Market 2018-04-18 (IBM, LRCX, ROKU, and more)

Market is relatively quiet today. Stocks finished mostly higher in a range-bound session. IBM (-7.5%) and LRCX (-4%) were sold off despite their ER beats.

Energy sector (XLE +1.6%) surged as May WTI crude futures rallied (USO +3.4%) to $68.47/bbl. The industrials sector (XLI +1%) also showed strength after United Continental (UAL +4.8%) and CSX (+7.8%) reported strong Q1 results. So far 10% of S&P companies have reported Q1 results, 80% have beaten expectations, which is encouraging.

Financial Sector continues recent weakness despite great earnings from Morgan Stanley (MS flat): Q1 EPS of $1.45 beats by $0.20. Revenue of $11.08B (+13.8% Y/Y) beats by $720M. XLF -0.4%. I think it is great opportunity to buy big banks.

Tencent (TCEHY -0.6%) and JD.com (JD -0.2%) have joined investors in smart TV maker New Leshi Zhixin.

Winners

ISRG +8.2% after ER beats.

UAL +4.8% after ER beats, AAL +5.1%, LUV +2.9%, DAL +1.2%...

Losers

ROKU -11.8% after the news of a partnership between Amazon (AMZN +1.6%) and Best Buy (BBY +3.6%) to sell Fire-powered smart TVs.

U.S. Bancorp (USB -2%): Q1 EPS of $0.96 beats by $0.01. Revenue of $5.47B (+3.8% Y/Y) misses by $60M.

JNJ -2.2% is an example of the recent struggles in biotech sector.

 ABT -0.5%, despite Q1 EPS of $0.59 beats by $0.01. Revenue of $7.39B (+16.7% Y/Y) beats by $100M.

 IBM -7.5% for slightly low guidance? I will hold tight.

LRCX -4%, AMAT -5.4%...

Earnings in AH

AA +4.1% Q1 EPS of $0.77 beats by $0.07. Revenue of $3.09B (+16.2% Y/Y) beats by $10M. Shares +4.6% in AH.

AXP +1.4%, Q1 EPS of $1.86 beats by $0.15. Revenue of $9.72B (+11.6% Y/Y) beats by $580M. Shares +4% in AH.

PIR -3.1% Q4 EPS of $0.21 beats by $0.02. Revenue of $512.23M (-3.1% Y/Y) misses by $25.39M. Shares -16.8% in AH.

URI +1.4% Q1 EPS of $2.87 beats by $0.44. Revenue of $1.73B (+27.2% Y/Y) beats by $50M. Shares -3.3% in AH.

My Trades Today

Bought MS
added JPM
Sold TELL @ $9.8

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