Friday, January 27, 2023

Weak Chip Demand Sinks These Stocks

Trade of the Day Wake-Up Watchlist

Good morning Wake-Up Watchlisters! While you're sipping coffee you'll see stock futures fell on Friday. The drop came on weak earnings reports from major chipmaker Intel (more on that below). Plus the latest set of economic data raised the possibility of continued rate hikes from the Federal Reserve. Despite the recent drop, US stocks remain on track for their best month since July.

Despite some worrying data, US stocks have faired well in January and we've been feasting on this trend in the War Room. Right now we have a 90% win rate in 2023 and we're guaranteeing members receive 252 winning trades in their first 12 months.

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Here's a look at the top-moving stocks this morning.

Intel Corporation (Nasdaq: INTC)

Intel is down 9.64% premarket after the chip giant missed Q4 earnings. The chip industry continues to struggle with slowing consumer and enterprise demand. Plus, the company is guiding for an adjusted loss of $0.15 per share in Q1.

 

Iovance Biotherapeutics (Nasdaq: IOVA)

Iovance Biotherapeutics is up 5.98% premarket. The company recently announced it will buy Clinigen's cancer drug. Per terms of the agreement, the company will acquire worldwide rights to the drug. In return, Clinigen will get an upfront payment of $166.7 million. The drug is currently approved by the FDA for treating multiple cancer indications in adults.

Medical breakthroughs have the potential for massive market gains. And right now our friend Alexander Green is pounding the table on an innovative health company he believes could be the "best investment opportunity in 37 years." It's currently trading at just under $3.

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Hasbro (Nasdaq: HAS)

Hasbro is up 4.63% premarket after the toymaker cut 1,000 jobs, 15% of its workforce, including the departure of COO Eric Nyman. The Monopoly and PlayDough owner said fourth quarter sales would likely fall by around 17% from last year's levels to $1.68 billion, pulling adjusted earnings into a weaker-than-expected range of between $1.29 and $1.31 per share.

 

KLA Corp. (Nasdaq: KLAC)

KLA Corp. is down 4.82% premarket. The company is dealing with a weakening chip demand. For the current quarter, KLA predicted adjusted earnings of $5.22 a share on sales of $2.35 billion. However, analysts were looking for earnings of $5.90 a share on sales of $2.53 billion in the March quarter.

The Insiders saw KLA's drop coming. According to Marketbeat.com, several prominent names within the company sold stock in the months leading up to its earnings report. Our Head Fundamental Tactician Karim Rahemtulla tracks these kinds of developments as part of his Insider Matrix. His insider portfolio gave traders an average return of 14% in 2022, and he recently took a 30% winner on HighPeak Energy.

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Those are the biggest stock movers for today.

Happy trading!

The Wake-Up Watchlist Research Team

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Source: Wikimedia Commons

 

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