Market 2017-02-08 (Bonds Vs Stocks, TWTR, IRBT, and more)

It is a broad selloff again, which is triggered by a hawkish tone from England's central bank, who hinted faster and larger rate hike. Bond Yields spike globally. The 2-yr massive spending budget bill also plays a role --- meaning more treasury supply. If the buying power for government notes cannot catch up, we will the the yields keep going up. High yields and equity selloff will push more investment into bond market, thus stabilizing both. At this moment, Both markets are struggling to find the equilibrium. One thing is clear to me that meltup (Nov, 2017 ~ Jan 2018) will not happen again.

This week it has been a nightmare for long investors. Dow Jones drops another 1,032 points again, the 2nd time to drop more than 1,000 points in a week!

Commodities: Crude -2.4% to $60.3 (close to $60 support). Gold +0.4% to $1,320.

Qualcomm (QCOM -4%) says its board has unanimously rejected the revised buyout offer from Broadcom (AVGO). Broadcom changed its offer to hit $82/share earlier this week ($60 in cash, $22 in Broadcom stock).

Winners

GrubHub (GRUB +27.4%) jumps after reporting Q4 EPS of $0.37 beats by $0.06. Revenue of $205.08M (+49.2% Y/Y) beats by $3.34M. The company announces a Yum Brands partnership during ER call.

TWTR +12.1% after reporting first profit quarter. Q4 EPS of $0.19 beats by $0.05. Revenue of $732M (+2.1% Y/Y) beats by $45.94M.

Losers (too many...)

iRobot (IRBT -32.1%) despite ER beats. The company expects 2018 revenue of $1.05-$1.06B vs. $1.02B consensus and full-year EPS of $2.10-$2.35 vs. $2.80 consensus (via GAAP), which makes analysts worry about margin. The selloff could be an entry point.

UBNT -14.1% after reporting Q2 EPS of $0.76 misses by $0.13 (flat). Revenue of $250.8M (+17.4% Y/Y) beats by $10.91M.

Earnings in AH

Nvidia (NVDA -4.9%): Q4 EPS of $1.72 beats by $0.56. Revenue of $2.91B (+34.1% Y/Y) beats by $230M. Revise up Q1 guidance: Revenue $2.84-2.96B (consensus $2.47B); EPS $1.59-1.72 (consensus $1.13). Shares +11% in AH.

Expedia (EXPE -4.9%): Q4 EPS of $0.84 misses by $0.31. Revenue of $2.32B (+11.0% Y/Y) misses by $40M. Shares -19% in AH. PCLN down another 3.5% after -4.1% in regular hours.

American International Group (AIG -3.6%): Q4 EPS of $0.57 misses by $0.18. Shares fluctuate in AH.

Activision Blizzard (ATVI -5.2%): Q4 EPS of $0.45 may not be comparable to consensus of $0.93.
Revenue of $2.64B (+7.8% Y/Y) beats by $90M. Net bookings for 2017 hit a record $7.16B, up from the prior-year $6.6B, and net bookings from digital channels were a record $5.43B. Shares +2.5% in AH.

Mettler Toledo (MTD -6.4%): Q4 EPS of $5.97 beats by $0.04. Revenue of $778M (+9.6% Y/Y) beats by $13.93M. Shares +2.3% in AH.

Skechers (SKX -6.8%): Q4 EPS of $0.21 beats by $0.08. Revenue of $970.59M (+27.0% Y/Y) beats by $89.2M. International sales +40%, while domestic wholesale sales +11.6%. Q1 Guidance: rev $1.175-1.2B vs. $1.23B and EPS of $0.70-$0.75. Shares +6% in AH.

Zillow (Z +4.1%): Q4 EPS of $0.19 in-line. Revenue of $282.3M (+24.0% Y/Y) beats by $4.78M. Shares -7.4% in AH.

FireEye (FEYE -0.4%): Q4 EPS of $0.01 beats by $0.02. Revenue of $202.3M (+9.5% Y/Y) beats by $8.68M. Upside 2018 Guidance. Shares +12% in AH.

My Trades Today

  • Bought MOMO @ $26.8
  • Added FB, AMAT, C

Earnings Tomorrow


  • pre-market: MCO, NWSA


Comments

  1. UnknownFebruary 8, 2018 at 4:14 PM

    盘尾上了点NVDA远call 赌ER；希望大盘明天上扬带着SKX一起飞，好不容易耐心拿到ER了。过去两个星期感觉像2个月。

    ReplyDelete
    Replies
    1. UnknownFebruary 8, 2018 at 4:51 PM

      NVDA，SKX都是好股，今天季报都很好，只要大盘稳住了必然爆发

      Delete
    2. UnknownFebruary 8, 2018 at 6:37 PM

      SKX 是好股。赌女大其实风险挺大的。不知道8年牛市是否熬不过今年。大盘正式进入correction。

      Delete
    3. UnknownFebruary 8, 2018 at 9:27 PM

      NVDA拿的垃圾远call 输了也不心疼。赢了就赚一笔。正股没敢进。

      Delete

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