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DJIA Futures: -84 (-0.3%)

SPX Futures: -17 (-0.4%)

NASDAQ Futures: -88 (-0.6%)

Good morning friends!

Futures are slipping as traders grow concerned over higher rates.

Let’s get right to it!

Retail Sales Beat

U.S. retail sales were much stronger than expected in September. 

The Commerce Department reported retail sales rose 0.7% last month to $704.9 billion. 

That was more than double expectations for a 0.3% gain.

Core retail sales also jumped 0.6%, triple expectations for a 0.2% increase. 

August retail sales were also revised higher to show a 0.8% gain from 0.6% initially.  

Miscellaneous retailers saw the largest increase in spending last month, up 3% from August. 

Online spending jumped 1.1% while car dealers saw a 1.1% increase in sales. 

There were only categories that logged a decline in sales last month. 

Electronics and appliance stores sales fell 0.8%, sales at clothing stores fell 0.8%, and sales at building material stores fell 0.2%.

Bank of America Tops Q3 Expectations

Bank of America (BAC) shares are up 1% ahead of the open after beating Q3 expectations on the top and bottom line.

Here’s how the bank’s results compared to analysts’ estimates: 

  • EPS: $0.90 vs $0.82 expected
  • Revenue: $25.32 billion vs $25.14 billion expected

Profit jumped 10% year over year while revenue climbed 2.9%> 

Bank of America’s interest income rose 4% from a year ago, topping estimates by roughly $300 million. 

Consumer banking deposits fell 8% during the quarter but the segment posted a 6% increase in revenue. 

CEO Brian Moynihan said, “We did this in a healthy but slowing economy that saw U.S. consumer spending still ahead of last year but continuing to slow.”

Goldman Sachs Beats Q3 Estimates

Goldman Sachs (GS) shares are up 0.5% in premarket trade after beating Q3 expectations on the top and bottom line. 

Here’s how the investment bank’s results compared to analysts’ estimates: 

  • EPS: $5.47 vs $5.31 expected
  • Revenue: $11.82 billion vs $11.19 billion expected

Profit tumbled 33% from a year ago while revenue was down 1%. 

Bond trading revenue slipped 6% to $3.38 billion, topping analysts’ estimates by $600 million.

Goldman Sachs said strength in interest rate products and mortgages helped to offset declines in trading revenue. 

Johnson & Johnson Earnings Beat

Johnson & Johnson (JNJ) shares are up 1.2% ahead of the open after topping expectations in the third quarter. 

Here’s how the pharmaceutical giant’s results compared to analysts’ estimates:

  • Adjusted EPS: $2.66 vs $2.52 expected
  • Revenue: $21.35 billion vs $21.04 billion expected

This marks Johnson & Johnson’s first quarterly report since it complete the separation from its consumer health spinoff Kenvue (KVUE).

J&J’s pharmaceutical sales totaled $13.89 billion in the quarter, up 5% year over year. 

The medical devices business brought in $7.46 billion in sales, up 10% from a year ago.

The company hiked its full-year outlook after the Q3 beat. 

J&J now expects 2023 sales between $83.6 billion and $84 billion vs $83.2 billion to $84 billion previously. 

The company forecast full-year adjusted EPS of $10.07 to $10.13 vs $10.00 to $10.10 previously. 

Tupperware Replaces CEO

Tupperware (TUP) shares are rallying 8.9% in premarket trade after replacing its CEO.

The company announced it was replacing CEO Miguel Fernandez effective immediately this morning.

Laurie Ann Goldman, previous CEO of Avon North America and Spanx, was named CEO, president and a board member.

Tupperware said Goldman would “support the company’s continued turnaround strategy and execution.”

The company also announced a “board refreshment” as four directors stepped down and three were added. 

The chair of the board said, “Now is the right time to bring in new leadership, and Laurie Ann is exceptionally well-suited to advance our long-term strategy and accelerate growth.”

Wyndham Pops On Takeover Offer

Wyndham Hotels & Resorts (WH) shares are surging 13.2% ahead of the open after a proposed takeover from Choice Hotels (CHH).

Choice proposed to acquire Wyndham for about $7.8 billion today.

The takeover would be a cash and stock deal and would create a new U.S. budget hotel giant. 

Wyndham shareholders would receive $90.00 per share, including $49.50 in cash and 0.324 shares of CHH common stock, for every WH share they own. 

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