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Casino Stocks – Trading higher on a Bloomberg report suggesting Macau plans to give a maximum of six casino licenses for terms extending to 13 years and limit the public float of gambling operators as part of much-anticipated legal changes aimed at tightening government oversight on the world’s largest gaming hub. The licenses will carry a term of 10 years which can be stretched by another three years, according to a government briefing Friday. The Macau administration also wants to increase the proportion of local ownership in casino firms from the current 10% to 15%. LVS, WYNN, MGM
JP Morgan Chase – Reported a fall in fourth-quarter earnings on Friday as a weaker performance at its trading arm took the shine off a boom in investment banking. The largest U.S. bank by assets posted a profit of $10.4 billion, or $3.33 per share, in the quarter ended Dec. 31, compared with $12.1 billion, or $3.79 per share, a year earlier. Analysts on average had expected earnings of $3.01 per share, according to Refinitiv.
Wells Fargo – Reported an 86% jump in fourth-quarter profit on Friday, propped up by gains from the sale of its corporate trust and asset management businesses. The bank’s profit got a boost of $943 million from the sale of the businesses. The fourth-largest U.S. bank has been in regulators’ penalty box since 2016 when a sales practices scandal came to light and has since paid billions in fines and restitution. Wells Fargo said profit rose to $5.8 billion, or $1.38 per share, in the three months ended Dec. 31, from $3.09 billion, or 66 cents per share, a year earlier. Analysts on average had expected a profit of $1.13 per share, according to the IBES estimate from Refinitiv.
Citi Group – Posted a 26% drop in fourth-quarter profit but exceeded market expectations as strong gains in its investment banking business cushioned the blow from higher expenses. The bank’s profit fell to $3.2 billion, or $1.46 per share, for the quarter ended Dec. 31, from $4.3 billion, or $1.92 per share, a year earlier. Excluding the impact of costs stemming from Asia divestitures, the bank earned $1.99 per share. Analysts on average had expected a profit of $1.38 per share, according to Refinitiv IBES data. Citigroup’s investment banking arm had a strong quarter on the back of a frenzy in merger and acquisition activity. Revenue in the Institutional Clients Group rose 4%, driven by a 43% surge in investment banking fees.
High Growth – Shares of AMC Entertainment, Virgin Galactic, Lucid Group, Rivian Automotive and Affirm to name a few are all back under pressure again premarket as the shift toward safety continues. These stocks remain on watch as possible short candidates with the overall market weakness intensifying. AMC, SPCE, LCID, RIVN, AFRM
Tesla Inc – Lower premarket after saying it is now aiming to start initial production of its much-anticipated Cybertruck by the end of the first quarter of 2023, pushing back its plan to begin production late this year. Separately, Elon Musk said the company will now accept Dogecoin for merchandise.
Apple Inc – Lower premarket after leading the selloff late in the session yesterday. Actively traded even with multiple positive analyst moves on the stock this morning.
Revelation Biosciences – Micro cap beauty supply retailer higher after posting better than expected results earlier this week. Also announces data demonstrating REVTx-99 in vitro antiviral activity against SARS-CoV-2.
Guardforce AI – Announced plans to expand RaaS to China’s Greater Bay area through two acquisitions.