American Express And Schlumberger Earnings - $SIRI $BGLC $NKLA $GM $SLB
STOCKS TO WATCH: $AXP $ISRG $SLB $CSX $AN
Wall Street expects American Express Company (NYSE:AXP) to post quarterly earnings at $2.81 per share on revenue of $15.48 billion before the opening bell. American Express shares gained 1% to $178.90 in after-hours trading.
Deep Dive: US consumer watchdog warns no more 'rubber stamp' for bank mergers
Intuitive Surgical, Inc. (NASDAQ:ISRG) reported better-than-expected earnings for its second quarter. Intuitive Surgical shares fell 5.4% to $329.00 in the after-hours trading session.
Analysts are expecting Schlumberger Limited (NYSE:SLB) to have earned 71 cents per share on revenue of $8.22 billion for the latest quarter. The company will release earnings before the markets open. Schlumberger shares fell 0.3% to $57.10 in after-hours trading.
CSX Corporation (NASDAQ:CSX) reported in-line earnings for the second quarter, while sales missed expectations. CSX shares fell 4.8% to $32.08 in the after-hours trading session.
Analysts expect AutoNation, Inc. (NYSE:AN) to report quarterly earnings at $5.90 per share on revenue of $6.74 billion before the opening bell. AutoNation shares fell 0.2% to $176.50 in after-hours trading.
Wall Street expects American Express Company (NYSE:AXP) to post quarterly earnings at $2.81 per share on revenue of $15.48 billion before the opening bell. American Express shares gained 1% to $178.90 in after-hours trading.
Deep Dive: US consumer watchdog warns no more 'rubber stamp' for bank mergers
Intuitive Surgical, Inc. (NASDAQ:ISRG) reported better-than-expected earnings for its second quarter. Intuitive Surgical shares fell 5.4% to $329.00 in the after-hours trading session.
Analysts are expecting Schlumberger Limited (NYSE:SLB) to have earned 71 cents per share on revenue of $8.22 billion for the latest quarter. The company will release earnings before the markets open. Schlumberger shares fell 0.3% to $57.10 in after-hours trading.
CSX Corporation (NASDAQ:CSX) reported in-line earnings for the second quarter, while sales missed expectations. CSX shares fell 4.8% to $32.08 in the after-hours trading session.
Analysts expect AutoNation, Inc. (NYSE:AN) to report quarterly earnings at $5.90 per share on revenue of $6.74 billion before the opening bell. AutoNation shares fell 0.2% to $176.50 in after-hours trading.
Transcript
00:00 Good morning, Zinger Nation.
00:05 Welcome back to Daily Stocks to Watch.
00:07 We are now live from Detroit.
00:09 This is Benzinga headquarters.
00:11 Behind us is sunny Detroit.
00:13 A beautiful morning here with my co-host, Mr. David Willey.
00:17 How are you today, David?
00:18 Fantastic.
00:19 Thank you, Michael.
00:20 It's great, as always, to be here in Detroit at the Benzinga headquarters.
00:25 And it's so great to actually be hosting our stream live like this with the microphone
00:31 and doing it together.
00:32 It's fantastic.
00:33 Yeah, today is Friday, July 21st, 2023.
00:34 We've got some great stocks on the list for you today.
00:35 My name is Michael O'Connor.
00:36 Well, as you alluded to, I forgot to list my name out for our lovely listeners.
00:47 I'm just so excited about being here live broadcasting.
00:50 This is great.
00:51 I mean, we always- It's a treat.
00:52 I guess we always technically broadcast live, but you know.
00:55 We don't necessarily in-person together like this.
00:58 Exactly.
00:59 All right, cracking straight into our list for the day.
01:02 And then we'll get you out to your trading day.
01:05 Last trading day of the week, it's Friday, folks.
01:07 The week has flown by.
01:09 Get ready for the weekend and next week.
01:12 We're coming to a close on July as well.
01:15 Next week, the last full week in July.
01:17 So get ready to close out your July trading.
01:21 Next week we'll have more ideas.
01:22 But for today, our list is stock to watch at number one, we've got SiriusXM Holdings.
01:27 That's ticker S-I-R-I.
01:30 Number two, you've got Bionexus GeneLab.
01:34 That's ticker B-G-L-C.
01:36 Number three is Nikola Corporation with ticker N-K-L-A.
01:40 And number four, we've got General Motors.
01:43 Ticker GM, a classic ticker.
01:45 And now stock to watch number five is Schlumberger.
01:48 That's ticker S-L-B.
01:51 Starting off with the list with SiriusXM.
01:54 We're a little quiet.
01:55 We're getting some producer Asley is saying a little quiet.
01:58 Maybe we'll just move the mic back and forth, I guess.
02:00 So we'll do this.
02:02 We're working with the means that we have here, folks.
02:05 SiriusXM shares surged more than 42% on Thursday, which is yesterday, on some abnormally high
02:11 volume with the stock halted multiple times for volatility.
02:16 SiriusXM's average session volume over 100 days is about 17 million.
02:19 We're on the Benzinga Pro, which we use for all of our charts and everything.
02:23 If you're watching on Twitter, check out Benzinga Pro.
02:26 That's what you see on the screen.
02:28 Should be bigger than us.
02:30 We're the small things and you've got to be watching the stocks.
02:32 If you're just listening to the podcast, I encourage you to check it out live on Twitter
02:37 or LinkedIn to actually see Benzinga Pro as well.
02:40 But so about a 17 million average session volume of shares.
02:45 But yesterday, SiriusXM's trading volume crossed 126 million, a massive, massive, almost 10X,
02:52 probably 8.5X with a little mind math.
02:56 With the stock trending on social platforms for most of the day, it was among the most
03:00 mentioned tickers on stock twits.
03:03 Retail traders appear to be highlighting some high short interest in the name.
03:06 We talked about this a little bit yesterday, David, of the difference between meme stocks
03:10 and other types of plays where there can be kind of a psychological component, but there
03:14 can be the technical component too.
03:17 We see large amounts of short interest, possibly the target of a short squeeze.
03:22 This can be a meme stock that has some technical chops behind it as well.
03:26 34.45% of the float is currently sold short per Benzinga Pro data at the time of writing
03:33 and they're scheduled to be reporting their second quarter financial results before market
03:37 open on August 1st.
03:39 So this could be the target of a short squeeze, but also they've got quarterly earnings report
03:43 coming up, some catalysts coming down the pike, and they're expected to report earnings
03:46 of 7 cents per share on quarterly revenues of $2.24 billion.
03:53 But they missed earning estimates in three of the last four quarters.
03:56 So this, if they miss this as well, that's a full year of bad expectations and bad results.
04:03 Maybe, maybe not terrible, but three misses in a row, if this one hits as well, maybe
04:08 there's a lot of sentiment around, okay, this is going to be the one that they exceed expectations,
04:14 could be why they're a solid catalyst for something to move pretty heavily here to a
04:21 possible short squeeze.
04:22 We see some good results, but it's already up more than 42%.
04:26 So it's kind of tricky.
04:27 You lose some of the momentum if you get a movement already like this, but it could,
04:31 we'll see what happens.
04:32 It could be a one to watch definitely coming into their earnings report on August as well.
04:39 Yeah, this is a really interesting one, I think, Mike, just because as you say, this
04:44 is clearly something dramatic has been going on over the past, since Thursday.
04:50 And also there's clearly stuff coming down the pike as well.
04:54 So this is definitely one that we want to be keeping an eye on, but I think it's interesting.
04:58 So this happens sometimes controversially, it did happen controversially with GameStop,
05:04 but when a stock gets halted on trading for volatility, what's the idea behind that?
05:10 What's the mechanism there that they're trying to employ?
05:13 What's going on?
05:14 Because it can almost feel manipulating a little, and that's something that I don't understand
05:22 why, what the idea is behind that.
05:24 Could you sort of address that?
05:26 Sure, sure.
05:27 And it's, without getting into the real technicalities of it, it's often with the exchanges, there's
05:33 certain levels of volume that can be handled efficiently.
05:37 And when you see stocks that are really moving, especially if there's not necessarily news
05:44 that the exchanges have been prepared for.
05:47 So for instance, let's say you're a public company on NASDAQ and you're about to release
05:51 some materially effective news.
05:54 There are certain rules that you have to release it to NASDAQ before public knowledge so that
05:59 they can prepare their infrastructure to be able to handle increased volume.
06:04 So sometimes you'll see stocks will move far increased volume and there's not necessarily
06:10 preparation that has been able to be made by the exchanges.
06:14 It depends on the exchange as well, but especially with NASDAQ and the New York Stock Exchange,
06:20 they have so many different stocks moving at the same amount of time.
06:23 There's so much going on that when you see incredible shifts, I mean, think about it
06:28 that every share that's being traded, it's meant to be matched to someone else.
06:32 Every one of those ticks is an exchange.
06:36 It requires a huge amount of infrastructure, a huge amount of data exchange.
06:39 It's not an easy thing to run an exchange.
06:43 And while sometimes it can seem, I think that's a good illusion there, sometimes it can seem
06:47 they're messing with us or something like there are some theories out there, but for
06:53 the most part, it's going to be because of infrastructure and because of frankly limitations.
06:59 So when you see especially a big ticker like this really moving, I mean, 127, I believe
07:07 that's right, 127 million shares, 26, 126 million shares on Thursday, that is a very,
07:14 very large number.
07:15 So partly from infrastructure requirements, partly from sometimes the SEC will step in
07:21 and order the exchanges to halt as well.
07:22 That is another thing, but this is for volumes sake.
07:28 Now stock to watch number two for you this morning is Bionexus GeneLab, that's ticker
07:33 BGLC.
07:36 Now they announced pricing of $5 million public offering and NASDAQ uplifting, uplisting,
07:44 and stock is up over 44% pre-market.
07:48 We're looking at it now, it's about, yeah, about 40% pre-market.
07:53 So clearly good reaction to this news from the market.
07:57 Bionexus sells chemical raw materials in Southeast Asia.
08:01 They're primarily Southeast Asia owned with a subsidiary in America.
08:07 They also involved in the development of safe and effective non-invasive liquid biopsy tests
08:13 or personalized health management according to their website.
08:17 Now the company announced on Thursday, this public offering of 1.25 million common shares
08:22 at $4 a share for total proceeds of 5 million.
08:27 The company also granted the underwriters an option exercisable within 45 days from
08:31 the closing date to purchase up to an additional 187,500 shares at the public offering price.
08:40 Now the company expects its shares to commence trading on NASDAQ capital market under the
08:45 ticker BGLC effective July 20th, which is yesterday.
08:51 So obviously this is a sign of, you know, raising funds, Mike, but also very good for
08:55 a company when it gets listed up on NASDAQ, it's a real sign of growth.
08:59 And also this sign that they're giving the option to continue purchasing shares after
09:03 the closing date is a optimistic sign from the company.
09:09 Absolutely.
09:10 And you know, you see whenever there's an uplisting, usually a stock is going to do
09:13 pretty well.
09:15 But especially with a $5 million public offering as well, it seems like they've got that.
09:20 They certainly hit their targets there.
09:24 $4 per share is a great deal considering now it's trading at 690 per share right now, but
09:31 it was as high as $8.13 hovering at over $8 per share this morning pre-market down a
09:38 little bit, get closer to the opening, but still up over 40%.
09:42 Big mover today and definitely a stock to watch for the day.
09:47 Stock to watch number three, we've got Nikola Corporation, that sticker NKLA with shares
09:53 moving yesterday and today announcing the Fortescue Future Industries, FFI, will be
09:59 acquiring Nikola's Phoenix Hydrogen Hub project, which is something they've been working on
10:05 for a bit now.
10:06 It's interesting to see them selling off some assets here.
10:09 Nikola and FFI collaborating on the development of a hydrogen supply agreement to support
10:14 Nikola's hydrogen fuel cell electric vehicle demand.
10:18 We've talked a lot about electric vehicles.
10:20 We've talked about a lot of different manufacturers.
10:23 Hydrogen power and fuel cells and stuff is still a pretty novel technology.
10:28 There's not a lot.
10:29 I believe Hyundai actually has a hydrogen powered car that you can buy.
10:33 I don't know exactly what it is, but it's not a common thing yet.
10:37 But there's been kind of a lot of talk around it as this new innovative way because the
10:41 byproduct is just water.
10:42 So instead of carbon monoxide and dioxide and emissions and things, you get water, H2O as
10:49 your byproduct as you're using the hydrogen oxygen together, a very interesting form of
10:55 power.
10:56 The acquisition of the Phoenix Hydrogen Hub marks the first project announced as part
11:02 of the Memorandum of Understanding signed back in January between Nikola and FFI.
11:09 Here's a quote from the Nikola's priority is to see more zero emission trucks.
11:13 They're a zero emission truck company on the road.
11:16 And this acquisition by FFI greatly strengthened one of the country's first and most important
11:20 hydrogen hubs said Nikola president CEO Michael Lusheller.
11:26 And FFI's acquisition of this project is a significant milestone as we work to create
11:30 an all important local connective infrastructure to accelerate the use of hydrogen to fuel
11:35 zero emission vehicles.
11:37 Very interesting using hydrogen for trucks as well.
11:40 That's what they're going to be looking at.
11:41 But looking at the stock, you know, the market's reacting pretty good today, up over about
11:46 four and a half percent pre market on a pretty flat week, but an amazing month.
11:51 If you've been following Nikola, you know, they're up over 70 percent in the past month,
11:56 up over 180 percent in the past three months.
12:00 But context here, I know we talked about Carvana yesterday as you look at some of the smaller
12:05 charts as well as huge movements in a year.
12:08 Nikola has fallen over 55 percent.
12:10 It was one of the darling stocks for a while when we saw the electric boom.
12:14 And if you look back in June of 2020, is that sixty five dollars a share and it's down over
12:21 91 percent over the past five years, down even more, more of a 95 percent since that
12:26 incredible high.
12:28 So Nikola recently shares price is doing very, very well, but in the long term still has
12:33 a long way to go to get back to where it was when we had kind of the electric vehicle craze
12:38 going on.
12:39 We'll have to watch and see if hydrogen power becomes more consistently available.
12:44 If you're interested in hydrogen power, check out Nikola.
12:47 If you're interested in investing in it, take a look there and do some more research.
12:51 But definitely an interesting stock to watch.
12:55 It really is, Mike, and this acquisition, as you said, it was the first of their announced
13:00 projects back from January.
13:02 So, you know, it's clear that they're making headway in what they described as their plan
13:08 for 2023.
13:09 And it really will be interesting to see if this could take off and not only take off,
13:12 I think, but importantly, capture the public imagination in the way that, you know, Tesla
13:17 captured the public imagination.
13:19 Now our next stock to watch is is a little different, but it's in the same car theme,
13:25 General Motors company.
13:26 That's ticker GM.
13:28 And obviously, it's great to be talking about General Motors as we are here live in Detroit,
13:32 the home of the great company itself.
13:36 Now, Cathie Wood's ARK Invest on Thursday disposed of a chunk of shares from this legacy
13:42 automaker.
13:43 Now, through its exchange traded fund, the ARK Automatus Technology and Robotics ETF,
13:52 that's ticker ARKQ, ARK sold just over 72,000 shares of GM valued at 2.85 million based
14:05 on Thursday's closing price of $39.26.
14:09 Now, ARK first took a position in GM in May of 2022, when it bought 100, almost 160,000
14:16 shares, 158,187 in the automaker.
14:20 The fund boosted its stake in the legacy automaker over the past year, and it made purchases
14:27 in September 19th of 2022 of 120,000 shares, November 11th of 2022 of 70,000 shares, and
14:36 in November 14th of 2022 of almost 61,000 shares, 60,893.
14:44 Now this cumulative purchases from ARK totaled 409,000, almost 410,000 shares.
14:53 As of today, the holdings show that the fund now owns about 303,735 shares, which is valued
15:00 at about 11.93 million.
15:05 Quarter two earnings confirmed in four days from now on Tuesday, July 25th, before markets
15:11 open.
15:12 So this will be worth paying attention to.
15:14 We'll be maybe circling back to this when we see what the quarter two earnings are.
15:19 But it's interesting.
15:20 So they began taking a stake in General Motors and now maybe pulling back a little.
15:25 Obviously for an investment fund like this, this is, you know, maybe a slightly, would
15:31 this be a slightly concerning sign for General Motors?
15:35 Yeah, I think it's one where the raw number of shares they have.
15:40 So this is not, they're not totally closing out.
15:42 It's a little less than a quarter of the total shares they have in GM.
15:47 ARK Invest, one of the classic names now for looking for long-term innovation.
15:53 We've seen GM talking a lot about electric switching to more innovation, more everything.
16:00 And I don't know if you can see it behind us.
16:01 You might not be able to see on the screen, but I mean, we got Renaissance Center is right
16:04 back there.
16:05 That's GM World Headquarters.
16:06 So there's definitely stuff going on.
16:09 ARK has been pretty, not too crazy.
16:13 I mean, in the last year it's had some just big tops and troughs and up and down, up and
16:18 down on the five year.
16:20 Again, pretty flat.
16:21 I mean, it's up almost 1% in the past five years.
16:25 It's been an interesting one with some very large movements, but overall settling in around
16:30 that $40 per share, between 35 and $40 per share.
16:35 Past three months have been pretty good up over 18%.
16:37 So that could be part of the reason why ARK is selling right now.
16:40 They've seen that movement and they want to pull out a bit.
16:43 Maybe they're going to be moving to a different ticker.
16:46 I mean, considering that this is held in their autonomous technology and robotics ETF, they
16:52 still have a lot in GM in this.
16:53 So it means that Cathie Wood is expecting some sort of autonomous and robotics innovation
16:59 from GM, which I think is a pretty good expectation.
17:01 They've put out some pretty cool announcements, some pretty interesting products, and are
17:05 innovating in their manufacturing chains.
17:08 But having $2.85 million to throw around in that fund, look at some other options that
17:18 may be more growth oriented, could be what ARK and Cathie Wood are trying to do.
17:24 I think that's a pretty decent transition to our fifth stock to watch, which is Schlumberger.
17:29 That's ticker SLB.
17:32 Schlumberger highlighted as a value stock, so not as much of a growth stock.
17:36 Difference there.
17:37 For value, you're looking for something that has generally considered good financials.
17:42 It should be able to stand the test of time and has a good business model.
17:45 Growth you're looking for, the future possibilities.
17:48 Value you're saying it's undervalued right now, if you think it's value stock.
17:52 Schlumberger is highlighted with a pullback by PreMarketPrep.
17:56 If you don't check out the other shows at Benzing, I invite you to look around.
18:00 Look at our other podcasts, especially our other live broadcasts.
18:04 PreMarketPrep is always a fantastic show to take a look at and see what's going on in
18:09 the markets before you start your trading day.
18:12 Schlumberger, an oil field and exploration, and they do a bunch of stuff.
18:19 Technology for, here's some reservoir characterization, drilling, production, processing for both
18:27 oil and gas.
18:28 They also do digital services for the industry, all the way from high-tech stuff to well construction,
18:35 production systems.
18:37 Going back to, we had the dividend theme.
18:38 They have just over 1.5% dividend yield, so nothing absolutely crazy, and a 21 price earnings
18:46 ratio.
18:48 We've seen some of these stocks in the oil sector that are maybe not as direct.
18:53 They're not an Exxon Mobil.
18:54 It's not a Chevron.
18:55 It's not something that pops out when you think oil.
18:58 These providers giving a lot of services to the industry, becoming more popular as well.
19:04 Halliburton, another name that has been popping up, at least for me anecdotally, I haven't
19:08 seen in a lot of watch lists lately, a lot of more people talking about it.
19:11 Schlumberger down just over 18% in the past five years after the huge dip with COVID,
19:17 but up over 67% in the past year.
19:19 A pretty good winner this past year and could still have some more room to go.
19:25 All right, folks, we're going to go back over our list, get you out on your trading day.
19:30 It's 930.
19:31 Markets are now open.
19:32 We're going to get you out there.
19:34 Stock to watch number one was SiriusXM Holdings.
19:36 That's ticker S-I-R-I.
19:37 Number two, we had Bionexus GeneLab.
19:41 That's ticker B-G-L-C.
19:42 Number three was Nikola Corporation with ticker N-K-L-A.
19:47 Number four was General Motors.
19:48 That's G-M.
19:49 Number five, we had Schlumberger with ticker S-L-B.
19:54 Hope everyone has a wonderful Friday, a fantastic weekend, and we'll see you on Monday.
20:00 Mr. O'Connor, it's been an honor.
20:02 Take care, guys.
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