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The jobs report for October came in much weaker than expected, and employment growth across different industries painted a mixed picture for the U.S. economy. The biggest contribution last month came from health care and social assistance, with 51,300 new positions added in that area, per data from the Bureau of Labor Statistics. If private education is included with the health care group, like some economists do, the category would have shown even more growth at 57,000. Government had the second-highest gains in the period, seeing jobs surge by 40,000. Meanwhile, wholesale trade and construction also saw some gains, recording growth of 10,400 and 8,000, respectively.
Persons: That's Organizations: Bureau of Labor Statistics, Government Locations: U.S
The company posted earnings of $1.88 per share, excluding items, on revenue of $52.28 billion. Analysts polled by FactSet called for adjusted earnings per share of $1.62 on revenue of $50.90 billion. Intel — Shares popped 9% after the chipmaker topped third-quarter earnings estimates and shared upbeat quarterly guidance. The company posted adjusted earnings of 17 cents per share on $13.28 billion in revenue. Chevron also returned a record of more than $7 billion to shareholders in the quarter through buybacks and dividends.
Persons: Health —, Cardinal, FactSet, Atlassian, Donald Trump, Ernst, Ernst & Young, Avis, , Alex Harring, Brian Evans, Michelle Fox Theobald, Sean Conlon, Samantha Subin Organizations: Health, Boeing —, Intel, Amazon, Web Services, Apple —, Trump Media & Technology Group, Communications, Abbott Laboratories, Abbott, Ernst &, Avis Budget, LSEG, Chevron Locations: Europe, buybacks
Amazon — The e-commerce giant popped 4.7% after beating earnings expectations on both lines in the third quarter. Amazon reported $1.43 earned per share on revenue of $158.88 billion, while analysts polled by LSEG expected $1.14 and $157.2 billion, respectively. For the period, Intel posted revenue of $13.28 billion, while analysts surveyed by LSEG were expecting $13.02 billion. Apple — Shares slid 1.8% despite earnings and revenue topping Wall Street expectations for the fourth fiscal quarter. Analysts polled by StreetAccount expected a profit of 64 cents per share on revenue of $1.16 billion.
Persons: LSEG, Avis, , Atlassian, StreetAccount, — CNBC's Sean Conlon Organizations: Amazon, Intel –, Intel, Apple, Avis Budget, FactSet
Carvana – Shares surged more than 19% on the heels of a third-quarter earnings and revenue beat . Microsoft sees revenue coming in between $68.1 billion and $69.1 billion, while analysts were estimating $69.8 billion, according to LSEG. Comcast – Shares climbed nearly 6% after the theme park and media company's third quarter earnings and revenue beat analyst estimates. Cigna – Shares advanced more than 2% after the insurer's third-quarter earnings and revenue beat analysts' expectations. Coinbase – The cryptocurrency exchange platform fell more than 2% after third-quarter earnings and revenue missed Street estimates .
Persons: Carvana, LSEG, Peter Stern, Robinhood, Meta, Cigna, FactSet, Etsy, Coinbase, , Alex Harring, Samantha Subin, Jesse Pound, Lisa Kailai Han, Sarah Min, Michelle Fox Theobald Organizations: eBay, Ebay, , Microsoft, Booking Holdings, Uber Technologies, Comcast, LSEG, Super, Facebook, Meta, Wall, CNBC Locations: StreetAccount, LSEG .
Carvana — The used car platform rose 23% after posting a third-quarter earnings and revenue beat . Etsy — Shares rallied 8% after the online e-commerce platform posted third-quarter results that surprised to the upside. Microsoft called for revenue ranging between $68.1 billion to $69.1 billion, while analysts had forecasted $69.83 billion, according to LSEG. Coinbase — The cryptocurrency exchange platform shed 10% after posting a third-quarter earnings and revenue miss . Teleflex — Shares plummeted 15.6% after the medical device provider reported third-quarter revenue of $764.4 million, below FactSet's estimated $768.7 million.
Persons: Peter Stern, Carvana, Etsy —, FactSet, Coinbase, LSEG, Uber, Ernst, Young, Teleflex, Robinhood, Estee Lauder, — CNBC's Sean Conlon, Alex Harring, Jesse Pound, Samantha Subin Organizations: , Ford, Norwegian Cruise Line Holdings, Microsoft, eBay —, eBay, MGM Resorts, MGM Locations: Norwegian, FactSet, China
Eli Lilly — The drug maker tumbled 7.5% after missing analyst expectations for the third quarter and cutting full-year guidance. Eli Lilly earned $1.18 per share, excluding items, on $11.44 billion in revenue. Analysts polled by LSEG had anticipated earnings of $1.47 a share and $12.11 billion in revenue. Caterpillar — Shares fell more than 5% in the premarket after the industrial giant reported weaker-than-expected earnings for the third quarter. The company posted a profit of $5.17 per share, while analysts polled by LSEG had forecast earnings of $5.34 per share.
Persons: Eli Lilly, LSEG, XPO, FactSet, Qorvo, Raymond James, Reddit, , Jesse Pound, Sarah Min, Sean Conlon, Michelle Fox, Samantha Subin, Fred Imbert Organizations: Caterpillar, Revenue, Bloomberg, Emirates, Google, Visa, AMD
Reddit reported earnings of 16 cents per share, while analysts surveyed by LSEG had expected a loss of 7 cents. For the period, Garmin posted pro forma earnings of $1.99 per share on $1.59 billion in revenue. Wingstop – Shares fell around 19% after the restaurant chain missed analysts' expectations for the third quarter. Wingstop earned 88 cents per share, while analysts were looking for 95 cents per share, per LSEG. Advanced Micro Devices – Shares tumbled 9.5% after AMD gave guidance for fourth-quarter revenue of $7.5 billion, in line with analysts expectations, per LSEG.
Persons: Reddit, LSEG, EY, FactSet, Eli Lilly, XPO, Shack, Thomas Reeg, Wingstop, Chipotle, StreetAccount, Raymond James, Goldman Sachs, Alex Harring, Samantha Subin, Lisa Kailai Han, Sarah Min, Jesse Pound, Michelle Fox Organizations: Garmin, Caesars Entertainment, Google, Visa, AMD, Bloomberg, Emirates, Wall, Bank of America
Gold's record-breaking rally may have even more room to run, according to Goldman Sachs. Analyst Lina Thomas forecasts the commodity will rise around 10% by December 2025, hitting the $3,000 threshold in that period. After advancing to a fresh record last week , spot gold reached an all-time high on Wednesday. "We still see significant hedging value in long gold positions in geopolitical or macroeconomic scenarios that are less friendly for equity-bond portfolios than our soft landing base case," she wrote. That said, she anticipates demand moderation could also allow for more upside.
Persons: Goldman Sachs, Lina Thomas, Thomas Organizations: U.S Locations: Russia, Ukraine, London
Check out the companies making headlines in midday trading: VF Corporation — Shares jumped more than 22%. VF Corporation posted adjusted earnings of 60 cents per share on revenue of $2.76 billion. That is above the 37 cents per share in earnings and $2.71 billion in revenue that analysts surveyed by LSEG were expecting. The firm also upped the midpoint of its non-GAAP earnings per share forecast for the full year. F5 posted adjusted earnings of $3.67 per share and revenue of $747 million in the fiscal fourth quarter.
Persons: LSEG, Jim Conroy, Trex, FactSet, Xerox, Horton, Corning, — CNBC's Pia Singh, Michelle Fox, Samantha Subin, Sean Conlon, Alex Harring Organizations: , Cadence, BP — U.S, BP, Pfizer, JetBlue Airways —, JetBlue, LSEG, Xerox, FactSet, PayPal, Caribbean, Ford Locations: Corning
"We believe we are still in the early stages of the AI growth story," UBS equity strategist Sundeep Gantori wrote in a Monday note to clients, noting the launch of ChatGPT in 2022 as an inflection point for AI adoption. "The company should benefit from healthy user engagement, improving monetization of Reels, and longer-term monetization of Instagram and WhatsApp offer longer-term opportunities," UBS wrote. Moving forward, UBS sees a favorable risk/reward profile for the name, citing steady iPhone growth and strong growth in its services, among others, as catalysts. UBS thinks this early adopter of AI applications is still "well placed" to benefit from use cases that are relevant to the industry. "While we agree that rising competition will result in some subscriber churn, we expect Netflix to continue to report strong growth globally."
Persons: Sundeep Gantori, Gantori, AAPL, INTC Organizations: UBS, Nvidia, Reality Labs, Apple, Intel, Apple Intelligence, Netflix
For the fiscal second quarter, the company posted adjusted earnings of 60 cents per share on $2.76 billion in revenue. Cadence Design Systems – The stock jumped more than 5% after the electronic design company's third-quarter earnings beat Wall Street estimates. JetBlue's third quarter results did beat analyst estimates on the top and bottom lines. PayPal – Shares fell 3% after PayPal posted third-quarter revenue that missed expectations. Crocs – Shares tumbled around 12% despite the company's third-quarter earnings beating estimates.
Persons: Ford, Trex, FactSet, Jim Conroy, John Hazen, Conroy, Crypto, Stocks, Horton, PayPal –, StreetAccount, Crocs, Lisa Kailai Han, Samantha Subin, Jesse Pound, Sarah Min, Pia Singh, Tanaya Macheel, Michelle Fox Theobald Organizations: Corporation, Ford Motors, Cadence, Systems, BP –, Pfizer, Revenue, Ross Stores, JetBlue –, JetBlue, LSEG, Mizuho, PayPal, FactSet, Xerox
Spotify — The music platform rose more than 2% after Wells Fargo named Spotify a top stock pick . Analyst Steven Cahall is particularly bullish on the company's rising margins, strong product mix and evolving record label relationships. Boeing — Shares of the planemaker slipped roughly 2% after Boeing launched a stock offering that could raise roughly $19 billion. McDonald's shares dropped more than 7.5% last week, marking its worst weekly performance since 2020. ON Semiconductor — Shares gained more than 3% after the semiconductor product maker posted adjusted earnings per share of 99 cents and revenue of $1.76 billion for the third quarter.
Persons: Wells, Steven Cahall, Kamala Harris, Donald Trump, FactSet, Canaccord Genuity, Nio, CrowdStrike, Sarah Min, Alex Harring, Lisa Kailai Han, Sean Conlon, Michelle Fox Organizations: Spotify, Boeing —, Boeing, Occidental Petroleum, Exxon, BP —, Citi, Exxon Mobil, BP, Taiwan Semiconductor Manufacturing, Huawei, Reuters, The, Delta Air Lines Locations: U.S, China, The U.S, Macquarie
Robinhood — The fintech stock rose less than 3% after it said Monday that users will have the chance to trade a Kamala Harris or Donald Trump contract ahead of next week's presidential election. ON Semiconductor — The semiconductor product maker rose 5% after third-quarter earnings and revenue topped analyst estimates. Nutanix — The cloud infrastructure stock rose 4% following an upgrade to overweight from equal weight at Morgan Stanley. Moderna — Shares jumped after Moderna and Merck said they initiated a phase 3 trial investigating a treatment for non-small cell lung cancer. Moderna shares advanced 3.9%, while Merck was slightly higher.
Persons: Wells, Steven Cahall, Kamala Harris, Donald Trump, Israel, FactSet, Eugene Hsiao, Wolfe, Roy Jakobs, Nutanix, Morgan Stanley, Meta Marshall, Merck, Timothy Wojs, Aaon, — CNBC's Sean Conlon, Michelle Fox, Alex Harring, Sarah Min, Pia Singh Organizations: Spotify, U.S . Occidental Petroleum, Exxon, BP —, Citi, McDonald's, Taiwan Semiconductor Manufacturing, Huawei, Reuters, The U.S, Delta Air Lines, CrowdStrike, Honeywell —, Philips —, , Moderna, Merck, Baird Locations: China, Atlanta
Earnings season is in full swing, and some names reporting this week are positioned for major moves. So far, 37% of those in the broad market index have reported this quarter, resulting in what has been a mixed reporting period. According to LSEG, earnings have come in 6.1% above expectations, while revenue is 1.5% higher, as of Monday. Last week, the stock advanced more than 1% on Wednesday due to JMP Securities upgrading it to market outperform from market perform. The financial services provider has jumped around 52% over the past three months and more than 41% over the past month.
Persons: Andrew Boone, Greenlight Capital's David Einhorn, Einhorn, Kamala Harris, Donald Trump Organizations: Dow Jones, Apple, CNBC Pro, Securities, Robin Hood Investors Conference, U.S, Technologies
A few catalysts have set Tesla up for more outperformance in the coming months, according to Canaccord Genuity. Analyst George Gianarikas, who has a buy rating on the electric vehicle maker, hiked his price target by $20 to $298. "Tesla's stock underperformed since the beginning of 2022 as [profit and loss] trends deteriorated," he continued. "Longer term, Tesla also has a generational set of growth opportunities ahead, including EVs, autonomy/AI, energy storage, and robotics," he said. TSLA YTD mountain TSLA, year-to-date Shares were marginally higher in the premarket following the move.
Persons: Canaccord, George Gianarikas, Gianarikas, Tesla, Elon Musk Locations: 1Q24
Wells Fargo sees outperformance from Spotify ahead. These are all the components of a premium growth stock." "We think SPOT is viewed as a positive actor due to its investments in [user interface] and cont'd sub growth," the analyst said. "More likely, we think SPOT and its Label partners could look to find new avenues of monetization, which might incl. SPOT YTD mountain SPOT, year-to-date The stock moved nearly 1% after Cahall's call.
Persons: Wells, Steven Cahall Organizations: Spotify
And for the first time since 2020, more farmers expect farmland values to go down rather than up. James Mintert, director of Purdue University's Center for Commercial Agriculture, expects land values to likely flatten in the short term. Higher estate tax exemptions approved under the Trump administration's Tax Cuts and Jobs Act of 2017 are set to expire next year. She added: "Let's be clear that the Trump administration resulted in a trade deficit, one of the highest we've ever seen in the history of America." "It also benefits from some of the tax policies that have been supported by the Trump administration [in] the past, including things like accelerated depreciation [and] lower corporate tax rates."
Persons: Farmer, , James Mintert, Mintert, Donald Trump, Kamala Harris, Michael Langemeier, They're, Langemeier, that's, Kristen Owen, Oppenheimer, That's, Owen, Harris, Trump, Stocks, Owen doesn't, reshoring, Cerity, Jim Lebenthal Organizations: Purdue University, CME, Purdue University's Center, Commercial Agriculture, CNBC, NBC, Purdue, Trump, Biden, Republican, Deere, Caterpillar, Farmers, Management, Democratic, Republicans Locations: U.S, Mexico, China, Green
The sharp moves come after a judge ruled in favor of the Federal Trade Commission's case to block Tapestry's acquisition of Capri . L3Harris Technologies — Shares rose 3.5% after the defense company reported a top- and bottom-line beat in the third quarter. Western Digital posted adjusted earnings of $1.78 per share, versus consensus forecasts for $1.72 per share, according to LSEG. Adjusted earnings before interest, taxes, depreciation, and amortization of $3.27 billion was just slightly short of consensus calls for $3.28 billion. In the fiscal second quarter, Booz Allen Hamilton reported adjusted earnings of $1.81 per share on $3.15 billion in revenue.
Persons: L3Harris, FactSet, ResMed, Booz Allen Hamilton, , Alex Harring, Lisa Kailai Han, Sean Conlon Organizations: Tapestry, Federal Trade, Capri, FactSet, Colgate, Palmolive, Western Digital, Digital Realty Trust, Management, HCA, HCA Healthcare, Booz
UBS says buy this homebuilder with more than 25% upside
  + stars: | 2024-10-25 | by ( Sean Conlon | ) www.cnbc.com   time to read: +1 min
Analyst John Lovallo initiated coverage on the stock with a buy rating, with his price target of $232 implying more than 27% upside from Thursday's close. Lovallo joins 11 other analysts covering the stock on Wall Street who have a strong buy or buy rating, per LSEG. Within that same time, he also sees adjusted earnings growing roughly 16% annually and mid-to-high single-digit organic revenue growth. "We believe BLDR is uniquely positioned to grow with its homebuilder customers and drive above market organic growth through its size/scale advantage and idiosyncratic growth initiatives, including the digital platform rollout," Lovallo also said. BLDR YTD mountain BLDR, year-to-date The stock rose around 1% in premarket trading Friday after his move.
Persons: John Lovallo, Lovallo Organizations: UBS, Wall Locations: FirstSource, U.S
Recent consumer survey data on iPhone sales points to a lack of growth for Apple , according to KeyBanc Capital Markets. AAPL YTD mountain AAPL, year-to-date Nispel thinks the iPhone SE is "not purely additive" to overall iPhone sales, citing data from the firm's consumer iPhone survey for September. Additionally, among those who are likely or extremely likely to upgrade to the iPhone 16, 61% are interested in the iPhone SE. "We think this shows the iPhone SE is not incremental, and could possibly be cannibalistic to iPhone 16 sales," the analyst wrote in a Thursday note. "From our view, if iPhone SE is successful, iPhone Units could rise but [average sales prices] could fall, contrary to consensus."
Persons: Brandon Nispel, Nispel Organizations: Apple, KeyBanc, Markets Locations: U.S
Molina Healthcare posted adjusted earnings of $6.01 per share, better than the LSEG consensus estimate of $5.81 in earnings per share. Therefore, the company's third-quarter revenue and guidance were not comparable with Wall Street's estimates. ServiceNow posted third-quarter adjusted earnings of $3.72 per share, topping Wall Street's estimate of $3.46 per share, according to LSEG. International Business Machines — Shares tumbled about 7% after the tech giant posted third-quarter revenue that disappointed analysts' expectations. Sales for IBM came out to $14.97 billion in the last quarter, versus the $15.07 billion analysts had expected, per FactSet.
Persons: Tesla, Elon, Newmont, FactSet, Molina, CBRE, Raymond James Financial, Teradyne, Northrop Grumman, ServiceNow, Boeing machinists, — CNBC's Sean Conlon, Michelle Fox, Alex Harring, Hakyung Kim, Sarah Min Organizations: , Molina Healthcare, Whirlpool, LSEG . West Pharmaceutical, West Pharmaceutical Services, injectables, Carrier, Northrop, Mattel, LSEG, Boeing, IBM Locations: , FactSet
Looking ahead to November, Oppenheimer has updated its top stock ideas list, which features additions such as CarMax , Mastercard and Atlassian . He has an outperform rating on the stock, and his price target implies nearly 26% upside from Wednesday's close. Analyst Ittai Kidron has an outperform rating on the stock, and his $230 target reflects nearly 22% upside, as of Wednesday's close. That implies more than 15% upside from Wednesday's close. Evercore ISI also added Broadcom to its top chip stock picks ahead of its earnings report later in the year.
Persons: Oppenheimer, Michael Wiederhorn, Cigna, Ittai Kidron, Kidron, Atlassian, Morgan Stanley, Rick Schafer, Schafer, Hock Tan Organizations: Dow Jones, Nasdaq, Mastercard, Dick's Sporting Goods, Bloomberg, Humana, Bloomberg News, Broadcom, ISI
For the period, UPS earned $1.76 per share on $22.25 billion in revenue, above the LSEG consensus estimates of $1.63 per share and $22.14 billion. The company posted earnings of 86 cents per share on revenue of $4.16 billion, above the consensus estimate of 80 cents per share and revenue of $4.05 billion, per LSEG. Newmont – The stock fell more than 4% after the company posted weaker-than-expected earnings for the third quarter. Newmont posted earnings of 81 cents per share, excluding items, on revenue of $4.61 billion. Whirlpool posted earnings of $3.43 per share, more than the $3.20 per share expected by analysts polled by FactSet.
Persons: Elon Musk, Transocean, Newmont, FactSet, Boeing machinists, Molina, Robert Isom, , Alex Harring, Sarah Min, Michelle Fox Theobald Organizations: United Parcel Service, UPS, Lam Research, Bloomberg, Bloomberg News, Mobile, Boeing –, Boeing, Mattel, Wall Street, Honeywell, Northrop Grumman –, LSEG, Southwest Airlines, Revenue, Molina Healthcare, IBM, Whirlpool, FactSet . American Airlines, American Airlines
Several companies scheduled to release quarterly results next week could see their shares take a dive after Wall Street analysts lowered their latest earnings estimates. As of Tuesday, 19% of S & P 500 companies had reported, with earnings and revenue coming in at 6.1% and 1.4% above analysts' expectations, respectively, according to LSEG. But a host of stocks could take a hit next week, after analysts slashed their earnings expectations in recent months. Estimates have dropped nearly 37% over the past three months and more than 84% in the past six. HUM 3M mountain Humana shares over the past three months.
Persons: Humana Organizations: Wall, CNBC Pro, Intel, CNBC, Cybersecurity Association of China, Humana, Bloomberg News, CF Industries, CF Locations: China, Northbrook , Illinois
SAP — U.S.-listed shares of the enterprise software provider gained more than 3% after the company posted a third-quarter earnings and revenue beat. GE Aerospace reported adjusted revenue of $8.94 billion, while analysts had estimated $9.02 billion, according to LSEG. 3M — Shares of the industrial company rallied 5% after 3M posted third-quarter earnings of $1.98 per share on revenue of $6.07 billion. Despite this, the company posted a third-quarter adjusted earnings and revenue beat. Sherwin-Williams reported adjusted earnings of $3.37 per share, lower than a StreetAccount estimate of $3.55 per share.
Persons: LSEG, AppLovin, Rob Sanderson, Nucor, Danaher, Sherwin, Williams, — CNBC's Sean Conlon, Michelle Fox, Alex Harring, Fred Imbert, Hakyung Kim, Sarah Min, Jesse Pound Organizations: JCP Investment Management, General Motors, GM, SAP — U.S, SAP, GE Aerospace, Citi, U.S, Loop Locations: Utah
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