Pot Stocks Popped

Tale of the Tape

Good evening, ladies and gentlemen. Welcome back to another week on Wall Street.

Stocks bucked Friday’s fade. Every major index finished green. The S&P gained 1.23%. The Nasdaq was flat.

Energy was the best performing sector. $XLE surged 3.5%. Communication services barely finished red. 

The pot stocks popped. The marijuana ETF ripped 6.4% but, $MJ is still down 33% YTD.

Here’s the daily chart:

In case you forgot, the US Presidential Election is tomorrow. Last election the futures freaked out. Will it happen again? Time will tell.

Paypal posted earnings after the close. See the Round-Up below.

Here are the closing prints: 

S&P 5003,310+1.23%
Russell 20001,568+1.96%
Dow Jones26,925+1.60%

Earnings Round-Up

Waste Management reported Q3 earnings before the open. The company beat on top and bottom lines. 

Here are the numbers:

EPS: $1.09 vs $1.03 est.
Revenue: $3.86B vs $3.73B est.

$WM CEO Jim Fish had this to say:

In addition to our strong quarterly results, we are also proud to have published our 2020 Sustainability Report last month. Titled ‘Building Value Together,’ the report describes how we are addressing challenges and opportunities related to the environment, social issues and governance, and doing so in close partnership with our customers, suppliers and communities. Amidst the crises of 2020, we remained steadfast to our commitments of putting people first, advocating for inclusion and diversity, protecting the environment, and contributing to a circular economy.

$WM was up 2.5% today.

See WMs 2020 Sustainability Report here.

Paypal beat Q3 estimates but guided lower. The stock fell 6% after-hours. 

Here are the results:

EPS: $1.07 vs $0.95 est.
Revenue: $5.46B vs $5.4B est.

President and CEO Dan Schulman said this:

PayPal’s third quarter was one of the strongest in our history. Our growth reinforces the essential role we play in our customers’ daily lives during this pandemic. Going forward, we are investing to create the most compelling and expansive digital wallet that embraces all forms of digital currencies and payments, and operates seamlessly in both the physical and online worlds.

AMC Entertainment Holdings posted earnings after the bell. The numbers reeked of burnt popcorn. Revenue fell 91% with U.S. theater operations closed for almost 2/3s of the quarter.

Here are the numbers:

EPS: ($5.70) vs ($4.66) est.
Revenue: $119.5M  -91% YoY

CEO Adam Aron said this in the report:

The duration and impact of this pandemic are still affecting us to this day and are certain to continue to affect our results going forward.

$AMC jumped 2.3% after hours.

NIO Doubled Deliveries

Nio, the “Tesla of China”, doubled its October deliveries from a year ago. The Chinese EV maker delivered over 5,000 vehicles in October, a new monthly record.

Here’s the breakdown:

5,055 vehicles delivered in October 2020, +100.1% YoY
31,430 vehicles delivered in 2020 in total, +111.4% YoY

$NIO charged up 9% on the news and closed at an all time high. It’s up 728% YTD.

Here’s the daily chart:

And here’s Investors Business Daily with more. 

ISM Manufacturing

The ISM manufacturing index thrived in October, reaching a 2-year high of 59.3. 

New Orders also show record highs of 67.9 since 2003. Backlog Orders are gaining as well.

Workers in the space say that customer demand has generally returned to pre-COVID conditions.

Here’s more from Bespoke.

Apple’s Big Break-Up? 

Apple announced another “special event” for this month.

The company said it has One More Thing… 

Apple will go live from Apple Park on Tuesday, November 10, 2020, at 10 AM PST.

It is expected that Apple’s latest computers will no longer have Intel-designed chips, ending the tech giant’s 15-year relationship with Intel. 

Here’s Bloomberg with more. 

🌌 Stocktwits After Hours

Tonight on After Hours:

Everything Is A Big “We’ll See”
What Does The Election Mean For Markets?
PayPal Earnings Review

Listen here: Spotify | Apple | Google

Earnings This Week

Be sure to know when your stocks report earnings. Here’s the earnings calendar.

Links That Don’t Suck

🎧 The Digital Economy with Gary Vaynerchuk

🏌 Bryson DeChambeau Signs Endorsement Deal with DraftKings  Sportsbook

🏀 Nets unveil new court design to match New Jersey throwback uniforms

🕴 As Election Day Nears, Americans Continue to Say Corporate Leaders Have a Role to Play in Protecting Our Democratic Process

📈 A history lesson for 2020’s new traders

🥪 Friendly’s Will Sell to Investment Group for Less Than $2 Million