2021

Viewing 15 posts - 1 through 15 (of 35 total)
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    [size=4][color=purple][i][b]Where have we been and where are we … wishing all a great & safe week ahead
    While $2 TRILLION of freshly printed $$$ will keep markets higher
    If Treasury BONDs keep rising – the GREAT CORRECTION will indeed come :woohoo:

    Daylight Savings Time has arrived & 1st ROBIN was seen in SW Virginia
    Spring is on the way as we soon replace snow shovels with lawnmowers
    On Friday 4 rows of mustard greens were planted in the garden
    Bambi & herd have returned from deep woods & spring fawns may soon appear 8)[/b][/i][/color][/size]



    [size=5][color=red][b]Oh The Humanity
    #Bitcoin falls 1.8% to $60,077.32
    Panic in the dorms of Amerika …
    Down 2.8% from the year’s high of $61,781.83 Yesterday Saturday March 13[/b][/color][/size]


    Gapping down
    In reaction to earnings/guidance:

    ACEL -1.7%, STPK -1.1% (Stem guidance)
    Select Chinese related names showing early weakness:

    ASHR -1.2%, FXI -0.8%, BABA -0.7%, JD -0.4%, BIDU -0.4%

    Other news:

    RUBY -11.7% (announces initial clinical, pharmacodynamic and tumor trafficking data from its ongoing Phase 1/2 clinical trial of RTX-240 in patients with advanced solid tumors)
    LLY -7.8% (presented donanemab update)
    RNLX -4.9% (provides an update on the establishment of the Medicare Coverage of Innovative Technology pathway)
    MSGM -1.8% (to acquire the shares of 704Games Company owned by Ascend)
    MGNI -1.5% (announces $350 mln convertible notes offering)

    Analyst comments:

    VIAC -2.5% (downgraded to Underperform from Market Perform at BMO Capital Markets)
    AXL -0.5% (downgraded to Neutral from Buy at Citigroup)


    Gapping up
    In reaction to earnings/guidance:

    X +3.2% (Q1 guidance)

    Other news:

    GNMK +29.2% (to be acquired by Roche (RHHBY) for $24.05 per share)
    STAY +15.9% (Blackstone (BX) and Starwood Capital Group aims to acquire STAY for $6 bln, according to WSJ)
    ALT +11.6% (single dose, intranasal COVID-19 vaccine candidate, prevents SARS-CoV-2-induced disease and blocks viral replication in preclinical studies of SARS-CoV-2 infection)
    BTAI +8.5% (announced that BXCL501 has been granted Breakthrough Therapy designation from the FDA for the acute treatment of agitation associated with dementia)
    ATRA +8% (presents new long-term overall survival data from a combined analysis of Phase 2 Tab-cel)
    ACRS +7.1% (announced that it has completed enrollment in its Phase 2a clinical trial of ATI-1777, an investigational topical “soft” Janus kinase (JAK) 1/3 inhibitor)
    RIDE +5.9% (issues statement regarding short-seller report; remains on track for start of production of its Lordstown Endurance all electric pickup truck in September 2021)
    RACA +4.7% (POINT Biopharma to list on NASDAQ through merger with Research Alliance Corp. I)
    JBLU +3.5% (Feb update)
    BLUE +3.4% (reports long-term data for elivaldogene autotemcel)
    AUPH +2.8% (announced a favorable assessment regarding the cost-effectiveness and value of LUPKYNIS)
    AVEO +2.1% (regains Ex-North American rights to AV-203)
    BA +2% (appoints Ed Clark as new head of 737 MAX program)
    LUV +2% (performed in-line with the co’s expectations in February 2021 )
    HOLI +1.7% (received a notice from hollysys Committee on trust interests)
    TAK +1.7% (announces a mutual agreement with IDT Biologika GmbH to utilize capacity at IDT previously reserved for Takeda’s dengue vaccine candidate, to manufacture the single-shot COVID-19 vaccine developed by the Janssen Pharmaceutical Companies of Johnson & Johnson (JNJ))
    DFNS +1.6% (IronNet Cybersecurity to be listed on NYSE through a merger with LGL Systems Acquisition Corp)

    Analyst comments:

    ITRM +7.7% (upgraded to Buy from Neutral at H.C. Wainwright)
    FI +4.2% (upgraded to Equal Weight from Underweight at Barclays)
    DOMO +4.1% (upgraded to Buy from Neutral at UBS)
    MGM +3.4% (upgraded to Buy from Hold at Jefferies)
    DG +1.1% (upgraded to Overweight from Neutral at Atlantic Equities)


    S&P Futures vs Fair Value: +12.0
    10 yr Note: 1.617%
    USD/JPY: 109.01 -0.01
    EUR/USD: 1.1936 -0.0014
    Europe: FTSE: +0.4% DAX: +0.3% CAC: +0.4%
    Asia: Hang Seng: +0.3% Shanghai: -1.0% Nikkei: +0.2%
    Gold (1730.30 +10.50) Silver (26.20 +0.29) Crude (66.16 +0.55)


    The global equity markets are mostly higher to kick off the week. S&P Futures are trading about 0.3% higher to around the 3945 area. This is approaching the overnight high which rests at 3947.75. The low was established at the tail end of the Asian session at 3924.25.

    In Asia, the major markets were mixed with China losing about 1%, while Japan edged 0.2% higher. The weakness in China came despite better than expected economic data. The February Industrial Production figure rose 35.1%, compared to expectations of +30.0%, while Retail Sales grew 33.8%, topping the consensus of 32.0%. The Nikkei’s modest gain was buoyed by strength in the automotive sector where heavyweights such as Honda and Toyota saw gains of more than 2%.

    In Europe, the major bourses are echoing the tone seen in the US and Japan. Hence, automakers are among the best performing groups across the pond. Daimler, BMW and Volkswagen are trading 1-2% better. Travel stocks are also leading gains in the region. Names such as TUI AG and Lufthansa are on the move higher by 2-3%.


    [color=teal][size=5][b]BITCOIN, BIG-OIL, BORDERS, BIG-EQUIITES, and BIDEN
    Those 5 “B”s are MAGIC — as higher we go — lol[/b][/size][/color] 😉 😆



    Atlantic Equities upgraded Dollar General (DG) to Overweight from Neutral; firm sees the recent pullback in valuation as an opportunity to enter into a fundamentally high-quality, long-term growth, defensive retail story. While there are concerns for the near-term, particularly around the difficult YoY comparisons, as well as wage increases, inflation, freight costs, they believe those are understood and in the price.

    Jefferies upgraded MGM Resorts (MGM) to Buy from Hold; they expect change in valuation context on improved macro outlook for 2H21-2022, with a steeper recovery trajectory in Las Vegas vs. prior and continued regional strength. As well, tangible evidence of acceleration and leadership capabilities in BetMGM warrants higher value. Macau’s recovery and gradual MGP deconsolidation may reward patient investors, and are supportive to their rating. $50 target is Street-high.

    Raymond James upgraded Pure Storage (PSTG) to Strong Buy from Outperform following fundamental checks and trading analysis. Shares have suffered from unfavorable trading flows, in part a victim of the value rotation from growth. Pure generates cash, which should separate it from the crowd. Firm remains optimistic that the lower priced FlashArray//C, FlashBlade and Portworx acquisition enable Pure to gain share and maintain at least mid-teens sales growth.



    BofA Securities downgraded ConocoPhillips (COP), EOG Resources (EOG), Cimarex (XEC), and Continental Resources (CLR) to Neutral from Buy; their analysis also shows where upside has narrowed with recent sector performance. Accordingly they high grade stock selection. While PO’s move up across the board they lower ratings on COP, EOG, XEC & CLR to Neutral despite free cash yields that support greater return of cash to shareholders, but where the value of unlevered free cashflow net of debt suggests upside is more limited vs the broader sector.

    BMO Capital Markets downgraded ViacomCBS (VIAC) to Underperform from Market Perform; firm recommends investors take profits in VIAC and use them to build positions in NFLX ahead of the resumption of its share buyback in 2H21. NFLX has always held the ‘password sharing clampdown’ card and reports it has begun to play it last week make sense to help drive some incremental gross subscriber additions and smooth the member growth trend relative to the unprecedentedly difficult comps vs the first few weeks of the pandemic a year ago.

    Argus downgraded U.S. Steel (X) to Hold from Buy on valuation as shares have surpassed their prior tgt. Although the shares are still well below their all-time highs, firm expects them to face resistance at current levels. However, business fundamentals remain strong. U.S. Steel continues to benefit from increased demand for steel as global economic conditions improve, as well as from its growth-by-acquisition strategy.


    US March Empire Fed +17.4 vs +14.5 expected Prior 12.1

    The reading pointed to the strongest growth in business activity in New York since November of 2018.

    Inflation alert with Prices paid +64.4 highest since May 2011 (69.9) vs +57.8 prior
    Six month conditions +36.4 vs +34.9 prior
    Employment +9.4 vs +12.1 prior
    New orders +9.1 vs +10.8 prior


    [color=red][size=5][b]OHHHHHHHHH THE HUMANITY :woohoo: :woohoo: :woohoo: :woohoo: :woohoo: :woohoo:
    For the next $1 TRILLION+ “infrastructure bill” being crafted
    Biden ADMIN may build in 1st major TAX INCREASE since 1993[/b][/size][/color]


    [size=5][color=red][b]17 European nations suspend use of AstraZeneca vaccine
    due to possible blood clot issues in some recipients which also
    shows up statistically based on OTHER symptoms outside COVID or vaccines :sick:
    Still as a possibility of a side-effect, these nations have suspended & investigating
    So far issue DOES NOT INCLUDE the approved 3 in USA[/b][/color][/size]


    [size=5][i]^^^^ Thank God we can freely post in Traders Community 🙂
    as FACEBOOK, TWITTER, and BOSTON would ban me for life 👿
    for any of the above earlier posts – lol 😆 [/i][/size]


    [color=green][size=5][b]Dow 32,953.46 174.82 0.53%
    S&P 500 3,968.94 25.60 0.65%
    Nasdaq 13,459.71 139.84 1.05%
    GlobalDow 3,853.46 11.50 0.30%
    Gold 1,729.00 -0.20 -0.01%
    Oil 65.30 -0.09 -0.14%[/b][/size][/color]


    Gapping down
    In reaction to earnings/guidance:

    FCEL -7.8%, VUZI -4.1%, DBI -3.1%, NOV -2.8% (guidance update), HQY -2.3%

    Other news:

    CLSK -23.8% (prices offering of 9,090,910 shares of common stock at $22.00 per share)
    SLDB -10.5% (reports data from ongoing IGNITE DMD trial and resumes patient dosing in the 2E14 vg/kg cohort; also stock offering)
    OPCH -7.6% (prices offering of 12 mln shares of common stock by selling shareholders at $20.00 per share)
    BHVN -6% (prices offering of 2,686,409 of its common shares at $76.00 per share)
    GMRE -5.7% (stock offering)
    ACRE -5.1% (prices offering of 7 mln shares of common stock for gross proceeds of $101.9 mln)
    XELA -5.1% (prices $26.8 mln private placement)
    MAXR -4.3% (stock offering; also files for mixed securities shelf offering)
    PARR -3.6% (stock offering)
    IMAX -3% (convertible notes offering)
    RUBY -2.8% (stock offering)
    SHC -2.8% (stock offering)
    NKLA -2.7% (stock offering)
    PAYA -2.4% (stock offering)
    CDEV -2.2% (exchangeable notes offering; also files mixed securities shelf offering)
    ALLT -2% (files for $250 mln mixed securities shelf offering)
    AKR -1.2% (reinstates dividend)
    F -0.9% (to offer $2.0 billion principal amount of convertible senior notes due 2026; continues to expect to meet the full year 2021 financial guidance)

    Analyst comments:

    CAR -2.8% (downgraded to Equal-Weight from Overweight at Morgan Stanley)
    SABR -2.1% (downgraded to Equal-Weight from Overweight at Morgan Stanley)
    MO -0.7% (downgraded to Neutral from Buy at Citigroup)

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