Wall Street Breakfast: The Week Ahead
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The week begins slowly with many markets across the world observing the Easter Monday holiday. However, the quiet start serves as a calm before the storm as not only key CPI and PPI prints are due in mid-week, but a host of key earnings reports.
Seeking Alpha contributors Logan Kane and Jonathan Weber voiced the belief that JPMorgan (JPM) is a Buy, with Weber advising that the outlook for the big bank remains compelling amidst the sector's turmoil. As bank earnings season progresses, smaller banks like PacWest Bancorp (PACW), First Republic Bank (FRC), and Western Alliance Bank (WAL) were rated Sells by Kane.
Earnings spotlight: Monday, April 10 - Tilray Brands (NASDAQ:TLRY), PriceSmart (PSMT) and Greenbrier Companies (NYSE:GBX)
Earnings spotlight: Tuesday, April 11 - CarMax (NYSE:KMX), ING Groep (ING), and Albertsons Companies (ACI). Read more on Seeking Alpha contributor Daniel Jones' thoughts on the probability of an Albertsons/Kroger merger going through and the ramifications if it's blocked.
Earnings spotlight: Wednesday, April 12 - Rent the Runway (RENT) and Sportsman's Warehouse Holdings (SPWH).
Earnings spotlight: Thursday, April 13 - Delta Air Lines (DAL), Progressive Corp. (PGR), and Fastenal (FAST). Seeking Alpha Contributor Dhierin Bechai advised that the airline presents a buying opportunity ahead of earnings.
Earnings spotlight: Friday, April 14 - UnitedHealth Group (NYSE:UNH), BlackRock (BLK), Wells Fargo (WFC), JPMorgan (JPM), and Citi (C). Seeking Alpha contributor Juxtaposed Ideas, recently argued that Citi offers opportunity amid uncertainty in the sector. Read Seeking Alpha's full earnings week preview for the week ahead.
Quant ratings: Stocks with recent quant rating changes include two-step downgrades for Amazon (AMZN), Exxon Mobil (XOM), and Deere & Company (DE) to Hold from Strong Buy. On the other side of the spectrum, the team shifted from Hold to Strong Buy on PVH Corp. (PVH) and Arch Capital Group (ACGL).
CPI preview: The closely-watched March consumer price index report is due for release. Economists expect the index to rise 0.3% from February, lowering the year-over-year inflation rate to 5.2%. In the February report, shelter, recreation, and airline fares were among the indices rising the most sharply while used cars and trucks and medical care continued to decline following spikes in 2022. Seeking Alpha's EB investor laid out a bull thesis for Treasury securities as deflationary risks rise.
Dividend watch: The list of potential dividend changes includes Oracle Corporation (ORCL), Dollar General Corporation (DG), General Dynamics Corporation (GD), UBS Group (UBS), WD-40 (WDFC), Bank OZK (OZK), and First United Corporation (FUNC). See Seeking Alpha's list of Quick Dividend Stock Picks.
Volatility watch: Short interest in Carvana (CVNA) and Bed Bath & Beyond (BBBY) remains elevated as both firms seek to stave off insolvency. Options trading has spiked over the last week on Endeavor Group (EDR) following its purchase of World Wrestling Entertainment (WWE).
Corporate events: Moderna (MRNA) will host its fourth annual Vaccines Day, Science Applications International Corporation (SAIC) will host an investor day, and ConocoPhillips (COP) will host an Analyst & Investor Meeting.
See a comprehensive list of stocks to watch for dividends, earnings and volatility as well as corporate events and notable conferences.
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