Skip to Content
Global News Select

Netflix, Gevo, Fastenal: What to Watch When the Stock Market Opens Today

By James Willhite 

-- U.S. stock futures gained ahead of a busy day of earnings reports and the inauguration of Joe Biden as the 46th president.

Futures tied to the S&P 500 rose 0.4% Wednesday, while contracts linked to the tech-heavy Nasdaq-100 rose 0.8%. Dow Jones Industrial Average futures were up 0.2%.

What's Coming Up

Earnings from Morgan Stanley, Procter & Gamble and UnitedHealth are due before the opening bell. United Airlines and Alcoa will release quarterly results just after markets close.

The National Association of Home Builders housing market index for January, due at 10 a.m. ET, is expected to tick down to 85 from 86 a month earlier.

Mr. Biden will be sworn in as president at noon.

Market Movers to Watch

-- Netflix shares jumped more than 13% ahead of the bell after it said it added 8.5 million subscribers in the fourth quarter, ending last year with an additional 37 million altogether.

-- Shares of renewable energy company Gevo plunged more than 20% premarket after it said it is selling $350 million of shares in a registered direct offering priced at-the-market.

-- Bank of New York Mellon's shares slipped 0.7% premarket after it said its profit fell for the recent quarter as revenue decreased, partly due to lower interest rates on interest-earning assets.

-- Fastenal shares ticked up 1% premarket. The maker of tools and fasteners declared a dividend after the close. Its latest earnings are due this morning.

Market Fact

S&P 500 bank shares are now down just 10% from where they started 2020, but their multiples have actually expanded, from under 12 times forward earnings to nearly 14 times.

Chart of the Day

The best explanation for how stocks have moved this year is the raw price of the stock, with lower-priced ones doing better. But the price on its own carries virtually no useful information, writes columnist James Mackintosh.

Must Reads Since You Went to Bed

Americans Aren't Draining Their Retirements Funds in the Pandemic

No Charges After Inquiry Into Senator's Stock Trades

After 144 Years, LME Proposes Closing Trading Ring

Sixth Street Partners to Acquire Life Insurance Business Talcott Resolution for $2 Billion

Alibaba's Jack Ma Resurfaces After Months of Lying Low

Goldman Profit More Than Doubles, Powered by Trading

Money Managers Look to Blue Seas for Green Investments

 

(END) Dow Jones Newswires

January 20, 2021 07:13 ET (12:13 GMT)

Copyright (c) 2021 Dow Jones & Company, Inc.

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.