These are turbulent times in America. Trump supporters swept into the Capitol, the seat of Washington’s representatives. Things got so bad in the capital of the United States that Donald Trump’s social media accounts were suspended by Twitter and Facebook. In an initial reaction, the American indices fell. But these seem to have recovered significantly this morning. The reason for the event is a possible blue wave as the Democrats seem to be bringing in the Senate. In this way Biden will be able to fulfill much more of his political agenda. Deutsche Bank has already announced that they expect additional stimulus from this victory. The German bank expects that the additional support package for the coming year could be between $ 750 billion and $ 1 trillion. Good for US equities, bad for the value of the US dollar.
Market Update
Yesterday the S&P 500 rose 0.57% to close at 3,748 points. The Nasdaq 100 fell 1.40% to close at 12,623 points. Not a very good day for technology stocks. America’s oldest index, the Dow Jones, closed 1.44% in green at 30,829 points.
Corporate News
NVIDIA all set for takeover
NVIDIA, the manufacturer of computer components, has made an offer of $ 40 billion for the technology company Arm. The latter is the UK’s most valuable technology company. NVIDIA has announced that they would like to keep the headquarters in the United Kingdom and fully focus on AI (artificial intelligence) via Arm. The British government has already announced that they want guarantees about permanent employment. Furthermore, the CMA (Competition and Markets Authority) also has a leading role to play after Brexit. Previously, the wings of this UK institution had been cut short by European regulators. The CMA will consider whether this acquisition would create unfair competition and will reach a decision within 18 months at the earliest. The NVIDIA stock is listed on Nasdaq, falling 5.90% yesterday during regular trading time.
Today Top Movers
Plug Power Inc (PLUG) climbed about 19.91% at $42.00 in pre-market trading Thursday after declaring partnership with SK Group to receive $1.5 billion investment.
Sos Ltd (SOS), a Medical Care Facilities company, share price soared 97.09% to $3.39 during early morning trading session on Thursday following an announcement from the company that SOS has entered into employment agreement with Dr. Eric H. Yan, an expert in cryptocurrency mining, security and insurance technologies.
Guardion Health Sciences Inc (GHSI) stock ascended 17.94% at $0.77 in the pre-market trading today.
Future Fintech Group Inc (FTFT) gained over 55.95% at $.62 in pre-market trading on Thursday. The firm recently revealed that it has signed a term sheet with Blocknance Financial International SRL.
Top Upgrades & Downgrades
RBC Capital turned bullish on Tesla Inc. (TSLA), upgrading the stock to “Sector Perform” and assigning a $700.0 price target.
Wells Fargo & Company (WFC) has won the favor of Jefferies’s equity research team. The firm upgraded the shares from Hold to Buy and moved its price target to $38.0.
JPMorgan Chase & Co. (JPM) received an upgrade from analysts at Jefferies, who also set their one-year price target on the stock to $152.0. They changed their rating on JPM to Buy from Hold in a recently issued research note.
Earlier Thursday Jefferies reduced its rating on Air Products and Chemicals Inc. (APD) stock to Hold from Buy and assigned the price target to $324.
Jefferies analysts reduced their investment ratings, saying in research reports covered by the media that it’s rating for Aerojet Rocketdyne Holdings Inc. (AJRD) has been changed to Hold from Buy and the new price target is set at $56.0.
Analysts at Jefferies downgraded Kratos Defense & Security Solutions Inc. (KTOS)’s stock to Hold from Buy Thursday.
Latest Insider Activity
Yelp Inc. (YELP) Chief Executive Officer Stoppelman Jeremy announced the sale of shares taking place on Jan 04 at $29.98 for some 346,830 shares. The total came to more than $10.4 million.
The Charles Schwab Corporation (SCHW) Senior EVP Craig Jonathan M. sold on Jan 06 a total of 7,316 shares at $55.94 on average. The insider’s sale generated proceeds of almost $0.41 million.
Ring Energy Inc. (REI) 10% Owner Kruse William R declared the purchase of shares taking place on Dec 31 at $0.67 for some 619,898 shares. The transaction amount was around $0.41 million.
First Financial Bancorp. (FFBC) Director Rahe Maribeth S bought on Dec 31 a total 41,769 shares at $17.53 on average. The purchase cost the insider an estimated $12,499.
Important Earnings
Top US earnings releases scheduled for Monday include SYNNEX Corporation (NYSE: SNX). It will announce its Nov 2020 financial results. The company is expected to report earnings of $3.83 per share from revenues of $6.6B in the three-month period.
Analysts expect Limoneira Company (NASDAQ: LMNR) to report a net income (adjusted) of -$0.21 per share when the bank releases its quarterly results shortly. Revenue for the fiscal quarter ended Oct 2020 is predicted to come in at $29.19M.
Concentrix Corporation (CNXC), due to announce earnings after the market closes Monday, is expected to report earnings of $1.98 per share from revenues of $1.24B recently concluded three-month period.
