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Posts Tagged ‘What To Watch’

Second Eyes, Paramount jump in IPO debut

November 19th, 2014 No comments

GTY 459179694 A FIN MAX USA NYIn what’s been a  banner year for big name open offerings such as GoPro GRPO and Alibaba BABA, scarcely a dozen lesser-known companies have been taking flight over the subsequent week, together with ski review user Peak Resorts and fast-casual dining sequence Habit Restaurants.

Wednesday, investors gobbled up shares of  Paramount PGRE Group, the largest ever IPO by a U.S. formed genuine estate investment trust.

The $2.3 billion IPO non-stop at $17.50, taking flight 5% to $18.35 in the heaviest volume trade of the day.

Paramount’s portfolio includes bureau buildings in New York, California and Washington.

Not to be overshadowed, Second Sight Medical Products EYES  jumped 128% to $20.56 after debuting at $9 a share share.

Second Sight, an eye make manufacturer, is the brainchild of Las Vegas billionaire Alfred Mann, whose Mannkind Corp MNKD is building an inhalable insulin remedy for diabetes patients. The charity lifted about $32 million.

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Ebola hits airline stocks with turbulence

October 1st, 2014 No comments

AP CALIF DAILY LIFE A USA CAAirline bonds should be removing a lift from reduce wanton oil prices and stronger gain growth. But given attack a summer peak, they’ve been held in a downdraft.

Wednesday, traders took them down an additional nick on fears the Ebola predicament could ravage transport after an identified male who’d trafficked from Liberia  tested certain for the pathogen at a Dallas hospital.

Among the day’s early losers: United Continental UAL, down, 2.3% to $45.73; American AAL, off 2.7% to 34.54; Delta DAL. down 2.8% to $35.14; and Southwest LUV, off 3% to $32.80.

UBS Securities sees the selloff as a shopping opportunity, observant which reduce jet fuel costs transcend probable diseased general transport and geopolitical risks.

UBS lifted the cost aim on United Continental to $53 from $49 and Delta’s to $55 from $52.

 

Happiness is a warm gun? Not when sales cool

July 30th, 2014 No comments
Associated Press

Associated Press

Cooling firearms sales have harm both manufacturers and sporting products retailers. The ultimate to misfire: Big 5 Sporting Goods, which blamed reduce direct for firearms, ammo and gun-related products for partial of a  3.6% decrease in second-quarter sales. Separately, gunmaker Sturm, Ruger pronounced quarterly guns and accessories sales were clipped 14.5%.

Sturm, Ruger fell 10.3% to $51.74. Big 5  lost 14.2% to $9.72.

Big 5 operates 426 stores in twelve Western states where sport and firearms have been partial of the fabric of most enthusiasts’ lives.

“Our second-quarter formula simulate significantly marked down direct for prolonged guns and ammunition, as good as the ubiquitous density in consumer spending which most alternative retailers have described recently,” pronounced CEO Steven Miller. “Although third-quarter sales comparisons have been now using down in the low single-digit operation and go on to be impacted by the rebate in direct for firearm-related products, we hold which the efforts to urge the sell and promotional strategies should on all sides us to furnish certain same store sales over the change of the quarter.”

Gun and ammo makers soared following mass shootings in Newtown, Conn., and Aurora, Colo., in 2012, sparking fears between enthusiasts of stricter state and sovereign gun carry out legislation.  Big 5’s annual inform credited aloft direct for guns and ammo for 2013’s 5.6% sales rise.

Miller  told analysts in a post-report discussion call which firearm sales intended off in the latter half of 2013.

“What held us by warn is how far the commercial operation fell off…to levels we hadn’t seen given 2008 to 2009. We hold we’ll go on to see headwinds. We’ve mislaid hold with what normal is. There was a little over consumption. We’re in a improvement period. When which resolves itself is rather of a guess,” Miller said.

Sturm, Ruger pronounced sales had forsaken to $153.7 million from $179.5 million in the year-ago quarter. CEO Michael Fifer blamed reduce direct for firearms and accessories, such as high-capacity ammunition clips. Discount competitors and fewer brand new product rollouts additionally hurt.

“Even if it all rebounded tomorrow, there’ll be a little lag,” Fifer told batch analysts. “It’ll be a whilst prior to wholesalers ask for some-more product.”

Sturm, Ruger had  $678.6 million in 2013 sales. Rifles ($217.6 million); pistols ($293.5 million) and revolvers ($108.2 million) accounted for the bulk of sales, according to corporate filings.

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Soda Stream sizzles on buyout speculation

July 24th, 2014 No comments

Takeover speak  put the sparkle behind in SodaStream International, pulling shares up $2.73 (9.5%) to $31.63 Thursday after popping 26% in early trading.

The Israeli-based marketer of  carbonated libation systems could presumably be taken in isolation in a  leveraged buyout which values the association at about $830 million, according to a Bloomberg News report.  Buyout conjecture has swirled around SodaStream before. In April, shares jumped 16% on speak which Starbucks competence buy a cube of the company.

Actress Scarlett Johansson in a SodaStream TV spot.

Actress Scarlett Johansson in a SodaStream TV spot.

But prior to Thursday’s gossip indent again carried SodaStream, it had fizzled some-more than 50% in the past year  on negligence expansion and foe from deep-pocketed libation marketers such as Coca-Cola.

Investors will get a improved ambience on association opening Jul 30, when SodaStream posts second-quarter results.

Follow Strauss on Twitter @gstrauss_

Soda Stream sizzles on buyout speculation

July 24th, 2014 No comments
Actress Scarlett Johansson in a SodaStream TV spot.

Actress Scarlett Johansson in a SodaStream TV spot.

Takeover speak is putting the sparkle behind in SodaStream International, up scarcely 20% in mid-day Thursday trading. The Israeli-based marketer of  carbonated libation systems could presumably be taken in isolation in a  leveraged buyout which values the association at about $830 million, according to a Bloomberg News report. Buyout conjecture has swirled around SodaStream previously. In April, shares jumped 16% on speak which Starbucks competence buy a cube of the company. But prior to Thursday’s gossip indent again carried SodaStream, it had fizzled some-more than 50% in the past year  on negligence expansion and foe from deep-pocketed libation marketers such as Coca-Cola. Investors will get a improved sign on association opening Jul 30, when SodaStream posts second-quarter results.   Follow Strauss on Twitter @gstrauss_

As Fed meeting nears, thoughts turn to rates

June 16th, 2014 No comments
AP ECONOMY YELLEN A F USA DC

 When the Federal Reserve, led by Chair Janet Yellen, shown on May 8, breaks from the two-day assembly Wednesday, Wall Street will be listening for clues as to the timing of the initial seductiveness rate hike.  (J. Scott Applewhite, AP)

Sure, polite fight in Iraq poses a brand new risk to the batch market. So does taking flight financier optimism. Above-average valuations have been additionally a worry, as is the actuality the marketplace hasn’t suffered a 10% dump in roughly 3 years.

But the big fright is which the Federal Reserve will travel short-term seductiveness rates earlier than expected subsequent year.

“The (big) risk is which the initial rate travel could come earlier than mid-2015,” Paul Ashworth of Capital Economics told clients Friday.

The Fed kicks off a two-day assembly Tuesday which will finish with the process statement, followed by Fed Chair Janet Yellen’s headlines conference. Investors design the Fed to go on circuitous down the bond-buying program. The Fed will expected revoke the monthly item purchases by $10 billion a month, shortening monthly buys to $35 billion.

Wall Street will be seeking for any signs the Fed competence need to travel rates earlier rsther than than later. Investors fright Fed “tightening,” as batch marketplace pullbacks and some-more critical corrections of 10% or some-more have been mostly triggered by the begin of Fed rate hikes.

Wall Street will investigate any changes to the Fed’s mercantile opinion for clues to changes in the timing of rate hikes. “We think which Fed officials will put a lot some-more weight on the signs of mending work marketplace conditions and will outlay really small time worrying which the manage to buy competence usually enhance at a 1% annualized gait over the initial half of this year,” Ashworth told clients.

 

Market on ‘yellow alert’ after fall from highs

May 16th, 2014 No comments

The batch marketplace strike a brand brand brand brand new tall Tuesday, usually to decrease behind in to the bearish endless hole the past dual sessions, together with a second true triple-digit thrust for the Dow Jones industrial average Thursday. The Dow tumbled 167 points.

As always, there have been a host of things to be concerned about, but to call the U.S. batch marketplace a passed longhorn on foot competence be an exaggeration, at slightest for the time being, Bruce Bittles, arch investment strategist at R.W. Baird, told clients in a report.

MARKETS TODAY:  Stocks onslaught to mangle two-day losing streak

One regard is that the Dow and Standard & Poor’s 500, that additionally strike a uninformed tall Tuesday, as good as quickly commanding 1900 for the initial time, have unsuccessful to have poignant brand brand brand brand new highs, notwithstanding headlines Thursday that the lowest series of Americans practical for jobless benefits final week given 2007 and long-term down payment yields being at a seven-month low. The actuality that the Russell 2000 small-cap index was down some-more than 10% from the tall at one indicate Thursday additionally shows a worrisome divergence, analysts say.

More bonds additionally strike brand brand brand brand new lows Tuesday than brand brand brand brand new highs, notwithstanding the S&P 500’s jot down close. “The actuality that extent is lacking,” Bittles wrote, “means fewer bonds have been participating, that (often occurs) in the after stages of a marketplace advance. While Bittles says the “weight of the justification is now on yellow alert,” it would take a “continued relapse of the extended market” and a remarkable climb in financier confidence (which, he says, is unlikely) to “turn the weight of the justification to red alert.”

 

2 reasons why ‘sell in May’ may not work

May 12th, 2014 No comments
GTY 479290721 A FIN MAX USA NY

One Wall Street strategist questions either it creates clarity to sell bonds only since May — and the misfortune anniversary duration for bonds — is on us. (Photo: Getty Images)

Everybody knows May is the begin of what has historically been the misfortune six-month duration for stocks. But maybe, only maybe, following the “Sell in May and go away” mantra and transfer bonds this time around competence be a mistake.

That was the birth of a inform published Monday by Jason Trennert, co-founder of Strategas Research Partners. “There is a little chronological basement in which old batch marketplace chestnut, “sell in May and go away,” Trennert told clients. “But there have been dual reasons this plan competence not work as good this time around.”

Since 1928, the Standard & Poor’s 500-stock index has posted normal earnings of 5.1% from Nov by April, but only 1.9% in the May-October span. And late-spring and summer selloffs in 2010, 2011 and 2012 were critical affairs. The final six-month period, commencement with May 2013, was a bullish affair, however, with the S&P 500 gaining 10%.

This year there’s a lot to be concerned about, or so it seems: There’s the weather-impaired 0.1% GDP expansion in the initial quarter, a marketplace spooked by a sell-off in “momentum” bonds and geopolitical turmoil in Ukraine.

But Trennert offers reasons because investors competence wish to stay invested. The first? The manage to buy has already had the “growth scare.” The second: The S&P 500 is up 2.6% this year, next the normal 11.2% year-to-date benefit by May the past 4 years. There’s reduction stew to bake off, notwithstanding Monday’s jot down tall for the S&P 500.

Wall Street eyes Russell 2000 and Priceline

May 8th, 2014 No comments
AP RARE BIRD A USA TX

Investors have been closely examination to see if the momentum-driven Russell 2000 small-cap batch index can recover the mojo. (Photo: AP)

 

There have been no mercantile releases to be concerned about today, so what will Wall Street be worrying about instead? Many traders will be gripping a tighten eye on dual movement plays that have not long ago soured.

The initial is the Russell 2000 small-stock index, that has strike a severe vegetable patch given reaching an all-time rise on Mar 4. It eked out a benefit on Wednesday, and is right away down some-more than 8% from the new high. It’s perilously tighten to central “correction” territory, tangible as a dump of 10% or more.

The alternative is vanishing movement batch Priceline, that has unexpected mislaid the mojo. After mountainous 87.4% in 2013, and tacking on an one some-more benefit of 18% by the Mar 5 high, the online transport association has suffered from a detriment of momentum, along with a slew of alternative once highflying stocks. It strew 3.1% to tighten at $1,131.74, Wednesday in nonetheless an additional tech sell-off, and is right away down rounded off 17% from the new peak. Priceline reports the first-quarter increase prior to the bell rings currently on Wall Street, and analysts have been awaiting it to consequence $6.91 share, up 20% vs. a year ago.

(UPDATE: Priceline surfaced gain expectations, posting increase of $7.81 per share, driven by clever sales and road house bookings abroad, generally in rising markets. Still, the association pronounced second-quarter EPS would come in in between $11.22 to $12.02 per share, that was next the Street’s guess of $12.27. Priceline shares were traffic up 1.5% in early trading, erasing a detriment of some-more than 4% in pre-market trading.)

Wall Street will be examination the small-cap batch index and Priceline for signs the offered is over. If the slip continues, the subjection will be some-more formidable to shrug off, notwithstanding steadier opening from the Dow Jones industrial normal and large- association Standard & Poor’s 500 index, that have fared improved given the movement traffic stalled. Both indexes sojourn nearby jot down highs.

 

Wall Street’s rising jitters not a bad thing

May 2nd, 2014 No comments

 

 

bear

Wall Street strategists have been as bearish on bonds as they were at the batch marketplace bottom in 2009. And which competence not be such a bad thing.

When Wall Street firms get a box of the jitters, it creates one investment strategist reduction jittery. Wall Street firms dialed behind their bullishness in Apr and that’s not such a bad thing, according to Savita Subramanian, equity strategist at Bank of America Merrill Lynch.

Last month, investment strategists marked down their endorsed batch weighting in customer portfolios to 52.2%, down from 54.1% — the initial decrease in 6 months. Normally, Wall Street recommends a 60%-65% assisting of stocks.

The reduce the weighting in stocks, the some-more bearish the strategists are. And they have been unequivocally bearish now. “Wall Street’s bearishness is right away some-more impassioned which it was at the marketplace lows of Mar 2009,” Subramanian told clients in a investigate missive.

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Savita Subramanian of Bank of America Merrill Lynch was a panelist in the 2014 USA TODAY “Investment Roundtable.” (Photo by: Todd Plitt)

But isn’t bearishness a bad omen? Nope. The reason? It is a contrarian indicator. In alternative words, the some-more discreet batch gurus are, the reduction expected which their customer bottom is all in. And that’s essentially bullish. “We sojourn speedy by Wall Street’s ongoing miss of confidence and the actuality which strategists have been still recommending which investors significantly underweight equities,” Subramanian wrote.

Even yet the extended marketplace has rallied some-more than 30% given the finish of 2012, story says bonds still have room to run when endorsed batch weightings have been so skimpy. In the past, when recommendations were this low, bonds were aloft twelve months after 97% of the time.