Oil Dragging Down Markets .. Again | Morning News

FEBRUARY 24, 2016
US futures and global markets retreating at this hour, dragged down by the pressure of crude prices dropping as the very volatile oil markets reacts to every comment from OPEC and Middle Eastern oil ministers.  China shares were the exception with the Shanghai closing +0.88 after authorities guided the yuan lower. Investors face a quiet economic calendar today but do have several Fed speeches to turn to for interest rate clues.

NEWS:

• SWX: raises quarterly dividend 11.1% to $0.45
• KO: EU judges rule against Coca-Cola in bottle trademark case
• IMNP: publishes new data on eotaxin-1
• BBRY: launches new professional cybersecurity services practice to expand portfolio, reports market wired
• WMB: to put Canadian assets up for sale, could generate up to $1B, reports the WSJ
• VZ: SPLK: Verizon and Splunk join forces to advance threat detection for enterprises, reports prnewswire
• RIG: ExxonMobil terminates contract with Transocean Rig early with no compensation
• AGN: announces FDA approval for NDA and priority review of Avycaz
• FIT: AAPL: MSI: GRMN: global wearables market rose 171.6% in FY16 and 126.9% in Q4

THE ECONOMIC CALENDAR:

• 7AM: MBA Mortgage Applications
• 8AM: Fed's Lacker speaks on "Monetary Policy"
• 9:45AM: PMI Services Index Flash
• 10AM: New Home Sales
• 10:30AM: EIA Petroleum Inventories
• 1PM: $34B, 5 Year Note Aucton
• 1:15PM: Fed's Kaplan Speaks on "Monetary Policy"
• 6:30PM: Fed's Bullard speaks on "The Economy and Monetary Policy"

SOME NOTABLE EARNINGS REPORTED YESTERDAY AFTER THE CLOSE:

• EIX: Q4 EPS of $0.88 bats by $0.28: revenue of $2.34B misses by $1B: revenue -24.8% y/y: guides FY16 EPS $3.81-$4.01 vs consensus $3.75
• DWA: Q4 EPS of $0.55 may not be comparable to consensus of $0.16: revenue of $319.34 beats by $45.32M; revenue +36.3% y/y
• CAR: Q4 EPS of $0.18 beats by $0.01: revenue of $1.90B misses by $20M: revenue +0.5% y/y: weak EPS guidance
• CVG: Q4 EPS of $0.53 beats by $0.06: revenue of $751.8M misses by $2.22M: revenue -1.6% y/y: guides FY16 adjusted EPS growth 5-8% 
• DY: FQ2 EPS of $0.54 misses by $0.02: revenue of $559.5M beats by $15.52M: revenue +26.8% y/y: announces additional $50M added to repurchase program: guides Q3 adjusted EPS below consensus
• WBMD: Q4 EPS of $0.60 beats by $0.03: revenue of $192.1M beats by $2.17M: revenue +18.0% y/y: guides FY16 EPS above consensus: guides FY16 revenue in-line
• CZR: Q4 EPS of -$0.54 may not be comparable to consensus of -$0.09: revenue of $1.12B misses by $500M: revenue -47.4% y/y
• JAZZ: Q4 EPS of in-line: revenue $340.9M misses by $8.93M: revenue +3.9% y/y: guides FY16 adjusted EPS below guidance
• VRSK: Q4 EPS of $0.80 beats by $0.06: revenue of $560.56 misses by $5.87M; revenue +20.6% y/y
• CC: Q4 EPS of $0.03 misses by $0.05: revenue of $1.36B in-line: revenue -12.3% y/y
• CONE: Q4 FFO of $0.61 beats by $0.04: revenue of $113.3M misses by $2.06M: revenue +30.4% y/y: guides FY16 FFO $2.45-$2.55 vs consensus $2.46
• HAWK: Q4 EPS of $1.26 beats by $0.01: revenue of $381.1M in-line: revenue +22.2% y/y' guides FY16 adjusted EPS below consensus
• PZZA: Q4 EPS of $0.62 beats by $0.05: revenue of $416.82M misses by $8.94M: revenue -2.0% y/y: guides FY16 CapEx approx $55M-$60M: guides FY16 EPS $2.30-$2.40 vs consensus $2.38
• FSLR: Q4 EPS of $1.60 beats by $0.82: revenue of $942.3M beats by $13.29M: revenue -6.7% y/y:  capacity utilization hits 100% in Q4: lowers revenue guidance which is in-line with consensus

SOME NOTABLE EARNINGS REPORTED TODAY BEFORE THE OPENING:

• HFC: Q4 EPS of $0.24 misses by $0.06: revenue of $2.95B beats by $360M: revenue -31.1% y/y
• TJX: Q4 EPS of $0.99 beats by $0.05: Revenue of $8.96B beats by $230M: revenue +8.0% y/y: guides FY17 and Q1 EPS below consensus: announces authorization to repurchase $1.5-$2B shares of stock in FY16
• TGT: Q4 EPS of $1.52 misses by $0.02: revenue of $21.63B misses by $120M; revenue -0.6% y/y: guides FY16 adjusted EPS $5.20-$5.40 vs consensus $5.16
• MBLY: Q4 EPS of $0.15 beats by $0.01: revenue of $71.82M: beats by $1.06M: revenue +81.1% y/y: guides FY16 EPS $0.68-$0.69 vs consensus $0.70
• SSTK: Q4 EPS of $0.38 beats by $0.05 : revenue of $116M misses by $1.42M: revenue +27.2% y/y:  guides FY16 revenue below consensus
• AVA: Q4 EPS of $0.re misses by $0.05: revenue of $387.31M misses by $245.34M: revenue -6.0% y/y: guides FY16 EPS $1.96-$2.16 vs consensus $2.04
• GIL: Q4 EPS of $0.28 in-line: revenue of $543.8M beats by $37.95M: revenue +39.2% y/y
• CNK: Q4 EPS of $0.50 beats by $0.03: revenue of $707.22M misses by $5.62M: revenue +7.2% y/y: raises annual dividend 8% to $1.08/share
• AES: Q4 EPS of $0.34 beats by $0.01: revenue of $3.4B misses by $3.11B: revenue -17.1% y/y: cuts FY16 adjusted EPS guidance below consensus
• LOW: Q4 adjusted EPS of $0.59 in-line: revenue of $13.24B beats by $170M: revenue +5.6% y/y: guides FY16 EPS $4.00 vs consensus $3.97: Q4 sss +5.2%
• ADPT: Q4 adjusted EPS of $0.45 beats by $0.11: revenue of $105.43 beats by $9.21M: revenue +50.5% y/y: guides FY16 adjusted EPS $2.50 to $2.60 vs consensus $2.16
• VER: Q4 AFFO of $0.20 in-line: revenue of $383.4M beats by $32.23M: revenue -8.5% y/y: guides FY16 AFFO below consensus
• HPT: Q4 FFO of $0.54 misses by $0.01: revenue of $467.44M misses by $4.32M: revenue +8.6% y/y
• CHK: Q4 EPS of -$0.16 beats by $0.01: revenue of $2.65B beats by $20M: revenue -53.4% y/y: guides FY16 adjusted production decline of 0-5%: guides FY16 CapEx down 57%

SOME NOTABLE EARNINGS TO BE REPORTED TODAY AFTER THE CLOSE:

• ANIK, AR, AWK, BLDP, BWLT, CLGX, CLI, CLR, CRM, CW, CWT, DAVE, DOOR, DPM, DYN, EPR, ESV, ETE, ETP, FARO, FOE, FUEL, GDOT, GMED, HPQ, HTH, IL, IMAX, INN, KEYW, LB, LQ, MTDR, NFX, NLY, NTES, OAS, PE, PHH, RATE, RBCN, RICE, RIG, RLYP, SBY, SN, SPTEN, SRC, SUN, TAL, TILE, TS, TUMI, TXTR, VIPS, WES, WILL, WPX, WR, WSR, XPO

ANALYSTS' RATINGS CHANGES:

UPGRADES:

• PTCT: upgrade: underperform to hold: Jefferies: $12
• DE: upgrade: hold to buy: Argus: $85
• DKS: upgrade: neutral to buy: B Riley
• NCLH: upgrade: sell to neutral: Goldman: pt raised from $41 to $45
• XXIA: upgrade: hold to buy: Wunderlich: pt raised from $11 to  $12
• MLNX: upgrade: hold to buy: Topeka Capital: pt raised from $46 to $60
• RGA: upgrade: sell to neutral: Goldman: pt raised from $90 to $96

DOWNGRADES:

• PTCT: downgrade: outperform to sector perform: RBC Capital: pt cut from $56 to $11
• PTCT: downgrade: buy to neutral: Citi: pt cut from $90 to $13
• CJES: downgrade: buy to neutral: Citi: pt cut from $5 to $2
• RDUS: downgrade: buy to hold: Jefferies: $37
• GOLD: downgrade: outperform to sector peform: RBC Capital
• M: downgrade: buy to hold: Stifel
• F: downgrade: neutral to underperform: Credit Suisse: $13
• CNFR: downgrade: outperform to market perform: BMO Capital: $7
• NEWP: downgrade: buy to neutral; B Riley: $23
• ABCO: downgrade: outperform to market perform: FBR Capital: pt cut from $55 to $40
• SWC: downgrade: buy to neutral: Goldman: pt cut from $11 to $8
• AUY: downgrade: neutral to sell: Goldman: pt cut from $2.40 to $1.80
• TMK: downgrade: neutral to sell: Goldman
• VOYA: downgrade: conviction buy to buy: Goldman
• ENLC: downgrade: buy to neutral: UBS: $6.50
• CBRL: downgrade: buy to neutral: SunTrust: $151
• DRQ: downgrade: buy to neutral: SunTrust: pt cut from $65 to $51
• AI: downgrade: buy to neutral: Compass Point: $13

INITIATIONS:

• WWAV: initiated: buy: UBS: $49
• KHC: initiated: buy: UBS: $87
• MDLZ: initiated: buy: UBS: $47
• PF: initiated: neutral: UBS: $60
• MKC: initiated: neutral: UBS: $91
• K: initiated: neutral: UBS: $80
• HAIN: initiated: sell: UBS: $33
• CPB: initiated: sell UBS: $52
• WUBA: initiated: buy: Brean Capital: $65
• S: initiated: hold: Deutsche Bank: $3
• WIN: initiated: hold: Deutsche Bank: $6
• CTL: initiated: hold: Deutsche Bank: $28
• V: initiated: hold: Deutsche Bank: $49
• FTR: initiated: buy: Deutsche Bank: $6.50
• T: initiated: buy: Deutsche Bank: $40
• AMT: initiated: buy: Deutsche Bank: $104
• CCI: initiated: buy: Deutsche Bank: $98
• TMUS: initiated: buy: Deutsche Bank: $46
• CSRA: initiated: buy: Stifel: $41
• QURE: assumed: buy: Wainwright

PRICE TARGET CHANGES:

• M: pt raised from $40 to $44: Telsey Advisory Group
• FTR: pt raised from $6.50 to $8: Stephens
• ANGI: pt raised from $6 to $7: RBC Capital
• EIX: pt raised from $60 to $69: Mizuho
• STOR: pt raised from $25.50 to $29: Wunderlich
• ODP: pt cut from $7.50 to ^.50: Telsey Advisory
• DEPO: pt cut from $33 to $27: WallachBach
• SM: pt cut from $26 to $15: Topeka Capital
• CRZO: pt cut from $48 to $30: Imperial Capital
• CRZO: pt cut from $34 to $33: RBC Capital
• JAZZ: pt cut from $140 to$124: Mizuho
• ICPT: pt cut from $340 to $275: Citi
• SNDK: pt cut from $86.50 to $79.50: Mizuho
• WMS: pt cut from $30 to $24: RBC Capital
• AER: pt cut from $57 to $52: Cowen
• AER: pt cut from $51 to $50: FBR Capital
• ALQA: pt cut from $6 to $3: RBC Capital
• ALQA: pt cut from $4.25 to $2.25: Chardan Capital
• VIAB: pt cut from $44 to $40: Topeka Capital
• ALDR: pt cut from $62 to $41: Leerink
• DXCM: pt cut from $100 to $81; Canaccord
• BNFT: pt cut from $44 to $35: Canaccord