OPEC ready to Cooperate | Morning News

FEBRUARY 12, 2016
US futures point to a higher opening following green arrows in Europe as the bulked of earnings reports wind down and traders await retail sales data and consumer sentiment numbers. Overnight, oil rebounded off nearly 13 year lows after the UAE energy minister remarked that member of OPEC were ready to cooperate on possible production cuts.(careful, we've heard this before) Meanwhile, investors await the Baker-Hughes rig count at 1PM EST today.

NEWS:

• JPM: Jamie Dimon reports purchase of 500K shares of JPM
• FLR: awarded 5 year clean-up US Dept of Energy contract
• T: AT&T to start 5G wireless testing in the first half of 2016
• BW: announces $18M contract for power plant reheater replacement
• F: reports 10% sales growth in Europe, aided by strong SUV sales
• FB: Court rules that Facebook can be sued in France in nude painting case, reports independent
• SQ: Visa reports a 9.99% stake in Square

THE ECONOMIC CALENDAR:

• 8:30AM: Retail Sales
• 8:30AM: Import/Export Prices
• 10AM: Business Inventories
• 10AM: Reuters/UofM Consumer Sentiment
• 1PM: Baker-Hughes Rig Count

SOME NOTABLE EARNINGS REPORTED YESTERDAY AFTER THE CLOSE:

• P: Q4 EPS of $0.04 misses by $0.03: revenue of $336.16M beats by $4.33M: revenue +25.4% y/y: guides Q1 revenue $280M-$290M vs consensus $284M
• AIG: Q4 EPS of -$1.10 misses by $0.19: announces additional $5B share repurchase authorization: raises quarterly dividend 14.3% to $0.32
• ATVI: Q4 EPS of $0.83 misses by $0.03: revenue of $2.12B misses by $80M: revenue -4.1% y/y: guides Q1 adjusted EPS $0.11 vs consensus $0.18: guides FY16 adjusted EPS $1.75 vs consensus $1.57
• CYBR: Q4 EPS of $0.39 beats by $0.19: revenue of $51.5M beats by $7.62M: revenue +41.9% y/y: guides FY16 adjusted EPS $0.83-$0.86 vs consensus $0.91
• FEYE:Q4 EPS of -$036 beats by $0.01: revenue of $184M misses by $0.5M: revenue +29.2% y/y: guides FY16 revenue $815M-$845M vs consensus $815.63M: guides Q1 EPS above estimates
• KN: Q4 EPS of $0.34 beats by $0.13: revenue of $310.5M beats by $5.8M: revenue +8.5% y/y
• NBIX: Q4 EPS of -$0.34 misses by $0.02: guides FY16 revenue $15M
• COLM: Q4 EPS of $0.90 beats by $0.14: revenue of $699.41M beats by $14.81M: revenue +3.3% y/y: guides FY16 EPS $2.55-$2.65 vs consensus $2.55
• GRPN: Q4 EPS of $0.04 beats by $0.04: revenue of $917.2M beats by $71.3M: EBITDA guidance hiked to $80M-$130M: reaffirms FY16 revenue $2.75B-$3.05B vs consensus $2.87B
• SCSS: Q4 EPS of -$0.42 may not be comparable to the consensus of -$0.05: revenue of $214.68M misses by $75.04M: revenue -33.4% y/y: guides FY16 EPS with items $1.25-$1.45 vs consensus $1.57
• ROVI: Q4 EPS of $0.65 beats by $0.28: revenue of $149.5M beats by $18.81M: revenue +11.4% y/y: guides FY16 revenue and adjusted EPS below consensus
• NUS: Q4 EPS of $0.62 misses by $0.11: revenue of $572.2M misses by $13.72M: revenue -6.1% y/y: guides FY16 EPS below estimates: raises quarterly dividend 1.4%: greater China sales down 8%: North Asia sales down 7%
• VRSN:Q4 EPS of $0.79 beats by $0.01: revenue of $272.62M beats by $2.42M: revenue +6.5% y/y: guides FY16 revenue $1.11B-$1.35B vs consensus $.14B
• WYNN: Q4 EPS of $1.03 beats by $0.27: revenue of $946.9M misses by $1.47M: revenue -16.9% y/y: EBITDA from the Macau business was $709M, down 44%
• Z: ZG: Q4 EPS of -$0.01 misses by $0.02: revenue of $169.37M beats by $0.45M: revenue +83.4% y/y: guides FY16 revenue above consensus
• INFN:Q4 EPS of $0.21 beats by $0.01: revenue of $260.6M beats by $1.79M: revenue +39.9% y/y: guides in-line

SOME NOTABLE EARNINGS REPORTED TODAY BEFORE THE OPENING:

• OFC: Q4 FFO of $0.52 in-line: revenue of $143.33M beats by $28.98M: revenue -2.5 % y/y: guides FY16 adjusted FFO $1.95-$2.05 vs consensus $2.03: appoint Stephen Budorick as CEO
• USAT: FQ2 EPS of $0.02 beats by $0.01: revenue of $18.50M beats by $1.59M: revenue +44.3% y/y: guides FY16 revenue $69M-$71M vs consensus $71.45M
• BAM: Q4 FFO of $0.97: revenue of $5.54B beats by $770M: revenue +18.1% y/y
• VTR: Q4 FFO of $1.03 beats by $0.02: revenue of $841.27M beats by $31.22M: revenue +14.9% y/y
• POR: Q4 EPS of $0.57 misses by $0.05: revenue of $499M misses by $45.39M: revenue -0.2% y/y: guides FY16 EPS $2.30-$2.35 vs consensus $2.34
• LPNT: Q4 EPS of $1.11 beats by $0.05: revenue of $1.37B in-line: revenue +8.7% y/y: guides FY16 EPS below consensus
• ITT: Q4 EPS of $0.58 beats by $0.03: revenue of $666.8M beats by $34.85M: revenue +1.0% y/y
• IPG: Q4 EPS of $0.66 beats by $0.04: revenue of $2.2B beats by $10M: revenue -0.5% y/y
• CPN: Q4 adjusted net income of $67M: revenue of $1.44B beats by $260M: revenue -25.8% y/y

ANALYSTS' RATINGS CHANGES:

UPGRADES:

• AYR: upgrade: market perform to outperform: FBR Capital: pt cut from $22 to $20
• P: upgrade: market perform to outperform: FBR Capital: $16
• IAG: upgrade: sell to neutral: Goldman:
• CDE: upgrade: underperform to market perform: BMO Capital: $3.50
• EFX: upgrade: hold to buy: Deutsche Bank: pt raised from $101 to $111
• TIME: upgrade: hold to buy: Gabelli
• ALLE: upgrade: outperform to buy: CLSA
• IAC: upgrade: hold to buy: Stifel: $52
• SU: upgrade: neutral to buiy: Citi
• CAG: upgrade: neutral to buy: BofA/Merrill: $46
• CAE: upgrade: market perform to outperform: BMO Capital

DOWNGRADES:

• FLO: downgrade: outperform to market perform: BMO Capital: $18
• FLO: downgrade: buy to hold: Deutsche Bank: $18
• NFLX: downgrade: outperform to market perform: FBR Capital: pt cut from $125 to $100
• KAR: downgrade: buy to neutral: Goldman Sachs: $35
• NTAP: downgrade: neutral to underweight: Atlantic Equities: $18
• GPI: downgrade: overweight to sector weight: KeyBanc
• BA: downgrade: overweight to neutral: JP Morgan: pt cut from $142 to $120
• BBBY: downgrade: outperform to perform: Oppenheimer
• BBY: downgrade: outperform to perform: Oppenheimer
• EVEP: downgrade: buy to neutral: Ladenburg: pt cut from $4 to $2
• VNR: downgrade: buy to neutral: Ladenburg
• SGY: downgrade: buy to neutral: Ladenburg: pt cut from $7 to $2.50
• LINE: downgrade: neutral to sell: Citi
• LNCO: downgrade: neutral to sell: Citi
• AEGR: downgrade: market perform to underperform: BofA/Merrill: pt cut from $13 to $6
• FNFV: downgrade: outperform to market perform: Keefe Bruyette: $10

INITIATIONS:

• SFM: initiated: buy: Stifel: $27
• KR: initiated: buy: Stifel: $45
• ADS: initiated: buy: Jefferies: $240

PRICE TARGET CHANGES:

• ROVI: pt raised from $26 to $29: Piper Jaffray
• VCRA: pt raised from $15 to $19: Piper Jaffray
• LOGM:pt cut from $80 to $66: JP Morgan
• TRIP: pt cut from $84 to $70: RBC Capital
• ZG: Z: pt cut from $34 to $21: RBC Capital
• RIG: pt cut from $12 to $10: RBC Capital
• ENSG: pt cut from $27.50 to $24: RBC Capital
• BA: pt cut from $135 to $128: RBC Capital
• ATVI: pt cut from $42 to $35: Mizuho
• ATVI: pt cut from $45 to $40: Atlantic Equities
• ATVI: pt cut from $42 to $39: Piper Jaffray
• ATVI: pt cut from $40 to $32: Barclays
• ATVI: pt cut from $41 to $36: Pacific Crest
• ATVI: pt cut from $36 to $33: Macquarie
• FOSL: pt cut from $44 to $30: Mizuho
• QLIK: pt cut from $36 to $23: Mizuho
• QLIK: pt cut from $36 to $30: RBC Capital
• QLIK: pt cut from $40 to $30: Brean Capital
• QCOM: pt cut from $51 to $47: Mizuho
• QCOM: pt cut from $62 to $60: Cowen
• WWAV: pt cut from $42 to $39: Wunderlich
• PXD: pt cut from $131 to $127: Wunderlich
• AYR: Pt cut from $25 to $22: Cowen
• MPC: pt cut from $60 to $55: Cowen
• TIME: pt cut from $20 to $15: FBR Capital
• PNK: pt cut from $33 to $31: Telsey Advisory
• FEYE: pt cut from $40 to $30: Topeka Capital
• INCY: pt cut from $131 to $92: Brean Capital
• P: pt cut from $26 to $15: Wedbush
• P: pt cut from $17 to $12: Needham
• TWX: pt cut from $92 to $82: Wedbush
• LOGM: pt cut from $84 to $57: Needham
• SSNC: pt cut from $86 to $76: Needham