Tuesday, May 23, 2023

Bank Pops on Recent Sale

Trade of the Day Wake-Up Watchlist

Good morning Wake-up Watchlisters! While you're sipping coffee you'll see stock futures dipped on Tuesday following a significant debt ceiling meeting between President Joe Biden and House Speaker Kevin McCarthy. The meeting, held at the White House on Monday evening, was described by McCarthy as "productive" and "professional." With just 10 days remaining until June 1, which marks the earliest possible date for a U.S. default, these discussions exhibited a more positive tone following an hour-long conversation.

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

PacWest Bancorp (Nasdaq: PACW)

PacWest (PACW) is up 15.33% in premarket trading as the troubled regional bank divested its real estate loans. The bank is selling a portfolio of 74 real estate construction loans worth $2.7 billion to Kennedy Wilson Holdings at a $300 million discount, as stated in the filing. Pending approvals, the deal will also include an additional six loans totaling $363 million.

 

DICK'S Sporting Goods (NYSE: DKS)

Dick's Sporting Goods is up 4.11% premarket following its latest earnings report. The company reported non-GAAP earnings per share (EPS) of $3.40, surpassing expectations by $0.19. Additionally, its revenue stood at $2.84 billion, showing a year-over-year growth of 5.2% and beating estimates by $40 million. Dick's Sporting Goods achieved a 3.4% increase in comparable store sales during the first quarter, primarily driven by a 2.7% rise in transactions and higher average ticket prices.

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Toyota Motor Corp. (NYSE: TM)

Toyota Motor Corp. is down 0.93% premarket following a broader downturn in the Japanese stock market. The company's stock recorded its largest decline since March 2022 and resulting in a market value reduction of approximately $11 billion. The benchmark Topix index also closed 0.7% lower, reversing earlier gains due to news regarding Japan's restrictions on chip-technology exports, which prompted investors to take profits. Notably, a block of 14.5 million Toyota shares crossed at 1,857 yen per share at the market close, as reported by Bloomberg's data.

 

NCR Corporation (NYSE: NCR)

NCR is up 4.91% premarket after the ATM and financial software vendor is reportedly considering a sale of its digital banking business with a potential value surpassing $2 billion. The company has engaged in discussions with its financial advisers to explore the possibility of initiating a sale process for its digital banking unit. NCR previously announced plans in September to split into two separate publicly listed companies by the end of 2023, one focusing on its ATM unit and the other housing its digital commerce operations, which provide payment solutions to companies and small businesses.

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Those are the biggest stock movers for today.

Happy trading!

The Wake-Up Watchlist Research Team

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