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Transcript

Market Movers & Shakers: The September 27 Rundown · The SPY Trader

• 0:00
  Welcome to "Spy Trader",
• 0:01
  your goto podcast for all things S&P 500,
• 0:04
  I'm your host,
• 0:05
  Bullish Benny,
• 0:06
  and today is September 27,
• 0:08
  2024,
• 0:09
  at 12:00 PM,
• 0:10
  Let's dive into the latest happening in the market,
• 0:13
  summarize the key news items,
• 0:15
  provide some analysis and insights,
• 0:17
  and finish off with trading recommendations that might just give you that extra edge,
• 0:23
  Alright,
• 0:23
  let's start with a bit of a roundup of the latest market news:
• 0:29
  The market is trading relatively flat midday,
• 0:31
  with the S&P 500 showing slight stability,
• 0:34
  However,
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  the Dow Jones Industrial Average is up by 0,
• 0:38
  51%,
• 0:38
  and the Russell 2000 Index has jumped by 0,
• 0:42
  8%,
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  2,
• 0:43
  Some notable movers in the S&P 500 today include Walgreens Boots Alliance (WBA) with a 7% rise,
• 0:50
  Wynn Resorts (WYNN) up by 6,
• 0:52
  4%,
• 0:52
  and Las Vegas Sands (LVS) climbing 5,
• 0:55
  1%,
• 0:55
  On the flip side,
• 0:57
  Globe Life (GL) saw a 5,
• 0:59
  2% dip,
• 1:00
  and Universal Health Services (UHS) dropped 3,
• 1:03
  5%,
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  3,
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  Costco has announced its first membership fee hike since 2017 on the back of a revenue miss in Q4,
• 1:11
  4,
• 1:12
  HP Inc,
• 1:12
  experienced a 3% fall following an analyst downgrade,
• 1:16
  while Best Buy saw a 2% rise thanks to an upgrade from JP Morgan,
• 1:21
  Now,
• 1:21
  let's dive deeper into some of these key items,
• 1:25
  Analysis and Insights
• 1:33
  it seems the market is in a bit of a holding pattern,
• 1:38
  Investors might be cautious ahead of some significant upcoming economic indicators,
• 1:42
  or just reacting to the latest round of company earnings and corporate news,
• 1:47
  Walgreens,
• 1:47
  Wynn Resorts,
• 1:48
  and Las Vegas Sands: These companies have seen significant gains today,
• 1:53
  For Walgreens,
• 1:53
  it seems renewed investor confidence is driving the price up,
• 1:57
  Wynn Resorts and Las Vegas Sands are benefiting from positive sentiment around the gaming and hospitality sector,
• 2:04
  possibly spurred by favorable economic conditions in key markets like Macau,
• 2:08
  Costco's Membership Fee Hike: Despite missing revenue estimates slightly ($79,
• 2:12
  7 billion vs,
• 2:13
  $79,
• 2:14
  9 billion expected),
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  increasing membership fees is a confident move,
• 2:18
  This suggests Costco is leveraging its strong customer base and business model to drive higher revenue,
• 2:24
  despite a slight dip in expected samestore sales growth,
• 2:28
  HP Inc,
• 2:28
  Downgrade: The downgrade from Bank of America highlights a reliance on share buybacks for EPS growth,
• 2:35
  which isn't a fundamentally strong longterm strategy,
• 2:37
  This might be a signal for investors to be wary of companies overly dependent on financial engineering rather than operational growth,
• 2:46
  Trading Recommendations and Reasoning
• 2:48
  BUY Wynn Resorts (WYNN): With Wynn showing a 6,
• 2:51
  4% rise and a favorable outlook thanks to market conditions in Macau,
• 2:56
  now might be a good time to buy,
• 2:59
  The gaming sector appears to be rebounding,
• 3:02
  and Wynn has been receiving positive analyst upgrades,
• 3:05
  indicating confidence in its growth prospects,
• 3:07
  2,
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  HOLD Costco (COST): Despite the revenue miss,
• 3:11
  the increase in membership fees is a strategic move that could stabilize revenue missing in the short term,
• 3:18
  Holding Costco might be smart as the company continues to show strong earnings per share ($5,
• 3:24
  29 vs,
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  $4,
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  95 expected),
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  signifying robust operation efficiency,
• 3:27
  3,
• 3:28
  SELL HP Inc,
• 3:29
  (HPQ): The downgrades and market reaction suggest that HP could face continued pressure,
• 3:34
  especially with concerns over its reliance on share buybacks,
• 3:38
  Selling now could help avoid potential losses as the market reassesses HP's longterm growth strategy,
• 3:44
  And,
• 3:44
  because no episode of Spy Trader would be complete without some financial humor: "Why did the bond go to the gym?
• 3:52
  To work on its principal,
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  "
• 3:57
  folks,
• 3:57
  Remember,
• 3:57
  while market movements can be as unpredictable as a toddler on a sugar high,
• 4:03
  a wellinformed strategy is your best tool for navigating the highs and lows,
• 4:08
  Stay tuned for our next episode coming up in just a few hours,
• 4:13
  You've been listening to Bullish Benny on Spy Trader,
• 4:17
  Happy trading!