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The challenges of saving a troubled lenderFirst Republic will report quarterly earnings on Monday, its first since the collapse of Silicon Valley Bank sparked a regional banking crisis. And despite a $30 billion lifeline provided by some of the country’s largest banks, First Republic’s shares have fallen nearly 90 percent over the past six months. So why hasn’t there been a deal to raise more cash or sell assets — or itself? First Republic is not expected to announce a deal alongside its earnings. Assuming those have moderated, First Republic has time to solve its problem.

☆ First Republic stocks drops nearly 50% after plunge in deposits
▼ + stars: | 2023-04-24 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +4 min

First Republic Bank also expects to cut its workforce by 20-25% this quarter, it said late Monday during its first-quarter earnings call. “Total deposits were $102.7 billion as of April 21, 2023, down only 1.7% from March 31, 2023,” he said. The bank reported earnings per share of $1.23, higher than analysts’ expectations of $0.85 per share, according to Refinitiv data. When the banking crisis erupted, about two-thirds of First Republic’s deposits were uninsured with the Federal Deposit Insurance Corporation. There’s a lot of money on the line: In January and February, trading in First Republic stock was outright sleepy.

CNBC Pro used FactSet data to scan the stock market to find the biggest winners of the week — and then looked to find out where Wall Street thinks these stocks are headed in coming months. One name that stuck out on the list was once-troubled regional bank PacWest Bancorp , which jumped almost 12% this week as of Friday morning. Wall Street believes shares have 55% upside, according to the consensus 12-month price target set by analysts. PacWest shares had a strong week after regional banking peer Western Alliance Bancorp posted quarterly adjusted earnings, according to FactSet. BJ's Restaurants ' stock rose 9.2% this week after Wedbush Securities upgraded shares to outperform from neutral.

☆ Premarket stocks: Is Big Oil running out of gas?
▼ + stars: | 2023-04-21 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +7 min

New York CNN —Oil and gas stocks have been on a two-year tear, ripping ahead as natural gas prices surged due to supply chain kinks, a strong economy, and Russia’s invasion of Ukraine. What’s happening: Brutally high oil and gas prices were the talk of the town last year and one of the largest contributing factors to sky-high inflation. That’s bad news for automobile drivers, but ended up being great for the energy industry as oil prices and energy stocks are closely interlinked. Blackstone is feeling the commercial real estate slumpThe ongoing commercial real estate slowdown has a new victim: Blackstone. Profits from the sale of commercial real estate assets fell 54% to $4.4 billion, down from $9.5 billion last year.

☆ Retail traders are dumping tech stocks, but loading up on this one big bank
▼ + stars: | 2023-04-20 | by ( Sarah Min | ) www.cnbc.com time to read: +2 min

Retail traders may be selling tech stocks en masse, but they're spying opportunity in one major financial institution — Bank of America. Beneath the hood, however, retail traders are increasingly pivoting away from big tech names in favor of financials – suggesting a rotation between the biggest gainers and laggards in markets this year. Given this, here are 10 of the biggest stocks retail traders bought into this past week: Retail traders snapped up Bank of America shares, resulting in $82 million in net inflows, according to JPMorgan. American Airlines Group saw a big surge in retail trader interest, which saw a net $68 million in inflows. On the other hand, retail traders dumped some notable tech names such as Apple , with saw net selling of $190 million this past week.

While Charles Schwab shares are up about 20% from their March low, boutique equity research firm Redburn isn't so sure the recovery is warranted. Analyst Charles Bendit downgraded Charles Schwab to sell from neutral on Thursday. Schwab shares are off some 38% from this year's high reached in early January. SCHW YTD mountain Charles Schwab stock To be sure, several prominent investors, including Oakmark Funds' Bill Nygren, are among many who have opted to buy the dip in Schwab. "Potential re-regulation of midsize banks in the wake of the regional banking crisis might impact Schwab," Bendit said.

☆ Deposit flight at U.S. regional banks blights interest income gains
▼ + stars: | 2023-04-20 | by ( ) www.reuters.com time to read: +2 min

The flight of deposits at Fifth Third Bancorp (FITB.O), Comerica (CMA.N), Truist Financial Corp (TFC.N) and KeyCorp (KEY.N) dampened gains that the lenders made in their interest income benefiting from the U.S. Federal Reserve's aggressive monetary policy tightening through the past year. Only, Huntington Bancshares Inc (HBAN.O), among banks reporting on Thursday, managed to grow average total deposits by $472 million from the prior quarter. In the aftermath, the KBW Regional Banking Index (.KRX) has tumbled 19.4% this year, through previous close. Clients are expected to continue the shift toward other assets that bring in higher returns unless the banks increase returns, analysts have said. Citizens Financial (CFG.N) on Wednesday cut its forecast for net interest income, expecting an increase in the rate it pays out for deposits to clients.

☆ Blackstone is in talks to help regional banks with lending
▼ + stars: | 2023-04-20 | by ( ) www.reuters.com time to read: +4 min

NEW YORK, April 20 (Reuters) - Blackstone Inc (BX.N), the biggest manager of private equity and real estate assets, said on Thursday it was discussing partnerships with U.S. regional banks to help them with constraints in areas such as car loans and home improvement financing. "As regional banks experienced outflows of deposits, we are seeing real-time opportunities to partner with them at scale," Blackstone President Jonathan Gray said on the firm's first-quarter earnings call. "The regional banks generally play a very large role in home improvement loans, auto loans and equipment finance. He did not identify the banks Blackstone is speaking to. The firm has shifted its focus in real estate to resilient sectors such as logistics and rental housing.

☆ Western Alliance stock surges as results allay deposit fears
▼ + stars: | 2023-04-19 | by ( Noel Randewich | ) www.reuters.com time to read: +3 min

April 19 (Reuters) - Shares of Western Alliance Bancorp (WAL.N) surged 24% on Wednesday after the U.S. regional bank posted stronger-than-expected earnings and said its deposits had stabilized, helping allay fears that last month's banking crisis could envelop more lenders. Wedbush Securities raised its rating on Western Alliance to "outperform" from "neutral" and added the bank to its "Best ideas list", among stocks including Apple (AAPL.O) and Microsoft (MSFT.O). Western Alliance's results soothed concerns about the stability of regional banks following worst U.S. banking crisis since 2008. The rally in Western Alliance following its report stood out among several regional banks that have posted quarterly results this week. Western Alliance's stock remains down over 40% from early March, before Silicon Valley Bank's collapse.

Major equity indexes have been largely stable during the early stages of a first-quarter earnings season that investors expect to show tepid results. The Dow Jones Industrial Average (.DJI) fell 79.62 points, or 0.23%, to 33,897.01; the S&P 500 (.SPX) lost 0.35 points, or 0.01%, at 4,154.52; and the Nasdaq Composite (.IXIC) added 3.81 points, or 0.03%, at 12,157.23. The defensive utilities group (.SPLRCU) gained most among S&P 500 sectors, rising 0.8%. S&P 500 companies overall are expected to post a 4.8% decline in first-quarter earnings from the year-earlier period, according to Refinitiv IBES. The S&P 500 posted 16 new 52-week highs and one new lows; the Nasdaq Composite recorded 59 new highs and 123 new lows.

☆ Western Alliance's stock surges as results allay deposit fears
▼ + stars: | 2023-04-19 | by ( Noel Randewich | ) www.reuters.com time to read: +3 min

"We are seeing positive news from a regional bank that was in the crosshairs of the whole crisis. Western Alliance's results soothed concerns about the stability of regional banks following worst U.S. banking crisis since 2008. The rally in Western Alliance following its report stands out among several regional banks that have posted their quarterly results this week. Citizens Financial Group Inc (CFG.N) was trading near flat after reporting a quarterly profit early on Wednesday that missed Wall Street's estimates. Western Alliance's stock remains down over 40% from early March, before Silicon Valley Bank's implosion.

Major equity indexes have been largely stable during the early stages of a first-quarter earnings season that investors expect to show tepid results. The defensive utilities group (.SPLRCU) gained most among S&P 500 sectors, rising 0.7%. S&P 500 companies overall are expected to post a 4.8% decline in first-quarter earnings from the year-earlier period, according to Refinitiv IBES. Shares of Western Alliance Bancorp (WAL.N) surged 23% after the company posted stronger-than-expected earnings, helping lift the SPDR S&P Regional Banking ETF (KRE.P) 4%. The S&P 500 posted 15 new 52-week highs and one new low; the Nasdaq Composite recorded 48 new highs and 111 new lows.

☆ Short positions on Canada's TD Bank rise to $6.1 billion, ORTEX data shows
▼ + stars: | 2023-04-19 | by ( Maiya Keidan | ) www.reuters.com time to read: +2 min

TORONTO, April 19 (Reuters) - Hedge fund bets against Canada's TD Bank Group (TD.TO) hit $6.1 billion on Wednesday, a 45% increase from 14 days ago, according to data provider ORTEX's calculations, one day ahead of the Canadian lender's annual general meeting. So-called 'arbitrage investors', many of which are event-driven hedge funds, bet on mergers and acquisitions by buying shares of the target and shorting the acquirer's stock. TD, which is awaiting regulatory approval of its takeover of First Horizon, is expected to address the $13.4 billion deal at its AGM on Thursday in Toronto. Hedge funds profit when they borrow a stock from an institutional investor and sell it back when the price falls, pocketing the difference, a practice known as short-selling. TD shares are down 0.1% since the U.S. regional banking crisis began, and up 3.4% this week.

☆ Morgan Stanley delivered a solid quarter, despite gathering macroeconomic clouds
▼ + stars: | 2023-04-19 | by ( Zev Fima | ) www.cnbc.com time to read: +7 min

Club holding Morgan Stanley (MS) reported better-than-expected first-quarter results on Wednesday, even as the stock came under pressure due to rising expenses. Morgan Stanley stock initially tumbled nearly 4%, before reversing some of those losses to rise just under 1% in afternoon trading Wednesday, to about $90.50 a share. Bottom line An increase in provisions for credit losses and higher-than-expected compensation expenses weighed on shares early in Wednesday's session — but Morgan Stanley, nonetheless, reported a solid first quarter. Despite a difficult operating environment, Morgan Stanley remains a best-in-class investment bank. The Morgan Stanley headquarters building is seen on January 17, 2023 in New York City.

☆ Western Alliance is de-risking on the credit side to help earnings, says Janney's Chris Marinac
▼ + stars: | 2023-04-19 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWestern Alliance is de-risking on the credit side to help earnings, says Janney's Chris MarinacChristopher Marinac, Janney Montgomery Scott director of research, joins 'The Exchange' to discuss Western Alliance deposit numbers stabilizing, recovery in the bank sector, and the health of regional banking.

☆ Premarket stocks: Apple is giving banks a run for their money
▼ + stars: | 2023-04-18 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +7 min

Apple’s savings account is managed through Apple products and users must have Apple’s credit card, simply called Apple Card, to qualify for one. “It’s very much a loyalty play because it’s a multi-level process: To get the Apple credit card you need the phone, and to get the savings account you need the credit card. The Apple savings account through Goldman is also insured by the Federal Deposit Insurance Corporation. And Apple’s savings account is hardly the best out there, either. UFB Direct offers a savings account with more than a 5% annual percentage yield.

☆ Art Cashin says the next two weeks are critical for markets, outlines the bear case
▼ + stars: | 2023-04-18 | by ( Sarah Min | ) www.cnbc.com time to read: +1 min

Art Cashin said traders should closely watch how the next two weeks will play out, as they will be "absolutely critical." However, Cashin warned that ongoing macroeconomic concerns could cause stocks to break down as investors head into the busiest stretch of earnings season. It's as if everyone has gone into a bit of a trance," Cashin told CNBC's "Squawk on the Street" on Tuesday. Investors should also closely watch data from tax season, as well as any ongoing delays in raising the debt ceiling. "I think the next two weeks could be absolutely critical to the market," Cashin said.

WASHINGTON — The top Democrat in the House slammed Republicans' plan to pass a bill later this month to suspend the debt ceiling for a year and impose broad federal spending cuts, rather than simply raise the $31.4 trillion limit and avoid any risk of potential U.S. debt default. "Even the flirtation with the default is going to hurt everyday Americans," House Minority Leader Hakeem Jeffries told CNBC's "Squawk Box" on Tuesday. "It risks raising car payments, it risks raising home mortgage payments, it risks raising student loan debt payments," he said. The New York Democrat said refusing to raise the debt ceiling for the first time in history would have "catastrophic" consequences. Securities and Exchange Commission Chairman Gary Gensler echoed Jeffries' concerns Tuesday, telling lawmakers that the debt ceiling fight has already affected the markets.

☆ Americans could see their student debt, car, and mortgage payments surge because of Republicans' 'flirtation with the default,' top Democrat Hakeem Jeffries says
▼ + stars: | 2023-04-18 | by ( Ayelet Sheffey | ) www.businessinsider.com time to read: +4 min

Rep. Hakeem Jeffries said a default on the US debt could cause student debt, car, and mortgage payments to surge. Republicans plan to bring a debt ceiling bill to the House floor next week, but it's unclear if it will get enough support. Biden has refused to meet with Republicans over debt ceiling negotiations. "Even the flirtation with the default is going to hurt everyday Americans," Jeffries said. "It risks raising car payments, it risks raising home mortgage payments, it risks raising student loan debt payments," he continued.

☆ Premarket stocks: JPMorgan steals the show as banks lift curtain on earnings
▼ + stars: | 2023-04-17 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +7 min

All beat estimates: PNC (PNC) and Wells Fargo (WFM) by about 9%, Citi by around 13% and JPMorgan (JPM) by nearly 21%. PNC stock also felt the pressure. Before the Bell spoke with Steve Sosnick, chief strategist at Interactive Brokers, to discuss Friday’s big bank earnings and explain that stock discrepancy. I’ve always complained about banks reporting their quarterly earnings first because they’re extraordinarily idiosyncratic. Why did JPMorgan stock outperform its competitors?

☆ Should investors buy regional bank stocks? A bull and a bear weigh in — and share 3 top picks
▼ + stars: | 2023-04-17 | by ( Weizhen Tan | ) www.cnbc.com time to read: +5 min

A bull and a bear on U.S. regional banks faced off on CNBC's " Street Signs Asia " on Thursday and shared their stock picks. 'Not the environment' for regional banks It's "not the environment" for regional banks right now, said Brian Stutland, portfolio manager at Equity Armor Investments. Stock picks For investors still keen on regional bank stocks, Marinac said his top two picks are Fifth Third Bancorp and First Citizens . First Citizens announced in late March that it will buy over Silicon Valley Bank's deposits and loans. He highlighted "the fact that [regional bank] stocks are down 40% when you've had earnings down about 5%.

☆ Goldman says dividend growth stocks will outperform under current conditions. 10 names it recommends
▼ + stars: | 2023-04-17 | by ( Sarah Min | ) www.cnbc.com time to read: +4 min

Goldman Sachs says one income-focused strategy is off to a strong start this year, and will continue to outperform – dividend growth stocks. Going forward, dividend growth stocks will continue to beat buyback stocks, according to Goldman's chief U.S. equity strategist David Kostin. Fastenal shares are up 12% this year, and the industrial supplies company has a 2.6% dividend yield, FactSet data showed. Home Depot shares are down this year, but was a new addition to Goldman Sachs' dividend growth list. Lowe's is another dividend growth stock, with a 2.1% dividend yield, and Goldman seeing 30% annual compound dividend growth over 2022-2024.

☆ Wall St dips to lower close as rate hike bets firm, banks jump
▼ + stars: | 2023-04-14 | by ( Stephen Culp | ) www.reuters.com time to read: +4 min

"Today we're taking bit of a breather," said Sal Bruno, chief investment officer at IndexIQ in New York. Citigroup Inc (C.N), JPMorgan Chase & Co (JPM.N) and Wells Fargo & Co (WFC.N) beat earnings expectations, benefiting from rising interest rates and easing fears of stress in the banking system. The S&P 500 banking sector (.SPXBK) jumped 3.5% and JPMorgan Chase surged 7.6%, its biggest one-day percentage gain since Nov. 9, 2020. Among the 11 major sectors of the S&P 500, seven ended the session lower, with real estate (.SPLRCR) falling most. The S&P 500 posted 11 new 52-week highs and two new lows; the Nasdaq Composite recorded 47 new highs and 205 new lows.

☆ Wall St Week Ahead Consumer stocks' earnings may offer clues on U.S. economy’s resilience
▼ + stars: | 2023-04-14 | by ( David Randall | ) www.reuters.com time to read: +5 min

Companies in the consumer discretionary spending sector reporting next week include Tesla Inc (TSLA.O), Netflix Inc (NFLX.O) and AutoNation Inc (AN.N). Reuters GraphicsGrowing recession fears over the last year have already prompted many consumer discretionary companies to cut costs to boost margins, which may lead to positive earnings surprises this quarter, Melson said. Part of that expected growth comes from a job market that has remained robust, helping buoy consumer spending, said Jamie Cox, managing partner for Harris Financial Group. Meanwhile, U.S. consumer sentiment inched up in April, but households expected inflation to rise over the next 12 months. Sandy Villere, a portfolio manager at Villere & Co, has winnowed his holdings of consumer discretionary stocks in anticipation of a recession later this year.

☆ Wall St slides as rate hike expectations firm, banks surge
▼ + stars: | 2023-04-14 | by ( Stephen Culp | ) www.reuters.com time to read: +4 min

"As expected, the bigger banks were probably not harmed that much by the regional banking turmoil, and possibly even beneficiaries of it," Mayfield added. "We saw mostly strong and healthy balance sheets, and it's pretty clear (the regional banking) crisis isn't systemic." The S&P 500 banking sector (.SPXBK) jumped 3.4% and JPMorgan Chase surged 7.3%, setting itself up for its biggest one-day percentage gain since Nov. 9, 2020. Among the 11 major sectors of the S&P 500, financials (.SPSY) were the sole gainers. The S&P 500 posted nine new 52-week highs and two new lows; the Nasdaq Composite recorded 37 new highs and 182 new lows.

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