{"id":66499,"date":"2023-02-28T09:01:10","date_gmt":"2023-02-28T14:01:10","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=66499"},"modified":"2023-02-28T09:01:10","modified_gmt":"2023-02-28T14:01:10","slug":"coffee-with-greta-stocks-rise-as-february-ends","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/02\/28\/coffee-with-greta-stocks-rise-as-february-ends\/","title":{"rendered":"Coffee With Greta: Stocks Rise As February Ends"},"content":{"rendered":"

DJIA Futures: <\/b>+46 (+0.1%)<\/span><\/p>\n

SPX Futures: <\/b>+4 (+0.1%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+2 (+0.01%)<\/span><\/p>\n

Good morning friends!<\/span><\/p>\n

Futures are up slightly as traders brace for the final trading day of February.<\/span><\/p>\n

Let\u2019s get right to it!<\/span><\/p>\n

February Comes To A Close<\/span><\/h2>\n

Today is the last day of February and the major indexes are on track to close out the month in the negative.\u00a0<\/span><\/p>\n

As of Monday\u2019s close, the <\/span>Dow Jones <\/b>is down 3.5% for the month and negative for the year, the <\/span>S&P 500 <\/b>is down 2.3% for February, and the <\/span>Nasdaq <\/b>is down 1%.\u00a0<\/span><\/p>\n

Stocks pulled back in February after a strong rally at the end of December and into January.\u00a0<\/span><\/p>\n

Traders have remained on edge about inflation and the Fed\u2019s rate hikes this month as new data came in hotter than expected.\u00a0<\/span><\/p>\n

But CME Group\u2019s <\/span>FedWatch<\/span><\/a> Tool still shows over 75% of traders anticipating another 25 basis point hike at the March meeting.\u00a0<\/span><\/p>\n

Some Fed officials have been pushing for a 50 basis point move after the January CPI, PPI, and PCE price index all came in hot.<\/span><\/p>\n

Target Slips On Weak Outlook<\/span><\/h2>\n

Target <\/b>(TGT) shares are down 0.2% ahead of the open after beating Q4 expectations but issuing weak guidance.\u00a0<\/span><\/p>\n

Here\u2019s how the retailer\u2019s results compared to analysts\u2019 expectations:<\/span><\/p>\n

    \n
  • EPS: $1.89 vs $1.40 expected<\/span><\/li>\n
  • Revenue: $31.4 billion vs $30.72 billion expected<\/span><\/li>\n<\/ul>\n

    Target\u2019s profits were down 43% year over year.<\/span><\/p>\n

    But same-store sales rose 0.7%, topping expectations for a 1.6% decline.\u00a0<\/span><\/p>\n

    Inventory levels dropped 3% year over year in Q4 as Target focused on stocking more high-frequency items like food and paper towels.\u00a0<\/span><\/p>\n

    CEO Brian Cornell said, \u201cWe realized consumer spending habits have changed. So we took a pretty bold action and said, \u2018We\u2019re going to address inventory. We\u2019re going to get our inventory levels right.\u2019 We finished the year exactly where we wanted to be.\u201d<\/span><\/p>\n

    Target expects comparable sales in 2023 to rangle from a low single-digit decline to a low single-digit increase and full-year EPS between $7.75 and $8.75.\u00a0<\/span><\/p>\n

    That missed analysts\u2019 expectations for earnings of $9.23 per share this year.\u00a0<\/span><\/p>\n

    Cornell said, \u201cI think we\u2019re being appropriate with our guidance in this environment. We know inflation is still high \u2014 it\u2019s been very stubborn. It\u2019s still at a very high level. We know interest rates are rising. And we\u2019re going to watch the consumer really carefully.\u201d<\/span><\/p>\n

    Zoom Rallies On Earnings Beat<\/span><\/h2>\n

    Zoom <\/b>(ZM) shares are jumping 5.1% in premarket trade after beating fiscal Q4 expectations on the top and bottom line.\u00a0<\/span><\/p>\n

    Here\u2019s how the video chat company\u2019s results compared to analysts\u2019 expectations:<\/span><\/p>\n

      \n
    • Adjusted EPS: $1.22 vs $0.81 expected<\/span><\/li>\n
    • Revenue: $1.12 billion vs $1.10 billion expected<\/span><\/li>\n<\/ul>\n

      Revenue rose just 4% year over year, a dramatic slowdown from the rapid growth seen during 2020 and 2021.<\/span><\/p>\n

      Zoom expects growth to continue slowing this year.\u00a0<\/span><\/p>\n

      The company forecast between $4.435 billion and $4.455 billion in revenue this year, implying 1.1% growth and missing analysts\u2019 estimates of $4.6 billion.\u00a0<\/span><\/p>\n

      Zoom forecast full-year adjusted EPS between $4.11 and $4.18, topping estimates of $3.66.<\/span><\/p>\n

      For fiscal Q1, the company sees adjusted EPS of $0.96 to $0.98 on revenue of $1.080 billion to $1.085 billion.\u00a0<\/span><\/p>\n

      Coming Up: Consumer Confidence<\/span><\/h2>\n

      Consumer confidence is expected to have improved in February.\u00a0<\/span><\/p>\n

      The Conference Board releases its consumer confidence index at 10:00 a.m. ET today.\u00a0<\/span><\/p>\n

      That index is expected to improve to 108.5 from 107.1 in January.<\/span><\/p>\n

      Traders will be monitoring the expectations index in that survey, which currently stands below 80 which often signals an impending recession.<\/span><\/p>\n

      The survey also includes an update on consumers\u2019 inflation expectations, which ticked higher in January from December.<\/span><\/p>\n

      In Case You Missed It<\/span><\/h2>\n
        \n
      • Pending home sales surged in January as mortgage rates dropped. The National Association of Realtors reported pending sales jumped 8.1% last month vs expectations for a 0.9% gain. It was the second straight monthly increase but pending sales were still down 24% year over year.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

        DJIA Futures: +46 (+0.1%) SPX Futures: +4 (+0.1%) NASDAQ Futures: +2 (+0.01%) Good morning friends! Futures are up slightly as traders brace for the final trading day of February. Let\u2019s get right to it! February Comes To A Close Today is the last day of February and the major indexes are on track to close out the month in the negative.\u00a0 As of Monday\u2019s close, the Dow Jones is down 3.5% for the month and negative for the year, the S&P 500 is down 2.3% for February, and the Nasdaq is down 1%.\u00a0 Stocks pulled back in February after a strong rally at the end of December and into January.\u00a0 Traders have remained on edge about inflation and the Fed\u2019s rate hikes this month as new data came in hotter than expected.\u00a0 But CME Group\u2019s FedWatch Tool still shows over 75% of traders anticipating another 25 basis point hike at the March meeting.\u00a0 Some Fed officials have been pushing for a 50 basis point move after the January CPI, PPI, and PCE price index all came in hot. Target Slips On Weak Outlook Target (TGT) shares are down 0.2% ahead of the open after beating Q4 expectations but issuing weak guidance.\u00a0 Here\u2019s how the retailer\u2019s results compared to analysts\u2019 expectations: EPS: $1.89 vs $1.40 expected Revenue: $31.4 billion vs $30.72 billion expected Target\u2019s profits were down 43% year over year. But same-store sales rose 0.7%, topping expectations for a 1.6% decline.\u00a0 Inventory levels dropped 3% year over year in Q4 as Target focused on stocking more high-frequency items like food and paper towels.\u00a0 CEO Brian Cornell said, \u201cWe realized consumer spending habits have changed. So we took a pretty bold action and said, \u2018We\u2019re going to address inventory. We\u2019re going to get our inventory levels right.\u2019 We finished the year exactly where we wanted to be.\u201d Target expects comparable sales in 2023 to rangle from a low single-digit decline to a low single-digit increase and full-year EPS between $7.75 and $8.75.\u00a0 That missed analysts\u2019 expectations for earnings of $9.23 per share this year.\u00a0 Cornell said, \u201cI think we\u2019re being appropriate with our guidance in this environment. We know inflation is still high \u2014 it\u2019s been very stubborn. It\u2019s still at a very high level. We know interest rates are rising. And we\u2019re going to watch the consumer really carefully.\u201d Zoom Rallies On Earnings Beat Zoom (ZM) shares are jumping 5.1% in premarket trade after beating fiscal Q4 expectations on the top and bottom line.\u00a0 Here\u2019s how the video chat company\u2019s results compared to analysts\u2019 expectations: Adjusted EPS: $1.22 vs $0.81 expected Revenue: $1.12 billion vs $1.10 billion expected Revenue rose just 4% year over year, a dramatic slowdown from the rapid growth seen during 2020 and 2021. Zoom expects growth to continue slowing this year.\u00a0 The company forecast between $4.435 billion and $4.455 billion in revenue this year, implying 1.1% growth and missing analysts\u2019 estimates of $4.6 billion.\u00a0 Zoom forecast full-year adjusted EPS between $4.11 and $4.18, topping estimates of $3.66. For fiscal Q1, the company sees adjusted EPS of $0.96 to $0.98 on revenue of $1.080 billion to $1.085 billion.\u00a0 Coming Up: Consumer Confidence Consumer confidence is expected to have improved in February.\u00a0 The Conference Board releases its consumer confidence index at 10:00 a.m. ET today.\u00a0 That index is expected to improve to 108.5 from 107.1 in January. Traders will be monitoring the expectations index in that survey, which currently stands below 80 which often signals an impending recession. The survey also includes an update on consumers\u2019 inflation expectations, which ticked higher in January from December. In Case You Missed It Pending home sales surged in January as mortgage rates dropped. The National Association of Realtors reported pending sales jumped 8.1% last month vs expectations for a 0.9% gain. It was the second straight monthly increase but pending sales were still down 24% year over year.<\/p>\n","protected":false},"author":41,"featured_media":66504,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-66499","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coffee-with-greta"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66499","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=66499"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66499\/revisions"}],"predecessor-version":[{"id":66507,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66499\/revisions\/66507"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/66504"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=66499"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=66499"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=66499"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}