Morning News Call

TOP NEWS

• Warner Bros Discovery reopens door to Paramount Skydance after rival bidder raised offer.
• Options traders pricing Nvidia's smallest post-earnings swing in three years (implied 5.6% move).
• HP expects memory chip volatility into next year, warns of PC sales slump.
• Workday forecasts fiscal 2027 subscription revenue below estimates, shares fall due to slower client wins.
• Woman suing Meta, YouTube over social media addiction to testify at trial.

BEFORE THE BELL

• All eyes on Nvidia ahead of earnings; U.S. stock index futures ticking higher, markets steady.
• Nvidia expected to report strong revenue and forward guidance, especially for AI-driven data-centre demand.
• European shares rose, underpinned by rebound in financials after HSBC raised lending target; easing worries about new AI models.
• Asian markets saw Japan's Nikkei climb to a record high on tech stocks and waning rate hike expectations; China and Hong Kong equities finished higher on rare earth/metal names.
• Yen hovered near two-week lows against dollar on dovish Bank of Japan worries and China tensions; dollar inched up on tariff fears.
• Oil prices edged higher on threat of U.S.-Iran military conflict and big build in U.S. crude inventories; Gold prices rose on softer dollar and safe-haven demand.

STOCKS TO WATCH

• Alphabet Inc: Google disrupted a Chinese-linked hacking group that breached 53 organizations across 42 countries.
• Axon Enterprise Inc: Beat Q4 profit estimates due to strong demand for security devices/software; Q4 revenue jumps, forecasts 2026 revenue growth.
• Capri Holdings Ltd: Named Tyler Reddien as new CFO and COO, effective March 30.
• Cava Group Inc: Forecast annual same-store sales above estimates, betting on demand for healthy Mediterranean bowls; Q4 same-store sales rose.
• Circle Internet Group Inc: Reported increased Q4 revenue from reserves due to rise in USDC stablecoin circulation; Q4 adjusted earnings up 412%.
• CoStar Group Inc: Forecast Q1 profit and revenue below estimates due to economic uncertainty; Q4 revenue and adjusted profit beat estimates.
• Dr Reddy's Laboratories Ltd: Likely to launch generic semaglutide injection (Obeda) in India in March.
• EOG Resources Inc: Beat Q4 profit estimates due to higher output and natgas prices; forecasts 2026 production and capital expenditure, targets $4.5B free cash flow.
• First Solar Inc: Projected annual sales below estimates, citing customer headwinds (permitting delays) and tariff impact; Q4 net sales increased.
• GoDaddy Inc: Forecast annual revenue below estimates due to slower AI tool adoption and weaker customer acquisition; Q4 revenue in line, profit beat estimates.
• GSK plc: Agreed to pay $950M for biotech 35Pharma to accelerate development of respiratory medicines.
• HP Inc: Expects memory chip volatility and PC sales slump; Q1 revenue and adjusted profit beat estimates; forecasts Q2 adjusted profit.
• HSBC Holdings PLC: Lifted key earnings target (return on tangible equity to 17% or better) after annual profit beat expectations.
• JD.com Inc: Founder Richard Liu launched independent yacht brand "Sea Expandary" with 5 billion yuan investment, aiming for "100% green" and affordable yachts.
• Lowe's Companies Inc: Forecast annual sales and profit below estimates due to delayed home renovations; Q4 same-store sales rose.
• Lucid Group Inc: Forecast slower 2026 production growth, reported larger-than-expected Q4 loss due to supply-chain setbacks; Q4 revenue beat estimates.
• MercadoLibre Inc: Q4 profit declined (missed estimates) due to credit and logistics investments; revenue above estimates; credit portfolio jumped 90%.
• Microsoft Corp: Japan's Fair Trade Commission raided offices investigating potential improper restriction of Azure customers from rival cloud services.
• Mosaic Co: Missed Q4 profit estimates due to drop in U.S. phosphate demand; forecasts full-year phosphate and potash production volumes.
• On Holding Ltd: Opened robot-powered running shoe factory in South Korea, plans more in US/Europe for faster, more sustainable manufacturing.
• Realty Income Corp: Forecast 2026 annual FFO below estimates due to slowing demand and higher property management costs; Q4 FFO in line, revenue beat estimates.
• Workday Inc: Forecast fiscal 2027 subscription revenue below estimates, signaling slower new client wins; Q4 total and subscription revenue in line with estimates.

ANALYSTS' RECOMMENDATION

• Chevron Corp: Gerdes Energy Research raises target price to $177 from $173.
• GoDaddy Inc: JPMorgan cuts target price to $167 from $200.
• HP Inc: JPMorgan cuts target price to $19 from $21.
• Home Depot Inc: Jefferies raises target price to $454 from $424.
• Workday Inc: Jefferies cuts target price to $115 from $150.

COMPANIES REPORTING RESULTS

• Agilent Technologies Inc: Expected Q1 earnings $1.37/share.
• APA Corp (US): Expected Q4 earnings $0.64/share.
• NVIDIA Corp: Expected Q4 earnings $1.53/share.
• Paramount Skydance Corp: Expected Q4 loss $0.01/share.
• Pinnacle West Capital Corp: Expected Q4 earnings $0.04/share.
• Salesforce Inc: Expected Q4 earnings $3.04/share.
• Synopsys Inc: Expected Q1 earnings $3.56/share.
• TJX Companies Inc: Expected Q4 earnings $1.39/share.
• TKO Group Holdings Inc: Expected Q4 earnings $0.30/share.
• Trade Desk Inc: Expected Q4 earnings $0.58/share.
• Universal Health Services Inc: Expected Q4 earnings $5.90/share.
• VICI Properties Inc: Expected Q4 earnings $0.68/share.

CORPORATE EVENTS

• 0900 Lowe's Companies Inc: Q4 earnings conference call.
• 1000 EOG Resources Inc: Q4 earnings conference call.
• 1100 Deere & Co: Q4 earnings conference call.
• 1100 Mosaic Co: Q4 earnings conference call.
• 1100 Pinnacle West Capital Corp: Q4 earnings conference call.
• 1100 TJX Companies Inc: Q4 earnings conference call.
• 1630 Agilent Technologies Inc: Q1 earnings conference call.
• 1645 Paramount Skydance Corp: Q4 earnings conference call.
• 1700 NVIDIA Corp: Q4 earnings conference call.
• 1700 Salesforce Inc: Q4 earnings conference call.
• 1700 Synopsys Inc: Q1 earnings conference call.
• 1700 TKO Group Holdings Inc: Q4 earnings conference call.
• 1700 Trade Desk Inc: Q4 earnings conference call.

EX-DIVIDENDS

• Amcor PLC: Amount $0.65.
• CDW Corp: Amount $0.63.
• Electronic Arts Inc: Amount $0.19.
• Equinix Inc: Amount $5.16.
• Loews Corp: Amount $0.0625.
• Rollins Inc: Amount $0.1825.
• S&P Global Inc: Amount $0.97.
• Welltower Inc: Amount $0.74.