U.S. stocks were trending higher on Tuesday as investors remain optimistic about earnings season. Forecasts signaling earnings beating estimates have continued to set the tone in the equity markets.
Dow futures were up 0.30%, S&P futures were up 0.36%, and Nasdaq futures were up 0.27% at the time of writing.
Armstrong Flooring, Inc. (AFI), Cambridge Bancorp (CATC), and Old National Bancorp (ONB) are set to report their quarterly earnings before the market opens. United Airlines Holdings, Inc. (UAL), National Bank Holdings Corp. (NBHC), and CSB Bancorp, Inc. (CSBB) will report after the market close.
Kaival Brands Innovations Group (KAVL) was the most active stock in the pre-market session, with 1.59 million shares changing hands at the time of writing. While the stock was also up 18.63%, it is unclear what is causing the increased market activity and pop given the lack of any fundamental news being released.
Entasis Therapeutics Holdings, Inc. (ETTX) was one of the biggest gainers in the pre-market session, jumping 20.90% at the time of writing. The pop comes after the company announced positive topline results for sulbactam-durlobactam (SUL-DUR) from the Phase 3 ATTACK trial.
Wipro Limited (WIT) was the biggest loser in the pre-market session, falling 6.88% at the time of writing. It is still unclear what is causing the stock to tank as no fundamental news has been released to justify the drop.
CDW Corp. (CDW) has reached an agreement to acquire Sirius Computer Solutions for $2.5 billion in cash. The IT firm is acquiring the Texas-based IT solutions and services provider from an affiliate of equity firm Clayton, Dubilier & Rice. The acquisition should allow the company to accelerate its progress in a three-part growth strategy.
Avalara, Inc. (AVLR) has acquired SaaS-based tax compliance applications provider CrowdReason Limited Liability Company. The terms of the deal remain under wraps. With the acquisition, the tax compliance automation software provider gains access to valuable software and expertise in property tax compliance and more than 20,000 property tax assessors.
Equinix, Inc. (EQIX) is teaming up with PGIM Real Estate to set up a $75 million joint venture. The two are looking to operate two xScale data centers in Sydney, Australia. Under the terms of the agreement, PGIM will invest in an equity interest of 80%, with the remaining 20% going to Equinix. The Joint venture should close in the fourth quarter.
State Street (STT) shares popped 2.2% after the company delivered better-than-expected Q3 results. Strong performances across its core businesses saw the company progress toward achieving its medium-term financial targets. Revenue in the quarter was up 7% year-over-year to $2.99 billion, exceeding consensus estimates of $2.96 billion. Diluted earnings landed at $1.96 a share, exceeding estimates of $1.92 per share.
Steel Dynamics, Inc. (STLD) posted solid Q3 financial results driven by strong domestic steel demand from the auto, construction, and industrial sectors. Net sales in the quarter were up 118.9% year-over-year to $5.1 billion, beating consensus estimates of $4.98 billion. Adjusted earnings landed at $4.96 a share, exceeding consensus estimates of $4.57 a share.
