After Hours Report

The stock market started the new week with sharp declines after Friday's rebound. Technical factors were in play as the Nasdaq Composite (-4.0%) moved further into correction territory (i.e. a 10% decline from its high) and the S&P 500 (-2.7%) dropped below its 200-day moving average (5,734) again. It's the first time the index closed below that key level since November 2023, marking a 8.7% decline from its all-time high.

Another factor that contributed to the selling activity was ongoing fears about economic growth after President Trump said in a weekend interview that the economy is going through a "period of transition" and he declined to answer directly if the U.S. will experience a recession.

Continued fallout in the mega cap space played a big role also. Tesla (TSLA 222.15, -40.52, -15.4%) tumbled 15% after Bloomberg reported sales are struggling in China and after UBS lowered its price target to $225 from $259. This left shares 53.7% lower than their record closing high of $479 on December 17.

NVIDIA (NVDA 106.98, -5.71, -5.1%), Microsoft (MSFT 380.16, -13.15, -3.3%), and Apple (AAPL 227.48, -11.59, -4.9%) were also among the losing standouts in the space. 

The disappointing price action became its own downside catalyst, drawing in more selling interest that impacted many stocks. Nine of the 11 S&P 500 sectors registered declines and the equal-weighted S&P 500 slid 1.4%.

Some individual stocks avoided selling due to specific catalysts. Redfin (RDFN 9.77, +3.95, +67.9%) shares surged after news that Rocket Companies (RKT 13.35, -2.42, -15.4%) is acquiring RDFN for $12.50 per share in a stock transaction. 

Expand Energy (EXE 99.09, +3.06, +3.2%) was another outperformer after news late Friday that it will replace FMC Corp. (FMC 41.58, +0.29, +0.7%) in the S&P 500, effective prior to the open of trading on Monday, March 24.

Treasuries saw some safe-haven buying in another manifestation of growth concerns. The 10-yr yield fell ten basis points to 4.21% and the 2-yr yield fell ten basis points to 3.90%. The rally in the Treasury market resulted in the lowest settlement for the 2-yr yield since early October while the 10-yr yield returned back below its 200-day moving average (4.234%).

There was no US economic data of note today.

• Dow Jones Industrial Average: -1.5% YTD
• S&P 500: -4.5% YTD
• S&P Midcap 400: -6.4% YTD
• Nasdaq Composite: -9.5%
• Russell 2000: -9.5% YTD

Looking ahead to Tuesday, market participants receive the following economic data:

• 6:00 ET: February NFIB Small Business Optimism Index (prior 102.8)
• 10:00 ET: January job openings (prior 7.600 mln)

Overseas:

• Europe: DAX -1.8%, FTSE -0.9%, CAC -0.9%
• Asia: Nikkei +0.3%, Hang Seng -1.9%, Shanghai -0.2%

Commodities:

• Crude Oil -1.05 @ 66.06
• Nat Gas +0.11 @ 4.50
• Gold -17.50 @ 2898.50
• Silver -0.35 @ 32.49
• 3Copper -0.06 @ 4.65

After-Hours Spotlight:

• Asana (ASAN) beats by $0.01, reports revs in-line; guides Q1 EPS above consensus, revs below consensus; guides FY26 EPS above consensus, revs below consensus; Co-Founder, CEO and Chair, Dustin Moskovitz, informs company of his intention to transition to role of Chair when a new CEO begins... ASAN down 25.2%
• Delta Air Lines (DAL) lowers its Q1 guidance due to recent reductions in consumer and corporate confidence caused by increased macro uncertainty... DAL down 14.1%
• Illumina (ILMN) addresses recent developments in China; lowers FY25 adjusted EPS guidance... ILMN up 3.6%
• Oracle (ORCL) misses by $0.02, misses on revs; increases dividend... ORCL up 3.5%
• Vail Resorts (MTN) beats by $0.27, reports revs in-line; midpoint of FY25 (Jul) Resort Reported EBITDA guidance remains unchanged

Fair Value for Tuesday, March 11:

• S&P 500: 5,620
• Nasdaq 100: 19,453
• DJIA: 41,952

For a full rundown of today's market and after hours developments, see Live In Play

• Earnings/Guidance (Full Earnings Calendar):
  • ASE Technology (ASX) reports February revs increased 13.1% yr/yr to NT$14.96 bln
  • BioNTech (BNTX) beats by €0.67, beats on revs; guides FY25 revs below consensus
  • Booz Allen Hamilton (BAH) reaffirms FY25 guidance in investor slides
  • Cencora (COR) updates guidance to reflect the Company’s continued momentum in the second quarter of fiscal 2025
  • ChipMOS TECHNOLOGIES (IMOS) reports February revs declined 1.2% yr/yr to ~NT$1.76 bln
  • Chunghwa Telecom (CHT) reported February revenue was -2.08% to approximately NT$18.29 bln
  • Franco-Nevada (FNV) beats by $0.05, beats on revs; guides FY25 revs above consensus
  • Genie Energy (GNE) announces fourth quarter and full year 2024 results; GRE adds over 60,000 net meters in 2024, expanding customer base 17%
  • Net Power (NPWR) reports fourth quarter 2024 results and provides business update
  • North American Construction Group (NOA) to reschedule the release of its financial results and conference call for the fourth quarter ended December 31, 2024 due to the unforeseen impacts of Cyclone Alfred
  • Taiwan Semiconductor Manufacturing (TSM) reports February revs increased 43.1% yr/yr to NT$260.01 bln
  • TXNM Energy (TXNM) 2025 ongoing earnings guidance to be affirmed during meetings
  • UroGen Pharma (URGN) reports fourth quarter results and announces updated 18-Month Duration of Response (DOR) of 80.6% from the Phase 3 ENVISION Trial of UGN-102
• General News
  • House GOP introduced plan over the weekend for continuing resolution that would prevent March 14 government shutdown, according to Politico
  • In Fox News interview over the weekend, President Trump says U.S. economy faces "period of transition," but defers on answering if there will be a recession, according to Bloomberg
  • Producers of metals support tariffs, according to the New York Times
  • China imposes tariffs on U.S. agricultural products, according to the New York Times
  • Sale of TikTok being discussed with four different groups, according to Reuters
  • Elon Musk confirms that, 'There was (still is) a massive cyberattack against X'
  • FDA clarifies policies for compounders as national GLP-1 supply begins to stabilize
  • Presidents Trump and Xi explore June ‘Birthday Summit’ amid rising trade tensions, according to WSJ
  • US Secretary of State Rubio says Ukraine peace deal would need land concessions, according to New York Times
  • Chair for Senate Banking Committee Tim Scott (R-SC) eyes historic vote on GOP-led stablecoin bill, according to Politico
  • Affirm (AFRM) and StockX partner to offer new, transparent payment offering
  • Alector (ALEC) committed to a plan to reduce its workforce by approximately 13%
  • Allstate (ALL): Attorney General James confirms lawsuit against National General and Allstate Insurance for failing to protect New Yorkers’ personal information
  • Amazon (AMZN): FTC to rule whether Walmart and eBay are Amazon's competitors, according to Bloomberg
  • Amentum (AMTM) announces launch of 19,464,174 share offering as part of debt-for-equity exchange
  • Amgen (AMGN) and Kyowa Kirin provide top-line results from Rocatinlimab Phase 3 Ignite study in adults with moderate to severe atopic dermatitis
  • Analog Devices (ADI) introduces expanded CodeFusion Studio solution to accelerate product development and ensure data security
  • Apple (AAPL) planning major software revamp this year, according to Bloomberg
  • Applied Materials (AMAT) raises dividend by 15%; authorizes $10 bln stock buyback
  • Apple (AAPL) postpones launch of smart home hub, according to Bloomberg
  • Arrowhead (ARWR) announces topline results from Part 2 of a Phase 1/2 clinical study of ARO-C3, the company’s investigational RNA interference therapeutic designed to reduce liver production of complement component 3 as a potential therapy for various complement mediated diseases
  • Arthur J. Gallagher (AJG) acquires the remaining shares of Philippines-based Philpacific Insurance Brokers & Managers, Inc., dba Philinsure, following a minority investment in the business; financial terms were not disclosed
  • AZZ (AZZ) announces agreement to sell the electrical enclosures, switchgear, and bus systems businesses of AVAIL to nVent Electric plc (NVT), for a purchase price of $975 million
  • Beam Therapeutics (BEAM) Announces Positive Initial Data for BEAM-302 in the Phase 1/2 Trial in Alpha-1 Antitrypsin Deficiency (AATD), Demonstrating First Ever Clinical Genetic Correction of a Disease-causing Mutation
  • Beckman Coulter (DHR) Announces FDA clearance of DxC 500i Clinical Analyzer, an integrated Clinical Chemistry and Immunoassay System
  • BigBear.ai (BBAI) awarded a 3.5-year, $13.2 mln contract to modernize critical department of defense force management platform
  • Boeing (BA) to face class action, according to Reuters
  • Bristol Myers Squibb (BMY) Presents Late-Breaking Data from Phase 3 POETYK PsA-2 Trial Demonstrating Superiority of Sotyktu (deucravacitinib) Compared with Placebo in Adults with Psoriatic Arthritis
  • Capricor Therapeutics (CAPR): FDA accepts Biologics License Application for Duchenne muscular dystrophy cardiomyopathy treatment
  • Charles Schwab (SCHW): The Schwab Trading Activity Index increased to 51.94 in February, up from its score of 49.45 in January
  • Cognizant Tech (CTSH): Activist investor Mantle Ridge built an over $1 bln stake in the company, according to the Wall Street Journal
  • Comerica (CMA): CFPB motion denied in Comerica suit, according to Reuters
  • CoreWeave (CRWV) (pending IPO) and OpenAI sign contract that includes stake, according to Reuters
  • CVS (CVS) planning stores with smaller footprint, according to the Wall Street Journal
  • Dave, Inc. (DAVE) announces new $50 mln share repurchase authorization
  • Dexcom (DXCM) receives FDA warning letter; does not expect a material financial impact
  • Diversified Energy Company plc (DEC), FuelCell Energy (FCEL) and TESIAC announce a strategic partnership intended to address the urgent energy needs of data centers by supplying as much as 360 megawatts of electricity to three distinct locations in Virginia, West Virginia and Kentucky
  • Electromed (ELMD) authorized the repurchase of up to $5.0 million of Electromed common stock
  • Emergent BioSolutions (EBS) announces that it has entered into an agreement to sell its Baltimore-Bayview drug substance manufacturing facility to Syngene International for a total value of $36.5 mln
  • First National (FXNC) announces Brad E. Schwartz will join First National Corporation and First Bank as Executive Vice President and Chief Financial Officer effective March 31, 2025
  • Ford (F) to provide EUR4.4 bln support for German subsidiary, according to Financial Times
  • FuelCell Energy (FCEL), Diversified Energy (DEC) and TESIAC Collaborate to Form an Acquisition and Development Company to Leverage Coal Mine Methane and Natural Gas for Off-Grid Data Center Power Projects
  • Genmab (GMAB) announces that Johnson & Johnson (JNJ) has decided that it will not exercise its option to receive a worldwide license to develop, manufacture and commercialize HexaBody-CD38
  • Geo Group (GEO) reports contract modification for company-owned, 1,328-Bed Karnes ICE Processing Center
  • Global Water Resources (GWRS) has filed a general rate case application with the Arizona Corporation Commission related to the Global Water – Santa Cruz Water Company and Global Water – Palo Verde Utilities Company that provide water, wastewater and recycled water services in Pinal County, Arizona
  • Gorilla Technology Group (GRRR) formally launches initial phases of AI-Driven energy transformation initiative
  • Grifols, S.A. (GRFS) comments on front-page article titled "The CNMV reveals to the judge 'continuous fraud' among the top executives of Grifols"
  • i3 Verticals (IIIV) announces that one of its JusticeTech solutions is now live in West Virginia
  • Immunocore (IMCR) has today shared initial data from the multiple ascending dose portion of its Phase 1/2 STRIVE trial of IMC-M113V, its functional cure candidate for human immunodeficiency virus
  • Incyte (INCY) announces results of Phase 3 Clinical Trials Evaluating Ruxolitinib Cream 1.5% (Opzelura) in Patients with Prurigo Nodularis (PN) at 2025 American Academy of Dermatology Annual Meeting
  • Insulet (PODD) and NXP (NXPI) entered into an addendum to purchase agreement
  • Intuitive Machines (LUNR) collected some data for NASA before calling an early end of IM-2 mission
  • Ionis Pharma (IONS) announces that Ionis and AstraZeneca’s (AZN) WAINZUA has been approved in the European Union for the treatment of hereditary transthyretin-mediated amyloidosis in adult patients with stage 1 or stage 2 polyneuropathy, commonly referred to as hATTR-PN or ATTRv-PN
  • Janus International Group (JBI) announces $40 million debt paydown
  • Johnson & Johnson (JNJ) reports Icotrokinra results showing potential to set a new standard of treatment in plaque psoriasis
  • Johnson & Johnson (JNJ): Health Canada authorizes LAZCLUZE (lazertinib) in combination with RYBREVANT (amivantamab) as a first-line chemotherapy-free treatment for patients with EGFR-mutated advanced lung cancer
  • KBR (KBR) has been awarded a firm fixed price, $85 mln task award by the U.S. Air Force to procure, design and deliver critical training aids and airfield damage repair kits globally
  • Keysight (KEYS) introduces isolated probing technology for fast-switching power device testing
  • Knife River Corp. (KNF) completes acquisition of Strata Corporation; to update its consolidated 2025 financial guidance when it issues its first quarter 2025 earnings results
  • Lilly's (LLY) baricitinib delivered high rates of hair regrowth for adolescents with severe alopecia areata in Phase 3 BRAVE-AA-PEDS study
  • Lions Gate Entertainment (LGF.A) and Lionsgate Studios Corp. (LION) special meetings relating to the proposed separation of Lionsgate's Studios and Starz Businesses are expected to be held on April 23, 2025
  • MannKind (MNKD) showcases efficacy, safety, and mealtime control data from recent pediatric and adult studies of Afrezza at the ATTD Conference, March 19-22
  • Medtronic (MDT) reports SMART Trial two-year data continues to demonstrate superior valve performance for Evolut TAVR system in small annulus patients
  • Merck (MRK): Kelun-Biotech's TROP2 ADC Sacituzumab Tirumotecan (sac-TMT) approved for marketing in second indication by NMPA for EGFRm NSCLC
  • Meta Platforms' (META) Alphabet CIO Ruth Porat discussed plans for nuclear power to help lower costs, according to CNBC
  • Meta Platforms (META): EU to issue modest fines to Apple and Meta for alleged Digital Markets Act violations, according to Reuters
  • Methanex (MEOH) provides update on Geismar Operations; estimates startup by early May
  • Mineralys Therapeutics (MLYS) to Announce Topline Data from Launch-HTN and Advance-HTN Pivotal Trials Monday, March 10, 2025, at 8:00 AM ET
  • Novo Nordisk A/S (NVO) announced headline results from REDEFINE 2, a phase 3 trial in the global REDEFINE programme
  • nVent Electric (NVT): Avail Infrastructure Solutions has entered into a definitive agreement to sell its Electrical Products Group business unit to nVent Electric plc, for an Enterprise Value of $975 mln
  • Organon (OGN) reports new analysis for VTAMA (tapinarof) cream, 1% Phase 3 Data Showing Atopic Dermatitis Disease Activity Remained Low After Treatment-Free Interval in Adults and Children 2 Years of Age and Older
  • Perion Network (PERI) authorizes expansion of share repurchase program
  • Petrobras (PBR) and EIG Energy settle lawsuit in the US
  • Red Cat Holdings (RCAT) files for offering of 13,375,000 shares of common stock by selling stockholder
  • Regeneron Pharma (REGN) and Sanofi (SNY) report Dupixent (dupilumab) Late-Breaking Positive Pivotal Data in Bullous Pemphigoid Presented at AAD
  • ReNew (RNW) received proceeds from the 300 MW sale it had announced on December 23, 2024
  • Robinhood Markets (HOOD) ordered to pay $29.75 mln in fines for violating numerous FINRA rules
  • Sandvik AB (SDVKY)  has signed an agreement to acquire Verisurf Software
  • SEALSQ Corp (LAES) signs new distribution and sales agreements, significantly expanding the company’s global footprint across Europe, Asia, and the Middle East
  • ServiceNow (NOW) confirms plans to acquire Moveworks for $2.85 billion
  • Smith & Nephew (SNN) to highlight breakthrough Sports Medicine technologies for joint repair at AAOS 2025
  • Summit Midstream Partners (SMC) announces the acquisition of Moonrise Midstream for a total consideration of $90 mln and Provides DJ basin operational update
  • Synaptics (SYNA) launches ultra-low-power Wi-Fi/Bluetooth/802.15.4 Triple Combo SoC Family for Embedded Edge AI IoT
  • Tesla (TSLA) sales struggling in China, according to Bloomberg
  • Tevogen Bio (TVGN) announces the filing of a new patent with the U.S. Patent and Trademark Office for its under-development T cell vaccine
  • The Bancorp (TBBK) expects to record an adjustment to the allowance for loan losses and provision expense associated with consumer fintech loans
  • Tower Semi (TSEM) and Innolight announced their expanded collaboration utilizing Tower's newest Silicon Photonics (SiPho) platform - now in production and ramping to high volume
  • Transportadora de Gas del Sur (TGS) provides flooding updates; is furnishing the necessary means to mitigate the consequences of the Event, including arrangements for the corresponding insurance policies
  • Trevi Therapeutics (TRVI) announces positive topline results from the Phase 2a RIVER trial of haduvio in patients with refractory chronic cough
  • Whitestone REIT (WSR) has commenced a strategic transformation of the merchandising mix at Davenport Village (“Davenport”) in Austin, Texas that is expected to re-energize the center and strengthen its competitive position within the upscale neighborhoods it serves: Davenport Ranch, Westlake, Rob Roy and Barton Creek
  • Yum China (YUMC) appoints Adrian Ding as Chief Financial Officer

• Upgrades:
  • Airbnb (ABNB) upgraded to Buy from Hold at Jefferies; tgt raised to $185
  • Camden Property (CPT) upgraded to Buy from Hold at Jefferies; tgt raised to $139
  • CME Group (CME) upgraded to Outperform from Mkt Perform at Raymond James; tgt $287
  • Cracker Barrel (CBRL) upgraded to Buy from Hold at Truist; tgt raised to $55
  • DocuSign (DOCU) upgraded to Neutral from Underweight at JP Morgan; tgt raised to $75
  • Fastenal (FAST) upgraded to Outperform from Mkt Perform at William Blair
  • Grainger (GWW) upgraded to Outperform from Mkt Perform at William Blair
  • Hudson Pacific Properties (HPP) upgraded to Overweight from Equal Weight at Wells Fargo; tgt $4
  • Independence Realty Trust (IRT) upgraded to Buy from Hold at Jefferies; tgt raised to $24
  • KeyCorp (KEY) upgraded to Buy from Neutral at Citigroup; tgt $20
  • Knight-Swift (KNX) upgraded to Neutral from Sell at Citigroup; tgt $53
  • Samsara (IOT) upgraded to Outperform from Market Perform at BMO Capital Markets; tgt $48
  • Samsara (IOT) upgraded to Overweight from Neutral at Piper Sandler; tgt $50
  • Shift4 Payments (FOUR) upgraded to Strong Buy from Outperform at Raymond James; tgt $140
• Downgrades:
  • Emerson (EMR) downgraded to Underweight from Equal Weight at Barclays; tgt lowered to $110
  • Host Hotels (HST) downgraded to Neutral from Buy at Compass Point; tgt lowered to $18
  • Jack Henry (JKHY) downgraded to Neutral from Buy at Northcoast
  • Kilroy Realty (KRC) downgraded to Equal Weight from Overweight at Wells Fargo; tgt lowered to $35
• Others:
  • Aardvark Therapeutics (AARD) initiated with an Overweight at Cantor Fitzgerald; tgt $50
  • Aardvark Therapeutics (AARD) initiated with an Outperform at RBC Capital Mkts; tgt $21
  • Aardvark Therapeutics (AARD) initiated with a Buy at BofA Securities; tgt $22
  • Aardvark Therapeutics (AARD) initiated with an Overweight at Morgan Stanley; tgt $29
  • ArriVent BioPharma (AVBP) initiated with a Buy at Guggenheim; tgt $45
  • Knife River Corp. (KNF) initiated with a Overweight at Wells Fargo; tgt $102

• Econ Data (Tuesday):
  • 6:00 ET: February NFIB Small Business Optimism Index (prior 102.8)
  • 10:00 ET: January job openings (prior 7.600 mln)
• Treasury Auctions:
  • 13:00 ET: $58 bln 3-yr Treasury note auction results
• Earnings:
  • Monday (Mar 10)
    • Pre-Market: BNTX FNV
    • After-Hours: ASAN HPK LMB AVO ORCL PAY SARO MTN
  • Tuesday (Mar 11)
    • Pre-Market: CIEN DKS FERG FWRG HLLY KSS KFY LEGN UNFI VIK
    • After-Hours: CDRE CASY SFIX WEST
  • Wednesday (Mar 12)
    • Pre-Market: ABM ARCO IBRT MOMO
      
    • After-Hours: ADBE AEO BRY CVGW CCI PHR S CXM PATH
  • Thursday (Mar 13)
    • Pre-Market: DG GII WB
    • After-Hours: BLNK DOCU EVCM PD RBRK SMTC TTAN ULTA WPM XPOF ZUMZ
  • Friday (Mar 14)
    • Pre-Market: BKE GOGO LI
    • After-Hours: None
  General Motors: 5,000 members at GM's Arlington, TX assembly plant join UAW strike