Futures are pointing to a higher start to the week, with the S&P set to open up .20%. Asia markets rallied overnight, tallying their largest gains in 2 months while Europe markets are also in the green this morning. The Dollar is slightly higher, while Gold, Oil, and Treasuries are all lower.
If you missed it here is the Week Ahead Webinar : https://www.optionmillionaires.com/week-ahead-webinar-september-17th-2017/
And the Morning Prepper from UPB : https://www.optionmillionaires.com/mondays-market-prepper-13/
Monday is kicking off with some M&A. First with Northrop Grumman set to acquire Orbital ATK for $7.8B in cash and assuming $1.4B of OA's debt. And then a smaller deal with ITRI acquiring SSNI for $16.25 a share or $830 million. Hopefully the spigots open for M&A with less than 4 months remaining in 2017.
NVDA received another upgrade this morning, this time from BAC/Merrill:
The stock is gapping up in the pre-market even after the huge move on Friday. Seems like just yesterday Citron and others were bashing the name. Same goes for TSLA which is gapping higher in the pre-market and likely will test all-time highs shortly. I am in the latter, but rooting for those in the former as well.
I neglected to mention my trade on SSYS in the Week Ahead this weekend. Finally closed over the 50dma last week and think move will gain steam once it breaks $24.50:
Watching ATHM today for a tight bollinger band breakout:
The big event this week is the Fed statement and press conference on Wednesday. Could bring some volatility into what has been a complacent market as of late, with the S&P trading in the tightest 4 day range in history last week. Will be watching that $250 area on the SPY as resistance with the $246.50 area as support. If the market holds it's gains this morning I may look to add some IWM calls as the small caps play catch up:
Here are the analyst changes of note for today:
FBR boosts Ballard Power target to $6 after analyst day
FBR Capital analyst Carter Driscoll raised his price target for Ballard Power Systems to $6.00 from $3.50 saying the company's analyst day highlighted its "robust" China mobility opportunity. Ballard is the early stages of capitalizing on the use of fuel cells for vehicle electrification, and deserves to trade at a premium to peers given its technology leadership, local presence and partnerships in China and improving financial position, Driscoll tells investors in a research note partially tiled "A Vastly Different Company than Two Years Ago." The analyst reiterates a Buy rating on Ballard
NuVasive shares reflect most investor concerns, says Cowen
Cowen analyst Joshua Jennings said NuVasive shares likely reflect most investor concerns regarding US spine volumes, insurers push-back, guidance, weather impact, and the CFO departure. Jennings expects investors to begin to focus on the LessRay system, new products, new salespeople, and new surgeon customers, which will drive a recovery in shares. The analyst rates NuVasive an Outperform with an $83 price target
Nvidia to get boost from China crypto-currency ban, says RBC Capital
RBC Capital analyst Mitch Steves believes that Nvidia will be boosted by China's ban on crypt-currency, since it is still legal there "to mine them with computing power," the analyst stated. He thinks that individuals in China who want to obtain crypto currency will buy more computing power, benefiting Nvidia. The analyst believes that "decentralized exchanges" will be created for trading crypto-currency in China, and he keeps an Outperform rating on Nvidia
Equifax breach could become tailwind for Fortinet, says Oppenheimer
Following a meeting with Fortinet's (FTNT) management, Oppenheimer analyst Shaul Eyal believes the Equifax (EFX) breach could yield an effect akin to the late-2013 Target (TGT) breach, whereby heightened security awareness and an increase in involvement across boards and C-level executives which could convert into increased security budgets. Further, the analyst believes Fortinet is focused on better positioning itself for IT trends, and that its "strong growth" in subscription services remains in-tact and higher-end appliance traction remains a strong-point for its product segment. Eyal reiterates an Outperform rating and $45 price target on Fortinet's shares
Teva price target lowered to $15 from $21 at RBC Capital
RBC Capital analyst Randall Stanicky cut his price target on Teva as he believes that the new CEO will need time "to come up to speed," and the analyst is unsure what strategic options the new CEO can take that the board has not already considered. Stanicky says that the company's debt load "looks severe," while it faces multiple additional headwinds, including generic Copaxone and headwinds to its own generic business. He cut his price target on the shares to $15 from $21 and keeps an Underperform rating on the name
GrubHub price target raised to $60 from $50 at Canaccord
Canaccord analyst Michael Graham continues to believe Grubhub (GRUB) is "mid-stride" in its long-term strategy to change the way U.S. consumers order takeout food and he raised his price target to $60 from $50 account for the "important" deals the company has signed with Foodler, Groupon (GRPN) and Yelp (YELP) over the past few months. Graham keeps a Buy rating on Grubhub shares
At Home Group weakness creates buying opportunity, says SunTrust
SunTrust analyst David Magee says that At Home has ""good operational momentum" and "a solid growth outlook." He recommends buying the stock on weakness
Hostess Brands initiated with an Outperform at RBC Capital
RBC Capital analyst David Palmer started Hostess Brands with an Outperform rating and $16 price target. The analyst views above-consensus EBITDA and a sales acceleration in Q4 as near-term catalysts and points out the stock is down 20%
Cirrus Logic initiated with an Underperform at BofA/Merrill
BofA/Merrill analyst Adam Gonzalez initiated Cirrus Logic (CRUS) with an Underperform and a $50 price target. The analyst said 75%-80% of the company's revenues are derived from iPhone sales, which he believes is poised to decelerate to just 4%-5% earnings growth in FY17-FY20 from 30% through FY15-FY17. Gonzalez sees limited near-term catalysts that can re-accelerate growth and any meaningful expansion is still 2-3 years away
Agios Pharmaceuticals price target raised to $76 from $71 at JPMorgan
JPMorgan analyst Anupam Rama raised his price target for Agios Pharmaceuticals to $76 after conducting a survey of 26 U.S. hematologists. The survey indicated there is broader awareness of Idhifa, "encouraging views" on its efficacy and "rapid uptake," Rama tells investors in a research note. The analyst reiterates an Overweight rating on Agios
Jefferies says buy Alnylam ahead of Apollo data readout
Topline results for Alnylam Pharma's Apollo trial are expected in the next two weeks, which, if positive, can drive 15%-20% upside in the shares, Jefferies analyst Maury Raycroft tells investors in a research note. After speaking to a hereditary ATTR amyloidosis doctor, Raycroft says he would buy shares of Alnylam ahead of the data readout. He has a Buy rating on the shares with a $102 price target
And here is what I am watching today:
|
Stock Ticker |
Call/Put |
Strike |
Expiration |
Closing Price |
Possible Entry Price |
|
ATHM |
CALL |
$75.00 |
October |
.40 x .55 |
0.50 |
|
CMG |
CALL |
$330.00 |
weekly |
.30 x .40 |
0.35 |
|
WIX |
CALL |
$80.00 |
October |
.80 x .95 |
0.90 |
Let's have a Great DAY!
-JB