ECONOMIC SILUET: Watch these restaurant stocks, a popular footwear name and these media giants in trading tomorrow

Selasa, 17 Januari 2023

Watch these restaurant stocks, a popular footwear name and these media giants in trading tomorrow

TUE, JAN 17, 2023

The goal of this newsletter is to get you ahead of the next day of investing and trading. It's your first look at tomorrow and last look at today powered by the team of people who direct CNBC TV's stock market coverage.

Tomorrow's Top CNBC Stories Tonight

A strong three-month period for Starbucks, Yum! Brands and other dining stocks

Starbucks finished the day lower after hitting its highest level in just over a year. Despite Tuesday's decline, the stock is up 20% in three months. A number of other large restaurant names are within striking distance of their own 52-week highs, including Yum! Brands, Darden Restaurants and McDonald's. All three are also up double digits in three months. One major laggard in the restaurant arena is Sweetgreen, which is off by nearly 50% in three months.
As CNBC's Pippa Stevens notes, some analysts are calling for caution on full-service restaurant names like Darden and Brinker, as consumers may be looking for cheaper options. For instance, Gordon Haskett downgraded Cheesecake Factory, citing demand headwinds, and Citigroup cut CAKE to neutral. That stock fell about 1.7% today.

Home improvement, supply names rise in recent months

Mohawk Industries posted its worst day since mid-September after the flooring company lowered its earnings outlook, citing Fed hikes, high inflation and lagging consumer confidence. However, like restaurants, home improvement and supply stocks have largely been outperforming of late. Mohawk is up almost 9% since the start of the year. Installed Building Products, Trane Technologies and Johnson Controls are all up over 20% in three months. Homebuilders Lennar, D.R. Horton, and PulteGroup are up over 30% in the same interval.

Crocs stock trots higher

Crocs extending its recent run, gaining more than 1% today and hitting its highest level in a year. The shoemaker's stock is up a whopping 64% in three months, and analysts seem to think there's more room to run. According to FactSet's tracking, 64% have a buy or overweight rating on the stock, and it closed today at a slight discount to its average price analyst price target.

Mining stocks, ETFs stumble to begin the week

Following a strong start to the year, metals and mining stocks underperformed today. The Global X Copper Miners ETF (COPX) fell 2%, while VanEck Steel ETF (SLX) and SPDR S&P Metals & Mining ETF (XME) fell more than 1%. All three are still up more than 10% since the start of the month. The XME's largest constituents, Freeport-McMoRan, Newmont, Nucor, Steel Dynamics, and Reliance Steel & Aluminum, all fell more than 1% in today's session, though they're all up over 15% in three months. Freeport is up 70% in six months and finished the day around 15% off its 2022 high.

Ethan Kraft | CNBC Breaking News and Markets Producer
@ethan_kraft

Younger shoppers bolster luxury retail's growth

CNBC wealth reporter Robert Frank on Tuesday reported that younger people accounted for almost all the luxury market's growth last year, according to a report by Bain.
Most of the gains, geographically speaking came from the U.S., with strong growth in Europe. China fell slightly but is still a major player.
LVMH (LVMHF) is up 17% in 2023.
Kering (KER-FR) is up 16% in 2023.
Hermes (RMS-FR) is up 15% in 2023.
Ralph Lauren (RL) is up nearly 13% in 2023.
Nordstrom (JWN) is up 10% in 2023.
Prada (PRDSY) is up 5% in 2023.
Burberry (BBRYF) is up 4.5% in 2023.
Read more from Robert Frank here.

The New York Rangers, the New York Knicks and Madison Square Garden Sports

Right now, both teams would be in the playoffs.
In their last 18 games, the two are 13 and 5 with two ties (hockey has ties, not basketball).
Five out of 6 analysts on FactSet say buy Madison Square Garden Sports, with one rating it a hold.
The average target is $223, including the hold.
Since those pretty decent streaks started prior to Christmas, the stock, MSGS, is up almost 12%. Those win streaks would be even better, but the Rangers found a way to lose to Montreal at home Sunday, and the Knicks lost in overtime to the Toronto Raptors on Monday.

Big options move in media stocks

IAC and News Corp both saw 10 times as many options trades compared with the 10-day average.
Fox Corp had almost 20 times the normal options trading compared to the 10-day average Tuesday.
IAC is up 18% in 2023.
Fox Corp is up 4.6% in 2023.
News Corp is up nearly 6% in 2023.

CEOs of two soda giants are on CNBC from Davos on Wednesday

The CEOs of Coca-Cola and Pepsi will be on CNBC.
Pepsi is down 2.5% in 2023.
Coca-Cola is down 3% in 2023.
Both are flat in the past year.

Other CEOs will be on CNBC from Davos Wednesday, including those of…

Uber, which is up 18% in 2023.
Mastercard, up nearly 8% in 2023.
ServiceNow, up close to 8% in 2023.
Moderna, up 6% in 2023.
Nasdaq, up 3.3% in 2023.
Goldman Sachs, which is up nearly 2% in 2023 – following Tuesday's big drop of 6.4%.
Cisco, up about 1% in 2023.