Alcoa, United Technologies, Logitech News Today

Today's stocks to watch in the news include Alcoa Corp (AA), United Technologies Corporation (UTX), and Logitech International SA (USA) (:LOGI)

Jan 25, 2017 at 9:25 AM
facebook twitter linkedin


The Dow 20,000 level is back in focus as futures rise amid another earnings deluge. Among specific equities in the spotlight are aluminum specialist Alcoa Corp (NYSE:AA), Dow component United Technologies Corporation (NYSE:UTX), and tech accessories stock Logitech International SA (USA) (NASDAQ:LOGI). Here's a quick look at what's driving AA, UTX, and LOGI.

Alcoa Eyes Record Highs After Earnings

AA -- no longer the harbinger of a new earnings season since the company split last October -- reported a slimmer-than-predicted loss for the fourth quarter, and noted expectations that global aluminum supplies will ease with rising demand, particularly in China. The news earned Alcoa Corp an upgrade to "hold" from "sell" at Deutsche Bank, while Citigroup raised its rating to "buy." The stock is up 2.4% in electronic trading, and could be set to make a run at a fresh record high. At $37.50, AA has added 67% since it began trading post-split roughly three months ago. Further upbeat attention could keep the shares rising, too. At present, two-thirds of covering brokerage firms rate AA a "hold" or worse, while the average 12-month price target sits underfoot, at $33.

Stalling Growth Could Put United Technologies Option Bulls on Edge

While UTX met analysts' estimates for quarterly earnings and revenue, the shares are down 0.6% ahead of the bell. What's more, United Technologies Corporation reiterated its 2017 guidance, citing demand in the aerospace industry, including Pratt & Whitney aircraft engines. The stock has been steadily climbing the charts, adding 30% over the past 12 months, at $111.61, with the 30-day moving average providing solid support in recent months. And options traders appear to be hoping for more gains. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), UTX boasts a 10-week call/put volume ratio of 2.42 -- just 2 percentage points from an annual bullish peak.

Logitech Set to Pop on Record-Setting Revenue

After the company reported its best retail revenue on record, LOGI stock is on pace to add 15.3% at the open, which could put the shares at levels not seen since mid-2008. The firm also reported it has no intention to move current production in China back to the U.S. Logitech International SA (USA) finished Tuesday at $25.63, up more than 50% year-over-year. But it appears short sellers have been betting on a pullback for the outperformer. The nine million shorted shares would take roughly 29 sessions to cover, based on LOGI's average daily volume -- indicating there's plenty of purchasing power on the sidelines that could keep a rally alive. 

Stay on top of overnight news & big morning movers. Sign up now for Schaeffer's Opening View.

Make the Most of the next Expiration Week Countdown!


 




 
Special Offers from Schaeffer's Trading Partners