The PBR1000 for September 2019: American Football Starts, It’s A Lot Like International Trade Negotiations.
International Big Business is a lot like American football. You need to have excellent and powerful offenses and defenses.
By Larry C. Paxton
The September 2019 breaking news items of interest for The PBR1000 follow with the most current date first.
***Monday, September 30
The PBRMarketTools US Stock Exchanges Recap for September ending 09/30/19:
DJIA ends September 2019 at 26,916.83, +0.36% from last Friday, +1.95% MTD, +1.19% QTD, +15.39% YTD, -1.62% from record 27,359.16 set 07/15/19.
NASDAQ ends September at 7,999.34, +0.75% from last Friday, +0.46% MTD, -0.09% QTD, +20.56% YTD, -3.97% from record 8,330.21 set 07/26/19.
SPX ends September at 2,976.74, +0.50% from last Friday, +1.72% MTD, +1.19% QTD, +18.74% YTD, -1.62% from record 3,025.86 set 07/26/19.
The September 2019 News Summary: The month ended with US/China trade negotiations scheduled to continue in October. The US Beige Book indicated modest expansion of the US economy. A week later the Federal Reserve Open Market Committee lowered the federal funds rate by 0.25% to 1.75-2.00%. Other US economic data indicates a contraction in manufacturing, but continued modest to moderate growth. In other international news Saudi Arabia oilfields were hit, evidence points to Iran, but repairs are expected to bring production up to previous levels soon. The UK Brexit is still a mess as new Prime Minister Boris Johnson’s efforts have not amounted to much and he is under heavy criticism. The Eurozone is implementing some quantitative easing. Back in the US some severe weather storms affected some coastal areas. But at the end of the month the biggest storm was the US House approving and then aggressively pursuing an impeachment inquiry against President Trump based on his conversations with Ukraine leadership. Overall, it was a good month for the US stock markets with The Stock Market Bull winning 3-0 over The Stock Market Bear who not able to take advantage of the political and international turmoil.
The Month 9 of 2019 tally YTD is:
The Stock Market Bull: 7 months
The Stock Market Bear: 2 months
Mixed Results: 0 months
Walmart(PBR1 $WMT) takes on Amazon(PBR5 $AMZN) in India with enhancements to Flipkart’s ‘Big Billion Days’ MarketWatch PR link.
Fannie Mae(PBR22 $FNMA) and FreddieMac(PBR39 $FMCC) get approval by FHFA and US Treasury to retain capital up to $45 billion combined to minimize impact of an economic downturn. FHFA PR link.
Boeing(PBR28) forms new Product and Services Safety organization in addition to previously announced Aerospace Safety Committee to unify its approach to safety. $BA PR link.
Johnson & Johnson(PBR35)’s Janssen unit gets US FDA approval for a new indication for INVOKANA® (canagliflozin) to reduce the risk of end-stage kidney disease (ESKD), worsening of kidney function, cardiovascular (CV) death, and hospitalization for heart failure in adults with type 2 diabetes and diabetic kidney disease (nephropathy) with a certain amount of protein in the urine. $JNJ PR link.
HP Inc(PBR54) announces the HP Spectre x360 13, 13% smaller, 22 hour battery life, 2.8 lbs, available in 10/19 on HP.com, starts at $1,099. $HPQ PR link.
Dollar General(PBR111) opens its 16,000th store, located in Panama City, FL. $DG PR link.
Sempra Energy(PBR259) to sell its equity interests in its Peruvian businesses, including its 83.6% stake in Luz del Sur, to China Yangtze Power International (Hong Kong) for $3.59 billion in cash. $SRE PR link.
Blackstone(PBR424) to acquire Colony Industrial, the industrial real estate assets and affiliated industrial operating platform of Colony Capital(PBR790), for $5.9 billion, to close in 4Q19. $BX PR link.
Blackstone(PBR424) completes acquisition of San Francisco, CA based performance marketing platform for in-app video advertisements on mobile devices provider Vungle, used by publishers of more than 60,000 mobile apps worldwide, terms not disclosed. $BX PR link.
Colfax(PBR649) completes $1.80 billion sales of its Air and Gas Handling business to KPS Capital Partners. $CFX PR link.
Gannett(PBR745) special stockholders meeting set for 11/14/19 to vote on $12.06/share $1.35 billion cash and stock acquisition by New Media Investment Group(NYSE: NEWM), to close by 12/31/19. $GCI PR link.
Genesco(PBR865) authorizes new up to $100 million share repurchase program. $GCO PR link.
Cabot Oil & Gas(PBR867) to sell its 20% interest in Meade Pipeline to a NextEra Energy Partners(NYSE: NEP) subsidiary for $256 million, to close in 4Q19. $COG PR link.
The US Dept of the Treasury says the US National Debt-Public on 09/27/19 is at $22.622 trillion, Intragovernmental Holdings $5.848 trillion, Total US Debt $22.622 trillion, +0.7% from 08/30/19, +3.0% from 12/31/18, +5.1% from 07/31/18. USTreasury PR link.
The US Dept of Treasury says the US 09/30/19 10 Year Treasury Note Yield is at 1.68%, 08/30/19 was at 1.50%, 07/31/19 2.53%, 09/30/18 3.05%. USTreasury PR link.
The US Dept of Commerce/BEA says the US Preliminary 2Q19 Net International Investment Position-Assets is at $28.009 trillion, Liabilities $38.565 trillion, for a Deficit $10.555 trillion, +3.9% from 1Q19, +18.5% from 2Q18. USDOC PR link.
The US Federal Reserve Bank of Chicago says the US 7th District Preliminary August 2019 Midwest Economy Index is at -0.26, July 2019 was at -0.37, June 2019 -0.29, August 2018 +0.29. “Index points to a pickup in Midwest economic growth in August.” ChiFed PR link.
MNI says the Chicago September 2019 Business Barometer(<50=Declining) is at 47.1, August 2019 was at 50.4, July 2019 44.4, September 2018 60.4. MNI PR link.
The American Automobile Assn says the US 09/30/19 Average Price Per Gallon of Regular Gas is at $2.654, 08/30/19 was at $2.580, 07/31/19 $2.721, 09/28/18 $2.875. AAA PR link.
***Friday, September 27
The PBRMarketTools US Stock Exchanges Recap for Week 39 ending 09/27/19:
DJIA ends Week 39 at 26,820.25, -0.43% from last Friday, +1.58% MTD, +0.83% QTD, +14.97% YTD, -1.97% from record 27,359.16 set 07/15/19.
NASDAQ ends Week 39 at 7,939.63, -2.19% from last Friday, -0.29% MTD, -0.83% QTD, +19.66% YTD, -4.69% from record 8,330.21 set 07/26/19.
SPX ends Week 39 at 2,961.79, -1.01% from last Friday, +1.21% MTD, +0.68% QTD, +18.15% YTD, -2.12% from record 3,025.86 set 07/26/19.
The Week 39 News Summary: There was a new hot topic this week, the Impeachment Inquiry by the US House as they questioned President Trump’s conversation with Ukraine’s leader where he suggested an investigation into Joe Biden and his son Hunter, with both sides taking an aggressive posture. President Trump also gave a somewhat controversial speech at the UN regarding the purpose of a nation. There continue to be growing concerns about the slowing global economy, with the Eurozone prepared to take some actions. US economic news is also mixed, but still growing at a moderate and steady rate. The US Senate passed a spending bill that will take the government through 11/21/19. While The Stock Market Bull tried to turn Week 39 around on Wednesday, he was unsuccessful, and The Stock Market Bear prevailed for a second week in a row, winning 3-0.
The Week 39 of 2019 tally YTD is:
The Stock Market Bull: 19 weeks
The Stock Market Bear: 14 weeks
Mixed Results: 6 weeks
Tesla(PBR140 $TSLA) unfairly fought union organizing and must reimburse employees, judge finds. MarketWatch PR link.
Mylan(PBR272) to pay $30 million fine to the US Securities and Exchange Commission over EpiPen® and EpiPen Jr® Auto-Injectors for purposes of the Medicaid Drug Rebate Program, Mylan neither admits nor denies the SEC’s allegations. $MYL PR link.
Herbalife(PBR535 $HLF) agrees to pay $20 million to settle charges with the US Securities and Exchange Commission that it made false and misleading statements about its China business model in numerous US regulatory filings over a six-year period. SEC PR link.
Ametek(PBR537) to acquire Pleasanton, CA based $180 million in annual sales instrumentation and software used to enhance and extend the operation and performance of electron microscopes manufacturer Gatan from Roper Technologies(PBR517) for $925 million cash, to close in 4Q19. $AME PR link.
Wells Fargo(PBR29) hires Charles W. Scharf as President/CEO and member of the Board, to be effective 10/21/19. $WFC PR link.
Pfizer(PBR59) Executive Chairman Ian Read to retire on 12/31/19, CEO Albert Boura to also become Chairman on 01/01/20. $PFE PR link.
BNY Mellon(PBR185) Chairman/CEO Charles W. Scharf to become President/CEO of Wells Fargo(PBR28), Todd Gibbons appointed Interim CEO and member of the Board. $BK PR link.
The US Dept of Commerce/BEA says the US Preliminary August 2019 Personal Income Annual Rate is at $18.773 trillion, +0.4% from July 2019, +6.2% from August 2018, Personal Savings Rate is at +8.1%, Effective Tax Rate +11.7%. USDOC PR link.
The Conference Board says the US Final September 2019 Consumer Sentiment Index is at 93.5, August 2019 was at 89.8, July 2019 98.4, September 2018 100.1. TCB PR link.
***Thursday, September 26
ExxonMobil(PBR2) to sell its non-operated upstream assets in Norway for $4.5 billion as part of its previously announced plans to divest approximately $15 billion in non-strategic assets by 2021, to Vår Energi AS, to close in 4Q19. $XOM PR link.
Lockheed(PBR59) authorizes up to an additional $1.0 billion share repurchase program, balance available now is around $3.3 billion. $LMT PR link.
Abbott(PBR99) gets US FDA approval for its Proclaim XR™ recharge-free neurostimulation system for people living with chronic pain. $ABT PR link.
NGL Energy(PBR120) to acquire all of the equity interests of producer of water pipeline and disposal infrastructure solutions to some in the New Mexico and Texas producers Hillstone Environmental Partners from Golden Gate Capital for approximately $600 million, to close by 12/31/19. $NGL PR link.
WellCare Health Plans(PBR151) to sell its Missouri and Nebraska Medicaid plans to Anthem(PBR33) to meet US regulatory requirements for its $305.39/share cash & stock, $17.3 billion acquisition by Centene(PBR50), to close in 1H20. $WCG PR link.
Blackstone(PBR424) completes $18.7 billion acquisition of assets from three of GLP’s US funds, totals 179 million square feet of urban, infill logistics assets, nearly doubling the size of Blackstone’s existing US industrial footprint. $BX PR link.
Skechers(PBR549) says that since 2016 it has reduced its use of plastic in its footwear packaging by 85 percent to 10 percent of its foot forms, all of which is recyclable. $SKX PR link.
Superior Energy(PBR873) gets delisting notice from NYSE for low stock prices, common stock to start trading on 09/27/19 on the OTC exchange with ticker SPNV, plans to appeal decision. $SPN PR link.
Becton Dickenson(PBR192) Chairman/CEO Vincent Forlenza to step down as CEO, become Executive Chairman, President/COO Thomas E. Polen to become CEO, to be effective 01/28/20. $BDX PR link.
The US Dept of Commerce/BEA says the US 2Q19 3rd Estimate Gross Domestic Product Annual Growth Rate remains at +2.0%, $21.340 trillion, +1.1% from 1Q19, +4.1% from 2Q18. USDOC PR link.
The US Dept of Labor says the US 4 Week Moving Average Initial Unemployment Insurance Claims for the Week Ending 09/20/19 was at 212,000, -1.2% from 08/24/19, +2.8% from 09/22/18. USDOL PR link.
FreddieMac(PBR39) says the US Average 30 Year Fixed Mortgage Rate on 09/26/19 is at 3.64% with 0.6 points/fees, 08/29/19 was at 3.58%, 07/25/19 3.75%, 09/27/18 4.72%. $FMCC PR link.
The Kaiser Family Foundation says the annual family premiums for employer-sponsored health insurance rose 5% to average $20,576 this year, with employers covering 71% of the cost, workers wages rose 3.4% and inflation 2% over the same time. KFF PR link.
***Wednesday, September 25
Amazon(PBR5) announces Certified for Humans, a new program to help find products that are tested to be simple to setup and work dependably with Alexa, and new devices like the 4-in-1 Amazon Smart Oven. $AMZN PR link.
Amazon(PBR5 $AMZN) launches Amazon Care pilot health care program for Seattle area employees with virtual, in-home options. MarketWatch PR link.
Marathon Petroleum(PBR31 $MPC) is sent letter by activist investor Elliott Management recommending MPC split into 3 companies to increase shareholder value. Elliott Management PR link.
Marathon Petroleum(PBR31) responds to letter from activist investor Elliott Management, says how it has done a good job for shareholders, will thoroughly evaluate Elliott’s proposal. $MPC PR link.
Philip Morris(PBR36) and Altria(PBR112) end merger discussions, each will focus on IQOS heated tobacco product. $PM PR link.
Facebook(PBR56) introduces hand tracking on Oculus Quest, announces Facebook Horizon for creating VR worlds. $FB PR link.
Best Buy(PBR70) sets financial targets for 2025, includes $50 billion in enterprise revenue, $1 billion of additional cost reductions and efficiencies. $BBY PR link.
Abbott(PBR99) gets US FDA clearance for ARCHITECT STAT High Sensitivity Troponin-I blood test, could help identify heart attacks several hours sooner than standard troponin tests and help improve diagnosis in women. $ABT PR link.
VF Corp(PBR229) expects to generate approximately $8 billion of free cash flow on a cumulative basis between fiscal 2020 and fiscal 2024 and intends to return $10 billion to shareholders through dividends and share repurchases. $VFC PR link.
Mattel(PBR562) announces the global unveil of Creatable World™, a customizable doll line offering endless combinations all in one box, consists of six different doll kits that are available in a variety of skin tones, retail price $30. $MAT PR link.
Tailored Brands(PBR694) gets multiyear partnership with the National Hockey League (NHL®),first partnership with the NHL, hockey fans will be able to customize their suits, sport coats, formal jackets and vests with linings from their favorite NHL teams by visiting any Men’s Wearhouse and Jos. A. Bank stores throughout the U.S. and Moores stores across Canada. $TLRD PR link.
eBay(PBR285)‘s Devin Wenig steps down as President/CEO and Board member, SVP/CFO Scott Schenkel appointed Interim CEO, internal/external new CEO search starts. $EBAY PR link.
The US Dept of Commerce/HUD says the US Preliminary August 2019 New Family Homes for Sale Annual Rate is at 713,000 units, +7.1% from July 2019, +18.0% from August 2018; Median Price is at $328,400, +7.5% from July 2019, +2.2% from August 2018; Months Supply at 5.5. USDOC PR link.
The US Energy Information Administration says the US Crude Oil Stocks on 09/20/19 were at 419.5 million barrels of oil, -1.9% from 08/23/19, +5.9% from 09/21/18. USEIA PR link.
***Tuesday, September 24
Alphabet(PBR16 $GOOG)’s Google unit apologizes, promises to give users more control over how and when it stores voice recordings. MarketWatch PR link.
Sprint(PBR89) being investigated by the US Federal Communications Commission for violations of the Lifeline program for low income people, claims Sprint received public payments for 850,000 inactive users, FCC says it jeopardizes merger with T-Mobile US(PBR68). $S PR link.
Fluor(PBR158) announces strategic plan to sell its construction equipment rental company (AMECO) and its government business, and to monetize surplus real estate and non-core investments, anticpates $1+ billion in aggregate proceeds. $FLR PR link.
HD Supply(PBR470) intends to separate its Facilities Maintenance and Construction & Industrial businesses into two independent publicly traded companies, to be completed by mid 2020. $HDS PR link.
Bloomin’ Brands(PBR602) kicks off exclusive partnership with DoorDash with a free 6 oz. Outback Center-cut Sirloin and a side give-away, with a minimum $20 purchase, 10,000 per day for 5 days, 09/25-29/19. $BLMN PR link.
Vail Resorts(PBR886) completes $11.00/share, around $264 million all stock acquisition of $60 million revenues in 12 months ending 07/31/19 Peak Resorts(NASDAQ: SKIS), adds 17 US ski areas to its network. $MTN PR link.
Fortune Brands(PBR497) CEO Christopher Klein to become Executive Chairman, President/COO Nick Fink to become CEO, current Chairman David Thomas to become Lead Independent Director, all on 01/06/20. $FBHS PR link.
The Conference Board says the US Preliminary September 2019 Consumer Confidence Index(1985=100) is at 125.1, August 2019 was at 134.2. “The escalation in trade and tariff tensions in late August appears to have rattled consumers. However, this pattern of uncertainty and volatility has persisted for much of the year and it appears confidence is plateauing. While confidence could continue hovering around current levels for months to come, at some point this continued uncertainty will begin to diminish consumers’ confidence in the expansion.” TCB PR link.
The S&P CoreLogic Case-Shiller US July 2019 National Home Price Index(Jan2000=100) is at 211.72, June 2019 was at 210.90, May 2019 209.69, Dec 2018 204.95, Dec 2017 196.02. Case-Shiller PR link.
The US Federal Reserve Bank of Richmond says the US 5th District September 2019 Manufacturing Index(Annualized) is at -9%, August 2019 was at +1%, July 2019 -12%, September 2018 +26%. “Firms … reported a drop in backlog of orders and weakening local business conditions but were optimistic that conditions would improve in the coming months.” RichmondFed PR link.
The US Federal Reserve Bank of Richmond says the US 5th District September 2019 Service Sector Revenue Index(Annualized) is at +6%, August 2019 was at +6%, July 2019 +11%, September 2018 +18%. “… growth of prices paid continued to outpace that of prices received. However, firms expected the gap to narrow in the coming months.” RichmondFed PR link.
***Monday, September 23
Apple(PBR3)‘s new Mac Pro to be made in Austin, TX, will include components designed, developed and manufactured by more than a dozen American companies for distribution to US customers. $AAPL PR link.
Amazon(PBR5) announces plans for a new 1-million sf fulfillment centre in Scarborough, Toronto, Canada, will create 600+ full-time jobs with comprehensive benefits. $AMZN PR link.
Alphabet(PBR16)’s Google unit announces new subscription service, Google Play Pass, $1.99/mo for 12 months introductory price, $4.99/mo thereafter, includes 350 mobile apps and games without ads. $GOOG PR link.
Dow(PBR50) to receive around $1.08 billion from Canadian court decision against Nova Chemicals for damages Dow incurred through 2012 related to the companies’ jointly-owned ethylene asset in Joffre, Alberta, Canada. $DOW PR link.
Facebook(PBR56 $FB) to buy startup CTRL-Labs that lets humans control computers with their brains. MarketWatch PR link.
American Express(PBR74) authorizes up to 120 million share repurchase program, replaces the 41 million shares of common stock remaining from the previous board authorization in 2016. $AXP PR link.
Bristol-Myers Squibb(PBR132) extends expiration date of the offers to exchange the Celgene(PBR204) notes for up to $19,850,000,000 from 09/30/19 to 10/15/19, 5:00PM NYC time. $BMY PR link.
PG&E(PBR177) signs agreement to resolve all insurance subrogation claims arising from the 2017 Northern California wildfires and 2018 Camp Fire, reached with entities representing approximately 85% of insurance subrogation claims, formalizes the $11 billion agreement in principle announced last week. $PCG PR link.
Viacom(PBR241) acquires Seinfeld comedy series from Sony Pictures Television, includes exclusive cable rights for all 180 episodes beginning in 10/21. $VIA PR link.
Caesars Entertainment(PBR358) to sell the Rio All-Suite Hotel & Casino to Imperial Companies for $516.3 million, Caesars will continue to operate the property under a $45 million lease/year for at least 2 years, to close in 4Q19. $CZR PR link.
Hershey(PBR381) completes $397 million acquisition of maker of a line of low-sugar, high-protein nutrition bars ONE Brands. $HSY PR link.
Wyndham Destinations(PBR616) and Caesars Entertainment(PBR358) extend their marketing partnership to 2030. $WYND PR link.
The US Federal Reserve Bank of Chicago says the US Preliminary August 2019 National Activity Index is at +0.10, July 2019 was at -0.41, June 2019 +0.13, August 2018 +0.46. ChiFed PR link.
***Friday, September 20
The PBRMarketTools US Stock Exchanges Recap for Week 38 ending 09/20/19:
DJIA ends Week 38 at 26,935.07, -1.05% from last Friday, +2.01% MTD, +1.26% QTD, +15.47% YTD, -1.55% from record 27,359.16 set 07/15/19.
NASDAQ ends Week 38 at 8,117.67, -0.72% from last Friday, +1.94% MTD, +1.39% QTD, +22.34% YTD, -2.55% from record 8,330.21 set 07/26/19.
SPX ends Week 38 at 2,992.07, -0.51% from last Friday, +2.24% MTD, +1.71% QTD, +19.36% YTD, -1.12% from record 3,025.86 set 07/26/19.
The Week 38 News Summary: The saga continues over the US/China trade negotiations as mixed signals ended the week with talks scheduled, but a trip to Montana cancelled by some Chinese officials. Early in the week Saudi Arabia oil fields are hit by drone strikes with initial analysis indicating Iran was involved, more sanctions were placed on the Iran central banks, there might be a military response, Saudi Arabia says the hit oilfields should be back at full production by the end of the month. Economic news continued to show moderate but slowing growth for the US, and more so globally. The Federal Reserve Open Market Committee lowered the federal funds rate by 0.25% to 1.75%-2.00%. Many General Motors plants were idled as a strike by 50,000 GM workers continued throughout the week. There was not much volatility in the US stock exchanges and the week could have gone either way going into Friday. But the China delegation trip cancellation tipped the scales and The Stock Market Bull lost his 3 week win momentum to The Stock Market Bear who growled tauntingly when the US stock exchanges closed and he had secured the 3-0 victory.
The Week 38 of 2019 tally YTD is:
The Stock Market Bull: 19 weeks
The Stock Market Bear: 13 weeks
Mixed Results: 6 weeks
Walmart(PBR1 $WMT) stop selling all e-cigarettes in its US stores after it winds down its current inventory of e-cigarettes, citing regulatory uncertainty around the vaping devices. MarketWatch PR link.
Merck(PBR71) gets US FDA approval for PIFELTRO™ (in combination with other antiretroviral agents) and DELSTRIGO™ (as a complete regimen) that expand their indications to include adult patients with HIV-1 infection who are virologically suppressed. $MRK PR link.
Starbucks(PBR115 $SBUX) launches a new store format, Starbucks Pickup, that will be exclusively for Rewards members who use the mobile-order-and-pay option. MarketWatch PR link.
Alcoa(PBR234) announces that the United Steelworkers have ratified a new 4 year labor agreement, covering approximately 1,700 active employees at five U.S. locations. $AA PR link.
NVR(PBR405) to move from the S&P MidCap 400 to the S&P 500, to replace Jefferies Financial(PBR635) who will be moved to the S&P MidCap 400, effective 09/26/19. -S&P $NVR PR link.
McDermott Intl(PBR433) to explore strategic alternatives for its licensor of proprietary petrochemicals, refining, gasification and gas processing technologies, and a supplier of proprietary catalysts and related engineering Lummus Technology unit, recently received unsolicited approach for all or part of the unit with valuation exceeding $2.5 billion. $MDR PR link.
Post Holdings(PBR460) to spin off its Active Nutrition business, which markets and distributes ready-to-drink protein and other beverages, protein powders, nutrition bars and other nutritional supplements under the Premier Protein, Dymatize, PowerBar, Supreme Protein and Joint Juice brands, to be called BellRing Brands, IPO expected to be completed in Fall 2019. $POST PR link.
TransDigm(PBR630) completes divestiture of its Esterline Interface Technologies group of businesses to an affiliate of KPS Capital Partners for approximately $190 million, expects to complete divestiture of the Souriau-Subank Connection Technologies business to Eaton Corp(PBR139) during 4Q19. $TDG PR link.
The US Federal Reserve says that the US Preliminary 2Q19 Total Net Worth of Households and Non-Profits is at $113.463 trillion, +1.7% from 1Q19, +4.9% from 2Q18. USFed PR link.
***Thursday, September 19
Amazon(PBR5) co-founds The Climate Pledge, commits to net zero carbon by 2040 and 100% renewable energy by 2030, orders 100,000 fully-electric delivery vehicles. $AMZN PR link.
Walgreens Boots Alliance(PBR17 $WBA) and FedEx(PBR43 $FDX) to use Alphabet(PBR15 $GOOG)’s Wing company to test drone delivery services for residents of Christiansburg in Virginia’s New River Valley. Wing PR link.
Target(PBR38) authorizes a new $5 billion share repurchase program, will begin repurchasing shares under this new authorization upon completion of the current $5 billion program, which is expected to occur in the 2020 fiscal year. $TGT PR link.
Tesla(PBR140) gets Insurance Institute for Highway Safety 2019 IIHS TOP SAFETY PICK+ vehicle, the highest achievement awarded by the Institute, for the Tesla Model 3. $TSLA PR link.
Western Digital(PBR149) to sell its IntelliFlash™ business to DDN, DDN to increase its purchase of Western Digital’s HDD and SSD storage devices, part of Western Digital’s strategic intention to exit Storage Systems, terms not disclosed. $WDC PR link.
Dominion Energy(PBR235) proposes 2,600 megawatts of wind energy by 2026 off Virginia coast, 220+ wind turbines would power 650,000 homes. $D PR link.
Navistar(PBR297) making a capital investment of more than $250 million to build a new manufacturing facility in San Antonio, TX, will create around 600 jobs. $NAV PR link.
Darden Restaurants(PBR349) authorizes new up to $500 million share repurchase program, no expiration date, replaces current authorization. $DRI PR link.
Marvell Technology(PBR751) completes $13.25/share, $452 million acquisition of high speed networking in a broad range of applications from enterprise campuses to autonomous cars multi-gig technology pioneer Aquantia(NYSE: AQ). $MRVL PR link.
TEGNA(PBR864) completes $740 million in cash acquisition of 11 local television stations, including eight Big Four affiliates, from Nexstar Media(PBR768). $TGNA PR link.
KeyCorp(PBR397) Chairman/CEO Beth Mooney to retire on 05/01/20, Chris Gorman appointed President/COO, to be Chairman/CEO upon Mooney’s retirement. $KEY PR link.
The US Dept of Commerce/BEA says that the US Preliminary 2Q19 Exports were at $943.0 billion, Imports $1,071.1 billion, for a Deficit of $128.2 billion, -5.9% from 1Q19, +19.5% from 2Q18. USDOC PR link.
The Natl Assn of Realtors says the US Preliminary August 2019 Existing Home Sales Annual Rate is at 5,490,000, +1.3% from July 2019, +2.6% from August 2018; Median Home Price was at $278,200, -0.2% from July 2019, +4.7% from August 2018; Median Time On Market is at 31 days. NAR PR link.
The Conference Board says the US Preliminary August 2019 Leading Economic Index(2016=100) is at 112.1, July 2019 was also at 112.1, June 2019 111.7, August 2018 111.3. “The recent trends in the LEI are consistent with a slow but still expanding economy, which has been primarily driven by strong consumer spending and robust job growth.” TCB PR link.
The US Federal Reserve Bank of Philadelphia says the US 3rd District September 2019 Manufacturing General Activity Indicator is at +12.0, August 2019 was at +16.8, July 2019 +21.8, September 2018 +21.4. “Although most future indexes moderated this month, the firms continue to expect increases in activity and employment over the next six months.” PhillyFed PR link.
***Wednesday, September 18
Amazon(PBR5) says it has received over 208,000 online applications for roles in the US since announcing Career Day. $AMZN PR link.
Amazon(PBR5) announces PayCode service in the US, allows customers to choose Amazon PayCode at checkout and then pay for their purchase in cash at one of 15,000 Western Union(PBR488) locations, items ship once customers pay for their purchase in person at a participating Western Union location. $AMZN PR link.
Microsoft(PBR25) authorizes new up to $40 billion share repurchase program, has no expiration date. $MSFT PR link.
Johnson & Johnson(PBR35)’s Janssen unit gets US FDA approval for ERLEADA® (apalutamide) for the treatment of patients with metastatic castration-sensitive prostate cancer (mCSPC). $JNJ PR link.
Facebook(PBR56) is expanding its Portal family of home video-calling devices with three new models: Portal for $179, Portal Mini for $129 and Portal TV for $149 with bundle for any two for $50 off. $FB PR link.
Tyson(PBR75) launches a new line of functional refrigerated protein snacks under its new brand, Pact®. $TSN PR link.
Sprint(PBR89) announces a 12-year virtual power purchase agreement for 173.3 megawatts from the 182-MW Maryneal Windpower project located in Nolan County, TX, which will be built, owned and operated by Duke Energy(PBR117) Renewables unit, to be online in 2020. $S PR link.
Capital One(PBR93) and Walmart(PBR1 $WMT) introduce the Capital One co-branded card, the Capital One Walmart Rewards Mastercard, and the private-label card exclusively for Walmart purchases, features include 5% back for purchases made on Walmart.com. $COF PR link.
Northrop Grumman(PBR103) reorganizing into 4 operating sectors, Aeronautics Systems, Defense Systems, Mission Systems and Space Systems, effective 01/01/20. $NOC PR link.
CenturyLink(PBR156) gets new agreement with the Communications Workers of America (CWA) District 7 members through 04/23, covers 8,000 employees in 13 states. $CTL PR link.
Realogy(PBR468) launches RealVitalize in partnership with HomeAdvisor, allows home sellers to utilize HomeAdvisor for non-structural home improvements which are paid upon sale of the house. $RLGY PR link.
Herbalife(PBR534) announces 3 year partnership with Tencent, China’s leading internet and technology company, to help independent distributors more effectively sell products online. $HLF PR link.
Global Payments(PBR678) completes $21.5 billion all-stock merger of equals with TSYS(PBR607), name remains Global Payments. $GPN PR link.
Park Hotels(PBR736) completes $31.00/share, $2.7 billion cash and stock acquisition of upper-upscale 20 hotels with an aggregate of 6,288 rooms in eight states and the District of Columbia Chesapeake Lodging Trust(NYSE:CHSP). $PK PR link.
The US Federal Reserve Open Market Committee lowers the federal funds rate by 0.25% to 1.75%-2.00%, says that since the previous meeting in July 2019 “the labor market remains strong and that economic activity has been rising at a moderate rate.” FOMC PR link.
The US Dept of Commerce/HUD says the US Preliminary August 2019 Housing Permits Issued Annual Rate was at 1,419,000 units, +7.7% from July 2019, +12.0% from August 2018. USDOC PR link.
***Tuesday, September 17
Apple(PBR3) awards an additional $250 million from Advanced Manufacturing Fund to Corning(PBR269), the supplier of precision glass for iPhone, Apple Watch and iPad. $AAPL PR link.
Amazon(PBR5) launches Amazon Music HD, a new tier of premium quality music with more than 50 million songs in High Definition, and millions of songs in Ultra High Definition, the highest quality streaming audio available, for $12.99/month for Prime members and $14.99/month for Amazon customers, or an additional $5/month for current subscribers. $AMZN PR link.
Comcast(PBR32)’s NBCUniversal unit announces Peacock TV streaming service, to be available in 04/20, will have over 15,000 of content, be used during the 2020 Summer Olympics, pricing to be announced later. $CMCSA PR link.
CDW(PBR188 $CDW) to become member of S&P 500 on 09/23/19, will replace soon to be acquired TSYS(PBR608). S&P500 PR link.
Masco(PBR360) authorizes new up to $2 billion share repurchase program, cancels previous program. $MAS PR link.
Raymond James(PBR401 $RJF) per settlement with the US Securities and Exchange Commission to pay $15 million in fines for improperly charging retail investors. SEC PR link.
Chipotle(PBR535) introduces new steak option, carne asada, to be available nationwide 09/19/19. $CMG PR link.
KLA Corp(PBR606) authorizes up to $1 billion share repurchase program, is in addition to current program which has $859 million remaining as of 06/30/19. $KLAC PR link.
The US Dept of Labor says the US 2Q19 Employer Costs for Employees Compensation-Salaries & Wages averages $25.12/hour, Benefits $11.48/hour, Total $36.61/hour, -0.5% from 1Q19, +1.1% from 2Q18. USDOL PR link.
The US Federal Reserve says the US Preliminary August 2019 Manufacturing % of Capacity is at 77.9%, July 2019 was at 77.5%, June 2019 77.8%, August 2018 78.5%, Growth Over Previous Year +2.2%. USFed PR link.
The Natl Assn of Home Builders says the US Preliminary September 2019 Housing Market Composite Index is at 68, the highest in 2019 so far, August 2019 was at 67, July 2019 65, September 2018 67. “Low interest rates and solid demand continue to fuel builders’ sentiments even as they continue to grapple with ongoing supply-side challenges that hinder housing affordability, including a shortage of lots and labor …” NAHB PR link.
PNC Financial(PBR176) Small and Mid-Size Business Owners Survey shows 55% of respondents remain optimistic about their business, a near record high, 67% do not expect a recession in 2019, 33% expect to hire more fulltime employees within the next 6 months, highest since Spring 2005. “U.S. economic fundamentals remain solid, despite slower economic growth and the ongoing trade war between the United States and China …” $PNC PR link.
***Monday, September 16
Amazon(PBR5) announces expansion of its Chicago Tech Hub, plans to create 400 new tech jobs in fields including cloud computing, advertising, and business development. $AMZN PR link.
General Motors(PBR13 $GM) contracts with United Auto Workers expire, 4 year contract being negotiated, 50,000 GM workers go on strike, first strike since 2 day strike in 2007. MarketWatch PR link.
GE(PBR19)’s Baker Hughes company closes secondary offering of 132.25 million shares of BHGE Class A common stock held by GE which now no longer holds a controlling interest in BHGE, in near future to change name to Baker Hughes Corp, ticker symbol BKR. $BHGE PR link.
Energy Transfer(PBR58) to acquire midstream oil and gas transportation provider SemGroup(PBR813) for $17/share cash and stock, around $5 billion, includes debt, to close late 4Q19/early 1Q20. $ET PR link.
Qualcomm(PBR131) completes acquisition of the remaining interest in RF360 Holdings Singapore, a joint venture with TDK Corporation (TSE:6762), for around $3.1 billion. $QCOM PR link.
Parker Hannifin(PBR214) completes $1.725 billion acquisition of privately held Kent, WA based designer and manufacturer of high temperature, high pressure air and exhaust management solutions for aircraft and engines, with annual sales of approximately $450 million and 1,600 team members across three US locations Exotic Metals Forming Co. $PH PR link.
Weyerhaeuser(PBR393) to sell its 555,000 acres of Michigan timberlands to an affiliate of The Lyme Timber Company LP, for $300 million in cash. $WY PR link.
Timken(PBR657) to acquire Pegnitz, Germany based estimated $135 million in revenues in 2019 automatic lubrication systems developer BEKA Lubrication for around $165 million, to close in 4Q19. $TKR PR link.
Marvell Technology(PBR751) to pay $5.5 million to settle SEC charges that it misled investors when it engaged in an undisclosed revenue management scheme in order to meet publicly-issued revenue guidance. $MRVL PR link.
SeaWorld(PBR972)‘s Gustavo Antorcha resigns as CEO and Board member, CFO Marc Swanson appointed Interim CEO. $SEAS PR link.
The Federal Reserve Bank of New York says the US Empire State September 2019 Manufacturing General Business Conditions Index is at +2.0, August 2019 was at +4.8, July 2019 +4.3, September 2018 +18.8. “Indexes assessing the six-month outlook indicated that optimism about future conditions deteriorated noticeably, and capital spending plans weakened markedly.” NYFed PR link.
***Friday, September 13:
The PBRMarketTools US Stock Exchanges Recap for Week 37 ending 09/13/19:
DJIA ends Week 37 at 27,219.52, +1.58% from last Friday, +3.09% MTD, +2.33% QTD, +16.68% YTD, -0.51% from record 27,359.16 set 07/15/19.
NASDAQ ends Week 37 at 8,176.71, +0.91% from last Friday, +2.69% MTD, +2.13% QTD, +23.23% YTD, -1.84% from record 8,330.21 set 07/26/19.
SPX ends Week 37 at 3,007.39, +0.96% from last Friday, +2.77% MTD, +2.23% QTD, +19.97% YTD, -0.61% from record 3,025.86 set 07/26/19.
The Week 37 News Summary: As the week progressed US/China trade took on a more conciliatory and calmer demeanor as new talks were scheduled and some tariffs delayed. US economic data was generally good, with jobs reports, PPI, and CPI numbers indicating continued modest growth and no imminent recession. However, there was some concern over the growing budget deficit which going into the final month now exceeds $1 trillion this fiscal year. Damage from Hurricane Dorian was not as extensive as predicted as it crawled up the East Coast. While not a dramatic week it was nevertheless more somber as the 18th anniversary of 9/11 was observed. With no major drama to wake up The Stock Market Bear it became easy for The Stock Market Bull to dominate all major US stock exchanges and take Week 37 3-0, the 3rd winning week in a row, as new record highs came into view.
The Week 37 of 2019 tally YTD is:
The Stock Market Bull: 19 weeks
The Stock Market Bear: 12 weeks
Mixed Results: 6 weeks
US Foods(PBR119) completes $1.8 billion cash acquisition of Services Group of America‘s $3.2 billion in sales/2017 3,400 employees Food Group of Companies, includes 5 operating units. $USFD PR link.
PG&E(PBR178) agrees in principle with entities representing approximately 85 percent of insurance subrogation claims to an $11 billion settlement to resolve all such claims arising from the 2017 Northern California wildfires and 2018 Camp Fire, subject to approval of the court per filing of Chapter 11 bankruptcy. $PCG PR link.
Pyxus(PBR923) issues statement in response to US Health & Human Services announcement on non-tobacco flavored e-cigarette products, says its products are for adult use only, focus should be on education, not banning flavored products. $PYX PR link.
Conn’s(PBR954) opens 656,658 sf, multistate logistics distribution center in Houston, TX. $CONN PR link.
WW(PBR957) will be changing its legal name from Weight Watchers International, Inc. to WW International, Inc. effective 09/29/19. $WW PR link.
Apple(PBR3) Board member Walt Disney(PBR52) CEO Bob Iger resigns. $AAPL PR link.
The US Dept of Commerce/Census says the US Preliminary July 2019 Sales-Manufacturers was at $504.0 billion, Retailers $459.3, Wholesalers $499.6 billion, Total $1,462.9 billion, +0.3% from June 2019, +1.3% from July 2018. USDOC PR link.
The US Dept of Commerce/Census says the US Advance August 2019 Sales-Retail was at $462.0 billion, Food Services & Drinking Places $64.1 billion, Total $526.1 billion, +0.4% from July 2019, +4.1% from August 2018. USDOC PR link.
The US Dept of Labor says the US Preliminary August 2019 Import Prices were -0.5%, Last 12 Months -2.0%, Export Prices were -0.6%, Last 12 Months -1.4%. USDOL PR link.
The U of Michigan US Preliminary September 2019 Consumer Sentiment Index is at 92.0, August 2019 was 89.8, July 2019 98.4, September 2018 100.1. “The outlook for consumption is for a slower but positive growth, keeping the expansion going for another year.” UMichigan PR link.
***Thursday, September 12:
Walmart(PBR1) to expand the reach of Delivery Unlimited – a Grocery Delivery membership option for customers – to 1,400 stores in 200 markets later this fall, gives customers the option to pay a yearly $98 fee or a monthly $12.95 fee to receive unlimited Walmart Grocery Delivery orders, non-membership pay per delivery option also available. $WMT PR link.
Amazon(PBR5) to open its Regional Air Hub at the Fort Worth Alliance Airport 10/29, will create 300 jobs. $AMZN PR link.
Alphabet(PBR15 $GOOG)’s Google unit is paying more than $1 billion in fines and back taxes to settle a pair of tax disputes in France, where it has faced years of investigations into whether it has properly declared all of its activity in the country. Wall Street Journal PR link.
GE(PBR19) announces tender offers to purchase up to $5 billion of its existing debt. $GE PR link.
Kroger(PBR20) and partner Ocado to open 5th online grocery Customer Fulfillment Center, to be located in Dallas, TX area, will create around 400 jobs. $KR PR link.
Gap Inc(PBR182) gives presentation about Old Navy unit, plans to add 860 stores for a total of around 2,000 after spinoff. $GPS PR link.
Tapestry(PBR474) announces a strategic partnership with Alibaba’s Tmall, China’s largest B2C ecommerce platform, marks a step forward in Tapestry’s ChinaNext digital innovation agenda. $TPR PR link.
The US Dept of Treasury says the US August 2019 Federal Government Receipts were $228.0 billion, Outlays $428.3 billion, for a Deficit of $200.3 billion, Fiscal Year To Date Receipts(11 Months) were at $3.088 trillion, Outlays $4.155 trillion, FYTD Deficit 2019 $1.067 trillion, FYTD Deficit 2018 was at $898.1 billion. USTreasury PR link.
The US Dept of Labor says the US Preliminary August 2019 Employee Current Average Earnings Per Hour are at $28.11, Average Hours Worked Per Week at 34.4, Total Weekly Earnings $966.98, +0.7% from July 2019, +2.9% from August 2018. USDOL PR link.
The US Dept of Labor says the US August 2019 Consumer Price Index-All Items is at +0.1%, July 2019 was at +0.3%, June 2019 +0.1%, August 2018 +0.1%, Last 12 Months +1.7%. USDOL PR link.
***Wednesday, September 11:
MasterCard(PBR208) and enterprise blockchain software provider R3 to develop and pilot a new blockchain-enabled cross-border payments solution that will initially focus on connecting global faster payments infrastructures, schemes and banks supported by a clearing and settlement network operated by Mastercard. $MA PR link.
Wolverine World Wide(PBR859) approves a new, four-year share repurchase program, authorizing up to $400 million in share repurchases that is incremental to the remaining balance of the Company’s share repurchase program that was authorized in 02/19. $WWW PR link.
Oracle(PBR78) Co-CEO Mark Hurd will take a leave of absence for health related reasons, Co-CEO Safra Catz and Executive Chairman/Founder Larry Ellison to cover his responsibilities. $ORCL PR link.
DXC Technology(PBR148) Chairman/President/CEO Mike Lawrie retires as President/CEO, remains Chairman, will retire on 12/31/19, Mike Salvino elected President/CEO, effective immediately. $DXC PR link.
Sanmina(PBR410) elects President/COO Hartmut Liebel as CEO, effective 09/30/19, will succeed Michael Clarke who remains in an advisory role. $SANM PR link.
The US Dept of Labor says the US Preliminary August 2019 Producer Price Index-Final Demand Goods was -0.5%, Final Demand Services +0.3%, Total +0.1%, Last 12 Months +1.8%. USDOL PR link.
The US Dept of Commerce/Census says the US Preliminary July 2019 Wholesale Sales-Durables was at $238.7 billion, Non-Durables $260.9 billion, Total $499.6 billion, +0.3% from June 2019, +0.0% from July 2018. USDOC PR link.
***Tuesday, September 10:
Apple(PBR3) announces new dual camera iPhone 11, iPhone 11 Pro, iPhone 11 Pro Max, Apple Watch Series 5, new iPad version, Apple Arcade, announces launch of Apple TV+ on 11/01/19. $AAPL PR link.
Ford(PBR12) announces new electric options vehicles in Germany, expects 50%+ cars sold in Europe by end of 2022 to be electrified. $F PR link.
GE(PBR19) to sell 105 million shares of Baker Hughes(NYSE: BHGE), a GE company, Class A common stock in a secondary offering, will no longer have a controlling interest in BGHE. Baker Hughes PR link.
Target(PBR38) to hire around 125,000 seasonal team members for stores, and 8,000 for distribution and fulfillment centers, hourly wages start at $13.00. $TGT PR link.
CarMax(PBR168) will create 430 new jobs for its new Customer Experience Center opening in Tempe, AZ, in 12/19. $KMX PR link.
JCPenney(PBR260) introduces St. John’s Bay® Outdoor lifestyle apparel for men, includes rugged shirts, jackets and pants. $JCP PR link.
Baxter(PBR278) to acquire non-invasive hemodynamic monitoring technologies provider Cheetah Medical for $190 million upfront plus $40 million based on milestone achievements, to close in 4Q19. $BAX PR link.
Fifth Third Bancorp(PBR374) gets US approval to convert from an Ohio state-chartered bank to a national bank. $FITB PR link.
Fidelity Natl Financial(PBR390) terminates $50.00/share in cash/stock, equity value of $1.2 billion acquisition of title insurance company Stewart Information Services(PBR906) due to the US Federal Trade Commission‘s issuance of an administrative complaint seeking to block the merger. Fidelity to pay Stewart a $50 million termination fee. $FNF PR link.
YUM!(PBR484 $YUM)’s Taco Bell unit launching a vegetarian menu nationwide on 09/12/19. MarketWatch PR link.
Chipotle(PBR535 $CMG) gets lawsuit from New York City alleging it violated the city’s Fair Workweek Law, Chipotle says it is cooperating, feels the filing was unnecessary. MarketWatch PR link.
Hasbro(PBR552) introduces ‘Ms. Monopoly’ game, celebrates women trailblazers, features Ms. Monopoly as an advocate whose mission is to invest in female entrepreneurs. $HAS PR link.
EchoStar(PBR876) completes spinoff of its Broadcast Satellite Service (BSS) business for 22.9 million DISH(PBR230) shares, around $800 million. $SATS PR link.
The US Dept of Labor says the US Preliminary July 2019 Job Openings-Private were at 6,555,000, Government 662,000, Total 7,217,000, -0.4% from June 2019, -3.0% from July 2018. USDOL PR link.
CoreLogic says the US June 2019 Housing Mortgages 30 or More Days Delinquent was at 4.0%, May 2019 was at 3.6%, April 2019 3.6%, June 2018 4.3%. “Despite recent stress in some areas of the country, mortgage delinquency rates continue to stay at near-record lows.” CoreLogic PR link.
***Monday, September 9:
Amazon(PBR5) announces Amazon Career Day on Tuesday, 09/17/19, hiring 30,000+ full and part-time for jobs at locations across the US. $AMZN PR link.
AT&T(PBR9 $T) gets letter from activist shareholder Elliott Management, has $3.2 billion in AT&T stock, says it sees ways share price can increase by 65% by end of 2021. Elliott PR link.
Alphabet(PBR15)’s Google unit being investigated by attorneys general of 50 states and territories regarding Google’s ‘potential monopolistic behavior.’ MarketWatch PR link.
Target(PBR38) to roll out its new loyalty offering, Target Circle, nationwide on 10/06/19, designed to complement Target’s RedCard* program by offering perks and special deals for all guests, including those who currently may not be interested in acquiring a new credit or debit card. $TGT PR link.
UPS(PBR40) to hire around 100,000 for full and part-time positions for the holiday season. $UPS PR link.
Cummins(PBR122) completes $15.00/share $290 million acquisition of other than shares already owned by The Hydrogen Company. $CMI PR link.
PG&E(PBR178 $PCG) gets $2.5 billion offer from City of San Francisco for PG&E’s electric system in city. MarketWatch PR link.
PG&E(PBR178) files for Chapter 11 bankruptcy, offers around $18 billion in compensation for recent wildfires, plans to emerge from Chapter 11 by 06/30/20. $PCG PR link.
WestRock(PBR187) is reconfiguring its North Charleston, SC, paper mill, will permanently shut down one of the three paper machines and related physical infrastructure, eliminating approximately 288,000 tons of linerboard capacity, will eliminate 260 jobs. $WRK PR link.
Alcoa(PBR234) to implement a new operating model starting 11/01/19, will eliminate its business unit structure and consolidate sales, procurement and other commercial capabilities at an enterprise level, Executive Team will also be streamlined from 12 to seven direct reports to the CEO. $AA PR link.
Uber(PBR270) signs 10 year lease agreement for the The Old Main Post Office in the Chicago River area, will add about 2,000 jobs over 3 years. $UBER PR link.
Quanta Services(PBR276) acquires NE states gas utility contractor The Hallen Construction Co and two specialty utility foundation and pole-setting contractors serving the southeast US for $330 million. $PWR PR link.
Allison Transmission(PBR780) acquires Lewisburg, TN based aluminum castings producer Walker Die Casting and Muscle Shoals, AL based ie cast dies and tooling C&R Tool and Engineering for $103 million. $ALSN PR link.
ServiceMaster(PBR908) enters European pest control market with acquisition of Sweden based 4th largest pest control company in Europe $60 million in annual revenues Nomor Holding AB from Norvestor for around $200 million. $SERV PR link.
HCP(PBR915) to acquire a 224,000 square foot, LEED Gold® laboratory building 100% leased to five life science tenants located at 35 CambridgePark Drive in the Boston, MA Cambridge submarket for $332.5 million, to close in 12/19. $HCP PR link.
Wendy’s(PBR949) to launch its breakfast menu, currently available in more than 300 restaurants, across the US system in 2020, the Company and its franchisees plan to hire approximately 20,000 crew members. $WEN PR link.
Fred’s(PBR982) files for Chapter 11 bankruptcy, has commenced going out of business sales at all retail locations, which are expected to close over the next 60 days. $FRED PR link.
Vitamin Shoppe(PBR995) says the ‘go-shop’ period has ended, has a sole Bidder expressing interest in buying the company, will be reviewing proposal, still has Liberty Tax(OTC PINK: TAXA) for $6.50/share, $208 million cash offer. $VSI PR link.
The US Federal Reserve says the US Preliminary July 2019 Consumer Credit Outstanding-Revolving was at $1.081 trillion, Non-Revolving $3.042 trillion, Total $4.123 trillion, +0.6% from June 2019, +2.8% YTD(7 months), +5.3% from July 2018. USFed PR link.
FannieMae(PBR21) says the US August 2019 Home Purchase Sentiment Index is at 93.8, July 2019 was at 93.7, June 2019 91.5, August 2018 88.0. “We … expect housing market activity to remain relatively stable, and the favorable rate environment should continue supporting increased refinance activity.” $FNMA PR link.
***Friday, September 6:
The PBRMarketTools US Stock Exchanges Recap for Week 36 ending 09/06/19:
DJIA ends Week 36 at 26,797.46, +1.49% from last Friday/MTD, +0.74% QTD, +14.88% YTD, -2.05% from record 27,359.16 set 07/15/19.
NASDAQ ends Week 36 at 8,103.07, +1.76% from last Friday/MTD, +1.21% QTD, +22.12% YTD, -2.73% from record 8,330.21 set 07/26/19.
SPX ends Week 36 at 2,978.71, +1.79% from last Friday/MTD, +1.26% QTD, +18.82% YTD, -1.56% from record 3,025.86 set 07/26/19.
The Week 36 News Summary: The week and new month started off with a holiday, but on Tuesday new tariffs on China and retaliatory tariffs by China on the US went into effect. However, by the end of the week tensions eased as it was announced China has requested new trade talks and are now scheduled for October. During the week the US economic news was somewhat positive with the release of the Beige Book by the Federal Reserve Districts indicating modest growth. But manufacturing data and surveys indicated a slowdown. This was balanced by good services numbers and at the end of the week positive jobs numbers. Corporate earnings continued to be mixed. US regulatory agencies are becoming more active in taking on mostly high tech companies. Hurricane Dorian slammed into the Bahamas, then headed towards the Florida and Carolinas east coasts with significant rains and flooding issues the big concerns. Hong Kong protests eased somewhat, and the UK is still mired in how to do Brexit by 10/31/19, and might require new general elections. The Stock Market Bear had a big day on Tuesday, but The Stock Market Bull took over the rest of the week and notched a 3-0 Week 36 victory, his second week win in a row.
The Week 36 of 2019 tally YTD is:
The Stock Market Bull: 18 weeks
The Stock Market Bear: 12 weeks
Mixed Results: 6 weeks
Cisco(PBR62) completes acquisition of privately held Mountain View, CA based meeting transcription, voice search, and meeting highlights/action items, with robust data privacy provider Voicea, terms not disclosed. $CSCO PR link.
Tractor Supply(PBR377) opens 1,800th store, located in Berkshire Township (Sunbury), OH. $TSCO PR link.
Fidelity Natl Financial(PBR390 $FNF) $50.00/share in cash/stock, equity value of $1.2 billion acquisition of title insurance company Stewart Information Services(PBR906) is being challenged by the US Federal Trade Commission, concerns about 2 of the Big 4 in title insurance merging and limiting competition. FTC PR link.
Nucor(PBR113) Chairman/CEO John J. Ferriola to retire on 12/31/19, EVP Leon J. Topalian elected President/COO effective immediately, to become CEO on 01/01/20. $NUE PR link.
Trinity Industries(PBR810) President/CEO Timothy R. Wallace to retire upon selection of a successor after 44 years with the company and 20 years as CEO. $TRN PR link.
The US Dept of Labor says the US August 2019 Number of People Employed was at 157,828,000, +650,000 from July 2019, +2,274,000 from August 2018, Unemployment is at 6,044,000, Unemployment Rate remains at 3.7%. USDOL PR link.
***Thursday, September 5:
Prudential Financial(PBR49) to acquire consumer solutions platform for health and financial wellness needs provider Assurance IQ for $2.35 billion plus up to an additional $1.15 billion based on achieving milestones, to close in early 4Q19. $PRU PR link.
Facebook(PBR56) launches Facebook Dating in the US, also giving people the ability to integrate their Instagram posts directly into their Facebook Dating profile and giving people the ability to add Instagram followers to their Secret Crush lists, in addition to Facebook friends, currently available in 19 other countries, to be available in Europe in early 2020. $FB PR link.
Tyson(PBR75)’s Ventures subsidiary completes an investment in San Francisco, CA based New Wave Foods®, a producer of plant-based shellfish and plans to have a shrimp alternative ready for food service operators in early 2020. $TSN PR link.
Tractor Supply(PBR377) to be Toro(PBR796)’s exclusive partner in the farm and ranch channel for select models of Toro zero-turn mowers, walk mowers and portable power equipment in stores nationwide and online beginning in spring of 2020 under new long-term strategic partnership. $TTC PR link.
Motorola Solutions(PBR399) says technology investment firm Silver Lake will make a new $1 billion investment in Motorola Solutions, and settle its outstanding $800 million aggregate principal investment one year ahead of its maturity. $MSI PR link.
Host Hotels(PBR493) completes sale of 6 non-core hotels for a combined price of $415 million. $HST PR link.
Michaels Cos(PBR511) to hire 15,000 seasonal positions for the 2019 holiday season, hiring day scheduled for 09/07/19. $MIK PR link.
Brinker Intl(PBR706) completes acquisition of 116 Chili’s® Grill & Bar restaurants, with annual revenues of around $300 million, from its 14-year franchisee, ERJ Dining, terms not disclosed. $EAT PR link.
Red Robin(PBR978) Board unanimously rejects an unsolicited, conditional proposal made on 07/18/19 by Vintage Capital Management to acquire all of the outstanding common shares of Red Robin for $40.00 per share, says proposal undervalues Red Robin and is not in the best interests of all shareholders. $RRGB PR link.
Apollo Global Mgmt(PBR997) completes conversion from a publicly traded partnership to a corporation. $APO PR link.
Babcock & Wilcox(PBR1000) regains full compliance with the NYSE minimum price continued listing criteria after 10:1 reverse stock split. $BW PR link.
Red Robin(PBR978) hires Paul J.B. Murphy III as President/CEO, effective 10/03/19, to succeed Chairman/Interim CEO Pattye Moore who plans to retire after an appropriate transition period. $RRGB PR link.
The US Dept of Labor says the US 2Q19 1st Revision of Business Sector Labor Output Productivity/Hour-All Persons remains at +2.6%, 1Q19 was at +3.6%, 4Q18 +0.0%, 2Q18 +2.4%. USDOL PR link.
ADP(PBR236) says the US Preliminary August 2019 Change In Employment-Small Businesses(1-49 Employees) is +66.000, Mid-Sized(50-499) +77,000, Large(500 or more) +52,000, Total +195,000, +37.2% from July 2019, +22.6% from August 2018; Total from Goods Producing Sector was +11,000, Service-Providing Sector +184,000. $ADP PR link.
The US Dept of Commerce/Census says the US Preliminary July 2019 Manufacturers New Orders-Durable Goods was at $250.2 billion, Non-Durable Goods $250.1 billion, Total $500.3 billion, +1.4% from June 2019, +0.3% from July 2018. USDOC PR link.
The Institute for Supply Management says the US August 2019 Non-Manufacturing Index(>50=economy growing) is at 56.4%, July 2019 was at 53.7%, June 2019 55.1%, August 2018 58.8%. “The non-manufacturing sector’s rate of growth rebounded after two consecutive months of cooling off. The respondents remain concerned about tariffs and geopolitical uncertainty; however, they are mostly positive about business conditions.” ISM PR link.
The IHS Markit August 2019 Composite PMI Output Index is at 50.7, July 2019 was at 52.6, June 2019 51.5, August 2018 54.7. “The Composite PMI Output Index … signaled the slowest increase in output since the current sequence of expansion began in March 2016. The slowdown was led by muted upturns across the manufacturing and service sectors, with the latter registering a notably softer rise in activity.” IHS Markit PR link.
***Wednesday, September 4:
The August 2019 Snapshot 12 Summary: The PBR1000 Top 5 Month Performers YTD(8 Months)(Rank, Company, PBR Ranking by Revenues, Stock Symbol, 08/30/19 Stock Price, % Increase from 12/31/18):
1. Diebold Nixdorf, PBR553, $DBD, $11.21, +350%
2. Snap, PBR990, $SNAP, $15.83, +187%
3. Avon Products, PBR491, $AVP, $4.35, +186%
4. FannieMae, PBR21, $FNMA, $2.82, +166%
5. FreddieMac, PBR39, $FMCC, $2.70, +157%
Range: +350% to -98%
Number of Companies at 0% or Better: 674/994
Average: +17.63%
Median: +11.65%
DJIA: +13.19%
NASDAQ: +20.01%
SPX: +16.74%
Tomorrow: The PBR1000 Top 5 Stock Performers Since 12/29/17(20 Months).
Alphabet(PBR15 $GOOG)’s Google/YouTube unit ordered to pay $170 million fine for collecting children’s personal data without parental consent. MarketWatch PR link.
Stryker Corp(PBR231) to acquire point-of-care imaging technology provider Mobius Imaging, and its sister company, GYS Tech, (DBA Cardan Robotics), for around $370 million cash upfront and up to $130 million of contingent payments based on milestone achievements. $SYK PR link.
Bed Bath & Beyond(PBR251) business transformation efforts include a rapid refresh of nearly 160 Bed Bath & Beyond stores, resetting the cost structure, reducing inventories by $1 billion, Board transformation with 9 new independent members. $BBBY PR link.
Fortive(PBR446) to split into two independent publicly held companies, Fortive, an industrial technology company, and NewCo, a global industrial company, to be completed in 2H20. $FTV PR link.
Post Holdings(PBR460) authorizes new $400 million share repurchase program, replaces existing program. $POST PR link.
Palo Alto Networks(PBR851) to acquire IoT security company Zingbox for $75 million. $PANW PR link.
WW(PBR957) to present Oprah Winfrey‘s “Oprah’s 2020 Vision: Your Life in Focus” in 9 US cities starting 01/04/20 through 03/07/19, producer is Live Nation(PBR283) Women Nation division. $WW PR link.
Tapestry(PBR474) Chairman Jide Zeitlin appointed to also be CEO, effective immediately, succeeds Victor Luis, who is leaving the Company and its Board. $TPR PR link.
The US Federal Reserve Beige Book for data through 08/23/19 says, “On balance, reports from Federal Reserve Districts suggested that the economy expanded at a modest pace through the end of August. Although concerns regarding tariffs and trade policy uncertainty continued, the majority of businesses remained optimistic about the near-term outlook.” USFed PR link.
The US Dept of Commerce says the US Preliminary July 2019 Exports-Goods were at $138.2 billion, Services $69.2 billion, Total Exports $207.4 billion; Imports-Goods were at $211.8 billion, Services $49.6 billion, Total Imports $261.4 billion, Total Monthly Deficit $54.0 billion, July 2018 Total Monthly Deficit was $52.5 billion; Total YTD Exports(7 months) were at $1,456.6 billion, YTD Imports $1,830.4 billion, Total YTD Deficit $373.8, July 2018 Total YTD Deficit was $346.2 billion. USDOC PR link.
***Tuesday, September 3:
The August 2019 Snapshot 11 Summary: The PBR1000 Top 5 Month Performers(Rank, Company, PBR Ranking by Revenues, Stock Symbol, 08/30/19 Stock Price, % Increase from 07/31/19):
1. Owens & Minor, PBR309, $OMI, $5.08, +87%
2. Vitamin Shoppe, PBR995, $VSI, $6.45, +46%
3. Cincinnati Bell, PBR971, $CBB, $5.43, +42%
4. WW(Weight Watchers), PBR957, $WW, $29.99, +39%
5. Hovnanian, PBR891, $HOV, $8.24, +37%
Range: +87% to -64%
Number of Companies at 0% or Better:314/1,000
Average: -1.93%
Median: -4.71%
DJIA: -1.72%
NASDAQ: -2.60%
SPX: -1.81%
Tomorrow: The PBR1000 Top 5 Stock Performers Since 12/31/18(8 Months).
Walmart(PBR1) to discontinue sales of short-barrel rifle ammunition, sell through and discontinue handgun ammunition, discontinue handgun sales in Alaska, marking its complete exit from handguns, remaining assortment will be even more focused on the needs of hunting and sport shooting enthusiasts, policy is in response to recent shootings in Texas. $WMT PR link.
Allergan(PBR196) gets US FDA approval for the use of Juvéderm VOLUMA® XC, a hyaluronic acid gel dermal filler, with a TSK STERiGLIDE™ cannula for cheek augmentation to correct age-related volume deficit in the mid-face in adults over 21. $AGN PR link.
Avis Budget(PBR331) gets agreement with Ford(PBR12) Commercial Solutions to digitally connect approximately 14,000 Ford Motor Company vehicles in Avis Budget Group’s European rental fleet, adds to the 35,000 Ford vehicles digitally connected in the Avis Budget US fleet. CAR PR link.
Concho Resources(PBR597) to sell its 25 thousand barrels of oil equivalent per day New Mexico Shelf assets to a Spur Energy Partnersaffiliate for $925 million, authorizes an up to $1.5 billion share repurchase program. $CXO PR link.
Ashland(PBR641) completes $1.015 billion sale of its Composites business and butanediol facility in Marl, Germany, to INEOS Enterprises. $ASH PR link.
Tailored Brands(PBR693) gets multi-year partnership with the US National Football League to provide NFL team logo liners in suits from its Men’s Wearhouse and Jos. A. Banksunits. $TLRD PR link.
The US Dept of Commerce/Census says the US Preliminary July 2019 Construction Spending Annual Rate-Residential was at $512.8 billion, Non-Residential $776.0 billion, Total $1,288.8 billion, +0.1% from June 2019, -2.7% from July 2018. USDOC PR link.
The Institute for Supply Management says the US August 2019 Manufacturing PMI Index(<50=economy contracting) is at 49.1%, July 2019 was at 51.2%, June 2019 51.7%, August 2018 61.3%. “Comments from the panel reflect a notable decrease in business confidence. August saw the end of the PMI® expansion that spanned 35 months, with steady expansion softening over the last four months.” ISM PR link.
IHS Markit says the US August 2019 US Manufacturing PMI is at 50.3, July 2019 was at 50.4, June 2019 50.6, August 2018 54.7. “U.S manufacturers signalled a further slowdown in overall growth in August, with the PMI dropping to its lowest for almost a decade.” IHS Markit PR link.
The PurdueU/CME Group August 2019 Ag Economy Barometer Composite Index is at 124, July 2019 was at 153, June 2019 126, August 2018 129. “Farmers were less optimistic about current economic conditions on their farms and, especially, about their expectations for future conditions.” PurdueU PR link.
***Monday, September 2:
***US Labor Day.
***US Stock Exchanges Closed.
***Friday, August 30:
The PBRMarketTools US Stock Exchanges Recap for Week 35 and the month of August ending 08/30/19:
DJIA ends Week 35 and August at 26,403.28, +3.02% from last Friday, -1.72% MTD, -0.74% QTD, +13.19% YTD, -3.49% from record 27,359.16 set 07/15/19.
NASDAQ ends Week 35 and August at 7,962.88, +2.72% from last Friday, –2.60% MTD, -0.54% QTD, +20.01% YTD, -4.41% from record 8,330.21 set 07/26/19.
SPX ends Week 35 and August at 2,926.46, +2.79% from last Friday, -1.81% MTD, -0.52% QTD, +16.74% YTD, -3.29% from record 3,025.86 set 07/26/19.
The Monthly 2019 YTD(8 months through August) tally is:
The Stock Market Bull: 6 months
The Stock Market Bear: 2 months
Mixed Results: 0 months
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PBRMarketTools.com provides news, data, and analysis on 1,000 of the largest publicly held companies with primary operations in the US. The data and analysis is included in The PBR1000 Monthly Snapshots, an MS-Excel workbook with 15 snapshot worksheets, 28rankings, and over 200 fields of data and information on each company. Click here to find out more!
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