Notes
Akero Therapeutics $AKRO is being bought by Novo $NVO
It is up 16% today.
Did someone know? Hard to say.
But $AKRO gets very little options activity. Over the last seven days however, it got unusual levels of positive net premium call buying, way above its averages.
What's more, the top chains were the $50 calls expiring in 99 days were being accumulated over the last month.
You can track flows like this in real time using Unusual Whales.
MARKET UPDATES
CONSUMER
🔸 $BSET: Q1 EPS $0.21 (est. $0.03), rev $82.2M (est. $79.62M).
🔸 $LCID: Q1 production 2,212 vehicles, 600+ in transit; delivered 3,109; files to sell $1B in notes; guides Q1 revs $232M-$236M (est. $256.3M).
🔸 $LYFT: Downgraded to Underperform at BofA, tgt cut to $10.50.
🔸 $NKE, $ADDYY: Shares drop on new 46% Vietnam tariff (impacting AEO, W).
🔸 $RH: Q4 revs $812.4M (est. $829.6M), EPS $1.58 (est. $1.91); guides FY25 rev growth 10%-13%; warns of tariff risks.
🔸 $ROST, $TJX: Upgraded to Buy at Citi; tariffs boost off-price retail inventory.
ENERGY, INDUSTRIALS & MATERIALS
🔸 $BALL, $CCK: Potential impact from new 25% tariff on canned beer, aluminum.
🔸 $EMN: Upgraded to Outperform at Mizuho, tgt $105 (+18% upside).
🔸 $LSTR: Q1 EPS cut to $0.90-$0.95 (prior $1.05-$1.25) due to supply chain fraud.
🔸 $MSM: Q2 EPS $0.72 in line, revs $891.72M (est. $908.3M).
🔸 $PCAR: CFO Harrie Schippers to retire; Brice Poplawski promoted.
FINANCIALS
🔸 $RGP: Q3 adj. EBITDA $1.7M (est. -$0.5M), revs $129.4M (est. $130M).
HEALTHCARE
🔸 $RXST: Cuts FY25 rev view to $160M-$175M (prior $185M-$197M).
🔸 $SRNA: Files for $100M mixed shelf.
🔸 Drugmakers ($AZN, $SNY, $NVO): Spared from Trump tariffs, benefiting exporters.
🔸 Medical Devices ($DXCM, $GHHC, $BSX, $ABT): Under pressure due to new tariffs (34% China, 20% EU).
TECH, MEDIA & TELECOM
🔸 $MSFT: Pausing data center projects, impacting VRT, CRWV, ETN, SMCI, DELL, VST, SMR, OKLO, NRG, CEG.
🔸 $GCT: Increases buyback by $16M.
🔸 $PDD: Investing $13B over three years to support merchants.
🔸 $PENG: Q2 EPS $0.52 (est. $0.38), sales $366M (+29% y/y, est. $345.1M).
MORNING BID
🔸 QXO ( $QXO) is in talks to buy Beacon Roofing Supply (BECN) for $11B ($124.35/share in cash).
🔸 Uber ( $UBER) & Lyft ( $LYFT) dominate North American ride-hailing, but Bolt aims to challenge them, per The Information.
🔸 Xpeng ( $XPEV) plans to mass-produce its modular flying car by 2026, said Chairman He Xiaopeng.
🔸 Yum China ( $YUM) appointed Adrian Ding as CFO, removing his interim title after a search following Andy Yeung’s resignation.
🔸 Franco-Nevada ( $FNV) Q4 adj. EPS $0.95 (est. $0.89), revenue $321M (+6% y/y, est. $304.44M); expects 2025 revenue to rise 25%+ with gold at $2,800/oz.
Upgrades:
🔸 Grainger ( $GWW), Fastenal (FAST) → Outperform (from Market Perform) at William Blair.
🔸 Knight-Swift ( $KNX) → Neutral (from Sell) at Citigroup.
Downgrade:
🔸 Sherwin-Williams ( $SHW) → Hold (from Buy) at Jefferies.
🔸 Beam Therapeutics ( $BEAM) prices 16.2M shares at $28.48 each.
🔸 DexCom ( $DXCM) gets FDA warning after inspections but sees no material impact on FY25 revenue.
🔸 Nordisk ( $NVO) reports REDEFINE 2 trial met its primary endpoint, showing significant weight loss with CagriSema in 1,206 patients over 68 weeks.
🔸 Trevi ( $TRVI) Phase 2a RIVER trial: Haduvio reduced 24-hour cough frequency by 67% (57% placebo-adjusted, p<0.0001).
🔸 Cognizant ( $CTSH) shares rose as Mantle Ridge built a $1B+ stake, seeing them as undervalued (WSJ).
Upgrades:
🔸 DocuSign ( $DOCU) → Neutral (from Underweight) at JPMorgan.
Deals:
🔸 NVent ( $NVT) to buy Avail’s electrical products for $975M, expects EPS boost in year one.
🔸 Perion ( $PERI) expands buyback program to $125M.
🔸 Taiwan Semi ( $TSM) Feb revenue NT$260.01B (+43% y/y, -11% m/m); Jan-Feb total NT$553.30B (+39% y/y).
MORNING RECAP
Dollar Tree ( $DLTR) Q3:
╌Adjusted EPS: $1.12 (beat by $0.04)
╌Revenue: $7.56B (beat by $120M)
╌Same-store sales growth: Dollar Tree +1.8%, Family Dollar +1.9%, Enterprise +1.8%
╌Q4 Guidance: EPS $2.10-$2.30, Revenue $8.1B-$8.3B
╌Continues strategic review of Family Dollar segment
Foot Locker ( $FL) Q3:
╌Adjusted EPS: $0.33 (missed by $0.08)
╌Sales: $1.96B (missed by $60M)
╌Comp sales: +2.4% (below estimate)
╌FY25 adjusted EPS forecast lowered to $1.20-$1.30 from $1.50-$1.70
╌FY25 comp sales growth narrowed to 1%-1.5%
╌Gross margin now expected at 28.7%-28.8%
General Motors ( $GM):
╌To record over $5B in non-cash charges for China JV:
╌Restructuring: $2.6B-$2.9B
╌Reduced value: $2.7B
Torrid Holdings ( $CURV) Q3:
╌EPS: ($0.01) (missed by $0.04)
╌Adj EBITDA: $19.584M (missed by $7.2M)
╌Revenue: $263.766M (missed by $22M)
╌Q4 Guidance: Sales $255M-$270M, Adj EBITDA $9M-$15M
╌FY25 Guidance: Sales $1.083B-$1.098B, Adj EBITDA $101M-$107M
Volkswagen ( $VWAGY):
╌Recalls 4,616 vehicles in the US due to potential battery overheating/fire risk.
Crescent Energy ( $CRGY):
╌Acquires Eagle Ford assets from Ridgemar Energy for $905M upfront, with additional oil price-based payments.
Intuitive Machines ( $LUNR):
╌Offers 9.523 million shares at $10.50 each.
Old Dominion ( $ODFL) November Performance:
╌LTL tons/day: -8%
╌LTL shipments/day: -6.8%
╌LTL weight/shipment: -1.2%
XPO, Inc. ( $XPO) November Metrics:
╌LTL tonnage/day down 4.0% from last year.
╌Shipments/day down 4.2%.
╌Weight/shipment up by 0.2%.
Goldman Sachs ( $GS):
╌CEO David Solomon sold 6,550 shares at $610.91/share.
Iris Energy ( $IREN):
╌Issues $300M in convertible senior notes due 2030.
Raymond James Financial Inc ( $RJF):
╌Authorizes $1.5B share repurchase.
╌Increases dividend to $0.50.
Royal Bank of Canada ( $RY) Q4:
╌Adjusted EPS: C$3.07 (up from C$2.65)
╌Revenue: C$15.07B (up from C$12.69B)
╌Dividend raised by 4.2%.
Eli Lilly ( $LLY) vs. Novo Nordisk ( $NVO):
╌Zepbound outperforms Wegovy with 20% vs. 14% body weight loss.
Novavax ( $NVAX):
╌Sells Czech manufacturing facility to Novo Nordisk for $200M, aiming for $80M annual cost reduction.
Revolution Medicines ( $RVMD):
╌Secondary offering of 14.13M shares at $46.00 each.
Salesforce Inc. ( $CRM) Q3:
╌Adjusted EPS: $2.41 (vs. est. $2.44)
╌Revenue: $9.44B (vs. est. $9.348B)
╌Q4 Revenue Guidance: $9.9B-$10.1B (vs. est. $10.05B)
╌FY Revenue Guidance: Raised to $37.8B-$38.0B
╌Q4 Adj EPS Guidance: $2.57-$2.62 (vs. est. $2.65)
╌FY Adj EPS Guidance: $9.98-$10.03 (vs. est. $10.11)
Box Inc. ( $BOX) Q3:
╌EPS: $0.45 (vs. est. $0.42)
╌Revenue: $275.9M (up 5% y/y, vs. est. $275.1M)
╌RPO: $1.282B, up 13% q/q
╌FY25 EPS Guidance Raised to $1.70
╌FY25 Revenue Guidance Narrows to $1.09B
Couchbase Inc. ( $BASE) Q3:
╌EPS: ($0.35) (vs. est. ($0.08))
╌Revenue: $51.628M (vs. est. $50.78M)
╌Q4 Revenue Guidance: $52.7M-$53.5M (vs. est. $54.05M)
╌Q4 ARR: $236.5M-$239.5M
Marvell Technologies ( $MRVL) Q3:
╌Adjusted EPS: $0.43 (vs. est. $0.41)
╌Revenue: $1.52B (up 6.9% y/y, vs. est. $1.45B)
╌Q4 Adjusted EPS Guidance: $0.59±$0.05
╌Q4 Revenue Guidance: $1.8B±5% (vs. est. $1.65B)
Okta Inc. ( $OKTA):
╌Q3 Adjusted EPS: $0.67 (vs. est. $0.58)
╌Revenue: $665M (vs. est. $649.7M)
╌Q4 Revenue Guidance: $667M-$669M
╌Q4 Adjusted EPS Guidance: $0.73-$0.74
╌FY Revenue Guidance: $2.595B-$2.597B
╌FY Adjusted EPS Guidance: $2.75-$2.76
Pure Storage ( $PSTG):
╌Q3 Adjusted EPS: $0.50 (vs. est. $0.42)
╌Revenue: $831.1M (vs. est. $814.88M)
╌Q4 Revenue Guidance: $867M
╌Q4 Adjusted Operating Income: $135M
NXP Semiconductors ( $NXPI) & Taiwan Semiconductor ( $TSM):
╌Discussing $8B Singapore venture expansion amid U.S.-China tech tensions.