The American stock markets plummeted again yesterday. The S&P 500 fell 1.31% and the Nasdaq even lost 2.70% and closed at 12,997 points. On balance, it is not too bad, because the Nasdaq is still stabilizing just above the support zone at 12,985 points. However, it is increasingly likely that this support will break. A small head & shoulder pattern appears to have formed on the graph. If the neckline / support line is broken, we get a technical price target of approximately 12,000 points. So there seems to be even more decline in the pipeline.
Just like the past few weeks, tech was again the most bitten dog. The turmoil in the bond markets continues to affect the equity market. The fee on 10-year US Treasury notes increased 6 basis points to 1.46%. Because technology stocks are relatively expensive, they are particularly affected. A higher interest rate usually results in lower profit expectations. Individual losses rose sharply. Amazon lost more than 3%, Netflix fell by more than 5% and Baidu even saw 9.23% of stock market value evaporate. Remarkably, there was still room for speculation; GameStop was raised 5% and Uber was also up 2.67%.
Investors were also not satisfied with the job report that pay slip processor ADP published. The figures showed that only 117,000 new jobs were created in the month of February. Analysts had anticipated an increase of 175,000 jobs. This may indicate that the recovery of the US labor market is slower than expected. On Friday, the US government will release the official figures.
Today Top Movers
Allied Esports Entertainment Inc. (AESE) stock soared 44.0% to $3.6 in the pre-market trading.
Lipocine Inc. (NASDAQ: LPCN) shares are trading up 25.87% at $1.8 at the time of writing. The company will present clinical data for lead candidate TLANDO™ at the ENDO 2021 Conference.
Super League Gaming Inc. (SLGG) grew over 26.49% at $6.59 in pre-market trading today.
Severn Bancorp Inc. (SVBI), a savings and loan holding company, rose about 21.84% at $10.21 in pre-market trading Thursday.
Top Upgrades & Downgrades
Jefferies turned bullish on Cummins Inc. (CMI), upgrading the stock to “Buy” and assigning a $325.0 price target, representing a potential upside of 24.07% from Wednesday’s close.
SITE Centers Corp. (SITC) has won the favor of KeyBanc’s equity research team. The firm upgraded the shares from Sector Weight to Overweight and moved their price target to $15.0, suggesting 16.32% additional upside for the stock.
Kite Realty Group Trust (KRG) received an upgrade from analysts at KeyBanc, who also set their one-year price target on the stock to $22.0. They changed their rating on KRG to Overweight from Sector Weight in a recently issued research note.
Earlier Thursday HC Wainwright & Co. reduced its rating on KemPharm Inc. (KMPH) stock to Neutral from Buy and assigned the price target to $12.0.
Barclays analysts reduced their investment ratings, saying in research reports covered by the media that it’s rating for Banco Bilbao Vizcaya Argentaria S.A. (BBVA) has been changed to Equal-Weight from Overweight.
Analysts at KeyBanc downgraded Retail Properties of America Inc. (RPAI)’s stock to Sector Weight from Overweight Thursday.
Latest Insider Activity
Palantir Technologies Inc. (PLTR) Director Moore Alexander D. announced the sale of shares taking place on Mar 01 at $24.97 for some 12,000 shares. The total came to more than $0.3 million.
Tesla Inc. (TSLA) SVP Powertrain and Energy Eng. Baglino Andrew D sold on Mar 01 a total of 18,726 shares at $690.11 on average. The insider’s sale generated proceeds of almost $1.04 million.
Lowe’s Companies Inc. (LOW) Director BATCHELDER DAVID H declared the purchase of shares taking place on Feb 26 at $159.48 for some 6,250 shares. The transaction amount was around $1.0 million.
Hanesbrands Inc. (HBI) Group Pres., Global Innerwear Cavaliere Joseph W bought on Mar 01 a total of 64,209 shares at $17.98 on average. The purchase cost the insider an estimated $299,367.
Top US earnings releases scheduled for today include SmileDirectClub Inc. (NASDAQ: SDC). It will announce its Dec 2020 financial results. The company is expected to report earnings of -$0.1 per share from revenues of $181.1M in the three-month period.
Analysts expect Opendoor Technologies Inc. (NASDAQ: OPEN) to report a net income (adjusted) of -$0.1 per share when the company releases its quarterly results shortly. Revenue for the fiscal quarter ended Dec 2020 is predicted to come in at $243.94M.
The Gap, Inc. (GPS), due to announce earnings after the market closes today, is expected to report earnings of $0.18 per share from revenues of $4.66B recently concluded three-month period.