Monday’s Biggest S&P 500 Movers
51 minutes ago
progressive
Shares of Albemarle (ALB), the world’s largest lithium producer, rose 5.0%, securing the S&P 500’s best performance of the day. Late last week, the U.S. government approved a new lithium mining project in Nevada operated by an Australian-based competitor. Ionia (IONR). Analysts say the first lithium mine greenlit under the Biden administration marks a significant step forward for U.S. ambitions to expand domestic lithium production and reduce dependence on China for key components of EV batteries. He said it shows. Hopes for easing tensions in the Middle East led to a sharp fall in oil prices on Monday. Companies in the travel industry received a boost from expected lower fuel costs. Cruise company Carnival (CCL) stock rose 4.8%. Stock prices of not only airlines but also other cruise lines rose.
The Carnival Sunshine cruise ship sails toward the port of Nassau, Bahamas.
Scott McIntyre/Bloomberg/Getty Images
Shares of industrial and consumer goods conglomerate 3M (MMM) rose 4.4% after JPMorgan raised its price target. Analysts were optimistic about the Scotch tape and Post-It note maker’s third-quarter earnings report released last week, pointing to expectations for modest sales growth but noting 3M’s profit margins. He praised the company’s stable sales performance.
refuser
A drop in crude oil futures prices weighed on oil and gas stocks. Shares of exploration and production company APA Corporation (APA) fell 4.5%, the biggest decline among the S&P 500 stocks. APA’s peers also stalled, with Diamondback Energy (FANG) shares also down 3.4%. Centene (CNC) stock fell 3.9%, extending a strong rally posted by the stock in previous trading after the managed care and health insurance provider reported better-than-expected sales and profits for the third quarter. The parts were reversed. Although Centene has been successful in growing premium and service revenue and membership enrollment, analysts said the company faces sustained pressures related to its Medicaid business. Shares of medical device maker ResMed (RMD) fell 3.6%. Like Centene, the decline in ResMed stock marked a reversal from gains posted late last week after the company beat expectations for quarterly sales and profits. But questions remain about the potential impact of the blockbuster weight loss treatment on demand for ResMed’s sleep apnea treatment device.
-Michael Blomberg
Earnings are so-so from a certain point of view
1 hour 20 minutes ago
Corporate profits this quarter are below major historical averages. That could change this week, when about a quarter of the S&P 500 (including five of the highly profitable Magnificent Seven) is scheduled to report earnings.
As of Friday night, 75% of S&P 500 companies that reported third-quarter earnings beat Wall Street expectations, slightly below the five-year average, according to FactSet Research data. are. In total, earnings were almost 6% above expectations and more than 2 percentage points below average.
John Butters, senior earnings analyst at FactSet, estimates that earnings across the S&P 500 rose 3.6% last quarter. This marks the fifth consecutive quarter of growth for the benchmark index, but the growth rate is the slowest of any quarter.
While those results may have been disappointing, Bank of America analysts say the earnings call tells a slightly different story. References to weak demand have fallen to their lowest level in two years, and references to the bottom of the business cycle have increased by more than 50% since this time last year. 2
“Historically, a spike in ‘subordinate’ mentions has often signaled an inflection point in EPS,” the analysts wrote in a note Monday.
Read the full article here.
-Colin Laidley
AMD rises ahead of Tuesday’s earnings report—what to expect next
2 hours 27 minutes ago
Advanced Micro Devices (AMD) stock rose about 2% late Monday ahead of the chipmaker’s third-quarter earnings release after the closing bell tomorrow.
Analysts expect the chipmaker’s revenue to rise nearly 16% year over year to $6.71 billion, according to Visible Alpha. Net income is expected to be $815.76 million, or 50 cents per share, more than double the $299 million, or 18 cents per share, AMD posted in the same period last year.
AMD reported in July that second-quarter data center revenue more than doubled from a year earlier to a record high of $2.8 billion as demand for its artificial intelligence (AI) chips soared. .
Analysts expect third-quarter data center revenue to rise to a record $3.52 billion. CEO Lisa Su said in July that AMD expects to “deliver strong revenue growth in the second half of this year, driven by demand for our Instinct, EPYC and Ryzen processors.”
AMD CEO Lisa Su attends Computex 2024 in Taipei, Taiwan, Monday, June 3, 2024.
Bloomberg/Contributor/Getty Images
At the company’s “Advancing AI” event held earlier this month, AMD announced its next-generation AI chips, but did not raise its AI sales outlook or add new large customers, as many investors had expected. There was no announcement made. Analysts at Jefferies suggested that investors may be watching for updates like this to accompany AMD’s earnings results on Tuesday.
-Andrew Kessel
Intel’s price level to watch as earnings report approaches
3 hours 54 minutes ago
Intel (INTC) stock was among the Dow’s top gainers in mid-afternoon trading Monday as investors awaited the beleaguered semiconductor maker’s third-quarter results after Thursday’s closing bell. Ta.
Analysts say demand for both PCs and server chips has slowed and the company faces increased competition from rivals such as Advanced Micro Devices (AMD) and AI darling Nvidia (NVDA). The company expects to report a decline in revenue this fiscal year.
Investors will expect further updates from executives on the company’s turnaround plans. The plan has helped the company’s stock rebound 25% from its early September lows. But the stock is still down more than 50% since the beginning of the year as the company’s dominance in the chip market continues to shrink.
This week, the stock has been trading sideways since breaking above the neckline of the double-dip pattern last month.
Source: TradingView.com.
Investors should keep an eye on key support levels on Intel’s chart near $22 and $19, while also keeping an eye on key resistance areas near $25, $30, and $36.
Read the full technical analysis here.
-Timothy Smith
Trump Media Stocks Soar as Election Day Approaches
5 hours 26 minutes ago
Truth Social’s parent company’s stock continued its recent gains on Monday, pushing it toward the final stretch of the presidential election.
Trump Media & Technology Group (DJT), which is majority owned by former President Donald Trump, recently rose 20% to more than $46, trading at its highest level since June. The move would extend the rebound from September lows below $12.
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The social networking company has become something of a meme stock, attracting investors, including retail investors, looking for a way to bet on Republican nominee Trump’s chances of defeating Democratic nominee Vice President Kamala Harris. .
The stock is still below its intraday high of around $80, not long after the company merged with a so-called blank check company earlier this year. It had been steadily declining since May, but last month saw a decline in policy momentum, in part because the expiration of a lock-up agreement that limited President Trump and other investors’ ability to sell shares did not appear to be creating new pressure on stocks. was converted.
-David Marino Nachison
Energy stocks fall as oil prices plunge, airline stocks soar
6 hours 19 minutes ago
Stocks of companies most affected by oil prices were among the largest in the S&P 500 index on Monday as oil futures fell after Israel’s retaliatory attacks on Iran over the weekend did not affect Iranian oil facilities. There was a price movement.
Crude oil futures fell nearly 6% in late morning trading as there were no disruptions to Iranian production. According to the US Energy Information Administration (EIA), Iran accounts for about 4% of global oil trade. Israel’s targeted attacks also eased concerns about further escalation of fighting in the Middle East, which would further impact supplies.
Shares of drilling companies such as APA (APA), Diamondback Energy (FANG), and Devon Energy (DVN) fell, as did oilfield services companies Halliburton (HAL) and SLB (SLB).
The SPDR S&P Oil and Gas Exploration and Production Exchange Traded Fund (ETF) fell to its lowest level this month.
On the other hand, stocks of Carnival Corporation (CCL), Delta Air Lines (DAL) and other cruise lines and airlines will rise, benefiting from lower fuel costs.
-Bill McCall
Onsemi exceeded profit expectations, but gave a weak outlook
7 hours 41 minutes ago
ON Semiconductor (ON) on Monday beat expectations for third-quarter profit and revenue, but sales continued to decline and the chipmaker gave a weak outlook.
The company, also known as Onsemi, reported third-quarter adjusted earnings per share (EPS) of $0.99, with revenue down nearly 20% year over year to $1.76 billion. Both results slightly exceeded the consensus estimates of analysts compiled by Visible Alpha.
Onsemi expects adjusted EPS for the current quarter to be in the range of $0.92 to $1.04 and revenue in the range of $1.71 billion to $1.81 billion. Analysts surveyed by Visible Alpha had expected sales of $1 billion and $1.78 billion, respectively.
ON Semiconductor’s stock price, up 2.5% in recent trading, is on track to fall nearly 13% in 2024.
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-Bill McCoil
Boeing launches stock sale that could raise about $19 billion
8 hours 14 minutes ago
Boeing (BA) on Monday began selling about $19 billion in stock and depositary shares as the troubled aircraft maker tries to shore up its finances.
Boeing announced that it has begun selling 90 million shares of its common stock. Valuing the stock at Friday’s closing price of $155.01, this equates to $13.95 billion.
Boeing also said it is offering $5 billion worth of depositary stock and intends to list the company on the New York Stock Exchange (NYSE) under the symbol BA.PRA.
The aircraft maker, which is grappling with a devastating strike by its machinists’ union, will also offer the underwriters of the deal a 30-day option to buy an additional 13.5 million shares of common stock and $750 million in depositary shares. .
Boeing employees gather on a picket line near the entrance to a Boeing facility in Seattle on October 24, 2024.
David Ryder/Getty Images
Boeing said the net proceeds will be used for “debt repayments, working capital additions, capital expenditures, financing and investments” in its subsidiaries.
Boeing shares fell nearly 2% in early trading Monday.
-Nisha Gopalan
Futures suggest higher opening prices for major indexes
9 hours 38 minutes ago
Futures, which track the Dow Jones Industrial Average, rose 0.3%.
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S&P 500 futures rose 0.4%.
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Nasdaq 100 futures rose 0.6%.
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