{"id":24589,"date":"2025-02-21T05:52:56","date_gmt":"2025-02-21T11:52:56","guid":{"rendered":"https:\/\/www.eoption.com\/morning-preview-february-21-2025\/"},"modified":"2025-02-21T05:52:56","modified_gmt":"2025-02-21T11:52:56","slug":"morning-preview-february-21-2025","status":"publish","type":"post","link":"https:\/\/www.eoption.com\/morning-preview-february-21-2025\/","title":{"rendered":"Morning Preview: February 21, 2025"},"content":{"rendered":"\n
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Early Look<\/span><\/b><\/p>\n

Friday, February 21, 2025<\/span><\/b><\/p>\n\n\n\n\n\n\n
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Futures<\/span><\/p>\n<\/td>\n

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Up\/Down<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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Last<\/span><\/p>\n<\/td>\n<\/tr>\n

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Dow<\/span><\/b><\/p>\n<\/td>\n

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49.00<\/span><\/p>\n<\/td>\n

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0.11%<\/span><\/p>\n<\/td>\n

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44,317<\/span><\/p>\n<\/td>\n<\/tr>\n

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S&P 500<\/span><\/b><\/p>\n<\/td>\n

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1.00<\/span><\/p>\n<\/td>\n

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0.02%<\/span><\/p>\n<\/td>\n

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6,137<\/span><\/p>\n<\/td>\n<\/tr>\n

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Nasdaq<\/span><\/b><\/p>\n<\/td>\n

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21.75<\/span><\/p>\n<\/td>\n

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0.10%<\/span><\/p>\n<\/td>\n

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22,163<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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S<\/span>&P futures are flat to kick off the final trading day of the week, this option expiration Friday where major averages are on track for weekly declines following yesterday’s market pullback. All three major U.S. stock indexes ended lower on Thursday, with the Dow falling around 1% as Walmart dropped on a disappointing sales forecast, while the S&P 500 banks index registered its biggest daily percentage drop (down -1.6%) since mid-December. Walmart’s lowered outlook raised concerns over consumer demand and what President Donald Trump’s recent tariff announcements could mean for inflation. Since returning to office, Trump has imposed an additional 10% tariff on all imports from China. He also announced and then delayed for a month 25% tariffs on goods from Mexico and non-energy imports from Canada and last week he unveiled plans to slap reciprocal tariffs on all countries that have tariffs on U.S. goods. Stocks have been unphased as nearly all eleven S<\/span>&P sectors are up on the year (sans consumer discretionary). One subsector that has not enjoyed a strong start to 2025 are homebuilders (BZH<\/span>, KBH<\/span>, LEN<\/span>, TOL<\/span>, DHI<\/span>), which are among the weakest in the S&P as elevated borrowing costs and reduced expectations of lower interest rates bruise the industry’s prospects. We have seen weaker housing data and softer earnings thus far in the group. In Asian markets, The Nikkei Index advanced 98 points to 38,776, the Shanghai Index rose 28 points to 3,379, and the Hang Seng Index surged 900 points or 3.99% to settle at 23,477. In Europe, the German DAX<\/span> is up 44 points to 22,358, while the FTSE 100 is up 10 points to 8,673. Next week is a big week with Nvidia (NVDA<\/span>) earnings and the Fed preferred inflation measure, PCE next Friday. <\/span><\/p>\n

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Market Closing Prices Yesterday<\/p>\n

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  • The S&P 500 Index<\/span><\/b> <\/span>dipped -26.63 points<\/span>, or 0.43%, to 6,117.52.<\/span><\/li>\n<\/ul>\n<\/div>\n
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    • The Dow Jones Industrial Average<\/span><\/b> <\/span>fell -450.94 points<\/span>, or 1.01%, to 44,176.65.<\/span><\/li>\n
    • The Nasdaq Composite <\/span><\/b>dropped -93.89 points<\/span>, or 0.47%, to 19,962.36.<\/span><\/li>\n
    • The Russell 2000 Index<\/span><\/b> <\/span>declined -20.71 points<\/span>, or 0.91% to 2,261.74.<\/span><\/li>\n<\/ul>\n
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      Economic Calendar for Today<\/p>\n

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      • 9:45 AM<\/span> ET<\/span> S<\/span>&P Global Manufacturing PMI, Feb-Flash…est. 51.5<\/li>\n<\/ul>\n<\/div>\n
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        • 9:45 AM<\/span> ET<\/span> S<\/span>&P Global Services PMI, Feb-Flash…est. 53.0<\/li>\n
        • 9:45 AM<\/span> ET<\/span> S<\/span>&P Global Composite, Feb-Flash<\/li>\n
        • 10:00 AM<\/span> ET<\/span>                Existing Home Sales M\/M for January…est. 4.12M<\/li>\n
        • 10:00 AM<\/span> ET<\/span>                University of Michigan Sentiment, Feb-Final…est. 67.8<\/li>\n
        • 1:00 PM<\/span> ET<\/span>                   Baker Hughes Weekly rig count data<\/li>\n<\/ul>\n
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          Earnings Calendar: <\/p>\n

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          • Earnings Before the Open: ABR<\/span> AGM<\/span> ASIX<\/span> BCPC<\/span> BRC<\/span> HE<\/span> OIS<\/span> SHO<\/span> TDS<\/span> UNIT<\/span> USM<\/span><\/li>\n<\/ul>\n<\/div>\n

             <\/span><\/p>\n

             <\/span><\/p>\n\n\n\n\n\n\n\n\n\n
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            Macro<\/span><\/p>\n<\/td>\n

            		\n

            Up\/Down<\/span><\/p>\n<\/td>\n

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            Last<\/span><\/p>\n<\/td>\n<\/tr>\n

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            Nymex<\/span><\/b><\/p>\n<\/td>\n

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            -0.72<\/span><\/p>\n<\/td>\n

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            71.76<\/span><\/p>\n<\/td>\n<\/tr>\n

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            Brent<\/span><\/b><\/p>\n<\/td>\n

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            -0.64<\/span><\/p>\n<\/td>\n

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            75.84<\/span><\/p>\n<\/td>\n<\/tr>\n

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            Gold<\/span><\/b><\/p>\n<\/td>\n

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            -10.70<\/span><\/p>\n<\/td>\n

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            2,945.40<\/span><\/p>\n<\/td>\n<\/tr>\n

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            EUR\/USD<\/span><\/b><\/p>\n<\/td>\n

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            -0.003<\/span><\/p>\n<\/td>\n

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            1.0467<\/span><\/p>\n<\/td>\n<\/tr>\n

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            JPY\/USD<\/span><\/b><\/p>\n<\/td>\n

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            0.63<\/span><\/p>\n<\/td>\n

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            150.27<\/span><\/p>\n<\/td>\n<\/tr>\n

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            10-Year Note<\/span><\/b><\/p>\n<\/td>\n

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            -0.011<\/span><\/p>\n<\/td>\n

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            4.488%<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

             <\/span><\/p>\n

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            World News<\/p>\n

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            • HCOB’s preliminary S&P Global composite euro zone Purchasing Managers’ Index, held steady at January’s 50.2 in February, slightly below the 50.5 expected. Overall demand in the euro zone declined for a ninth straight month and at a faster pace. The composite new business index dropped to 48.6 from 49.3 last month. The PMI for the bloc’s dominant services industry fell to 50.7 from 51.3 in January, below ests for an uptick to 51.5.<\/li>\n<\/ul>\n<\/div>\n
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              • BOJ Governor Kazuo Ueda issued a mild warning on Friday that it could increase bond buying if “abnormal” market moves trigger a sharp rise in yields, but he was reiterating the bank’s pledge made when it began tapering bond purchases in July last year.<\/li>\n<\/ul>\n
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                Sector News Breakdown<\/p>\n

                Consumer<\/p>\n

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                • Booking Holdings (BKNG<\/span>)<\/b> shares rise; Q4 revenue $5.47B, +14% y\/y, above est. $5.18B; Q4 gross bookings +17% y\/y to $37.2B, above est. $34.47B; Q4 adj EBITDA margin 33.8% vs. 30.6% y\/y; Room nights booked increased 13% from the prior-year quarter.<\/li>\n<\/ul>\n<\/div>\n
                    \n
                  • Car Gurus (CARG<\/span>)<\/b> Q4 adj EPS $0.55 vs est. $0.52, adj EBITDA $76.4Mm vs est. $75.8Mm on revs $228.5Mm vs est. $232.5Mm; guides Q1 revs $216-236Mm vs est. $235.89Mm and adj EPS $0.41-0.47 vs est. $0.42.<\/li>\n
                  • Celsius Holdings (CELH<\/span>)<\/b> shares jumped after Q4 adj EPS $0.14 vs. est. $0.10; Q4 revs fell -4.4% y\/y to $332.2M above consensus $327.02M; said for the year increased our total points of distribution by 37% in 2024; Celsius’ retail sales increased 22% y\/y and category market share grew 160 bps to 11.8% in 2024; said will acquire energy drink rival Alani Nu for $1.65B.<\/li>\n
                  • Copart Holdings (CPRT<\/span>)<\/b> Q4 EPS $0.40 vs. est. $0.37; Q4 revs $1.16B vs. est. $1.13B.<\/li>\n
                  • Floor & Décor Holdings (FND<\/span>)<\/b> Q4 EPS $0.44 vs est. $0.26 on revs $1.107B vs est. $1.086B, comps -0.8%; guides FY sales $4.74-4.9B vs est. $4.86B, comps flat to +3%, adj EBITDA $540-575Mm vs est. $549.86Mm.<\/li>\n
                  • MercadoLibre (MELI<\/span>)<\/b> Q4 revenue $6.06B, vs. consensus $5.94B; Q4 Net income $639M vs. est. $406.4M.<\/li>\n
                  • RealReal Inc. (REAL<\/span>)<\/b> Q4 EPS loss (-$0.01) on revs $164M, in-line with consensus for both; Q4 adjusted EBITDA was $11 million, or 6.7% of total revenue, which improved $10 million y\/y; Q4 GMV was $504M, an increase of 12% compared to the same period in 2023; sees FY25 revenue $645M-$660M vs. est. $655.98M.<\/li>\n
                  • Rivian (RIVN<\/span>)<\/b> Q4 EPS loss (-$0.70) vs. est. loss (-$0.77); Q4 revs $1.73B vs. est. $1.43B; said produced 12,727 vehicles at its manufacturing facility in Normal, Illinois in Q4 and delivered 14,183 vehicles; for the full-year 2024, Rivian produced 49,476 vehicles and delivered 51,579; guiding for 46K-51K 2025 deliveries (below 2024’s 51.6K), -$1.7B-$1.9B in adjusted EBITDA (below a -$1.69B consensus), $1.6B-$1.7B in capex (above a $1.44B consensus).<\/li>\n
                  • Sprouts Farmers Market (SFM<\/span>)<\/b> Q4 EPS $0.79 vs. est. $0.73; Q4 revs $2B vs. est. $1.96B; Q4 comp store sales rose +1.5%; sees FY25 EPS $4.52-$4.68, above consensus $4.27; sees FY25 revenue growth 10.5%-12.5% and guides FY comp store sales growth 4.5%-6.5%.<\/li>\n
                  • Texas Roadhouse (TXRH<\/span>)<\/b> Q4 EPS $1.73 above consensus $1.64 on better revs $1.44B (est. $1.41B); Q4 comparable restaurant sales increased 7.7% at company restaurants and increased 6.3% at domestic franchise restaurants; restaurant margin dollars increased 37.3% to $242.6M from $176.7M y\/y primarily on higher sales.<\/li>\n
                  • VICI Properties (VICI<\/span>)<\/b> Q4 AFFO $0.57, in-line with consensus and revs rose 4.7% y\/y to $976.1M vs. est. $969.29M; sees FY25 AFFO $2.32-$2.35, vs. consensus $2.31.<\/li>\n<\/ul>\n
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                    Energy, Industrials and Materials<\/p>\n

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                    • Con Edison (ED<\/span>)<\/b> Q4 adj EPS $0.98 vs est. $0.95 on revs $3.669B vs est. $3.6814B; guides FY adj EPS $5.50-5.70 vs est. $5.63.<\/li>\n<\/ul>\n<\/div>\n
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                      • Century Aluminum (CENX<\/span>)<\/b> Q4 EPS $0.49 vs. est. $0.44; Q4 revs $631M vs. est. $515.27M; sees 1Q adj EBITDA $75M-$85M; says adj EBITDA view based on improved metal pricing, regional premiums offset by higher energy, raw material costs.<\/li>\n
                      • Newmont Mining (NEM<\/span>)<\/b> Q4 adj EPS $1.40 vs. est. $1.08; Q4 revs $5.652B vs. est. $5.32B as benefited from a rally in gold prices; quarterly gold production was at 1.90 million ounces, compared with 1.74 million ounces a year earlier; quarterly average realized price for gold was at $2,643 per ounce, compared with $2,004 per ounce y\/y.<\/li>\n<\/ul>\n
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                        Financials<\/p>\n

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                        • Block Inc. (XYZ<\/span>)<\/b> Q4 adj EPS $0.71 below consensus $0.89; Q4 revs $6.03B misses consensus $6.28B; Q4 GPV $61.95B, with bitcoin revenue $2.43B; Q4 Cash App gross profit $1.38B and Square gross profit $924M; Q4 cash app inflows per transacting active were $1,255, up 10% y\/y; in 2025, expect a non-Gaap effective tax rate in the mid-20% range, consistent with 2024; Cash App monthly transacting active accounts 57M, +1.8% q\/q, est. 57.43M<\/li>\n<\/ul>\n<\/div>\n
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                          • Nu Holdings (NU<\/span>)<\/b> Q4 adj NI $610Mm vs est. $567Mm on revs $2.99B vs est. $3.29B, adj ROE 32%, gr mgn 45.6%.<\/li>\n
                          • WillScot Holdings (WSC<\/span>)<\/b> Q4 adj EPS $0.49 vs est. $0.48, adj EBITDA $285Mm vs est. $280.5Mm on revs $603Mm vs est. $606.55Mm; guides FY revs $2.275-2.475B vs est. $2.454B and adj EBITDA $1.00-1.09B vs est. $1.09B.<\/li>\n<\/ul>\n
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                            Healthcare<\/p>\n

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                            • Glaukos Corp. (GKOS<\/span>)<\/b> Q4 adj EPS ($0.40) vs est. ($0.38) on sales $105.5Mm vs est. $100.491Mm, adj gr mgn 82%; guides FY sales $478-485Mm vs est. $480.97Mm.<\/li>\n<\/ul>\n<\/div>\n
                                \n
                              • Globus Medical (GMED<\/span>)<\/b> Q4 adj EPS $0.84 vs. est. $0.75 and Ebitda $196.9M as reaffirms its full-year revenue guidance.<\/li>\n
                              • Guardant Health (GH<\/span>)<\/b> Q4adj EPS ($0.62) vs est. ($0.74), adj EBITDA ($78.4)Mm vs est. ($63.9)Mm on revs $201.8Mm vs est. $192.14Mm; guides FY revs $850-860Mm vs est. $848.85Mm, adj gr mgn 62-63%, FCF burn $225-235Mm<\/li>\n
                              • Insulet (PODD<\/span>)<\/b> Q4 adj EPS $1.15 vs est. $1.02 on revs $597.5Mm vs est. $582.81Mm; guides Q1 revs +22-25% vs est. $+23.05% and RY revs +16-20% vs est. +18.1%.<\/li>\n<\/ul>\n
                                \n

                                Technology, Media & Telecom<\/p>\n

                                  \n
                                • Akami Technologies (AKAM<\/span>)<\/b> Q4 adj EPS $1.66 vs est. $1.51, adj EBITDA $429Mm vs est. $410.2Mm on revs $1.02B vs est. $1.02B; guides Q1 revs $1.0-1.02B vs est. $1.045B and adj EPS $1.54-1.59 vs est. $1.65; sees FY revs $4.0-4.2B vs est. $4.263B and adj EPS $6.00-6.40 vs est. $6.82.<\/li>\n<\/ul>\n<\/div>\n
                                    \n
                                  • Altair Engineering (ALTR<\/span>)<\/b> Q4 EPS $0.52, vs. est. $0.51; Q4 revs $192.6M vs. est. $182.98M; Q4 Software revenue was $179.4M compared to $155.9M y\/y, an increase of 15.0% in reported currency and 16.5% in constant currency<\/li>\n
                                  • Dropbox (DBX<\/span>)<\/b> Q4 EPS $0.73 vs. est. $0.62; Q4 revs $643.6M vs. est. $638.61M; Q4 paying users was 18.22 million, as compared to 18.12 million y\/y and average revenue per paying user was $140.06, vs. $138.83 y\/y; said paying users decreased by 15,000 paying users q\/q; sees Q1 revenue $618M-$621M vs. est. $630.44M.<\/li>\n
                                  • Five9 Inc. (FIVN<\/span>)<\/b> Q4 adj EPS $0.79 vs est. $0.70 on revs $278.66Mm vs est. $267.81Mm; guides Q1 revs $271.5-272.5Mm vs est. $272.45Mm and adj EPS $0.47-0.49 vs est. $0.48; sees FY revs $1.14-1.144B vs est. $1.139B and adj EPS $2.58-2.62 vs est. $2.55.<\/li>\n
                                  • Globant SA (GLOB<\/span>)<\/b> Q4 adj EPS $1.75 vs est. $1.74 on revs $642.5Mm vs est. $644.3Mm, adj gr mgn 38.3%; guides Q1 revs $618-628Mm vs est. $637.43Mm and adj EPS $1.55-1.63 vs est. $1.66; sees FY revs $2.635-2.705B vs est. $2.744B and adj EPS $6.80-7.20 vs est. $7.33.<\/li>\n
                                  • Innodata Inc. (INOD<\/span>)<\/b> Q4 EPS $0.31 vs est. $0.21, adj EBITDA $14.1Mm vs est. $15.56Mm on revs $59.2Mm vs est. $53.02Mm; guides FY revs at least +40% vs est. +34.3%.<\/li>\n
                                  • RingCentral (RNG<\/span>)<\/b> Q4 adj EPS $0.98 vs. est. $0.97; Q4 revs $615M vs. est. $612.42M; appoints Kira Makagon as president, COO; sees Q1 adj EPS $0.93-$0.97 vs. est. $1.01; Q1 revs $587M-$592M, representing y\/y growth of 5% to 6%, or 6% to 7% on a constant currency basis. <\/li>\n
                                  • Universal Display (OLED<\/span>)<\/b> Q4 EPS $0.96 vs est. $1.06 on revs $162.3Mm vs est. $150.01Mm; guides FY revs $640-700Mm vs est. $705.6Mm.<\/li>\n
                                  • Taiwan’s Foxconn has proposed forming a partnership with Japan’s Honda Motor (HMC<\/span>)<\/b>, aiming to create a tie-up framework that also includes rival carmakers Nissan Motor and Mitsubishi Motors, the Nikkei newspaper reported on Friday.<\/li>\n<\/ul>\n<\/div>\n

                                    <\/p>\n