Morning Coffee Pre-Market Wall Street News

Tweet Sends Market Lower. Yesterday a tweet from the Associated Press caused the market to go into a panic sell-off. The tweet occurred at 1:08 PM ET and reported that two explosions occurred at the White House and that President Obama had been injured. Only minutes later, the AP announced that their Twitter account had been hacked. The sell-off of 145 points was due to computers using algorithms to scan news feeds.   The Syrian Electronic Army has taken responsibility for the hack.

Upgrades

CIT Group (CIT): Oppenheimer raised their rating from Perform to Outperform and placed a target price of $54.00 on the company.

Coach (COH): CLSA raised their rating from Buy to Outperform and raised their target price from $60.00 to $71.00.

Ryder Systems (R): Wolfe Trahan raised their rating from Peer Perform to Outperform.

Ryder Systems (R): Wells Fargo raised their rating from Market Perform to Outperform and raised their target range from $61.00-$63.00 to $62.00-$64.00.

Downgrades

Apple (AAPL): BMO Capital lowered their rating from Outperform to Market Perform and lowered their target price from $440.00 to $435.00. Pre-market: 393.96 -12.17 (-3.00%)

Cree (CREE): Gabelli lowered their rating from Buy to Hold.

Freeport-McMoRan (FCX): Argus lowered their rating from Buy top Hold.

Coverage Initiated

Aeropostale (ARO): Susquehanna initiated coverage with a Positive rating and target price of $18.00.

ConocoPhillips (COP): Howard Weil initiated coverage with a Sector Outperform rating and target price of $64.00.

ConocoPhillips (COP): Cowen initiated coverage with a Hold rating.

Murphy Oil (MUR): Cowen initiated coverage with a Hold rating.

Coverage Reiterated/Price Target Changed

Apple (AAPL): Canaccord Genuity reiterated their Buy rating and lowered their target price from $600.00 to $560.00.

Apple (AAPL): Oppenheimer reiterated their Outperform rating and lowered their target price from $550.00 to $480.00.

Apple (AAPL): FBR Capital reiterated their Outperform rating and lowered their target price from $525.00 to $500.00.

Earning Reports

Amgen (AMGN): Reported EPS of $1.96 beating estimates by +$0.12. Pre-market: 107.25 -5.51 (-4.89%)

Apple (AAPL): Reported EPS of $10.09 beating estimates by +$0.09. Pre-market: 393.96 -12.17 (-3.00%)

AT&T (T): Reported EPS of $0.64 in-line with estimates. Pre-market: 37.30 -1.70 (-4.36%)

Barrick Gold (ABX): Reported EPS of $0.92 beating estimates by +$0.03. Pre-market: 18.40 +0.81 (4.60%)

Boeing (BA): Reported EPS of $1.73 beating estimates by +$0.26. Pre-market: 91.50 +3.32 (3.77%)

Corning (GLW): Reported EPS of $0.30 beating estimates by +$0.06. Pre-market: 13.45 +0.32 (2.44%)

Dr Pepper Snapple (DPS): Reported EPS of $0.53 beating estimates by +$0.07. Pre-market: 49.68 +1.90 (3.98%)

Eli Lilly (LLY): Reported EPS of $0.53 beating estimates by +$0.07.

Ford Motor (F): Reported EPS of $0.41 beating estimates by $0.04.

General Dynamics (GD): Reported EPS of $1.62 beating estimates by $0.12.

Northrop Grumman (NOC): Reported EPS of $2.03 beating estimates by +$0.12.

Novartis AG (NVS): Reported EPS of $1.32 beating estimates by +$0.04.

Oceaneering Intl (OII): Reported EPS of $0.69 beating estimates by +$0.09.

Procter & Gamble (PG): Reported EPS of $0.99 beating estimates by +$0.03.

SEI Investments (SEIC): Reported EPS of $0.33 in-line with estimates.

Whirlpool (WHR): Reported EPS of $1.97 beating estimates by +$0.01.

YUM! Brands (YUM): Reported EPS of $0.70 beating estimates by +$0.10. Pre-market: 67.58 +3.43 (5.35%)

Markets: 
Futures at 7:00: Dow +0.1%. S&P +0.2%. Nasdaq +0.2%. Crude +0.7% to $89.81. Gold +1% to $1422.15.

Europe: London 0.0%. Paris +0.6%. Frankfurt +0.5%. 

Asia: Japan +2,2% to 13826. Hong Kong +1.7% to 22183. China +1.5 to 2218. India closed. 

Morning Coffee Pre-Market Wall Street News

Netflix Shares Soar. Shares of movie rental company Netflix (NFLX) are soaring in the pre-market after the company reported EPS better than expected. Netflix swung to a net profit of $2.7M from a loss of $4.6M with EPS coming in at $0.31.  Revenues at the company also rose 17% to $1.02B. Net domestic streaming subscribers rose 2.03M to 29.2M. Pre-market: 216.99 +42.62 (24.44%)

Apple Investors Wait For Earnings. Apple's (AAPL) is scheduled to report FQ2 earnings after the market close today. Wall Street analysts are expecting that EPS fell to $10.00 from $12.30, with revenues rising 4.7% to $42.59B. The company’s share price has fallen over 25% year to date as demand for their products have fallen and Android phone continue to gain in popularity. Pre-market: 402.75 +4.08 (1.02%)

Upgrades

Caterpillar (CAT): JPMorgan raised their rating from Neutral to Overweight and raised their target price from $93.00 to $100.00. Pre-market: 83.89 +1.18 (1.43%)

Chubb (CB): William Blair raised their rating from Underperform to Market Perform. Pre-market: 87.65 0.00 (0.00%)

INVESCO (IVZ): JPMorgan raised their rating from Neutral to Overweight and raised their target price from $31.00 to $34.00.

Morgan Stanley (MS): SunTrust raised their rating from Neutral to Buy and raised their target price from $24.00 to $25.00. Pre-market: 21.00 +0.29 (1.40%)

Downgrades

Sempra Energy (SRE): ISI Group lowered their rating from Buy to Neutral.

Western Union (WU): Citigroup lowered their rating from Buy to Neutral and lowered their target price from $15.00 to $14.50.

Yum! Brands (YUM): BofA Merrill Lynch lowered their rating from Buy to Underperform and lowered their target price from $80.00 to $60.00. Pre-market: 64.45 -0.81 (-1.24%)

Coverage Initiated

Ross Stores (ROST): Cowen initiated coverage with an Outperform rating. Pre-market: 63.00 0.00 (0.00%)

TJX Cos. (TJX): Cowen initiated coverage with an Outperform rating. After Hours: 47.14 0.00 (0.00%)

Earning Reports

Arch Coal (ACI): Reported EPS of -$0.33 missing estimates by -$0.01. Pre-market: 4.93 +0.04 (0.82%)

Brinker (EAT): Reported EPS of $0.72 beating estimates by +0.03. Pre-market: 38.68 -0.15 (-0.39%)

CIT Group (CIT): Reported EPS of $0.81 missing estimates by $0.06.

Coach (COH): Reported EPS of $0.84 beating estimates by +0.04. Pre-market: 57.50 +6.91 (13.66%)

DuPont (DD): Reported EPS of $1.56 beating estimates by +0.04. Pre-market: 50.75 +0.34 (0.67%)

Forest Labs (FRX): Reported EPS of $0.25 beating estimates by +0.09.

Lockheed Martin (LMT): Reported EPS of $2.33 beating estimates by +0.29. Pre-market: 101.00 +5.15 (5.37%)

Netflix (NFLX): Reported EPS of $0.31 beating estimates by +0.09. Pre-market: 216.99 +42.62 (24.44%)

Ryder System (R): Reported EPS of $0.81 beating estimates by +0.04.

Synovus Financial (SNV): Reported EPS of $0.02 in-line with estimates. Pre-market: 2.58 +0.04 (1.57%)

Swift Transportation (SWFT): Reported EPS of $0.21 beating estimates by +0.05. Pre-market: 14.16 +0.59 (4.35%)

Texas Instruments (TXN): Reported EPS of $0.32 in-line with estimates. Pre-market: 34.95 +0.14 (0.40%)

Travelers (TRV): Reported EPS of $2.33 beating estimates by +0.30. Pre-market: 88.02 +3.44 (4.07%)

Markets: 
Futures at 7:39: Dow +0.35%. S&P +0.16%. Nasdaq +0.40%. Crude -0.73% to $88.54. Gold +0.07% to $1422.40.

Europe: London +1.16%. Paris +2.34%. Frankfurt +1.36%. 

Asia: Japan -0.29% to 13530. Hong Kong -1.08% to 21807. China -2.57% to 2185. India +0.81% to 19179. 

Client Mike Rodgers posts fastest 100m this year!

Client Mike Rodgers posts fastest 100m this year!

Morning Coffee Pre-Market Wall Street News

U.S. GDP Calculations to Change. The way in which the U.S. economy is measured is set to change beginning in July. Starting in July the U.S. government will be one of the first countries to begin using the new international standard for GDP accounting. The new calculations will now include R&D investment, and both film and music royalties. The new standard is expected to increase the GDP in small states that host a lot of military R&D and have minimal effects in other states, widening measured income gaps across the U.S. Another change is the inclusion of deficits in defined benefit pension plans. The liabilities of the underfunded plans are expected to have large ramifications for both the federal government and state governments.

Upgrades

BHP Billiton (BHP): HSBC Securities raised their rating from Neutral to Overweight. Pre-market: 64.38 +0.19 (0.30%)

Equifax (EFX): ResearchTeam raised their rating from Reduce to Hold.

Google (GOOG): S&P raised their rating from *** Hold to **** Buy. Pre-market: 804.00 +4.13 (0.52%)

Johnson Controls (JCI): RW Baird raised their rating from Neutral to Outperform and raised their target price from $36.00 to $44.00.

Sketchers USA (SKX): BB&T raised their rating from Hold to Buy.

USG Corp (USG): Credit Suisse raised their rating from Underperform to Neutral and raised their target price from $22.00 to $27.00.

Downgrades

Apple (AAPL): ResearchTeam lowered their rating from Hold to Reduce. Pre-market: 392.21 +1.68 (0.43%)

Barrick Gold (ABX): Deutsche Bank lowered their rating from Buy to Hold and lowered their target price from $40.00 to $22.50. Pre-market: 18.70 +0.53 (2.92%)

Ericsson (ERIC): Societe Generale lowered their rating from Hold to Sell. Pre-market: 11.68 -0.06 (-0.55%)

General Electric (GE): JPMorgan lowered their rating from Overweight to Neutral. Pre-market: 21.67 -0.08 (-0.37%)

McCormick & Co. (MKC): KeyBanc lowered their rating from Buy to Hold.

Newmont Mining (NEM): Deutsche Bank lowered their rating from Hold to Sell and lowered their target price from $40.00 to $24.00. Pre-market: 33.50 +0.52 (1.58%)

Coverage Initiated

Cabot Oil & Gas (COG): Deutsche Bank initiated coverage with a Hold rating and target price of $75.00.

Coverage Reiterated/Price Target Changed

Celgene (CELG): Cantor Fitzgerald reiterated their Buy rating and raised their target price from $121.00 to $142.00.

Earning Reports

Caterpillar (CAT): Pre-market: 81.00 +0.57 (0.71%)

Check Point Software (CHKP): Reported EPS of $0.79 beating estimates by +$0.01.

Halliburton (HAL): Reported EPS of $0.67 beating estimates by +$0.10. Pre-market: 39.01 +1.80 (4.84%)

Hasbro (HAS): Reported EPS of $0.05 beating estimates by +$0.02. Pre-market: 45.70 +0.68 (1.51%)

Philips Electronics (PHG): Reported EPS of $0.18 missing estimates by -$0.09. Pre-market: 27.52 -0.78 (-2.76%)

Markets: 
Futures at 7:04: Dow +0.48%. S&P +0.53%. Nasdaq +0.72%. 

Crude +0.32% to $88.01. Gold +2.60% to $1431.90.

Europe: London +0.68%. Paris +0.68%. Frankfurt +0.94%. 

Asia: Japan +1.89% to 13568. Hong Kong +0.14% to 22044. China -0.11% to 2242. India +0.81% to 19170.

Morning Coffee Pre-Market Wall Street News

Big Tech Names to Report Earnings. After the market close today the three biggest names in tech will report their earnings. Wall Street analysts estimate that Google's (GOOG) Q1 EPS will rise to $10.69 from $10.08 while revenue is expected to surge 72.5% to $14.04B. IBM's (IBM) Q1 EPS is estimated to have increased to $3.06 from $2.78 with revenue increasing 0.1% to $24.69B. Microsoft's (MSFT) FQ3 EPS is estimates to come in at $0.75 from $0.60 and revenue to increase 18.1% to $20.56B. GOOG Pre-market: 789.12 +6.56 (0.84%) IBM Pre-market: 210.26 +0.59 (0.28%) MSFT Pre-market: 28.90 +0.07 (0.26%)

Upgrades

Core Labs (CLB): Tudor Pickering raised their rating from Trim to Hold. Pre-market: 134.01 +7.77 (6.15%)

United Parcel Service (UPS): RBC Capital raised their rating from Sector Perform to Outperform and raised their target price from $80.00 to $100.00.

Downgrades

Allscripts Healthcare (MDRX): Maxim lowered their rating from Buy to Hold.

eBay (EBAY): Macquarie lowered their rating from Outperform to Neutral. Pre-market: 54.00 -2.10 (-3.74%)

Expeditors International (EXPD): RBC Capital lowered their rating from Sector Perform to Underperform and raised their target price from $39.00 to $33.00.

FedEx (FDX): RBC Capital lowered their rating from Sector Perform to Underperform and raised their target price from $100.00 to $87.00.

Huntington Banc (HBAN): Compass Point lowered their rating from Buy to Neutral and placed a target price of $8.00 on the company. Pre-market: 6.99 -0.02 (-0.21%)

Coverage Initiated

Agrium (AGU): HSBC Securities initiated coverage with an Overweight rating and target price of $117.00.

American International Group (AIG): BMO Capital initiated coverage with an Outperform rating and target price of $50.00. Pre-market: 38.81 +0.25 (0.65%)

Marsh & McLennan (MMC): BMO Capital initiated coverage with a Market Perform rating and target price of $38.00.

Mosaic (MOS): HSBC Securities initiated coverage with a Neutral rating and target price of $66.00. Pre-market: 58.05 +0.07 (0.12%)

PartnerRe (PRE): BMO Capital initiated coverage with a Market Perform rating and target price of $96.00.

Potash (POT): HSBC Securities initiated coverage with an Overweight rating and target price of $38.02.

Travelers Co (TRV): BMO Capital initiated coverage with an Outperform rating and target price of $95.00.

Earning Reports

American Express (AXP): Reported EPS of $1.15 beating estimates by +$0.02. After Hours: 64.00 -0.13 (-0.20%)

Baxter (BAX): Reported EPS of $1.05 in-line with estimates.

BB&T Corp (BBT): Reported EPS of $0.69 beating estimates by +$0.01.

eBay (EBAY): Reported EPS of $0.63 beating estimates by +$0.01. Pre-market: 54.05 -2.05 (-3.65%)

Fifth Third (FITB): Reported EPS of $0.46 beating estimates by +$0.07.

KeyCorp (KEY): Reported EPS of $0.21 beating estimates by +$0.01. Pre-market: 9.35 -0.18 (-1.89%)

Morgan Stanley (MS): Reported EPS of $0.61 beating estimates by +$0.05. Pre-market: 21.30 -0.17 (-0.79%)

Nokia (NOK): Reported EPS of -0.02 beating estimates by +$0.02. Pre-market: 3.23 -0.35 (-9.78%)

PepsiCo (PEP): Reported EPS of $0.77 beating estimates by +$0.07. Pre-market: 79.44 +0.59 (0.75%)

Snap-On (SNA): Reported EPS of $1.40 beating estimates by +$0.06.

UnitedHealth (UNH): Reported EPS of $1.16 beating estimates by +$0.02. Pre-market: 61.50 -0.53 (-0.85%)

Verizon (VZ): Reported EPS of $0.68 beating estimates by +$0.02. Pre-market: 50.27 +0.73 (1.47%)

Markets: 
Futures at 7:27: Dow +0.37%. S&P +0.45%. Nasdaq +0.46%. Crude +1.35% to $87.84. Gold +1.01% to $1396.70.

Europe: London +0.41%. Paris +0.90%. Frankfurt +0.52%. 

Asia: Japan -1.22% to 13220. Hong Kong -0.26% to 21513. China +0.17% to 2198. India +1.52% to 19016.