Morning research

Gapping down

In reaction to disappointing earnings/guidance:

• EDAP -10.8%,BSTI -6.6%,CATO -5.8%,ANW -5.7%,SECO -4.3%,BBY -3.8%, LB-3.8%, XNET-2.7%, STNG-2.4%

M&A news:

• MAT -1.2% (reports that Hasbro's latest proposal has been rebuffed by Mattel)

Other news:

• AXGN -11.8% (proposes common stock offering including portion by holders)
• MRTX -5% (commences common stock offering)
• APPN -4.4% (prices follow-on offering of 3.8 mln shares of common stock at $20.25 per share)
• NCLH -1.5% (prices 10 mln shares of common stock shares by certain funds affiliated with Apollo Global Management (APO) at $54.35 per share)

Analyst comments:

• ACOR -2.9% (downgraded to Underperform from Mkt Perform at Raymond James)

Gapping up 

In reaction to strong earnings/guidance:

• RH +20%,SGH +18.5%,SBPH +18.4%,NTAP +13.5%,CSCO +6.4%,FGL +5.8%,SMRT +5.5%,SJM +4.6%,WMT +4.5%,HP +4%,QIWI +3.8%,KO +1.2%,APC +1.2%, (sees FY18 cap-ex $4.2-4.6 bln; sales volume +10.6% at mid-point) SPB+1%, NTES+0.8%

M&A news:

• EVLV +44.1% (Segel Vision discloses proposal to acquire EVINE LIVE for $2.66/share)
• TIME +15.6% (Koch Brothers plan to support Meredith (MDP) takeover of TIME, according to WSJ)
• ROK +8.4% (Emerson (EMR) confirms proposal to acquire Rockwell Automation for $225/share in cash & stock, or approximately $29 bln)

Other news:

• LEDS +29.1% (continued strength following earnings)
• SBPH +18.4% (announces positive top-line results from the second cohort of Part A of the Phase 2 ACHIEVE Trial -- Low dose of Inarigivir Soproxil (50mg) Monotherapy demonstrates a favorable safety profile and significant dose-dependent antiviral activity, meeting both primary endpoints)
• ACHN +7.9% (prices offering 18,367,346 shares of its common stock by existing stockholder at $2.75 per share)
• IDXG +5.9% (announces that the New York State Department of Health has reviewed and approved for marketing the Company's TERT service offering)
• WSM +2.3% (following RH guidance)
• PYPL +2% (SYF acquires $6.8 bln in receivables from PYPL)
• PG +1.8% (Trian confirms preliminary voting tabulation by independent Inspector of Elections - P&G shareholders have elected Nelson Peltz to P&G's Board)
• SNOA +1.7% (FDA has approved an expanded claim for the company's signature dermatology product, Alevicyn Dermal Spray)
• FCAU +1.6% (reported Oct EU sales)

Analyst comments:

• P +5.1% (upgraded to Outperform from Market Perform at BMO Capital Markets)
• YY +2.6% (upgraded to Overweight from Neutral at JP Morgan)
• DSW +2.5% (upgraded to Positive from Neutral at Susquehanna)
• RF +1.3% (added to Conviction Buy List at Goldman)
• ALK +1.3% (named Top Pick at Morgan Stanley; Overweight)
• DG +1.2% (upgraded to Buy from Hold at Deutsche Bank)