Markets closed lower on Tuesday for the 4th session in a row, with the S&P falling .42%. Asia markets closed mostly lower overnight while Europe indexes are in the green this morning. U.S. futures are pointing to a rally, the Dollar and Oil are lower while Yields and Gold are higher.
The much anticipated CPI data came out this morning and it did not disappoint, coming run under estimates and sparking a rally in futures. There will be quite a bit more pressure on the next CPI read in September as back to back months of declines could signal that inflation has topped and allow the Fed to ease off the tightening pedal. I have been talking about that $420 handle on the SPY for 2 weeks now and looks like we will finally test it. Would love to see a close above that and maybe some churn into the end of the week:
It was an annoying premium chop session yesterday, with stocks failing to sustain any bounces. The SPY came and tested $410 at 2:30 before closing at $411.35. I still would rather play calls on bounces then puts right now so sat on my hands. Hoping to find some more opportunities today.
Despite the market weakness, TRIP was able to close higher and right at the $25 handle. Will likely look to close the last of my $23.50 calls at the open and hold my $26s into next week. Nice to finally make some money on TRIP. If it holds the $25s, the $28s may come into play next week:
WIX reported a solid quarter this morning and the stock is not doing to much in the pre-market. If it can break and hold $70 I may look for some calls to play for a move into the $80s in the coming days. The solid report by WIX coupled with GDDY's strong report last week is a good sign:
SAGE finally found some sellers yesterday. Think this is a name that can keep going, especially with M&A heating up. May look to add some $50 or $55 strikes today:
CI broke out yesterday, testing 52 week highs before pulling back to close at $285. Only a matter of time before CI breaks into the $300s. May look at some calls today:
Still eyeing YOU calls ahead of earnings on Monday:
If stocks hold the gap this morning, will be eyeing some possible spec calls in SPOT, W, NFLX, and TWLO.
Here are the analyst changes of note for today:
| Trade Desk price target raised to $78 from $72 at Stifel |
| Stifel analyst Mark Kelley raised the firm's price target on Trade Desk to $78 from $72 and keeps a Buy rating on the shares following what he calls "a solid beat and raise" in Q2. The company is "not immune to the macroeconomic backdrop," but all major verticals grew double digits while trends in the slower growth automotive and home & garden verticals improved as the quarter progressed, Kelley tells investors |
ShotSpotter upgraded to Buy from Hold at Lake Street |
| Lake Street analyst Jaeson Schmidt upgraded ShotSpotter to Buy from Hold with a price target of $38, up from $29, after the company reported Q2 results and reiterated its 2022 revenue and AEBITDA margin guidance. He is encouraged by the company's continued momentum and growing pipeline and believes the company's runway for growth remains long, said Schmidt, citing demand tailwinds for its solutions in the domestic market, cross-selling opportunities with its recent acquisitions, and opportunities in the international market |
| Planet Fitness price target lowered to $93 from $96 at Morgan Stanley |
| Morgan Stanley analyst Brian Harbour lowered the firm's price target on Planet Fitness to $93 from $96 and keeps an Overweight rating on the shares. While he continues to believe the business model will be "advantaged through a more volatile market," Harbour made estimate changes following the company's quarterly report and added that he thinks that "a track record of beats/raises may be harder" for Planet to repeat this year |
| OptimizeRx price target lowered to $37 from $56 at B. Riley |
| B. Riley analyst Marc Wiesenberger lowered the firm's price target on OptimizeRx to $37 from $56 and keeps a Buy rating on the shares. The company's Q2 results were materially below Street estimates as its point-of-care communications platform was not immune from broader industry dynamics and was impacted more than anticipated, Wiesenberger tells investors in a research note. However, the analyst believes investors will look to be positioned favorably ahead of the Q4 results. Negative investor sentiment coupled with dissipating industry headwinds and normalizing company execution set "depressed OPRX shares to regain an upward trajectory," says Wiesenberger |
| Blue Apron initiated with a Buy at Lake Street |
| Lake Street analyst Ryan Meyers initiated coverage of Blue Apron with a Buy rating and $9 price target. He believes the changes Blue Apron has undertaken since CEO Linda Findley's arrival in 2019 have improved its competitive position and better positioned it for sustained growth, said Meyers, who has "seen proof of the turnaround" and now thinks the "company is in the final innings." He thinks Blue Apron now has the balance sheet to continue to grow its customer base and ultimately achieve greater scale following capital infusions in November 2021 and May 2022, the analyst added |
And here is what I am watching today: CI, WIX, SAGE, YOU, SPOT, RBLX, BEAM, CRSP, EDIT, ICPT, PTON, and PYPL.
Let's have a great day!
-JB