As the new week unfolds, earnings and economic data will again dictate sentiment.
The S&P 500 Index, a broader gauge of stock market performance, finished the week ended Nov. 8 at a record high amid the euphoria over a decisive win for the Republican Party candidate Donald Trump in the 2024 presidential election.
The 30-stock Dow Jones Industrial Average and the tech-heavy Nasdaq Composite also ended in uncharted territory.
As the new week unfolds, earnings and economic data will once again dictate sentiment. About 91% of the S&P 500 companies have reported already, and the cumulative earnings growth of S&P 500 companies is now estimated at 5.3%, according to Factset.
The first-tier economic data/events for the week include the October consumer and producer price inflation reports, due on Wednesday and Thursday, respectively, the October retail sales report due on Friday and speeches by a slew of Federal Reserve officials.
Most Bullish
Marathon Digital Holdings, Inc. ($MARA)
Bitcoin miner Marathon Digital generated the most bullish sentiment, apparently due to the strength seen in the cryptocurrency space, especially the Bitcoin ($BTC.X). The apex crypto crossed the $80,000 threshold on Sunday and the momentum continued unabated on Monday. Bitcoin rallied past the $81,000 mark early Monday.
BlackRock, Inc. ($BLK)
Asset manager BlackRock was in the news last Thursday as media reports said the company is in discussions to buy a small equity stake in hedge fund Millennium Management. Millennium is one of the most profitable hedge fund and if the rumors prove to be true, it would mark the first time in the firm’s 35-year history that it is taking an outside investment, Financial Times reported
Coinbase Global, Inc. ($COIN)
Cryptocurrency exchange Coinbase may also be riding the crypto strength. In late-October, the company reported an increase in its third-quarter revenue from $623 million in 2023 to $1.13 billion in 2024. But both the earnings per share and revenue trailed expectations due to a muted crypto trading environment.
Emergent Biosolutions, Inc. ($EBS)
Netflix, Inc. ($NFLX)
Streaming giant Netflix hasn’t had any company-specific news or analysts’ action to impact the stock. However, AMC Entertainment Holdings, Inc. ($AMC) said last week its third quarter benefited from a new deal with Netflix for prior seasons of AMC series called the AMC Collection.
Most Bearish
Baidu, Inc. (BIDU)
Chinese search giant Baidu drew negative sentiment from retailers. Friday, the stock shed nearly 5% amid muted reaction to additional China stimulus and fears concerning a Trump backlash on overseas companies. Media reports said Baidu will launch its new AI-powered smart glasses at the Baidu World Event in Shanghai on Tuesday. The negative sentiment may also be partly due to investor apprehensions over whether the company can give Meta Platforms, Inc.’s ($META) Ray Ban smart glasses a run for the money.
Aurinia Pharmaceuticals, Inc. ($AUPH)
Kidney drug company Aurinia failed to attract a buyer after activist hedge fund MKT Capital forced the company to explore strategic initiatives, including a sale. While reporting its financial results last week, the Canadian biotech announced its decision to cut 45% of its workforce in a bid to save cost.
Pinduoduo, Inc. ($PDD)
General skepticism toward China stocks and domestic competition may have dented sentiment toward Chinese online retailer Pinduoduo.
Evolent Health, Inc. ($EVH)
Checkpoint Therapeutics, Inc. ($CKPT)
Waltham, Massachusetts-based Checkpoint Therapeutics, a clinical-stage, immunotherapy and targeted-oncology company, hasn’t had any stock-moving catalysts.
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