Stock Market Today: A New Deal With Apple Helps This Stock Shine

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

Stocks look set to dip this morning. Index futures as of 7:50 a.m. EST point to a lower start for the stock market today, with the Dow Jones Industrial Average (DJINDICES: ^DJI  ) losing a moderate 62 points to begin the trading day.

Markets in Europe touched five-year highs overnight, even though the European Union dialed back its estimates for economic growth. Gross domestic product is now expected to rise by just 1.1% in the region next year, and unemployment should remain elevated at 12.2%. That gloomier forecast makes it more likely that the European Central Bank could lower rates when it meets later this week.

With that bigger picture in mind, here are a few stocks to watch in today's market.

Sapphire could be the next gorilla in the smartphone market. GT Advanced Technologies (NASDAQOTH: GTATQ  ) shares are on the move after the company announced a multiyear deal to supply Apple (NASDAQ: AAPL  ) with a huge volume of sapphire material. Apple's use of the expensive substance is limited to iPhone fingerprint sensor and camera lens covers right now. However, sapphire holds promise as a lighter, more scratch-resistant surface that could eventually replace the glass in Apple's mobile devices. GT Advanced Technologies shares are up 24% in premarket trading.

Michael Kors (NYSE: KORS  ) is still on a roll. The company this morning reported a 39% spike in revenue and a 44.9% jump in profit to $0.71 a share for its fiscal 2014 second quarter. Comparable sales rocketed 23% higher as Kors continued to gain share from rivals such as Coach. Its luxury products are resonating with consumers these days, and Kors' setting up shop in department stores has also boosted sales. The company sees revenue coming in at $850 million next quarter, which would be a 33% improvement from last year's holiday quarter. The stock is up 2% in premarket trading.

Finally, CVS Caremark (NYSE: CVS  ) this morning logged a 19% rise in quarterly operating profit on a 5.8% boost in revenue in its third quarter. The company's pharmacy business grew by almost 8% thanks to a spike in claims and broader cost-inflation in the drug and pharmacy markets. CVS also raised its earnings outlook slightly and now expects to book adjusted earnings per share of between $3.94 and $3.97 for the full year. The stock is up 1.9% in premarket trading.

Go beyond the daily swings
As every savvy investor knows, Warren Buffett didn't make billions by betting on half-baked stocks. He isolated his best few ideas, bet big, and rode them to riches, hardly ever selling. You deserve the same. That's why our CEO, legendary investor Tom Gardner, has permitted us to reveal The Motley Fool's 3 Stocks to Own Forever. These picks are free today! Just click here now to uncover the three companies we love. 


Read/Post Comments (2) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2713114, ~/Articles/ArticleHandler.aspx, 11/23/2014 5:43:52 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement