The U.S. stock market took a big hit on Tuesday amid reports that federal data was suggesting at least one more rate hike sometime this year. Despite a few big-name earnings beats, negativity was the rule of the day, with the S&P 500 finishing down 0.9% and the Dow Jones Industrial Average off 1% yesterday.
However, a few companies will look to turn that around today. Specifically, JPMorgan Chase & Co. (NYSE:JPM), Staples, Inc. (NASDAQ:SPLS) and Tesla Motors Inc (NASDAQ:TSLA) all have a few bullish drivers that have shares trending up heading into Wednesday’s trade.
Here’s what you should be watching:
Staples, Inc. (SPLS)
Staples, which can use any good news it can get, should head higher in Wednesday’s regular trade amid a Q1 earnings report that included some upside surprise.
Revenues of $5.1 billion were down 3% year-over-year, but were enough to top analyst expectations of $5.09 billion. The figure was helped by a 0.4% rise in its North American commercial business. Earnings just crossed over the line, too, with profits of 17 cents per share beating by a penny.
The company also managed to cut its expenses for the quarter, with operating costs off 8.3% year-over-year.
SPLS is looking for anything to help it stem the losses incurred after a judge killed off its proposed merger with Office Depot Inc (NYSE:ODP). Staples took 20% losses immediately on the news, in part thanks to the fact that it had to pay ODP a $250 million breakup fee.
Staples shares were up 3% in Wednesday’s premarket trade.
Tesla Motors Inc (TSLA)
Tesla shares are up in Wednesday’s premarket action on some positive news on analyst front.
Goldman Sachs just upgraded TSLA stock to “buy” with a $250 price target — some 22% upside from current prices — as analyst Patrick Archambault sees recent negativity as overly done at this point.
“We do not believe Tesla shares are fully capturing the company’s disruptive potential,” he said, adding that expectations across the rest of the analyst community for TSLA are too low.
Tesla shares have been crushed of late, off 20% in the past month alone. The Goldman news helped spark a little positivity, though, with shares up 3% ahead of Wednesday’s bell.
JPMorgan Chase & Co. (JPM)
JPMorgan Chase announced an increase in its quarterly dividend, helping shares clear the 3% threshold once more.
JPM will up its dividend from 44 cents quarterly to 48 cents per share. The dividend will be paid out on July 31 to stockholders of record at July 6’s close.
With the latest increase, JPMorgan’s dividend has nearly doubled over the past five years, with the newest payout standing at 92% ahead of 2011’s 25-cent dividend.
JPM shares were in line to start Wednesday 1% higher.
As of this writing, Karl Utermohlen did not hold a position in any of the aforementioned securities.
