Fly News Breaks for May 19, 2017
May 19, 2017 | 08:55 EDT
JMP Securities analyst Erik Suppiger says the firm's checks on Nutanix were "mostly positive." The analyst says that the company appears to be landing larger deals and keeps an Outperform rating on the shares.
News For NTNX From the Last 2 Days
May 23, 2017 | 08:04 EDT
Maxim analyst Nehal Chokshi said he views Nutanix' (NTNX) announcement of a multi-year initiative that will combine IBM's (IBM) P-series servers and Nutanix' Enterprise Cloud Platform as a "very significant mid-term positive." He believes the partnership gives IBM a powerful infrastructure software answer to VMware (VMW) and Microsoft (MSFT) and sees the relationship with the potential to be even more powerful than the Dell relationship that powered Nutanix' improving FY16 sales productivity and cash flow. Chokshi keeps a Buy rating on Nutanix but trimmed his price target to $41 from $42 to account for Dell siphoning Nutanix leads to VMware, as previously discussed.
May 22, 2017 | 12:26 EDT
Stocks opened in positive territory and have taken another leg higher near midday, giving the S&P a 0.5% gain near noon. The absence of any new White House controversy or major negative headlines from the president's first trip abroad may giving some investors reason for relief. Additionally, oil prices are holding above $50 a barrel on continued optimism OPEC will extend its production freeze plan. ECONOMIC EVENTS: In the U.S., the Chicago Fed National Activity index rose to 0.49 in April, which was better than the 0.11 reading that was expected. COMPANY NEWS: Ford Motor (F) announced that it has named Jim Hackett as its new president and CEO, replacing Mark Fields, who the company said has elected to retire. Hackett, who was formerly CEO of Steelcase and Interim Athletic Director at the University of Michigan, has been executive chairman of Ford Smart Mobility since March 2016. Ford shares had a mild, but positive, reaction after the news, rising by about 1.5%... Huntsman (HUN) slid about 1% after announcing an agreement to combine with Swiss rival Clariant in an all-stock merger of equals. The merged company, to be named HuntsmanClariant, expects annual sales of approximately $13.2B and to realize more than $3.5B of value creation from approximately $400M in annual cost synergies. MAJOR MOVERS: Among the notable gainers was Puma Biotechnology (PBYI), which surged 42% higher after the FDA posted briefing documents on its website in preparation for a May 24 advisory committee meeting scheduled to review PB272, or neratinib, for the treatment of certain types of early stage breast cancer. Also higher was Nutanix (NTNX), which gained 11% after Goldman Sachs analyst Simona Jankowski upgraded the stock to Buy with an unchanged price target of $31, arguing that the 40% pullback in the shares year-to-date provides a "very attractive opportunity to buy the leader in hyperconverged infrastructure." Among the noteworthy losers was Orbotech (ORBK), which dropped 8% after disclosing that the Israel Tax Authority conducted an investigation that involved document collection at the company's headquarters in Israel and at the office of the company's tax consultant. Also lower were shares of Amgen (AMGN), which fell 2% after reporting that cardiovascular safety signals seen in a Phase 3 trial of the osteoporosis drug Evenity make it unlikely to gain U.S. approval in 2017. Shares of Radius Health (RDUS) rose 6.5% following the news as Amgen's update was seen as a "clear positive" for the company and its Tymlos drug, which JPMorgan analyst Jessica Fye pointed out has already been approved with a clean clinical safety profile. INDEXES: Near midday, the Dow was up 98.74, or 0.47%, to 20,903.58, the Nasdaq was up 43.79, or 0.72%, to 6,127.49, and the S&P 500 was up 12.11, or 0.51%, to 2,393.84.
May 22, 2017 | 05:28 EDT
Goldman Sachs analyst Simona Jankowski upgraded Nutanix to Buy with an unchanged price target of $31. The 40% pullback in the shares year-to-date provides a "very attractive opportunity to buy the leader in hyperconverged infrastructure," the analyst tells investors in a research note.