10 things to watch in the stock market on Friday, including a bullish call on Best Buy
10 things to watch in the stock market on Friday, including a bullish call on Best Buy
Ten Things to Watch for Friday, September 27 1. The S&P 500 was pointing to a slightly higher open on Friday after another record close. The 10-year Treasury yield was finally lower following a subdued reading in August of the Federal Reserve's favorite inflation gauge, the PCE price index. With just a couple of trading days left in what is historically the worst month of the year, the S&P 500 was on track for its first September gain in five years. 2. Shares of holding club Costco fell a bit after a strong fourth-quarter fiscal 2024 earnings report late Thursday. The wholesale retailer's long-awaited membership fee increase, which went into effect Sept. 1, will have a limited impact through the end of its fiscal 2025 and into fiscal 2026, executives said. We increase our target price for the stock. 3. Best Buy was added to JPMorgan's analyst focus list after a meeting with the electronics and appliance retailer's management team. Analysts, who reiterated their $111 price target, called Best Buy a “value idea” to take advantage of the computer replacement cycle along with growth in TV and appliance sales as existing home sales improve. . This faithfully reflects the Club's investment thesis. 4. The Food and Drug Administration approved Bristol Myers Squibb's schizophrenia drug Cobenfy, the first new treatment for the disorder approved in seven decades. Shares of the New Jersey-based pharmaceutical company rose more than 3% on the news. 5. Wynn Resorts was upgraded to a buy-equivalent rating at Morgan Stanley. Analysts say the casino operator's stock may start to gain a higher valuation thanks to stability in Las Vegas, more details on its United Arab Emirates project and higher capital returns. Wynn stock had struggled mightily since the spring, but received a bid in recent days due to news about stimulus in China. Macau's Chinese gaming center has been a thorn in Wynn's side. 6. Citigroup downgraded Dollar General to sell from neutral and cut its price target on the stock to $73 per share, about $14 below its Thursday close. Analysts argued that Walmart is gaining market share, making it difficult for the dollar store retailer to recover. Jim Cramer blamed Walmart for Dollar General's ugly earnings report last month. 7. Deutsche Bank reinitiated coverage of Dell Technologies with a buy rating and a price target of $144 per share. Analysts expect Dell's revenue growth to accelerate to double digits due, in part, to growth in its AI server business; project that its final growth rate also reaches double digits; and touts its “clean and simple” capital return framework. 8. Be careful ahead of PepsiCo's Oct. 8 earnings report, according to Citigroup. Analysts put the stock on their negative 30-day catalyst watch, saying they expect lower operating sales growth driven by weakness in the soft drink and snack maker's North American business. 9. HP Inc. was downgraded to neutral equivalent to hold from buy at Bank of America, as analysts expect growth in its personal computer business to be offset by lower margins in its printer unit. HP shares fell on Friday. 10. Wedbush Securities' Dan Ives raised his price target on Salesforce to $325 per share from $315 after positive customer feedback at the software maker's Dreamforce conference. As we wrote earlier this week for Club members, Salesforce's new AI offering has boosted the stock. Subscribe for free to Jim's Top 10 Morning Market Thoughts email newsletter (see here for a complete list of Jim Cramer's Charitable Trust holdings). As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable fund's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTMENT CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, TOGETHER WITH OUR DISCLAIMER. NO FIDUCIARY OBLIGATION OR DUTY EXISTS OR IS CREATED BY VIRTUE OF THE RECEIPT OF ANY INFORMATION PROVIDED IN RELATION TO THE INVESTMENT CLUB. NO SPECIFIC RESULTS OR BENEFITS ARE GUARANTEED.
Ten things to see on Friday, September 27
1. He S&P 500 On Friday I expected a slightly higher opening after another record close. The 10-year Treasury yield was finally lower following a subdued reading in August of the Federal Reserve's favorite inflation gauge, the PCE price index. With just a couple of trading days left in what is historically the worst month of the year, the S&P 500 was on track for its first September gain in five years.
2. club tenure costco Shares fell a bit after a strong fourth-quarter fiscal 2024 earnings report late Thursday. The wholesale retailer's long-awaited membership fee increase, which went into effect Sept. 1, will have a limited impact through the end of its fiscal 2025 and into fiscal 2026, executives said. We increase our target price for the stock.
3. Best buy was added to JPMorgan's analyst focus list after a meeting with the electronics and appliance retailer's management team. Analysts, who reiterated their $111 price target, called Best Buy a “value idea” to take advantage of the computer replacement cycle along with growth in TV and appliance sales as existing home sales improve. . This faithfully reflects the Club's investment thesis.
