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Mid-Afternoon Market Update: TSR Surges Following Q2 Results; NetScout Systems Shares Plunge

AFSIA, MHLA, IDA, ENVB, KODK

Toward the end of trading Wednesday, the Dow traded down 0.03 percent to 25,377.10 while the NASDAQ declined 0.31 percent to 7,141.12. The S&P also fell, dropping 0.13 percent to 2,747.66.

Leading and Lagging Sectors

Wednesday afternoon, the financial sector proved to be a source of strength for the market. Leading the sector was strength from AmTrust Financial Services Inc (NASDAQ: AFSI) and Maiden Holdings, Ltd. (NASDAQ: MHLD).

In trading on Wednesday, utilities shares fell 1.07 percent. Meanwhile, top losers in the sector included Chesapeake Utilities Corporation (NYSE: CPK), down 3 percent, and IDACORP Inc (NYSE: IDA) down 3 percent.

Top Headline

Lennar Corporation (NYSE: LEN) reported weaker-than-expected results for its fourth quarter on Wednesday.

Lennar reported quarterly earnings of $1.29 per share on revenue of $3.786 billion. However, analysts were expecting earnings of $1.48 per share on sales of $3.57 billion.

Equities Trading UP

AMERI HOLDINGS INC (NASDAQ: AMRH) shares shot up 83 percent to $6.25 after the company said it will create an in-house blockchain practice and seek strategic partnerships with blockchain technology companies. The company hopes to offer blockchain solutions to bring trust, transparency and efficiency to customer supply chains.

Shares of Eastman Kodak Company (NYSE: KODK) got a boost, shooting up 57 percent to $10.70. Eastman Kodak shares gained 119.35 percent Tuesday after the company announced plans with WENN Digital to launch a photo-centric cryptocurrency.

TSR Inc (NASDAQ: TSRI) shares were also up, gaining 32 percent to $7.71. TSR reported Q2 earnings of $0.12 per share on revenue of $16.516 million.

Equities Trading DOWN

NetScout Systems, Inc. (NASDAQ: NTCT) shares dropped 13 percent to $26.48 after the company lowered its FY18 forecast. The company projects Q3 adjusted sales of $270 million to $274 million and adjusted earnings of $0.66 to $0.69 per share. NETSCOUT also announced plans to enter into accelerated buyback plan for at least $250 million of common stock. DA Davidson downgraded NetScout Systems from Buy to Neutral.

Shares of Ampliphi Biosciences Corp (NYSE: APHB) were down 27 percent to $1.09. AmpliPhi Biosciences priced its 4 million share common stock offering at $1 per share.

SUPERVALU INC. (NYSE: SVU) was down, falling around 13 percent to $17.03. SUPERVALU reported better-than-expected earnings for its third quarter, while sales missed estimates.

Commodities

In commodity news, oil traded up 0.46 percent to $63.25 while gold traded up 0.34 percent to $1,318.20.

Silver traded up 0.06 percent Wednesday to $17.02, while copper rose 0.70 percent to $3.2385.

Eurozone

European shares closed mostly lower today. The eurozone’s STOXX 600 tumbled 0.38 percent, the Spanish Ibex Index rose 0.02 percent, while Italy’s FTSE MIB Index rose 0.66 percent. Meanwhile the German DAX declined 0.78 percent, and the French CAC 40 fell 0.35 percent while U.K. shares rose 0.23 percent.

Economics

U.S. import prices increased 0.1 percent in December.

Domestic crude supplies dropped 4.95 million barrels for the week ended January 5, the U.S. Energy Information Administration reported. Analysts expected a decline of 3.89 million barrels. Gasoline stockpiles climbed 4.13 million barrels, while distillate stockpiles rose 4.29 million barrels for the week.



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