Mid-Afternoon Market Update: Dick's Sporting Goods Jumps On Earnings Beat; Dollar Tree Shares Plunge

Toward the end of trading Tuesday, the Dow traded up 0.12% to 28100.40 while the NASDAQ rose 0.21% to 8,650.57. The S&P also rose, gaining 0.13% to 3,137.78.

Leading and Lagging Sectors

Real estate shares climbed 1.1% on Tuesday. Meanwhile, top gainers in the sector included Safehold Inc. SAFE, up 7%, and CBL & Associates Properties, Inc CBL, up 5%.

In trading on Friday, energy shares fell 1%.

Top Headline

Best Buy Co Inc BBY reported upbeat earnings for its third quarter and raised its guidance.

Best Buy reported third-quarter earnings of $1.13 per share on Tuesday, which beat the analyst consensus estimate of $1.03. The company reported quarterly sales of $9.764 billion, which beat the analyst consensus estimate of $9.7 billion.

Best Buy raised fiscal year 2020 EPS from $5.60-$5.75 to $5.81-$5.91 versus the $5.74 estimate and narrowed sales guidance from $43.1-$43.6 billion to $43.2-$43.6 billion versus the $43.38 billion estimate.

Equities Trading UP

ChemoCentryx, Inc. CCXI shares shot up 274% to $30.11 after the company announced the pivotal phase-III ADVOCATE trial of avacopan for the treatment of patients with ANCA-associated vasculitis met both primary endpoints.

Shares of ToughBuilt Industries, Inc. TBLT got a boost, shooting up 35% to $0.2160 after the company announced its Amazon storefront achieved revenues of $1.8 million in the U.S. and Canada in its first 7 months of operation.

Dicks Sporting Goods Inc DKS shares were also up, gaining 18% to $46.36 after the company reported better-than-expected Q3 EPS and sales results. The company also raised FY19 EPS guidance above analyst estimates.

Equities Trading DOWN

Movado Group, Inc. MOV shares tumbled 21% to $19.85 after the company reported worse-than-expected Q3 EPS and sales results. The company also cut its FY20 sales guidance below the analyst estimates.

Shares of Dollar Tree, Inc. DLTR were down 17% to $93.40 after the company reported worse-than-expected Q3 EPS results. The company also narrowed its FY19 sales guidance to the lower end of analyst estimates.

MTS Systems Corporation MTSC was down, falling 21% to $47.59 after the company reported downbeat Q4 earnings and reported the purchase of R&D's operating entities for upfront payment of $55 million.

Commodities


In commodity news, oil traded up 0.2% to $58.10, while gold traded up 0.3% to $1,461.10.

Silver traded up 1% Tuesday to $17.06, while copper rose 1.1% to $2.676.

Euro zone


European shares closed mostly higher today. The eurozone’s STOXX 600 rose 0.10%, the Spanish Ibex Index rose 0.05%, while Italy’s FTSE MIB Index gained 0.34%. Meanwhile, the German DAX slipped 0.08%, and the French CAC 40 rose 0.08% while UK shares rose 0.09%.

Economics

The US goods trade deficit shrank to $66.5 billion in October, versus $70.5 billion in the prior month, the advance estimate showed.

Wholesale inventories increased 0.2% in October, following a revised 0.7% decline in September.

The S&P CoreLogic Case-Shiller home price index increased 2.1% year-over-year in September, versus a 2.0% rise in the prior month.

The FHFA house price index increased 0.6% in September, compared to a 0.2% rise in the prior month.

U.S. new home sales report declined 0.7% to an annual rate of 733,000 in October 2019, versus a revised 4.5% rise in September.

The Conference Board consumer confidence index fell to 125.5 for November, versus prior reading of 126.1.

The Richmond Fed manufacturing index dropped to a reading of (1) in November, versus prior reading of 8.