Halister News

(Bloomberg) -- Factory orders for durable goods seen rising 2.9% in Jan. after falling 5% in Dec. (forecast range -1% to +8.7%); based on value of orders received.

• Would be 1st increase in 3 months
• Initial jobless claims seen at 270k in week ended Feb. 20 vs 262k prior week (forecast range 257k to 285k)
• See more context here

(Bloomberg) -- “10Y range is defined as 1.845% to 1.645% and these range boundaries should be respected” as it is “tradeable,” and “one that has seen better two-way flows even with all of the volatility seen in oil, stocks, gold, and currencies in February,” independent strategist Marty Mitchell says in note.

• Other observations from strategist morning notes:
• CRT (David Ader): “Short-term momentum measures we tend to like are bullish with budding stochastics crosses from reasonable oversold levels –- far more true of 2s-5s than further out the curve –- and lead us to favor the already rich belly a bit more purely from a momentum perspective”
• FTN (Jim Vogel): “Frenzied bond trading in mid-February broke so many technical levels so quickly that value was seemingly tossed from the highest building,” and “as traders find it easier to draw rich/cheap dividing lines, bonds will enjoy better confidence and liquidity”
• RBS (John Briggs): “I do like being short off yesterday’s price action, on a technical basis, and into the next two days on a fundamental basis (in 5yrs, which are rich on the curve to me)”

(Bloomberg) -- Cites recovery in tin and gold prices since mid Jan. and previous underperformance of bonds relative to peers,

• Tin prices should continue to stabilize, Itau analyst Soummo Mukherjee said in note
• NOTE: 2024s fell to 79.7 cents on Feb. 16 from a 52-wk high of 112 cents on April 28

(Bloomberg) -- Best Buy sees 1Q adj. EPS 31c-35c, est. 39c (range 31c-44c). Shrs down 3.3% pre-mkt.

• Sees 1Q rev. $8.25b-$8.35b, est. $8.45b (range $8.22b- $8.71b)
• Sees 1Q enterprise comps. down 1%-2%; targets “flat” domestic rev. for yr, “flattish” oper. income
  • Cites continued growth in appliances, connected home, home theater, although “challenging without” strong mobile cycle, improvements in NPD-reported categories overall
• Sets special div. 45c/shr or about $145m
• Boosts qtr div. to 28c/shr from 23c, est. 24c
• Sets new $1b buyback plan, expected to be completed over 2 years
  • NOTE: BBY mkt cap $10.8b, had 342.7m shrs outstanding as of Dec. 1: Bloomberg dats
• 4Q adj EPS $1.53, est. $1.39 (range $1.22-$1.47); cites well-executed holiday plan, disciplined promotional strategy, better recovery on returned, clearance product, strong expense mgmt
• 4Q rev. $13.6b, est. $13.6b (range $13.51b-$13.81b), co. forecast $13.64b (Jan. 14)
• 4Q enterprise comp. sales (incl. installment billing) -1.4%, est. -1.3% (Consensus Metrix avg of 13 ests.)
• 4Q domestic comp. -1.7%, est. -1.4%
• Call 8am, 888-437-9362 pw 4995836
• NOTE: Feb. 24, PREVIEW BEST BUY 4Q: Focus on Sales and Industry Trends, Outlook
• NOTE: Feb. 19, Best Buy Cut to Neutral at Goldman; Sees ‘Choppy’ Sales in 1H16

Statement NSN O33QO0MEQTXU

• Capital return statement: NSN O33QSMBE07I9