In contrast, Redburn decided to downgrade American Airlines from a Buy to a Neutral. Most of American Airlines’ exposure is in the domestic market, which has proven to become fiercely competitive. Near-term sensitivity to rising fuel prices was also listed as a concern.

Southwest Airlines was similarly downgraded from a Neutral to a Sell. With a $27 price target, Southwest is set to continue facing downward pressure from tough economic conditions.

Other stocks that were assessed included DraftKings, which was upgraded from Equal Weight to Overweight by Wells Fargo, and Monster Beverage, upgraded from Neutral to Overweight by Piper Sandler.

The post United Airlines Upgraded, American Airlines Downgraded By Wall Street Experts appeared first on theprimarymarket.com.

At around midday in New York City, the S&P 500 edged slightly higher by 0.32%, while the tech-heavy Nasdaq Composite index was up 0.38%. In contrast, the Dow Jones Industrial Average fell by 0.29%.

Oil futures were down, with US benchmark West Texas Intermediate crude falling 0.7% to $68.90 per barrel. Global benchmark Brent crude declined by 0.8% to $73.63 per barrel.

Market analysts are expecting an interest rate pause to have a positive impact on stocks going forward, with Julian Emanuel, who leads Evercore ISI’s Equity and Portfolio strategy mentioning how “pauses have historically been good for equities.”

Typically, the S&P 500 outperforms following rate hike pauses. Over the past 30 years, the S&P 500 was up 5% in the 3 months following a pause, rising as much as 16% in the 12 months that follow.

The post U.S. Stocks Mixed as Fed Decision Countdown Gets Underway appeared first on theprimarymarket.com.

Dick’s Sporting Goods reported earnings per share of $3.40, beating the $2.85 per share that the company earned during the same quarter in 2022. In terms of revenue, the company raked in $2.8 billion, beating Wall Street estimates by $42 million and exceeding last year’s Q1 revenue of $2.7 billion.

For the first quarter, Dick’s earnings per share expanded at a higher rate than its total revenues, signaling that the sporting goods retail chain is growing its profit margin. Prior to the release of the earnings report, Wall Street analysts on average listed the company’s stock as one to buy.

An athletic apparel, footwear, and sports equipment retailer, Dick’s Sporting Goods has 730 stores across the United States. The company also boasts 130 specialist stores, including Golf Galaxy, Public Lands, and Field & Stream.

The post Dick’s Sporting Goods Beats Q1 Estimates appeared first on theprimarymarket.com.

In Europe, the UK’s blue-chip index, the FTSE 100, rose 0.20% to 7,844 points following Friday’s market opening while the CAC 40 in Paris remained steady at 7,484 points. Germany’s DAX advanced by 0.52% to 15,882.

Gains in the UK came despite another round of declining banking stocks. Natwest’s shares dropped by 5.29% during the first few minutes of trading despite the bank reporting higher-than-expected profits of £1.3 billion for the first quarter. Barclays was down 0.43% while Lloyds slipped 2.06%.

In contrast, Numis, a London-based boutique investment bank, skyrocketed 67.65% following the announcement that it would be acquired by Deutsche Bank for a price tag of approximately £410 million.

Asian markets largely rose on Friday morning, with Tokyo’s Nikkei 225 rising 1.40% to 28,856 points while the Hang Seng in Hong Kong rose 0.85% to 20,008.

The post U.S. and European Stocks Rise Following Positive U.S. Tech Profits appeared first on theprimarymarket.com.

Revenue for the period was $55.27 billion, narrowly missing out on Wall Street estimates of $55.58 billion. Adjusted earnings per share of $3.30 beat Wall Street’s expectations of $3.21, however, as did net sales, rising 6.5% to $54.24 billion, up from $50.04 billion.

Same store sales beat Wall Street estimates at large, with all same-store sales rising by 6.8%, outperforming expectations of a 6.16% increase. U.S. same store sales grew 5.8%, versus a 5.56% estimate, while Canadian sales far exceeded an expected 5.51% rise, surging by 9.6%. Other international sales grew by 9.5%, exceeding Wall Street estimates of a 7.1% rise.

Among the product categories that saw significant sales growth in the second quarter were fresh food, food, and sundry categories. Non-food items such as apparel, jewelry, and electronics saw a drop-off.

CEO Craig Jelinek explained on a call with investors that this is a result of consumers choosing to focus their spending on essential items.

The post Costco Shares Down Following Mixed Earnings Results appeared first on theprimarymarket.com.

The S&P 500 declined by 0.3% on Tuesday, while the Nasdaq Composite Index edged lower by 0.2%. The Dow Jones Industrial Average incurred a 0.4% fall. The benchmark 10-year U.S. Treasury note gained 3.97%.

Oil embarked on a rise on Tuesday, with the U.S. benchmark WTI crude oil trading at $77.77 per barrel. In contrast, the dollar index traded lower at $104.55.

According to new economic data that was released this week, retail inventories excluding auto are higher by 0.3%, thus exceeding estimates of a 0.1% growth. Wholesale inventories declined by 0.4%, thus lower than estimates of a 0.1% drop.

Going into the new month, investors remain focused on changes to the retail sector. Target’s better-than-expected quarterly earnings report indicated a movement toward essential purchases, with consumers moving away from discretionary categories as a result. This comes as high inflation persists.

The post Stocks Decline as Volatile Month Wraps Up appeared first on theprimarymarket.com.

Block’s revenue for the fourth quarter was $4.65 billion, beating experts’ estimates of $4.57 billion. The company’s gross profit came in at $1.66 billion, thereby beating estimates of $1.63 billion. The only underperforming area was adjusted earnings per share, with the company’s figure of $0.22 per share falling short of expectations of $0.28 per share.

Square, the company’s point-of-sale merchant business, reported a 22% year-on-year rise in its gross profit to $801 million, while the gross profit of the consumer-facing Cash App business skyrocketed by 64% on a year-on-year basis to $848 million, thereby beating Wall Street estimates of $799 million.

“Over the last year, our ecosystem model helped drive resilience as we continued to serve a diverse base of global customers across a wide range of verticals, complementary products, and use cases,” Block stated in a press release. “Looking ahead to 2023 and beyond, we are focused on balancing growth and efficiency and will prioritize speed, agility, and accountability. This framework will ensure we remain customer-led while building a disciplined and durable business for the long term.”

The post Block Stock Rises Following Positive Quarterly Earnings Results appeared first on theprimarymarket.com.

While the company experienced an adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) loss, the size of the loss was significantly less than expected. As a result, the company projected a narrower-than-expected loss for 2023 while affirming its belief in its ability to achieve profitability in 2024.

In Q4, DraftKings generated a revenue of $855 million, thereby beating Wall Street expectations of $798.64 million. This translated to adjusted earnings per share of -$0.53; a narrower loss than the expected -$0.59 per share.

“I am very excited about 2023,” DraftKings CEO Jason Robins stated following the release of the Q4 results. “We are more focused than ever on expense management. Since our previous earnings call in November, we have made surgical decisions backed by strong analysis about our expenses and action items.”

The legalization of sports betting has been a primary driver in the company’s growth, with DraftKings now operational in 21 U.S. states, either in terms of retail or online betting.

The post DraftKings Stock Soars as Earnings Beat Expectations appeared first on theprimarymarket.com.

According to a Bloomberg report, Tesla is in the process of speaking with potential advisors about launching a takeover bud. As Tesla continues to consider establishing in-house refining processes as a means of cutting outsourcing, the acquisition of Sigma Lithium Corp is being heavily considered as a feasible solution.

Tesla chief executive Elon Musk stated last year that Tesla would be open to purchasing a mining company as a means of producing its own supply of electric vehicle metals. In turn, the company would be able to accelerate the worldwide adoption of clean energy technologies, Musk claimed.

Currently, Sigma Lithium Corp’s market capitalization stands at $3.21 billion; nearly trebling since last year. Tesla currently has several supply contracts for lithium, nickel, and an array of other electric vehicle metals with suppliers across the globe.

The post Sigma Lithium Shares Surge as Tesla Considers Buyout appeared first on theprimarymarket.com.

Having been heavily shorted with 67% of its float consisting of short interest, investors expect that the so far unprofitable company will not be able to shift its fortunes, with its stocks subsequently declining.

“CVNA’s price move has made it one of the most squeezable stocks in the U.S.”, S3’s Ihor Dusaniwsky said of Carvana. Douglas Arthur, managing director at Huber Research Partners, agrees with the broad consensus on Carvana, commenting, “Based on my fourth quarter expectations, I expect them [Carvana] to lose $2 billion in 2022 on the bottom line. The equity market is largely shut off, and the bond market is largely shut off, so where is the money going to come from if they run out of money?”

Despite the stock’s surge in 2023, it has still not been able to reach its historic high of $370.10 achieved in August 2021.

The post Carvana Surges By 6% Following Turbulent Week appeared first on theprimarymarket.com.

In contrast, Redburn decided to downgrade American Airlines from a Buy to a Neutral. Most of American Airlines’ exposure is in the domestic market, which has proven to become fiercely competitive. Near-term sensitivity to rising fuel prices was also listed as a concern.

Southwest Airlines was similarly downgraded from a Neutral to a Sell. With a $27 price target, Southwest is set to continue facing downward pressure from tough economic conditions.

Other stocks that were assessed included DraftKings, which was upgraded from Equal Weight to Overweight by Wells Fargo, and Monster Beverage, upgraded from Neutral to Overweight by Piper Sandler.

The post United Airlines Upgraded, American Airlines Downgraded By Wall Street Experts appeared first on theprimarymarket.com.

At around midday in New York City, the S&P 500 edged slightly higher by 0.32%, while the tech-heavy Nasdaq Composite index was up 0.38%. In contrast, the Dow Jones Industrial Average fell by 0.29%.

Oil futures were down, with US benchmark West Texas Intermediate crude falling 0.7% to $68.90 per barrel. Global benchmark Brent crude declined by 0.8% to $73.63 per barrel.

Market analysts are expecting an interest rate pause to have a positive impact on stocks going forward, with Julian Emanuel, who leads Evercore ISI’s Equity and Portfolio strategy mentioning how “pauses have historically been good for equities.”

Typically, the S&P 500 outperforms following rate hike pauses. Over the past 30 years, the S&P 500 was up 5% in the 3 months following a pause, rising as much as 16% in the 12 months that follow.

The post U.S. Stocks Mixed as Fed Decision Countdown Gets Underway appeared first on theprimarymarket.com.

Dick’s Sporting Goods reported earnings per share of $3.40, beating the $2.85 per share that the company earned during the same quarter in 2022. In terms of revenue, the company raked in $2.8 billion, beating Wall Street estimates by $42 million and exceeding last year’s Q1 revenue of $2.7 billion.

For the first quarter, Dick’s earnings per share expanded at a higher rate than its total revenues, signaling that the sporting goods retail chain is growing its profit margin. Prior to the release of the earnings report, Wall Street analysts on average listed the company’s stock as one to buy.

An athletic apparel, footwear, and sports equipment retailer, Dick’s Sporting Goods has 730 stores across the United States. The company also boasts 130 specialist stores, including Golf Galaxy, Public Lands, and Field & Stream.

The post Dick’s Sporting Goods Beats Q1 Estimates appeared first on theprimarymarket.com.

In Europe, the UK’s blue-chip index, the FTSE 100, rose 0.20% to 7,844 points following Friday’s market opening while the CAC 40 in Paris remained steady at 7,484 points. Germany’s DAX advanced by 0.52% to 15,882.

Gains in the UK came despite another round of declining banking stocks. Natwest’s shares dropped by 5.29% during the first few minutes of trading despite the bank reporting higher-than-expected profits of £1.3 billion for the first quarter. Barclays was down 0.43% while Lloyds slipped 2.06%.

In contrast, Numis, a London-based boutique investment bank, skyrocketed 67.65% following the announcement that it would be acquired by Deutsche Bank for a price tag of approximately £410 million.

Asian markets largely rose on Friday morning, with Tokyo’s Nikkei 225 rising 1.40% to 28,856 points while the Hang Seng in Hong Kong rose 0.85% to 20,008.

The post U.S. and European Stocks Rise Following Positive U.S. Tech Profits appeared first on theprimarymarket.com.

Revenue for the period was $55.27 billion, narrowly missing out on Wall Street estimates of $55.58 billion. Adjusted earnings per share of $3.30 beat Wall Street’s expectations of $3.21, however, as did net sales, rising 6.5% to $54.24 billion, up from $50.04 billion.

Same store sales beat Wall Street estimates at large, with all same-store sales rising by 6.8%, outperforming expectations of a 6.16% increase. U.S. same store sales grew 5.8%, versus a 5.56% estimate, while Canadian sales far exceeded an expected 5.51% rise, surging by 9.6%. Other international sales grew by 9.5%, exceeding Wall Street estimates of a 7.1% rise.

Among the product categories that saw significant sales growth in the second quarter were fresh food, food, and sundry categories. Non-food items such as apparel, jewelry, and electronics saw a drop-off.

CEO Craig Jelinek explained on a call with investors that this is a result of consumers choosing to focus their spending on essential items.

The post Costco Shares Down Following Mixed Earnings Results appeared first on theprimarymarket.com.

The S&P 500 declined by 0.3% on Tuesday, while the Nasdaq Composite Index edged lower by 0.2%. The Dow Jones Industrial Average incurred a 0.4% fall. The benchmark 10-year U.S. Treasury note gained 3.97%.

Oil embarked on a rise on Tuesday, with the U.S. benchmark WTI crude oil trading at $77.77 per barrel. In contrast, the dollar index traded lower at $104.55.

According to new economic data that was released this week, retail inventories excluding auto are higher by 0.3%, thus exceeding estimates of a 0.1% growth. Wholesale inventories declined by 0.4%, thus lower than estimates of a 0.1% drop.

Going into the new month, investors remain focused on changes to the retail sector. Target’s better-than-expected quarterly earnings report indicated a movement toward essential purchases, with consumers moving away from discretionary categories as a result. This comes as high inflation persists.

The post Stocks Decline as Volatile Month Wraps Up appeared first on theprimarymarket.com.

Block’s revenue for the fourth quarter was $4.65 billion, beating experts’ estimates of $4.57 billion. The company’s gross profit came in at $1.66 billion, thereby beating estimates of $1.63 billion. The only underperforming area was adjusted earnings per share, with the company’s figure of $0.22 per share falling short of expectations of $0.28 per share.

Square, the company’s point-of-sale merchant business, reported a 22% year-on-year rise in its gross profit to $801 million, while the gross profit of the consumer-facing Cash App business skyrocketed by 64% on a year-on-year basis to $848 million, thereby beating Wall Street estimates of $799 million.

“Over the last year, our ecosystem model helped drive resilience as we continued to serve a diverse base of global customers across a wide range of verticals, complementary products, and use cases,” Block stated in a press release. “Looking ahead to 2023 and beyond, we are focused on balancing growth and efficiency and will prioritize speed, agility, and accountability. This framework will ensure we remain customer-led while building a disciplined and durable business for the long term.”

The post Block Stock Rises Following Positive Quarterly Earnings Results appeared first on theprimarymarket.com.

While the company experienced an adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) loss, the size of the loss was significantly less than expected. As a result, the company projected a narrower-than-expected loss for 2023 while affirming its belief in its ability to achieve profitability in 2024.

In Q4, DraftKings generated a revenue of $855 million, thereby beating Wall Street expectations of $798.64 million. This translated to adjusted earnings per share of -$0.53; a narrower loss than the expected -$0.59 per share.

“I am very excited about 2023,” DraftKings CEO Jason Robins stated following the release of the Q4 results. “We are more focused than ever on expense management. Since our previous earnings call in November, we have made surgical decisions backed by strong analysis about our expenses and action items.”

The legalization of sports betting has been a primary driver in the company’s growth, with DraftKings now operational in 21 U.S. states, either in terms of retail or online betting.

The post DraftKings Stock Soars as Earnings Beat Expectations appeared first on theprimarymarket.com.

According to a Bloomberg report, Tesla is in the process of speaking with potential advisors about launching a takeover bud. As Tesla continues to consider establishing in-house refining processes as a means of cutting outsourcing, the acquisition of Sigma Lithium Corp is being heavily considered as a feasible solution.

Tesla chief executive Elon Musk stated last year that Tesla would be open to purchasing a mining company as a means of producing its own supply of electric vehicle metals. In turn, the company would be able to accelerate the worldwide adoption of clean energy technologies, Musk claimed.

Currently, Sigma Lithium Corp’s market capitalization stands at $3.21 billion; nearly trebling since last year. Tesla currently has several supply contracts for lithium, nickel, and an array of other electric vehicle metals with suppliers across the globe.

The post Sigma Lithium Shares Surge as Tesla Considers Buyout appeared first on theprimarymarket.com.

Having been heavily shorted with 67% of its float consisting of short interest, investors expect that the so far unprofitable company will not be able to shift its fortunes, with its stocks subsequently declining.

“CVNA’s price move has made it one of the most squeezable stocks in the U.S.”, S3’s Ihor Dusaniwsky said of Carvana. Douglas Arthur, managing director at Huber Research Partners, agrees with the broad consensus on Carvana, commenting, “Based on my fourth quarter expectations, I expect them [Carvana] to lose $2 billion in 2022 on the bottom line. The equity market is largely shut off, and the bond market is largely shut off, so where is the money going to come from if they run out of money?”

Despite the stock’s surge in 2023, it has still not been able to reach its historic high of $370.10 achieved in August 2021.

The post Carvana Surges By 6% Following Turbulent Week appeared first on theprimarymarket.com.