Good Monday morning traders and investors of the r/stocks sub! Welcome to the new trading week and a fresh start! Here are your pre-market stock movers & news on this Monday, February 6th, 2023-U.S. stock futures fell Monday as investors awaited more earnings and an important speech from Federal Reserve Chairman Jerome Powell.Dow Jones Industrial average futures lost 171 points, or 0.5%. S&P 500 futures fell 0.7%, while Nasdaq-100 futures slid 0.9%.Investors were also taking some profits after the stock market’s hot start to the year. The S&P 500 is up more than 7% for 2023. The Nasdaq Composite is up the last five weeks in a row.Karl Chalupa, CEO of Gamma Investment Consulting, said earnings could worsen further as the economy slows later this year and noted that no recovery from a major bear market low has occurred in the last 60 years when stocks were not at least fairly valued.“On average, new bull markets launched when stocks were 25% undervalued,” he said. “At current valuation, the S&P 500 would need to fall below 3,500 just to reach fair value; a decline to 25% undervaluation would see the S&P 500 fall near to its Covid-low of 2,200.”Disney, Chipotle, Dupont and PepsiCo are among the major companies reporting earnings this week. About half way through earnings season, profits for S&P 500 companies are on pace to be 2.7% lower for the fourth quarter, according to Refinitiv.Markets will likely be on edge ahead of a speech by Federal Reserve Chairman Jerome Powell Tuesday before the Economic Club of Washington. Powell’s comments on disinflation caused investors to bid shares higher last week and overlook another rate hike out of the central bank. There is very little economic data due Monday.“While interest rates may be near their peak, it would take an actual sharp drop in rates combined with resurgent earnings growth for valuation to improve substantially without a further drop in stock prices,” Chalupa added.Investors seem to be looking past rate hikes and poor earnings and focusing on recent data that is showing inflation trending lower in the hopes that the economy is headed for a soft landing and profits will be revived later in the year. The S&P 500 just formed a bullish “Golden Cross” pattern and touched a 5-month high last week above the 4,100 level. The Nasdaq’s five-week winning streak is its first since November 2021.STOCK FUTURES CURRENTLY:LAST WEEK’S MARKET MAP:TODAY’S MARKET MAP:LAST WEEK’S S&P SECTORS:TODAY’S S&P SECTORS:TODAY’S ECONOMIC CALENDAR:THIS WEEK’S ECONOMIC CALENDAR:THIS WEEK’S UPCOMING IPO’S:THIS WEEK’S EARNINGS CALENDAR:THIS MORNING’S PRE-MARKET EARNINGS CALENDAR:EARNINGS RELEASES BEFORE THE OPEN TODAY:EARNINGS RELEASES AFTER THE CLOSE TODAY:FRIDAY’S ANALYST UPGRADES/DOWNGRADES:FRIDAY’S INSIDER TRADING FILINGS:TODAY’S DIVIDEND CALENDAR:THIS MORNING’S STOCK NEWS MOVERS:Tyson Foods – Shares of the food processing giant suffered a 6% drop in premarket trading after the company reported weaker-than-expected results for the first quarter. Earnings came in at 85 cents per share excluding items on revenues of $13.26 billion. Analysts expected $1.34 per share in earnings and revenue of $13.52 billion, according to Refinitiv.STOCK SYMBOLS: TSNPayPal — Shares of the payments company fell 2.6% in premarket after Raymond James downgraded the stock to market perform from outperform. The Wall Street firm said the downgrade followed the strong start to the year that saw the stock rise more than 20%. Meanwhile, Raymond James said it holds a cautious stance on its fourth-quarter earnings set for later this week.STOCK SYMBOLS: PYPLChildren’s Place — The children’s apparel retailer shed more than 16% after management cuts its outlook for the fourth quarter as it deals with a difficult macro environment. Children’s Place also said it expects a loss per share, citing “deterioration in gross margin.”STOCK SYMBOLS: PLCET-Mobile — T-Mobile shares dipped more than 2% following a downgrade to market perform by analysts at MoffettNathanson, citing expectations of a slowdown in subscriber growth.STOCK SYMBOLS: TMUSLyft — Shares of the ride-hailing company fell about 2% in premarket trading after Lyft was downgraded to hold from buy at research firm Gordon Haskett. The firm said in a note that Lyft’s active rider metric for the fourth quarter could fall short of expectations.STOCK SYMBOLS: LYFTDell Technologies — Shares of the consumer technology stock gained nearly 1% before the bell following news that its cutting about 5% of its workforce as it grapples with a difficult macroenvironment.STOCK SYMBOLS: DELLSpotify — Shares rose more than 1% after Wells Fargo upgraded Spotify to overweight from equal weight, saying the audio streaming company is improving margins with an expected price increase ahead. Separately, Atlantic Equities also upgraded the stock to overweight.STOCK SYMBOLS: SPOTEnergizer Holdings — The battery maker’s stock fell 6% after revenue and earnings for the recent quarter fell short of expectations, according to analysts surveyed by FactSet. Energizer, meanwhile, reaffirmed earnings per share and revenue growth guidance for the full year.STOCK SYMBOLS: ENRFULL DISCLOSURE:/u/bigbear0083 has no positions in any stocks mentioned. Reddit, moderators, and the author do not advise making investment decisions based on discussion in these posts. Analysis is not subject to validation and users take action at their own risk.DISCUSS!What’s on everyone’s radar for today’s trading day ahead here at r/stocks?I hope you all have an excellent trading day ahead today on this Monday, February 6th, 2023! 🙂
