MorningCast is a daily stock and options news summary. It’s a quick, one page synopsis of exactly what is happening in the stock market today. It includes earnings, stocks on the move, options trading recaps, economic news and more all with a focus on options.
U.S. stock-market futures were little changed Wednesday, ahead of data expected to show a small fall in housing starts and a sharp rise in wholesale prices. Later in the day, the minutes of the latest Federal Reserve meeting will draw eyeballs.
Futures:
DOW: +6 (+.04%)
S&P: +.20 (+.01%)
NASDAQ: +.75 (+.03%)
Stocks to Watch
Michael Kors (KORS): Down $1.50 (-2.3%) after hours after announcing a secondary public offering. This offering creates 25 million ordinary shares. Shares trading down due the dilution of current shares.
Novogen Limited (NVGN): Up $4.38 (210%) during trading yesterday, shares added another $0.53 (8.5%) after hours. Shares got a boost on Tuesday after a study showed that its new anti-ovarian cancer drug was highly effective against ovarian cancer stem cells. The study has conclusively proved that the drug, CS-6, is not only effective against cancer cells but can also fight cancer stem cells.
MGM (MGM): Reports before market open 2/20. Analysts are projecting a loss of $0.23 per share. Saw some large call sales today with 2,000 of the March $13 calls sold at $0.42 and 1,000 of the April $16 calls sold at $0.61.
Herbalife (HLF): Currently trading down $0.39 (-1%). Released record earnings after market close on 2/19. Fourth quarter EPS of $1.05 increased 22% compared to the previous year. The company also announced a dividend of $0.30 per share with an ex-div date of 3/5/2013.
Sina (SINA): Currently trading up $4.02 (7.5%) to $56.90. Posted better than expected results after the market close on 2/19. Increased both revenue and profit amid concerns of slowing Chinese growth. This name saw some strange call buying early in the session with 2,000 March 53 calls bought at $5.55 and 400 Feb weekly 58 calls bought at $1.21. This was noted here in our live trading stream.
SodaStream International (SODA): Dipped $2.00 -(3.70%) to $50.50 in the pre-market session. SodaStream reported a 41.6% rise in its Q4 net income.
Monster (MNST): Rumors ran rampant last week about MNST and a possible Coke buyout. Most rumors on this name good and bad never amount to much. Volatility has come back to a normal range and they have earnings 2/21 AMC.
Apple (AAPL): -$3.70(-.80%) A few small tidbits of news came out after the close in this name. Foxconn has frozen hiring at almost all its factories in China, as the company is reportedly slowing production in response to reduced orders for Apple’s iPhone 5. In the Greenlight Capital attempt to force AAPL to do something with their cash, a judge showed a slight bias to ruling in favor of Greenlight Capital. After hearings, the judge stated Greenlight has shown a “likelihood of success”. Hedge fund manager David Einhorn increased his holdings in AAPL by 20% to $600 million. A small number of company computers were hacked into, similar to Facebook (FB) last week. A trader also bought 4,500 of the Feb weekly 470 calls from $1.40 to $1.60.
Sony (SNE): Announces Playstation 4 today in New York today.
Office Max (OMX) and Office Depot (ODP): Office Depot to buy Office Max. Office Depot to to issue $2.69 shares of stock for each Office Max share. Antitrust experts said there were no guarantees that a deal to merge would be approved by the government. Among antitrust experts polled one said the deal was likely to be approved, two forecast a potential challenge by regulators and four said it was too close to call for now. The companies, which combined would still trail industry leader Staples, are under pressure to boost profits and shareholder value. A merger would help them cut costs, consolidate stores and boost their clout with suppliers.
Netflix (NFLX): Up $2.00 (1%) pre-market. Saw a strong rally coupled with strong call buying yesterday to close at recent highs $196.45. Next test is $200. Look for volatility to explode in this name if it can pass the $200 level.
Joy Global (JOY): Up $2.66 (4.19%) pre-market. On Tuesday, the stock edged higher after the company declared a quarterly cash dividend of $0.175 per share. Rumors are always running rampant in this name about a possible buyout. Takeover target for rumors include the names Komatsu (KMTUY) or Volvo AB (VOLVY). More rumors can be found in our new stock rumors database.
Pre-Open Winners: HLF, SINA, ODP, OMX, NTSP
Pre-Open Losers: AAPL, SODA
Options News and Stats:
Call Volume Leaders (Yesterday): TSO, CBS, SPLS, UPS, HNZ, ODP, DVN, JOY,
Put Volume Leaders (Yesterday): STZ, GILD, HUM, WAG, MON, NTAP, MNST, ARUN
Positive Delta Leaders (Yesterday): BAC, C, AIG, SPLS, VOD, GE, AA, AMD, LVS, VLO, NOK, UNH, GG, TSLA, CTAS, GPS, MRK, CBS, AXP, HLF, HNZ, GOOG
Negative Delta Leaders (Yesterday): EMC, AKAM, MNST, BID, PETM, YUM, RRC, EL, WMS, JNY, WMT, VZ, LRCX, UAL, TGT, ARUN, DFS, CREE, SCHW, EXPD, XOM, KSS, EWW
Large Option Trade Recap:
Large Option Trade (Yesterday): Buyer BX 106,000 Jan 2015 30 Calls at $0.43.
Large Option Trade (Yesterday): Buyer CBS 40,000 June 50 Calls at $0.85.
Large Option Trade (Yesterday): Seller BBRY 7,500 Mar01 17 Calls $0.14.
Large Option Trade (Yesterday): Buyer Rig 5,000 Aug 75 Calls at $0.32
Large Option Trade (Yesterday): Buyer 2,000 SINA March 53 Call at $5.55
Large Option Trade (Yesterday): Buyer 4,500 AAPL Feb22 Weekly 470 Call at $1.40
For more visit our large option trade database.
Economic News (all times ET)
8:30am: Housing Starts
8:30am: Producer Price Index
2:00pm: FOMC Minutes
Earnings Today
Before Market Open (Today): AER, AVA, CLH, XRAY, DVN, DISH, DXYN, DW, DTE, EMCI, GRMN, LEAP, MDCO, MGM, NU, PVR, SODA, TOL
After Market Close (Today): AWAY, CAKE, CLW, CNK, CROX, CW, CXO, DENN, DRCO, ETE, ETP, FLR, FR, FST, GDP, GNK, HLX, HT, HT, HURN, IDCC, JACK, KAR, KBR, LHO, LOCK, MANT, MDAS, MIC, MKTG, NEWP, NP, OEH, PPO, SAM, SHS, SM, SNPS, STAG, STR, SXL, SYNZ, SZYM, TRN, TROX, TSLA, UNTD, USMO, WAGE, WCN, WIRE, WLT, WMB, WPZ, XCO
Before Market Open (Next Day): FAF, RS, BRC, CBR, CDE, CG, CHK, DAN, DNR, GEO, HEP, HRL, HSNI, HST, IART, ICGE, IDA, IRC, LINE, LTM, LXP, MDSO, OMX, PEG, PWR, PXP, ROIC, SAFM, SCG, SFY, SMA, SPNC, SUI, SWY, TASR, TFX, THS, VCI, WMT, WST, ZEUS, ZLC, CWEI, CMS
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Disclaimer - We post about option data or to point out interesting or large trades. Our posts are non-biased. This is not advice to buy, sell or trade the above security.