J.K.K.

July 29th, 2015

MORNING MARKET BRIEFING

Pre-Market Futures
DJIA: 17559.00 (+13.00) S&P 500: 2086.50 (-0.75) NASDAQ: 4556.50 (+0.50)

News

Belgian chemical group Solvay will acquire Cytec Industries (CYT) for $6.4B
Sources telling the WSJ that Bombardier may combine its train business with Siemens rail unit.
The FTC is investigating Apollo Education Group (APO). They are requesting documents regarding the
practices of the University of Phoenix.
Procter & Gamble (PG) has named David Taylor as successor to CEO A.G. Lafley.
Microsoft (MSFT) will be releasing Windows 10 today
F.O.M.C. Rate Decision will take place today.

Analyst Action
Company
Ally Financial
AK Steel
Amazon
3D Systems
Citrix Systems
FireEye
Hibbett Sports
Sprouts Farmers Market
Sirius XM
SuperValu
Whole Foods
Williams Sonoma
YRC Worldwide
Archer Daniels Midland
Aeropostale
Immunomedics
Potash
Radware
Stillwater Mining
Energizer Holdings
Edgewell Personal Care
Tiffany

Ticker
ALLY
AKS
AMZN
DDD
CTXS
FEYE
HIBB
SFM
SIRI
SVU
WFM
WSM
YRCW
ADM
AEO
IMMU
POT
RDWR
SWC
ENR
EPC
TIF

Investment Firm
Credit Suisse
Macquarie
Stifel Nicolaus
Longbow Research
Baird
Oppenheimer
Sterne Agee
Longbow Research
Wunderlich
Morgan Stanley
Longbow Research
JP Morgan
Raymond James
Citigroup
UBS
Jefferies
Raymond James
RBC Capital
Bank of America
Bank of America
Bank of America
Mizuho

Action
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Upgrade
Downgrade
Downgrade
Downgrade
Downgrade
Downgrade
Downgrade
Initiates - Buy
Initiates - Neutral
Initiates Buy

Earnings Central
Before the Open
Ticker

Company

Industry

EPS (Est)

EPS (Act)

Rev (Est)

Rev (Act)

Notes

ADT

Security & Protection

Services
Home Health Care

$0.49

$0.49

$895.33M

$898.00M

Gross Additions
up 5% YoY

AMED

The ADT
Corporation
Amedisys

$0.33

$0.43

$307.11M

$314.20M

AMT

American Tower

REIT - Diversified

$1.20

$1.26

$1.18B

$1.17B

ANTM

Anthem

Health Care Plans

$2.75

$3.10

$19.63B

$19.80B

AVY

Avery Dimension

Business Equipment

$0.88

$0.91

$1.52B

$1.52B

BAH

Management Services

$0.43

$0.44

$1.34B

$1.35B

BDC

Booz Allen
Hamilton
Belden

$1.19

$1.21

$608.44M

$585.80M

BEN

Franklin Resources

Industrial Electrical
Equipment
Asset Management

$0.88

$0.82

$2.04B

$2.00B

BGCP

BGC Partners

$0.17

$0.18

$667.40M

$684.60M

CARB

Carbonite

($0.03)

($0.01)

$33.58M

$34.00M

CHH

Choice Hotels

Investment Brokerage National

Business Software &
Services
Lodging

$0.60

$0.62

$208.49M

$232.20M

CRI

Carter's

Textile - Apparel
Clothing

$0.63

$0.73

$609.62M

$612.80M

DATA

Tableau Software

Application Software

$0.04

$0.07

$141.04M

$149.90M

DIN

DineEquity

Restaurants

$1.47

$1.53

$167.79M

$171.55M

ETN

Eaton

Diversified Machinery

$1.13

$1.16

$5.49B

$5.37B

EXC

Exelon Corporation

Diversified Utilities

$0.54

$0.59

$5.87B

$6.51B

FLY

FLY Leasing

$0.05

$0.23

$104.40M

$101.68M

GCI

Gannett

$0.51

$0.46

$753.00M

$727.10M

GD

General Dynamics

Rental & Leasing

Services
Publishing Newspapers
Aerospace/Defense

$2.06

$2.27

$7.68B

$7.90B

GRA

W.R. Grace

Specialty Chemicals

$1.17

$0.78

$815.50M

$782.10M

GRMN

Garmin

$0.82

$0.72

$775.90M

$774.00M

GT

$0.75

$0.84

$4.13B

$4.17B

HES

Goodyear Tire &

Rubber
Hess Corporation

Scientific & Technical

Instruments
Rubber & Plastics
Independent Oil & Gas

($0.72)

($0.52)

$1.58B

$1.94B

HLT

Hilton Worldwide

Lodging

$0.23

$0.25

$2.92B

$2.92B

HSIC

Henry Schein

$1.46

$1.46

$2.68B

$2.60B

HSKA

Heska Corporation

HSP

Hospira

Medical Equipment
Wholesale
Medical Laboratories &
Research
Drugs - Generic

$0.10
$0.80

$24.11M
$0.85

$1.18B

$1.20B

Medical
enrollment up
3.4% YoY

Offers Q3 & FY
Guidance
RevPAR up
6.7%
Boosts FY15
EPS Growth
Outlook
60% License
Growth
IHOP SSS up
6.2% ;
Applebee's SSS
up 1.0%
Trims FY15 EPS
Outlook

Boosts FY15
EPS Outlook ;
Aerospace
backlog up 7%
Auto segment
down 15%

System-Wide
RevPAR
increased 5.2%

HUM

Humana

Health Care Plans

$1.63

$1.67

$13.81B

$13.73B

HUN

Huntsman

$0.55

$0.63

$3.02B

$2.74B

IBP

$0.23

$0.23

$159.14M

$159.70M

IP

Installed Building
Products
International Paper

$0.92

$0.97

$5.75B

$5.71B

JAH

Jarden

$0.59

$0.59

$1.97B

$2.01B

LFUS

Littelfuse

Chemicals - Major
Diversified
General Building
Materials
Packaging &
Containers
Housewares &
Accessories
Electronics Wholesale

$1.27

$1.33

$225.79M

$222.02M

LVLT

Level 3
Communications

$0.41

$0.42

$2.08B

$2.06B

Reiterating
Outlook

MA

MasterCard

Diversified
Communication
Services
Credit Services

$0.85

$0.85

$2.40B

$2.40B

Purchase
Volume up
13% ; CrossBorder Volume
up 17%

MDCO

Drugs - Generic

($0.48)

($0.71)

$122.58M

$90.50M

MO

The Medicines
Company
Altria Group

Cigarettes

$0.71

$0.74

$4.74B

$6.61B

MTH

Meritage Homes

$0.66

$0.70

$635.46M

$591.03M

MTOR

Meritor

Residential
Construction
Auto Parts

$0.34

$0.41

$910.52M

$909.00M

NOC

Northrom
Grumman
Penske Automotive
Group

Aerospace/Defense

$2.35

$2.74

$5.93B

$5.90B

Auto Dealerships

$0.99

$1.05

$4.89B

$4.90B

PX

Praxair

$1.46

$1.45

$2.85B

$2.70B

Quintiles

$0.70

$0.78

$1.05B

$1.07B

ROK

Chemicals - Major
Diversified
Medical Laboratories &
Research
Diversified Machinery

$1.54

$1.59

$1.58B

$1.58B

PAG

ROL

Rockwell
Automation
Rollins

Business Services

$0.21

$0.21

$388.17M

$392.20M

SAIA

Saia Inc

Trucking

$0.71

$0.75

$319.46M

$323.00M

SLAB

Silicon Laboratories

$0.53

$0.56

$166.51M

$164.86M

SNCR

$0.51

$0.56

$137.03M

$137.80M

SO

Synchronoss
Technologies
Southern Company

Semiconductor Integrated Circuits

Application Software
Electric Utilities

$0.70

$0.71

$4.71B

$4.34B

SPR

Spirit AeroSystems

Aerospace/Defense

$0.97

$1.11

$1.72B

$1.70B

STNG

Scorpio Tankers

Shipping

$0.27

$0.35

$172.44M

$188.50M

STRZA

Starz

Entertainment Diversified

$0.66

$0.59

$453.75M

$417.70M

TRI

Thomson Reuters

Publishing - Periodicals

$0.50

$0.52

$3.07B

$3.04B

TRK

Sporting Activities

$0.67

$0.73

$180.83M

$179.30M

VNTV

Speedway
Motorsports
Vantiv

Business Services

$0.54

$0.56

$408.65M

$786.00M

WEX

Wex Inc.

Business Services

$1.25

$1.29

$217.85M

$213.70M

Reaffirms
Guidance

Raising
Guidance ; $1B
Buyback

Boosts FY15
EPS Outlook
Boosts FY15
EPS Outlook
Total Retail
Sales up 7.5% ;
Same Store Rev
up 8.2%
Trims FY15 EPS
Outlook
Boosts FY15
EPS Outlook
Narrows
Outlook

Reaffirms
Guidance ;
Approves
$350M Buyback
Subscriptions
increased 1.5M
to 23.5M
Reaffirmed
Guidance
WEX Europe
Services and

WOOF

VCA Inc.

Personal Services

$0.65

$0.70

$538.92M

$548.80M

Evolution1
progressing
Lifts Outlook ;
Same Store Rev
up 6%

Open Interest Changes

Company

Symbol

Description

OI Yesterday

Apache

APA

August 45 Put

868

OI Today
4,904

Bazaarvoice

BV

September 5 Put

85

14,211

Vodafone

VOD

August 39 Put

446

5,741

Vodafone

VOD

August 38 Put

124

5,350

Vera Bradley

VRA

September 10 Put

4,018

Vera Bradley

VRA

September 9 Put

53

4,063

Lyondellbasell

LYB

January (2016) 95 Call

7,666

20,127

Aecom

ACM

September 30 Put

2,404

12,108

Altera Corporation

ALTR

September 35 Put

950

10,457

Atmel Corp

ATML

September 10 Call

3,733

15,351

Canadian Solar

CSIQ

September 23 Call

1,982

Cypress Semiconductor

CY

September 12 Call

24,304

31,923

Ingersoll Rand

IR

December 62.5 Call

21,002

Kansas City Southern

KSU

August (7) 98 Call

13

4,740

Monsanto

MON

September 95 Put

102

2,101

Consumer Staples

XLP

September 50 Put

2,463

8,133

Starbucks

SBUX

January (2017) 55 Call

9,704

14,730

Pandora

January (2016) 20 Call

16,777

65,393

Meritor Inc

MTOR

September 13 Call

40

5,164

Air Lease

AL

November 35 Call

217

1,467

BOFI Holding

BOFI

October 80 Put

302

2,113

BOFI Holding

BOFI

October 75 Put

195

2,270

Live Nation

LYV

January (2016) 25 Call

1,487

3,188

Esterline Technologies

ESL

3,020

Kimco Realty

KIM

February (2016) 100

Call
January (2016) 25 Call

600

3,112

Eastman Kodak

KODK

October 12.5 Put

41

3,041

Praxair

PX

October 110 Put

132

4,295

Talen Energy

TLN

September 17.5 Call

3,188

Republic Airways

RJET

February (2016) 4 Call

187

3,683