On December 8, American stock exchanges closed at historic highs. The S&P 500 Index climbed 0.28% to 3702 points, the Dow Jones added 0.35%, the NASDAQ rose 0.5%. The purchases spurred hope for fiscal stimulus, as well as the start of the UK vaccine distribution. The health and energy sectors were the top gains, rising 0.73% and 1.57%, respectively. The real estate segment turned out to be an outsider, losing 0.5%.
Tesla (TSLA: + 1.3%) announced a $ 5 billion additional share issue.
Productivity software maker Smartsheet (SMAR: + 11%) reported strong quarterly results and improved management forecasts.
Apparel retailer Stitch Fix (SFIX: + 39%) posted a good quarterly report, with a pleasant surprise for investors the company’s profit at a consensus loss.
Today, world stock markets are showing mostly positive dynamics. The likelihood of accepting an economic aid package is increasing. The day before, Treasury Secretary Stephen Mnuchin presented House Speaker Nancy Pelosi a $ 916 billion economic support bill. Unlike the bipartisan stimulus package last week, the bill provides for a one-time payment of $ 600 to each citizen instead of $ 300 weekly in addition to the unemployment. Republican leaders have already expressed support for Mnuchin’s bill. We believe that the congressmen have not yet been so close to a compromise in the past few months, and this is encouraging.
Another supportive factor was a report released by the FDA that the Pfizer / BioNTech anticancer vaccine is completely safe and highly effective. The probability of its approval on December 10 is close to 100%, and on the 11th, the distribution of the drug in the United States may begin. We estimate the risk that the pharmaceutical giant will face difficulties in mass production of the vaccine as minimal, although not zero.
Today Top Movers Under $3
Cinedigm Corp (CIDM) is up 50.35% at $1.30 in early morning on Wednesday after
Spherex revealed a strategic alliance with Cinedigm (NASDAQ: CIDM) to drive Cinedigm’s global growth.
Usio Inc (USIO) is up 38.80% in Wednesday’s premarket session after reporting that it has entered into a non-binding Letter of Intent (LOI) to acquire the assets of Information Management Solutions, LLC (IMS).
Recon Technology Ltd (RCON) was taking the aerial route in the after-market session as it surged 95.8% to $2.82, after a China-based independent solutions integrator in the oilfield service and environmental protection, electric power, and coal chemical industries, today announced its financial results for the fiscal year 2020.
Top Upgrades & Downgrades
JP Morgan turned bullish on Array Technologies Inc. (ARRY), upgrading the stock to “Overweight” and assigning a $41.0 price target.
Community Trust Bancorp Inc. (CTBI) has won the favor of Piper Sandler’s equity research team. The firm upgraded the shares from Neutral to Overweight.
Earlier Wednesday JP Morgan reduced its rating on Bloom Energy Corporation (BE) stock to Neutral from Overweight and assigned the price target to $26.0. With shares trading at around $30.59, the Wall Street firm thinks Bloom Energy Corporation’s stock could decline more than -62.5%.
DZ Bank analysts reduced their investment ratings, saying in research reports covered by the media that its rating for American Express Company (AXP) has been changed to Hold from Buy and the new price target is set at $128.0.
Analysts at KeyBanc downgraded Talos Energy Inc. (TALO)‘s stock to Sector Weight from Overweight Wednesday.
Latest Insider Activity
Freeport-McMoRan Inc. (FCX) Vice Chairman, President & CEO ADKERSON RICHARD C announced the sale of shares taking place on Dec 04 at $25.17 for some 467,887 shares. The total came to more than $11.78 million.
Discovery Inc. (DISCA) Director LOWE KENNETH W sold on Dec 04 a total 1,202,403 shares at $25.22 on average. The insider’s sale generated proceeds of almost $2.32 million.
Regulus Therapeutics Inc. (RGLS) 10% Owner Sonsini Peter W. declared the purchase of shares taking place on Dec 04 at $0.62 for some 4,398,602 shares. The transaction amount was around $2.74 million.
Hepion Pharmaceuticals Inc. (HEPA) CEO and Director Foster Robert T bought on Dec 08 a total 25,259 shares at $1.58 on average. The purchase cost the insider an estimated $39,418.
Earnings To Watch Today
Top US earnings releases scheduled for today include Asana Inc. (NYSE:ASAN). It will announce its Oct 2020 financial results. The company is expected to report earnings of -$0.37 per share from revenues of $54.14M in the three-month period.
Analysts expect Mesa Air Group Inc. (NASDAQ:MESA) to report a net income (adjusted) of -$0.02 per share, when the bank releases its quarterly results shortly. Revenue for the fiscal quarter ended Sep 2020 is predicted to come in at $92.95M.
Adobe Inc. (ADBE), due to announce earnings after the market closes today, is expected to report earnings of $2.66 per share from revenues of $3.36B recently concluded three-month period.