Something very unusual has been taking place since the start of the 2Q earnings season
US stocks that beat earnings are being sold... very unusual. Source: www.zerohedge.com
Retail investors are jumping into Mattel stock $MAT as the movie "Barbie" takes the world by storm
Source: Barchart, Vanda Research
Hong-Kong listed Chinese stocks are soaring this morning as China July politburo statement is more dovish than expected.
China wows to adjust and optimitize property policy and aims to support domestic economy. Source: CNBC
Dow component returns in 2023...
Source: Charlie Bilello
J.P. Morgan asked investors if they plan to increase or decrease exposure to stocks in the coming days/weeks
We’re down to only 17% of respondents who are looking to add to equity exposure. From a contrarian perspective, this is a positive. Source: J-C Parets
The S&P has gone 37 days without a 1% decline – last seen at the NOV 2021 Top
Many similar streaks ended with some big volatility spike. Source: Macrocharts
Is netflix still a growth stock?
Netflix Q2 revenues were 2.7% higher than a year ago, the second lowest growth rate in company history (lowest was 1.9% in Q4 2022). $NFLX Source: Charlie Bilello
Tesla reported earnings after the bell, showing a record for quarterly revenue but lower margins thanks to price cuts and incentives.
The stock price remained flat after the initial report, but began dropping during the earnings call as CEO Elon Musk and other executives failed to deliver precise specs and start of delivery dates for the Cybertruck, and for a robotaxi-ready vehicle. Musk and other execs also said during the call that vehicle production would slow down during Q3 due to shutdowns for factory improvements. The stock was down as much as 5% after hours. $TSLA Tesla Q2 FY23: • Revenue +47% Y/Y to $24.9B ($200M beat). • Gross margin 18% (-7pp Y/Y). • Operating margin 10% (-5pp Y/Y). • Capex +19% Y/Y to $2.1B. • Free cash flow +62% Y/Y to $1.0B. • Non-GAAP EPS $0.91 ($0.09 beat). • Deliveries +83% Y/Y to 466,140. Source: App Economy Insights, CNBC
