US stock futures were mixed after Thursday’s deepest equity selloff since June, with investors sitting tight before the August jobs report.
Equities declined yesterday, as investors rotated out of tech names including Apple (AAPL: -8.01%), Tesla (TSLA: -9.02%) and Amazon (AMZN: -4.63%), following their rally into previously unseen prices.
A record $180 billion was erased from Apple’s market valuation; the most that any American company has ever lost in a single day.
Ahead, the jobs report is expected to show improvement in the labor market, with the unemployment rate projected to drop below 10%.
TODAY'S TOP HEADLINES
Coronavirus: Indian Cases Surge Again. (Bloomberg)
The pandemic continued to spread in India, which added more than 83K infections, taking total cases in the country to almost 4 million.
Today's Economical Announcements.
08:30AM - ★★★ - Nonfarm Payrolls (Aug) (Previous: 1.763M)
08:30AM - ★★★ - Unemployment Rate (Aug) (Previous: 10.2%)
STOCKS IN THE SPOTLIGHT
Pre-Market Movers & News Related Stocks.
DocuSign (DOCU): [EARNINGS] Reported quarterly earnings of 17 cents per share, more than doubling the 8 cents a share consensus estimate. Revenue also beat forecasts and DocuSign issued upbeat full-year guidance.
Wayfair (W): [DOWNGRADE] Bank of America Securities downgraded the online retailer of home goods to “neutral” from “buy,” saying both expectations and valuation are high when compared to Wayfair’s history.
Lululemon (LULU): [DOWNGRADE] Citi downgraded the athletic apparel maker to “neutral” from “buy,” but raised its price target on the stock to $400 per share from $340 a share. Citi said it still likes the Lulu brand short and long term but that the stock is “pricing in perfection.”
Michaels Companies (MIK): [UPGRADE] Credit Suisse upgraded the arts and crafts retailer’s stock to “outperform” from “neutral,” saying the pullback in the stock provides a buying opportunity and that Michaels is exhibiting strong demand trends and improved profit margins.
Yum China (YUMC): [NEWS] Is set to raise more than $2.2 billion in a secondary listing in Hong Kong, according to sources who spoke to CNBC.
Broadcom (AVGO): [EARNINGS] Came in 16 cents a share above estimates, with quarterly profit of $5.40 per share. The chip maker’s revenue also came in slightly above analysts’ forecasts. It also issued a better-than-expected current-quarter outlook amid expected 5G phone launches and strong demand for Broadcom’s data center chips.
Cooper Companies (COO): [EARNINGS] Reported a quarterly profit of $2.28 per share, beating the consensus estimate of $1.52 a share. Revenue also topped Wall Street forecasts and it gave an upbeat current-quarter revenue outlook.
Smith & Wesson Brands (SWBI): [EARNINGS] Earned 97 cents per share for its fiscal first quarter, more than double the 48 cents a share consensus estimate. Revenue was well above analysts’ projections. The company said it saw record revenue and unit sales during the quarter.
Navistar (NAV): [NEWS] Volkswagen’s truck unit plans to resume its push to buy Navistar, according to people familiar with the matter who spoke to Bloomberg. VW’s heavy truck business Traton had offered $2.9 billion for Navistar in January, but the talks were put on hold due to the pandemic.
Goldman Sachs (GS): [NEWS] Malaysia dropped criminal charges against three of the investment bank’s units after Goldman agreed last month to a $3.9 billion settlement in the case involving Malaysia’s state investment fund 1MDB.
Grubhub (GRUB): [NEWS] Just Eat Takeaway said it had received all necessary regulatory approvals for its $7.3 billion deal to buy Grubhub. It expects the deal to be completed in the first half of 2021, pending shareholder approval.
New York Times (NYT): [NEWS] CEO Mark Thompson disclosed the sale of 58,600 shares in a Securities and Exchange Commission filing. Following the transaction, Thompson owns 258,100 shares of the newspaper publisher.
GAINERS: NAV, RL
DECLINERS: CONN, LPSN, MTSI, EDIT, IIVI, ZI, HOME
Brookline Capital Acquisition (BCACU) (Price: 10) (Est. Vol: $50.0M)
HighCape Capital Acquisition (CAPAU) (Price: 10) (Est. Vol: $100.0M)
Industrial Tech Acquisitions (ITACU) (Price: 10) (Est. Vol: $75.0M)
Tailwind Acquisition (TWND.U) (Price: 10) (Est. Vol: $300.0M)
WE WILL SHOW YOU THE WAY!