Top Movers

Nasdaq Futures Up 0.4%, Tech Stocks Lead Rally

Pre-Market

By Bill Bullington

7/10, 08:47 EDT
Apple Inc.
Carvana Co.
Illumina, Inc.
3M Company
Riskified Ltd.
SMART Global Holdings, Inc.
Target Corporation
Tesla, Inc.
10x Genomics, Inc.
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Pre-market Top Moves

As of 8:44 a.m. in New York, U.S. stock futures are indicating a positive start to the trading day, with the market poised to extend its winning streak to seven sessions. Investors are closely watching the second day of Federal Reserve Chair Jerome Powell’s semi-annual monetary policy testimony to Congress.

  • S&P 500 futures: Up 0.3%, suggesting a continuation of the recent rally.
  • Nasdaq 100 futures: Up 0.4%, indicating strength in technology stocks.
  • Dow Jones Industrial Average futures: Little changed, reflecting a more cautious sentiment.
  • MSCI World Index: Up 0.1%, showing a modest gain in global markets.

Highlights by Sector

Technology

  • Apple (AAPL): Shares are up 0.4% after Needham raised its price target to $260 from $220, reflecting optimism about the iPhone maker's future prospects.
  • Illumina (ILMN): Gained as much as 4.1% following the acquisition of Fluent BioSciences, a developer of single-cell technology. This move is seen as a strategic expansion in the gene-sequencing space.

Real Estate

  • Hudson Pacific Properties (HPP): Shares dropped 4.9% after Morgan Stanley downgraded the stock to underweight from equalweight, citing downside risks to earnings and cash flow expectations.

Consumer Discretionary

  • Carvana (CVNA): Gained 4.6% in premarket trading after Needham upgraded the stock to buy from hold, setting a Street-high price target of $160. This reflects increased confidence in the online used-car retailer's business model.
  • Target (TGT): Despite having a strong omni-channel model, Piper Sandler assumed coverage with a neutral recommendation, indicating no immediate catalysts to push sales and margins above estimates.

Notable Gains and Losses

Gains

  • Arcutis Biotherapeutics (ARQT): Shares surged as much as 8.8% after the FDA approved its Zoryve (roflumilast) 0.15% cream for treating atopic dermatitis in adults and children aged 6 and above.
  • Smart Global (SGH): Up 6.8% after reporting third-quarter results that beat expectations, with analysts highlighting the positive performance of its Intelligent Platform Solutions (IPS) business.
  • Tesla (TSLA): Rose as much as 1.2%, set to extend its gains for an 11th consecutive session, following a Goldman Sachs target increase to $248 from $175 after better-than-expected 2Q deliveries.

Losses

  • 3M (MMM): Shares fell 2.4% after the company announced the resignation of President and CFO Monish Patolawala, effective July 31.
  • Riskified Ltd. (RSKD): Dropped 7.2% after a Goldman Sachs analyst downgraded the stock to sell from neutral, citing challenges with inflation and weak consumer discretionary spending trends.
  • 10X Genomics (TXG): Slumped as much as 16% in premarket trading, impacted by Illumina's acquisition of Fluent BioSciences, a competitor in the single-cell technology space.

Key Movers & Takeaway

The pre-market session is characterized by strategic corporate moves and analyst upgrades/downgrades driving significant stock movements. The technology sector is showing strength, particularly in gene-sequencing and semiconductor devices, while the consumer discretionary sector is mixed with notable gains in Carvana and cautious sentiment around Target. The resignation of 3M's CFO and the downgrade of Riskified highlight the ongoing challenges in corporate governance and consumer spending.

Key Movers Table by Market Cap

LargeCap Movers (>$20B)

Stock Ticker Price Change Key Takeaway
Apple AAPL +0.4% Price target raised by Needham to $260 from $220
Tesla TSLA +1.2% Target raised by Goldman Sachs to $248 following strong 2Q deliveries
3M MMM -2.4% CFO resignation effective July 31

Mid-Cap Movers ($5B-$20B)

Stock Ticker Price Change Key Takeaway
Illumina ILMN +4.1% Acquired Fluent BioSciences, expanding in single-cell technology
Hudson Pacific HPP -4.9% Downgraded to underweight by Morgan Stanley
Carvana CVNA +4.6% Upgraded to buy by Needham with a $160 price target

SmallCap Movers ($50M-$5B)

Stock Ticker Price Change Key Takeaway
Arcutis Biotherapeutics ARQT +8.8% FDA approval for Zoryve cream
Smart Global SGH +6.8% Beat Q3 expectations, strong IPS business
Riskified Ltd. RSKD -7.2% Downgraded to sell by Goldman Sachs

Top Overbought/Oversold by 14-Day RSI

Overbought Stocks

Stock Ticker RSI
Faraday Future Intelligent Electric FFIE 97.9
Defiance Silver DNCVF 89.2
Novavax NVAX 88.9
Bristow Group VTOL 88.6
Ardmore Shipping ASC 88.4

Oversold Stocks

Stock Ticker RSI
Seritage Growth Properties SRG 9.2
Dlocal DLO 15.0
Evolent EVH 17.3
Cerence CRNC 17.9
Papa John’s PZZA 17.9