Watch these discounted tech names, Apple and this jumping IPO stock in tomorrow’s trading

THU, JUN 29, 2023

Tomorrow's Top CNBC Stories Tonight

McCormick takes a slide

Following yesterday's General Mills-fueled weakness in food staples, McCormick posted its worst day since January. A decline in volumes overshadowed a beat on earnings and a guidance hike. That caps off a lackluster week across several staples. McCormick, General Mills, and Hershey are off by more than 4%. While names like Kellogg and Tyson are tracking for weekly gains, they're still underperforming the broader sector this month. Outside of food, Walgreens is heading for its worst week since November 2020, and Dollar General is on pace for its worst month since August 2016, down 17% in June alone.

A corner of tech that's on discount

Some notable cybersecurity names are tracking for steep declines this month, even as broader tech has outperformed. SentinelOne is down 30% heading into the last day of June, which would be its sharpest monthly decline since November. Okta is off by 24%, while CrowdStrike is down 10%. Concerns over slowing customer spend is part of the story behind the declines, but Wall Street remains largely optimistic: CrowdStrike and Okta still have majority-buy ratings, according to FactSet, and all three stocks are trading at discounts to the average analyst price target.

June's winning homebuilding plays

The SPDR S&P Homebuilders ETF (XHB) and iShares U.S. Home Construction ETF (ITB) are up 15% in June, which would be the best month for both ETFs since July 2022. Lennar, PulteGroup, and D.R. Horton fell today, following yesterday's all-time highs. Several smaller-cap building materials companies have soared this month: Installed Building Products and TopBuild are both up over 30%. Larger names, including Carrier Global and Trane Technologies are up over 15%.

The IPO parade

Citi loves Apple

The analyst team there has a new Wall Street high target on the stock of as tonight at $240 a share.
Apple is up 7% in June and 46% in 2023, and is just shy of becoming the first company in the world with a $3 trillion market cap.
According to FactSet, there are 25 analysts with a buy on the stock, 9 holds and a single sell.
The lowest price target I could find was $171.

Nike

The stock is down 4.2% after hours. Nike surpassed sales estimates in its latest quarter, but the overall profit was less than expected.
In the last three months, the stock ranks 27th in the Dow 30: It's down nearly 6%.
Year to date, it is down 3%.
Consumer Discretionary is the second best performing sector in the last three months, up 16%.
Carnival, Norwegian Cruise Line and Royal Caribbean are the leaders: Carnival is up 73.5% over the past three months, while the other two are up 58%.
Nike is among the worst performers in the sector over the past three months. It's accompanied by Tractor Supply, down 5.6%, and Wynn, down 4% in that period.

Housing

The 30-year fixed-rate mortgage popped back above 7% today.
CNBC's Diana Olick will report on different parts of the housing market on TV Friday.
The SPDR S&P Homebuilders ETF (XHB) is up 16% in June.
Top performers in the XHB this month are Installed Building Products, up 33%; TopBuild, up 30%; and Trex, up 26.5%.
Williams-Sonoma, Home Depot and Lowe's are at the bottom. Williams-Sonoma and Home Depot are up more than 8% in June, while Lowe's has gained about 10%.

Ferrari

CNBC's Robert Frank will report on Ferrari's Wall Street success on TV Friday.
The stock is up 50% year to date.
By comparison: GM is up 13%. Toyota is up 17%. Stellantis is up 22%, and Ford is up 28.5%. Tesla, however, is outracing everyone: Shares are up 109% in 2023.

Deere

This industrial has had a huge June, up 16%.
CNBC's Seema Mody will report on what's behind the run up and what's next.
Industrials are the second best S&P sector in June, up 10%.
Generac is the top performer, up 35%. United Rentals is second, up 30.5%. Delta is up 27.5%.
Boeing, Lockheed and Copart are the weakest performers in June, all up about 3%.

Blast off, kind of

Virgin Galactic had its first successful space tourism mission today.
The rocket carrying four passengers went 2.8 times the speed of sound and was 52.9 miles above the Earth, allowing for weightlessness in the cabin.
There is reportedly a backlog of 800 people waiting to go up, at about $450,000 a seat.
Wall Street wasn't so impressed: The stock fell almost 11%. It's down again after hours.
This stock was at $55 a share two years ago. Today, it closed at $4.23.

Plug Power's surge

This stock was up 6% today. It's up 20% in June, but it's still 69% from the 52-week high.
Sixteen analysts listed on FactSet have a buy on the stock. Nine say hold it. Nobody says sell.
Tonight, it's a $10 stock.