| | | | A pizza chain is slipping after weaker-than-expected U.S. sales, a roofing firm is reporting strong earnings as strategic acquisitions drive future growth, and a biopharma stock is climbing after announcing a key partnership with Pfizer. Here’s what you need to know. | | 📲 Want our updates via text message? Get Elite Trade Club's pre-market insights and hottest stocks straight to your cell for 100% free. Click here to sign up. |
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| | | Hot Off the Feed | | | Why Tesla Stock Could Surge: The Innovations Driving Growth |
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| | | | What to Watch | Earnings: | ONEOK, Inc. [OKE]: Aftermarket Public Storage REIT [PSA]: Aftermarket Realty Income Corporation [O]: Aftermarket Diamondback Energy, Inc. [FANG]: Aftermarket Zoom Communications, Inc. [ZM]: Aftermarket SBA Communications Corporation [SBAC]: Aftermarket Coterra Energy Inc. [CTRA]: Aftermarket | Economic Reports: | None scheduled |
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| | Food and Beverages | Domino’s Dipping On Weak Q4 Results and Poor U.S. Sales Growth | | Domino’s Pizza [NYSE: DPZ] reported fourth-quarter earnings that are below analysts' expectations today, causing its stock to drop 4% in premarket trade. | The pizza chain's revenue increased by 2.9% year over year to $1.44 billion, but it missed the Wall Street forecast of $1.48 billion. Adjusted earnings per share are $4.89, slightly below the expected $4.93. | Same-store sales in the U.S. are up 0.4%, falling short of the 1.72% increase analysts had projected. However, international same-store sales are better than expected, climbing 2.7% compared to the estimated 1.63%. | For the full year, its revenue is $4.71 billion, missing the projected mark of $4.74 billion, while adjusted EPS of $16.69 is just shy of the forecasted $16.70. | Despite the underwhelming results, CEO Russell Weiner expressed confidence in the company's growth strategy, highlighting the success of its "Hungry for MORE" value platform. | The company opened 364 new stores in the fourth quarter and 775 in total for 2024. | Domino’s stock, which has gained more than 12% year-to-date, is now under close watch as investors look for potential catalysts in 2025. | Of particular interest is the impact of the company's partnership with Uber [NYSE: UBER] for third-party deliveries, as well as potential expansion to DoorDash after its exclusive deal with Uber ends. | Other initiatives, such as a revamped loyalty program and the possible launch of stuffed crust pizza, are expected to drive future sales growth. |
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| | Roofing Solutions | Owens Corning Reports Strong 2024 Growth, Eyes Further Expansion in 2025 | | Owens Corning [NYSE: OC] reported strong financial results for 2024, with net sales reaching $11 billion, marking a 13% increase from the prior year. | The company’s growth is partly driven by the newly acquired doors business, which contributed $1.4 billion in revenue. | Despite strong sales, net earnings are down 46% to $647 million, primarily due to strategic restructuring efforts. | The company’s adjusted EBIT is up 13%, reaching $2.0 billion, while adjusted EBITDA rose 17% to $2.7 billion. Diluted earnings per share stand at $7.37, with adjusted EPS at $15.91. | Free cash flow totaled $1.2 billion, with 51% of it—approximately $638 million—returned to shareholders through dividends and share repurchases. | CEO Brian Chambers highlighted 2024 as a “transformative year,” citing strategic initiatives such as the acquisition of Masonite International, a review of its global glass reinforcements business, and the divestment of building materials operations in China and Korea. | The company also announced plans to expand its laminate shingle production capacity in the southeastern U.S. by 2027. | Looking ahead, Owens Corning expects mid-20% revenue growth in Q1 2025, with an EBITDA margin in the low 20% range. | The company remains committed to disciplined capital allocation and continued investments to strengthen its market position in North America and Europe. |
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| | | | Biopharmaceuticals | Summit Therapeutics Stock Up 5% On Q4 Earnings Beat | | Shares of Summit Therapeutics [NASDAQ: SMMT] are soaring more than 5% in pre-market trading after the announcement of a smaller-than-expected loss for the fourth quarter of 2024. | The biopharmaceutical firm posted a non-GAAP net loss of $0.07 per share, outperforming analysts' expectations of a $0.08 per share loss. | While revenue figures aren’t shared, the company noted a significant rise in operating expenses, which reached $65.8 million in Q4—an increase from $36.4 million in the same period last year. | The higher spending reflects increased clinical development efforts for its lead drug candidate, ivonescimab, a potential treatment for non-small cell lung cancer. | Summit's financial position strengthened considerably, with cash and short-term investments rising to $412.3 million by the end of 2024, up from $186.2 million a year earlier. | The increase is attributable to successful financing activities throughout the year. | In a significant development, Summit also announced a clinical trial collaboration with Pfizer [NYSE: PFE] to test ivonescimab in combination with Pfizer’s antibody-drug conjugates for solid tumors. | The new studies are set to begin in mid-2025, further expanding the drug’s potential applications. | With multiple Phase III trials underway and a strategic partnership with Pfizer, Summit Therapeutics remains a key player in oncology drug development. |
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| | Movers and Shakers | | AtlasClear Holdings, Inc. [ATCH] - Last Close: $2.35 | AtlasClear Holdings, Inc., is a financial services firm specializing in trading, clearing, settlement, and banking solutions. | Its shares are up more than 100% in premarket trade because its Q4 SEC 10-Q report showed a significant turnaround in profitability for the six-month period. | Despite a net loss of $419,690 for Q4, it has a substantial six-month net income of $10.33 million, compared to just $117,022 in the same period last year. | My Take: AtlasClear's acquisition of a proprietary trading platform recently is also being viewed favorably by investors. However, this is a tiny stock with high volatility so it might be best to wait and watch before investing here. |
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| IO Biotech, Inc. [IOBT] - Last Close: $1.10 | IO Biotech is a clinical-stage biopharmaceutical company developing immune-modulatory therapeutic cancer vaccines using its T-win® platform to reshape the tumor microenvironment. | Its shares are surging before the opening bell after it presented promising preclinical data for its TGF-β-targeted peptide vaccine (IO170) at the AACR-IO Conference. | My Take: This could be a game changer in cancer treatment in the long term, but for now this is a tiny and volatile stock so caution is warranted if you wish to invest here. |
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| PepGen Inc. [PEPG] - Last Close: $1.37 | PepGen Inc. is another clinical-stage biotech company developing next-generation oligonucleotide therapies for neuromuscular and neurological diseases. | Its shares are surging in premarket after it reported positive initial data from its FREEDOM-DM1 trial in Myotonic Dystrophy Type 1 (DM1). | My Take: Again, this is a tiny clinical stage biotech firm with no financials to show, so it might be best just to keep your eye on it for the time being. |
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| | | | That’s all for today. Thank you for reading. If you have any feedback, please reply to this email. | Best Regards, | — Adam Garcia Elite Trade Club |
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