S&P Mid Cap 400
Natural Gas Prices: Is a Reversal Possible?
On July 19, 2017, natural gas August futures closed at $3.07 per MMBtu (million British thermal units), 0.7% below their previous settling price.
Prolonged Stock Consolidation Is Bad for AMD
AMD stock has consolidated in 2017 after year-long growth in 2016. The stock price fell even though the company’s fundamentals improved.
What Price Ratios Say about Micron’s Stock Valuation
Micron is currently trading at a PE ratio of 54.6x, but the EPS estimates for the next year have put its forward PE ratio at 6.0x.
Valero’s Institutional Holdings before the 1Q17 Results
The institutional holdings in Valero Energy (VLO) are higher than the institutional holdings in Marathon Petroleum (MPC), Phillips 66 (PSX), and Western Refining (WNR).
Will Trade Based on Buying Natural Gas and Selling Oil Unwind?
On December 11, natural gas January futures fell 3% and settled at $4.41 per million British thermal units.
Crude Oil’s Recovery Could Be Difficult
WTI (West Texas Intermediate) crude oil June futures closed at $46.22 per barrel on May 5, 2017—a 1.5% rise from the previous trading session.
Natural Gas Is near a Nine-Month High: What’s Next?
On November 6, natural gas December futures fell 0.3% from a nine-month high and settled at $3.56 per MMBtu.
Why Was Energy Sector a Drag for Investors despite Rise in Oil?
Between April 6 and April 13, 2017, the Energy Select Sector SPDR ETF (XLE) fell 1.9%.
Natural Gas’s Multiyear Rise Might Not Be Stoppable
On November 13, natural gas December futures rose 8.3% and settled at $4.10 per MMBtu—the highest closing level since November 26, 2014.
Are Oil Bulls in Trouble?
WTI (West Texas Intermediate) crude oil June futures closed at $49.62 per barrel on April 21, 2017—a 2.1% fall from the previous trading session.
Is Oil Causing Trouble for Wall Street?
Between November 9 and November 16, 2017, the S&P 500 Index (SPY) had a correlation of 42.5% with US crude oil (OIIL) active futures.
Oil’s Fall: A Reversal or a Breather in the Rally?
On August 1, 2017, US crude oil September futures closed at $49.16 per barrel—2% below their closing price on July 31, 2017.
Are US Oil Producers Making Oil’s Rise a Bull Trap?
US crude oil (USO) (OIIL) (USL) (DBO) futures contracts for May delivery closed at $51.03 per barrel on April 4—1.6% above the previous day’s closing price.
Will US Crude Oil Maintain the $54 Level on February 5?
On February 4, US crude oil prices fell 1.3% and settled at $54.56 per barrel. US crude oil active futures made an intraday high of $55.75.
Arconic’s Tough Beginning: Controversies and Battles
Arconic is scheduled to release its 1Q17 earnings on April 25. ARNC was listed as a separate entity on November 1, 2016, when Alcoa split into two entities.
Will the Rebound in Oil Prices Be Short-Lived?
On December 26, US crude oil active futures settled at $46.22 per barrel—8.7% higher than the lowest closing level since June 21, 2017.
Marathon Petroleum Stock: Performance ahead of the 1Q17 Earnings
Marathon Petroleum stock has plunged 7% year-to-date. Due to its falling price in 1Q17, the stock has broken below its 50-day moving average.
Oil: Famous Recession Indicator Might Be a Concern
On January 2, US crude oil active futures settled at $46.54 per barrel—2.5% higher than the last closing level due to short covering.
Is Wall Street Overlooking Oil Prices?
From December 7–14, 2017, the S&P 500 Index (SPY), the S&P Mid-Cap 400 Index (IVOO), and the Dow Jones Industrial Average Index (DIA) had negative correlations with US crude oil futures.
Markets Will Await These Updates from Alcoa’s 1Q17 Earnings Call
In 1Q17, there were rumors that Rio Tinto (RIO) could acquire Alcoa.
US Crude Oil Is above $52: What to Expect in the Future
WTI (West Texas Intermediate) crude oil May futures closed at $52.24 per barrel on April 7, 2017—a 1% rise from the previous trading session.
Crude Oil Helped Wall Street Reach New Historic Highs
Between April 28 and May 5, 2017, US crude oil (USO) (OIIL) (USL) (SCO) June futures fell 6.3% and natural gas (BOIL) June futures fell 0.3%.
Alcoa’s 1Q17 Earnings: What Investors Need to Know
Alcoa (AA) released its 1Q17 earnings on April 24 after the markets (MDY) (MID-INDEX) closed. It held the conference call the same day.
What Caused the Upside in Natural Gas Prices?
On December 4, natural gas January futures rose 2.7% and settled at $4.457 per million British thermal units.
Have US Equity Indexes Made Oil’s Fall Sharper?
The Technology Select Sector SPDR ETF (XLK) rose 2%. XLK was the outperformer among sector-based SPDR ETFs.
Micron Starts Fiscal 2018 with Strong Revenue Growth
The increasing adoption of SSDs by various PC OEMs saw Micron’s SSD revenues increase 61.0% YoY in fiscal 1Q18.
Analyzing the Energy Sector Last Week
On December 7–14, US equity indexes ended in the red. Last week, IVOO, SPY, and DIA fell 2.7%, 1.3%, and 1.2%, respectively.
Russia’s Production Cut Decision Could Make or Break Oil Prices
OPEC members have provisionally decided to implement production cuts but are waiting for Russia to agree to a cut.
Did Bearishness in Equity Markets Cause Oil’s Fall?
On March 29–April 6, 2018, the Energy Select Sector SPDR ETF (XLE) fell 0.1%—the least on our list of SPDR ETFs.
Analyzing Oil and the US Equity Market
In the trailing week, SPY, MDY, and DIA’s returns were 0.8%, 0.7%, and 1.7%, respectively. During this period, US crude oil May futures fell 2.2%.
How Did the S&P 500, NASDAQ, and Dow Perform on January 25?
On January 25, six out of the S&P 500’s 11 major sectors moved higher. Strength in the utilities and health care sectors pushed the market higher.
Micron Technology’s CEO Focuses on the Storage Business
Micron Technology’s (MU) fiscal 1Q18 revenues were driven by strong demand for server, mobile, and SSD (solid-state drive) memory solutions.
What Is Micron’s NAND Strategy for Fiscal 2018?
At the end of fiscal 1Q18, 3D NAND accounted for 80% of Micron’s total NAND output. The company expects to increase this mix to 95% by the end of fiscal 2018.
Micron’s Strategy to Improve Its DRAM Gross Margin in 2018
According to its latest earnings report, Micron’s (MU) DRAM (dynamic random-access memory) revenue rose 88% YoY (year-over-year) in fiscal 1Q18.
Understanding NVIDIA’s Expanding Growth Opportunity
As the year comes to an end, NVIDIA has added two more segments: GPU-as-a-service (graphics processing unit) and domain-specific AI.
Inside NVIDIA’s First Consumer-Grade Volta GPU: The Titan V
NVIDIA has been focusing its efforts on growing in AI, and the outcome of these efforts was visible at the annual NIPS conference in December 2017.
A Look at Chip Suppliers with High Exposure to Apple
KeyBanc estimates that Cirrus Logic and Skyworks Solutions could earn $0.05–$0.08 in earnings per share for every 5 million iPhone 8 and iPhone X models sold by Apple.
What Does Wall Street Predict for WPX Energy?
In the last one month, WPX Energy stock’s median target price has risen from $16.00 to $16.50.
How Wall Street Analysts Have Changed Their Targets for Marathon Oil
In the last one-month period, Marathon Oil stock’s median target price has increased from $17.00 to $17.25.
What Wall Street Analysts Predict for ConocoPhillips
On November 24, 2017, of the 21 analysts covering COP, 28.6% recommended a “strong buy,” 42.9% recommended a “buy,” while the remaining 28.6% recommended a “hold.”
Why Is EMIB Technology so Important for Intel?
Intel (INTC) is developing an MCM (multi-chip module) by integrating AMD’s semi-custom discrete GPUs (graphics processing units) inside its processors.
Micron Bets on Storage for Long-Term Growth
The transition to SSD encouraged HDD giant Western Digital (WDC) to acquire SSD giant SanDisk in 2016.
The Gray Areas in the US Tax Reform Proposal
Under the Obama plan proposed in his fiscal 2016 budget, there would be no tax exemption on foreign earnings.
Why Analysts Are Bullish on Micron Technologies
Of the 30 analysts monitoring Micron stock, 87% have a “buy” recommendation, and 13% have a “hold” recommendation.
Micron’s Technology Roadmap Aimed at Improving Cost Competitiveness
Micron (MU) has expanded its manufacturing capabilities by acquiring small companies like Inotera Memories and Tidal Systems.
AMD’s Ryzen Threadripper Surrounded by Speculation
Ryzen Threadripper is comparable with AMD’s EPYC server processor, as they share the same architecture.
Did AMD’s Vega Cards Live Up to the Hype?
NVIDIA is still ahead of AMD, as the former launched a high-end version of the GTX 1080—the GTX 1080 Ti and Titan XP in March and April 2017, respectively.
Are Oil’s Gains Propelling Wall Street?
On August 31–September 7, 2017, the S&P 400 Mid-Cap Index (IVOO) had the third most negative correlation of 77.6% with US crude oil active futures.
These Factors Could Impact Intel’s Revenue in Fiscal 2017
While PC continues to be Intel’s largest segment, contributing 55% to total revenues, Intel has reduced its spending in the declining PC market.
How Intel Plans to Address Competition in the Data Center Space
Intel’s strategy to address data center competition As the world moves towards connected technology, more companies are looking to grab a share of the data center market. Intel (INTC) dominates the server processor market, with a ~99% share. However, the data center market is moving away from server processing to accelerated processing that can handle […]
What Happened to Intel’s Technology Model?
The slowdown in innovation is giving competitors including Advanced Micro Devices, TSMC, and Samsung a chance to bridge the technology gap they have with Intel.
How AMD’s Ryzen 3 and Intel’s Core i3 Stack Up
Advanced Micro Devices (AMD) recently released its Ryzen 3 series for the budget PC (personal computer) segment.
Could NVIDIA’s Revenue Growth Result in a Higher Profit Margin?
For fiscal 2Q18, analysts expect NVIDIA to report earnings per share of $0.78, which marks a sequential decline of 8.2%.
What Xilinx’s Price Ratios Say about Its Stock Valuation
On July 17, 2017, Xilinx’s PB ratio stood at ~6.6x, which is higher than Intel’s ratio of ~2.4x but lower than NVIDIA’s ratio of 16.0x.
How the Acquisition of Mobileye Could Affect Intel’s Earnings
Intel (INTC) is acquiring Mobileye (MBLY) for $15.3 billion in order to grow in the autonomous vehicle market.
What’s Going on with Intel’s Client Computing Group?
Intel (INTC) is currently going through a phase of slow growth, which is threatening its top position in the semiconductor industry.
A Look at Micron’s Perspective of DRAM Demand
DRAM (dynamic random access memory) is a key product accounting for more than 50.0% of the memory market.
What NVIDIA’s Cash Position Says about Its Financial Health
NVIDIA’s operating cash flow fell 8.7% year-over-year to $282 million in fiscal 1Q18 as its revenues were hit by seasonal weakness. Its accounts receivables increased 87% YoY.
Why NVIDIA Is Increasing Its Operating Expenses in Fiscal 2018
NVIDIA’s non-GAAP operating expenses rose 17% year-over-year to $517 million in fiscal 1Q18. NVDA expects to increase its operating expenses to $530 million in fiscal 2Q18.
What Are the Key Growth Drivers of Broadcom’s Wired Business?
Broadcom’s Wireless segment is its most volatile due to its reliance on Apple and Samsung. The volatility in the segment is offset by Broadcom’s Wired Infrastructure segment.
What Valero Needs to Soar in 2Q17
Valero’s crack indicators have fallen in all of these areas in May 2017 (as of May 23) as compared to April 2017.
How Major Refiners’ Cash Flows Fared in 1Q17
Refiners’ cash flows have turned volatile over the past few quarters due to volatile refining earnings.
Why MPC’s Valuation Commands a Premium over the Peer Average
MPC’s valuations are above the peer averages likely because it’s now in the process of restructuring its organization to unlock value.
Will the Qualcomm-BlackBerry Case Start a Ripple Effect?
In April 2017, a binding arbitration ruling had Qualcomm pay BlackBerry (BBRY) $815 million plus interest and attorneys’ fees over licensing disputes.
Will AMD’s New Products Make Its CG Segment Profitable?
Advanced Micro Devices’ (AMD) CG (Computing and Graphics) segment reported better-than-expected seasonal earnings in 1Q17.
What Opportunities Does Jetson TX2 Bring for NVIDIA?
NVIDIA has recently launched its second-generation Jetson TX processor, which can deliver performance at two levels.
How Analysts Rated Tesoro on Its 1Q17 Earnings Day
Tesoro (TSO) has been rated by 18 analysts. Of those, 12 have assigned the stock a “buy” or “strong buy” rating.
Why Is NVIDIA Looking to Enter Apple’s Mac Platform?
NVIDIA (NVDA) recently released macOS drivers to bring its external Pascal-based GPUs (graphics processing unit) to Apple’s (AAPL) Mac users.
Analysts’ Ratings for Phillips 66 after Its 1Q17 Earnings
After its earnings, Phillips 66 was rated by 19 analysts. Four analysts gave it a “buy,” 15 gave it a “hold,” and no analysts gave it a “sell.”
Intel Shifts Data Center Group’s focus to Boost Growth
Intel’s Data Center Group Intel (INTC) has reduced its spending in the personal computer space and is making efforts in the networking space to boost revenue for its CCG (Client Computing Group). In its DCG (Data Center Group), the company is reducing its efforts in enterprise servers to focus on the cloud, hyperscale computing, communications, […]
What Key Ratios Say about AMD’s Valuation
Advanced Micro Devices (AMD) stock has witnessed exponential growth over the past one-year period, with a 400% increase in its stock price.
How Did Tesoro’s Stock Perform Pre-1Q17 Earnings?
Since January 3, 2017, TSO stock has fallen 9.8%. Comparatively, crude oil prices have fallen 5.2%, and natural gas prices have fallen 5.6% year-to-date.
Intel Could Change Its Processor Roadmap in 2017
Rumors surround Intel’s plans for fiscal 2017 Intel’s (INTC) product leadership in the PC (personal computer) market allows it command a premium price for its products. However, Advanced Micro Devices (AMD) is looking to challenge this leadership by launching its competitive Ryzen CPUs (central processing units) at a lower price. According to rumors reported by […]
Inside BP’s 1Q17 Estimates: Weighing the Healthy Expectations
BP is expected to post its 1Q17 results on May 2, 2017. In 4Q16, BP’s adjusted EPS stood at $0.12, as compared to the estimated EPS of $0.15.
S&P 500 and Dow Were Weaker, NASDAQ Closed Positive
The S&P 500 weakened and fell lower on Wednesday. Weakness in the energy, financials, and utility sectors weighed on the market.
Key Updates Markets Are Waiting for in U.S. Steel’s 1Q17 Call
In this article, we’ll analyze the key updates the markets are waiting for in U.S. Steel’s 1Q17 earnings call.
Are Valero’s Analyst Ratings Weaker or Stronger before the 1Q Results?
Of the 21 analysts covering Valero Energy (VLO), 12 (57%) analysts have assigned “buy” or “strong buy” ratings, while nine (43%) have assigned “hold” ratings.
Can AK Steel Regain Its Lost Mojo in 1Q17?
Previously, we looked at AK Steel’s (AKS) 1Q17 earnings estimates. In this article, we’ll look at some key updates the markets could be anticipating in the company’s 1Q17 earnings call.
Why Short Interest in Valero Soared in 2017
Valero Energy (VLO) has witnessed a rise in its short interest since mid-February 2017.
Analysts Might Take a Fresh Look at U.S. Steel Corporation
U.S. Steel Corporation will release its 1Q17 earnings on April 24 after the market closes. The company’s earnings conference call will be on April 25.
S&P 500 Is Stable amid Trump-Xi Summit
After a volatile day on Wednesday, the S&P 500 regained some strength on April 6. It bounced back from its 50-day moving average and closed positive.
What Should Alcoa Investors Make of Aluminum Premiums?
Aluminum premiums are key indicators that investors in primary producers such as Century Aluminum (CENX), Norsk Hydro (NHYDY), and Rio Tinto (RIO) should track.
US Markets Digest Interest Rate Hike Comments
The S&P 500 was strong and closed at the highest levels since March 20. The market was supported by a rally in energy and consumer discretionary stocks.
What the Divergence in Flat Rolled Steel Imports Tells Us
In this article, we’ll look at February 2017’s flat rolled steel imports and study whether there’s a divergence in the imports of these products.
How Does Tesoro’s PEG Compare to Its Peers’?
In this article, we’ll compare Tesoro’s (TSO) PEG ratio (price-to-earnings to blended growth rate) to those of its peers. We’ve considered the mean estimate of PEG.
How Raw Material Prices Could Impact U.S. Steel’s Performance
ArcelorMittal’s mining operations generated an operating income of $203 million in 4Q16, almost double what they generated in 3Q16.
Could Valero’s Refining Margins Soar in 1Q17?
Valero’s Midcon crack indicator rose to $11.90 per barrel in 1Q17 from $10.90 per barrel in 4Q16.