|Wall Street Breakfast: The Week Ahead|
Aug. 22, 2021 7:04 AM ETAAPL, ADSK, AMZN...4 Likes
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Economic reports in the week ahead
Market watchers will be locked in on the Federal Reserve Bank of Kansas City's annual Economic Policy Symposium as the highlight event next week. The virtual gathering's theme this year is "Macroeconomic Policy in an Uneven Economy." While a major policy announcement is not anticipated in front of the September FOMC meeting, Chairman Jerome Powell's road map on how the Fed plans to taper will be watched closely. Economic updates due out during the week include reports on existing home sales. new home sale, durable goods and Q2 GDP. On the corporate front, earnings are due in from Best Buy (NYSE: BBY), Dick's Sporting Goods (NYSE: DKS) and HP (NYSE: HPQ). Finally, a big week is setting up for Robinhood Markets (NASDAQ: HOOD) as well with analysts about to join the bull vs. bear debate.
Earnings spotlight: Monday, August 23rd: JD.com (NASDAQ: JD) and Palo Alto Networks (NYSE: PANW).
Earnings spotlight: Tuesday, August 24th: Best Buy ( BBY), Intuit (NASDAQ: INTU), Nordstrom (NYSE: JWN), Toll Brothers (NYSE: TOL).
Earnings spotlight: Wednesday, August 25th: Dick's Sporting Goods ( DKS), Box (NYSE: BOX), Salesforce.com (NYSE: CRM), Autodesk (NASDAQ: ADSK) and Snowflake (NYSE: SNOW).
Earnings spotlight: Thursday, August 26th: Dollar General (NYSE: DG), Dollar Tree (NASDAQ: DLTR), HP Inc. ( HPQ), Workday (NASDAQ: WDAY), Dell Technologies (NYSE: DELL), Hello Group (NASDAQ: MOMO), Marvell (NASDAQ: MRVL), VMware (NYSE: VMW), Gap (NYSE: GPS) and Peloton Interactive (NASDAQ: PTON).
Earnings spotlight: Friday, August 27th: Big Lots (NYSE: BIG) and Hibbett (NASDAQ: HIBB).
IPO watch: The IPO market cools down with no new pricing anticipated. Quiet periods expire on Traeger (NYSE: COOK), Duolingo (NASDAQ: DUOL), Robinhood Markets ( HOOD), Icosavax (NASDAQ: ICVX), MeridianLink (NYSE: MLNK), Rallybio (NASDAQ: RLYB), Riskified (NYSE: RSKD), Snap One (NASDAQ: SNPO), Dole (NYSE: DOLE), Omega Therapeutics (NASDAQ: OMGA), RxSight (NASDAQ: RXST) and Tenaya Therapeutics (NASDAQ: TNYA). There is also an IPO lockup period expiring on Canada-traded Loop Energy on August 24 to watch. The hydrogen fuel cell stock
M&A tidbits: A large number of merger deals get put to the test next week. Syke Enterprises (NASDAQ: SYKE) shareholders vote on the buyout by Sitel Group on August 23. The next day sees votes on the Core-Mark Holding (NASDAQ: CORE)-Performance Food Group (NYSE: PFGC) merger, Cloudera (NYSE: CLDR) go-private deal and Kindred Bio (NASDAQ: KIN)-Elanco Animal Health (NYSE: ELAN) combination. Shareholders with QTS Realty Trust (NYSE: QTS) will vote on the offer from Blackstone (NYSE: BX) in August 26.
Dividend check: Stocks that pay higher dividends are catching more attention from investors once again. The three stocks in the Dow Jones Industrial Average with the highest dividend yield are Chevron (NYSE: CVX) 5.68%, IBM (NYSE: IBM) 4.75% and Dow (NYSE: DOW) 4.62%, while the three stocks in the S&P 500 Index with the highest dividend yield are Lumen Technologies (NYSE: LUMN) 8.82%, ONEOK (NYSE: OKE) 7.59% and AT&T (NYSE: T) 7.56%. Looking at next week, projected dividend payout hikes are anticipated on Intuit ( INTU) to $0.64 from $0.59, BancFirst (NASDAQ: BANF) to $0.36 from $0.34, Lam Research (NASDAQ: LRCX) to $1.35 from $1.30 and Altria (NYSE: MO) to $0.88 from $0.86.
Corporate events: Limelight Networks (NASDAQ: LLNW) hosts a detailed strategy session for analysts and investors on August 24. BeiGene, Ltd. (NASDAQ: BGNE) holds an investor conference call on August 25 to discuss the company’s early development pipeline and research, while Spruce Biosciences (NASDAQ: SPRB) is slated for its inaugural virtual Research and Development Day. Express (NYSE: EXPR) hosts a virtual investor event on August 26, which will follow its earnings report by a day.
Conference schedule: Upcoming conferences of note include the SEMICON Southeast Asia Conference, the BMO Capital Markets Technology Summit, the Raymond James Diversified Industrials Conference, the Needham SemiCap and EDA conference, the Seaport Global Industrial Conference, the Bank of America Fall Energy Summit and the Rosenblatt Securities Inaugural Tech Summit: The Age of AI Scaling .
Data watch: Keep an eye on the RV sector with monthly shipment data due in. Camping World (NYSE: CWH), Thor Industries (NYSE: THO), LCI Industries (NYSE: LCII) and Winnebago (NYSE: WGO) are all down 8% more over the last week. Pricing data is also due out in the paper/containerboard sector is a release that may impact WestRock (NYSE: WRK), International Paper (NYSE: IP), Cascades ( OTCPK:CADNF), Greif (NYSE: GEF), Karat Packaging (NASDAQ: KRT) and Packaging Corp of America (NYSE: PKG). Read about more potential share price catalysts for the week ahead.
Space watch: The 36th Space Symposium will be the first live space conference since the start of the pandemic. Top official with the U.S. Space Force and NASA will give talks. SpaceX ( SPACE) Gwynn Shotwell will be featured, while execs from L3Harris Technologies, Boeing, Lockheed Martin, Raytheon, HawkEye 360, Virgin Orbit. Maxar Technologies and Microsoft (NASDAQ: MSFT) will also make an appearance. Blue Origin's ( BORGN) New Shepard is scheduled to fly a NASA lunar landing technology demonstration a second time on the exterior of the booster, 18 commercial payloads inside the crew capsule and an art installation on the exterior of the capsule.
Notable annual meetings: Remark Holdings (NASDAQ: MARK) and Microchip Technology (NASDAQ: MCHP) hold their annual meetings next week.
Barron's mentions: Big tech is recommended in a big way this week with the long-term upside for Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOG), Facebook (NASDAQ: FB) and Microsoft ( MSFT) detailed in the cover story. The five megacaps are said to still have the best business models on the planet and look relatively cheap as cloud potential continues to grow. The publication thinks investors should own them all, even if the regulatory headwinds take a while to abate.
Sources: EDGAR, Bloomberg, CNBC, Reuters, Renaissance Capital