$WBA

$JD Oct 31.5 C $WBA Nov 25 C $VZ Nov 35 C $DOW Dec 57.5 C $GLW Sep29 32 C $DAL Oct06 40 C $EAT Oct 32.5 C $CCL Oct06 16 C $MPW Nov 7 C $PINS Sep22 27 C $BEKE Jan 17.35 C $AHCO Dec 15 C $X Dec 26 P $USB Sep29 34 P $MO Nov 42.5 P $MPW Oct 5 P $COIN Oct 75 P $NU Oct 6.5 P $AXP Nov 150 P $BAM Jan 30 P

$JD Oct 31.5 C $WBA Nov 25 C $VZ Nov 35 C $DOW Dec 57.5 C $GLW Sep29 32 C $DAL Oct06 40 C $EAT Oct 32.5 C $CCL Oct06 16 C $MPW Nov 7 C $PINS Sep22 27 C $BEKE Jan 17.35 C $AHCO Dec 15 C $X Dec 26 P $USB Sep29 34 P $MO Nov 42.5 P $MPW Oct 5 P $COIN Oct 75 P $NU Oct 6.5 P $AXP Nov 150 P $BAM Jan 30 P

$CVX Sep22 172.5 C $SOVO Nov 25 C $WRK Oct 40 C $OXY Sep22 70 C $DOW Nov 57.5 C $SRPT Nov 160 C $ADI Nov 195 C $SFIX Sep29 3.5 C $WMT Nov 175 C $PAAS Oct 18 C $WBA Sep22 21 P $CVS Sep22 70 P $LNC Oct 25 P $JD Mar 25 P $GM Jan 29 P $NVAX Nov 5 P $AAL Dec-25 8 P $ARM Oct 55 P

$CVX Sep22 172.5 C $SOVO Nov 25 C $WRK Oct 40 C $OXY Sep22 70 C $DOW Nov 57.5 C $SRPT Nov 160 C $ADI Nov 195 C $SFIX Sep29 3.5 C $WMT Nov 175 C $PAAS Oct 18 C $WBA Sep22 21 P $CVS Sep22 70 P $LNC Oct 25 P $JD Mar 25 P $GM Jan 29 P $NVAX Nov 5 P $AAL Dec-25 8 P $ARM Oct 55 P

$ETNB Oct 20 C $NKLA Oct 2.5 C $TSLA Sep29 290 C $WBA Sep22 23 C $AXL Oct 7 C $AMC Sep29 11 C $AKRO Jan 75 C $UEC Oct 6 C $AR Jan 29 C $CCJ Oct 42 C $BTU Oct 24 C $GOOGL Dec-25 165/225 C Spd $AA Sep 30 C $KVUE Nov 22.5 C $AAL Dec-25 8 P $BCLI Oct 1 P $BXMT Nov 19 P $PLUG Oct13 8 P

$ETNB Oct 20 C $NKLA Oct 2.5 C $TSLA Sep29 290 C $WBA Sep22 23 C $AXL Oct 7 C $AMC Sep29 11 C $AKRO Jan 75 C $UEC Oct 6 C $AR Jan 29 C $CCJ Oct 42 C $BTU Oct 24 C $GOOGL Dec-25 165/225 C Spd $AA Sep 30 C $KVUE Nov 22.5 C $AAL Dec-25 8 P $BCLI Oct 1 P $BXMT Nov 19 P $PLUG Oct13 8 P

$WBA looks inviting at 22.50 for longer term hold

Going to lose my $WBA, and likely $PARA shares to CC's also

$WBA 9% drop on earnings and lower forecast

$INTC Jun09 $31 C $AFRM May26 $16 Cs $CVNA May26 $13 Cs $PLTR May26 $13 Cs $FYBR Jun $17.5 Cs $BYND May26 $11.5 Cs $SHOP Sep $55 Cs $GT Oct $17 Cs $WBA Jul $32.5 Cs $PINS Jul $26 Cs $REI Jun $2 Cs $ISEE Jul $40 Cs $SNAP Jun02 $10.5 Cs

$INTC Jun09 $31 C $AFRM May26 $16 Cs $CVNA May26 $13 Cs $PLTR May26 $13 Cs $FYBR Jun $17.5 Cs $BYND May26 $11.5 Cs $SHOP Sep $55 Cs $GT Oct $17 Cs $WBA Jul $32.5 Cs $PINS Jul $26 Cs $REI Jun $2 Cs $ISEE Jul $40 Cs $SNAP Jun02 $10.5 Cs

$BAC Apr 29 C $M Apr06 19 C $OXY Apr06 66 C $ENPH Apr06 220 C $ARNC Apr 26 C $MRO May 28 C $F Jun 13 C $VNET Jun 5/8 C Spd $CCJ Sep 35 C $FIGS Jul 7.5 C $HD Apr06 305 C $BABA Sep 170 C $CTLT Apr 75 C $AGI Jun 17.5 C $SAVE Apr 17.5 C $JD Jan 45 C $WBA Jul 37.5 C $GETY May 12.5 C $CCL Jan 20 C $MRO Jun 27 C

$BAC Apr 29 C $M Apr06 19 C $OXY Apr06 66 C $ENPH Apr06 220 C $ARNC Apr 26 C $MRO May 28 C $F Jun 13 C $VNET Jun 5/8 C Spd $CCJ Sep 35 C $FIGS Jul 7.5 C $HD Apr06 305 C $BABA Sep 170 C $CTLT Apr 75 C $AGI Jun 17.5 C $SAVE Apr 17.5 C $JD Jan 45 C $WBA Jul 37.5 C $GETY May 12.5 C $CCL Jan 20 C $MRO Jun 27 C

$PTON Jan-24 15 C $AI Feb 20 C $ORCL Feb 88 C $HOOD Mar 13 C $WBA Mar 57.5 C $COIN Mar 55 C $HLIT Jul 15 C $WBD Feb 15.5 C $PATH Feb 17.5 C $FIS Mar 80 C $DOLE Aug 12.5 C $FAZE Feb03 1 C $UBER Feb03 31 C $ARKK Feb03 42 C $PSTG Oct 40 C $CCJ Mar 32 C $CVX Apr 195 C $SBUX Apr 115 C $BC Feb 85 C $IQ Feb 8.5 C $BBBY Feb 1 P $BBBY Feb03 2 P $LCID Jan-24 5 P $CCL Jan-25 10 P $RVLV Mar 25 P $CVX Jan-24 110 P $SGFY Feb 28 P $SLG May 35 P $PETS Feb 17.5 P $DKS Mar 115 P $HZO Apr 25 P $HELE May 75 P $VYM Jul 70 P $PARA Mar 20 P

$PTON Jan-24 15 C $AI Feb 20 C $ORCL Feb 88 C $HOOD Mar 13 C $WBA Mar 57.5 C $COIN Mar 55 C $HLIT Jul 15 C $WBD Feb 15.5 C $PATH Feb 17.5 C $FIS Mar 80 C $DOLE Aug 12.5 C $FAZE Feb03 1 C $UBER Feb03 31 C $ARKK Feb03 42 C $PSTG Oct 40 C $CCJ Mar 32 C $CVX Apr 195 C $SBUX Apr 115 C $BC Feb 85 C $IQ Feb 8.5 C $BBBY Feb 1 P $BBBY Feb03 2 P $LCID Jan-24 5 P $CCL Jan-25 10 P $RVLV Mar 25 P $CVX Jan-24 110 P $SGFY Feb 28 P $SLG May 35 P $PETS Feb 17.5 P $DKS Mar 115 P $HZO Apr 25 P $HELE May 75 P $VYM Jul 70 P $PARA Mar 20 P

Summary Cano Health currently presents an interesting investment opportunity with a potential short-term 58% upside. Recently, rumors appeared that Cano Health has received acquisition interest, with healthcare industry giants CVS Health, Humana and UnitedHealth among the rumored buyers. Given ongoing pressure from two prominent activists and industry consolidation trends, I expect a company sale to be announced shortly. Looking for more investing ideas like this one? Get them exclusively at Special Situation Investing. Learn More » Health visitor and a senior woman during nursing home visit A Potential company sale might be brewing up behind the scenes. Cano Health (NYSE:CANO) owns and operates senior primary care health centers in nine US states, with a primary focus on Florida. Recently, Bloomberg, Reuters and WSJ reported that the company has received acquisition interests, with health industry giants Humana (HUM), UnitedHealth (UNH) and CVS Health (CVS) mentioned as the front-runners to buyout CANO. Acquisition rumors follow activism from several of CANO's shareholders. In March, Daniel Loeb's Third Point (2.2% of voting power) started to push the company towards strategic alternatives, arguing that CANO should address the value gap (arising from the company going public through a SPAC) by initiating a company sale. Then, in August, Owl Creek Asset Management (owns 1%) delivered a letter, also considering the company undervalued versus peers and industry transactions. As it stands, it seems that the management/insiders (who own 55%) have been under pressure from two prominent activists to sell the company. Not surprisingly, in August, CANO's management stated that the company is open to all strategic alternatives and has hired financial advisors. Reportedly, the second round of discussions is currently ongoing, with the deal possibly finalized in the upcoming weeks. Reports do not mention the acquisition price, however, peer/transaction multiples (also mentioned by the activist Owl Creek) suggest $14/share might be a reasonable price tag - this would imply a 58% upside from current levels. Buyout rumors come amid broader healthcare industry consolidation trends as large healthcare insurers are scooping up healthcare providers in an effort to combine insurance and healthcare provider activities. The industry is currently in a shift towards value based care - a model where providers are paid based on patient health outcomes (as opposed to the traditional fee-for-service model where patients pay for each service rather than outcome). Naturally, the value-based care model closely aligns the interests of both health insurance firms and healthcare providers. Numerous industry executives, including Humana's Medicare President, have noted that value-based model has benefits for providers/insurers, including noticeably higher contribution margins, thus pushing up incentives for consolidation. Not surprisingly, these dynamics have spurred a number of acquisitions of healthcare providers by major health insurers. CVS is currently buying health care platform provider Signify Health (Sep'22), UNH is scooping up home care provider LHC Group (announced in Mar'22) and HUM has already acquired home healthcare provider Kindred at Home (Aug'21). The industry has also seen increasing M&A activity from non-insurers entering the space, including Amazon (AMZN) acquiring primary care company One Medical (announced in Jul'22, by the way CVS was one of the bidders there as well) and Walgreens Boots Alliance (WBA) purchasing a majority stake in primary care provider VillageMD (Oct'21). These dynamics and the fact that CANO might be an attractive target have also been recently reiterated by CANO's CEO: I expect continued consolidation and acceleration in the paradigm shift of value-based care. And what this means for us is yet another validation of how attractive our asset is and the industry as a whole. A Potential acquisition would make strategic sense for either of the rumored buyers HUM, UNH or CVS given CANO's extensive presence in Florida's primary care market. CANO is reportedly the largest independent value-based primary care provider to Medicare/Medicaid patients in the state. Meanwhile, three potential suitors currently rank as the three largest primary care insurers in the Florida. Humana and Cano have seemingly deep ties - HUM has been invested in Cano Health prior to CANO's IPO and still owns an undisclosed stake. Currently, CANO is HUM's biggest independent primary care provider in Florida. Interestingly, as part of their earlier agreement, HUM has a right of first refusal, meaning that HUM can match any acquisition offer made for CANO. Notably, HUM has significantly expanded its investment in primary senior care in the last five years, recently stating that the TAM is very large at $700bn. As part of its joint venture with PE firm Welsh Carson, Humana now aims to open 100 new CenterWell senior primary care clinics in the next three years. From the CEO's remarks during Q2'22 earnings call: We do see some great opportunity today, both CenterWell primary care and the home are agnostic and continue to see great growth, serving both other payers and other parts of the Medicare system. And at the same time, we're also seeing opportunity within our primary - within our pharmacy area to offer some agnostic opportunities there. So the ability for it to integrate and also to expand beyond the Medicare side of the business is really at the heart of what you see us more formally creating the CenterWell service side, while on the insurance side, continuing to leverage the efficiencies across the various different insurance platforms. Meanwhile, CVS's management, in addition to the recent acquisition of Signify Health, has recently stated that their priority is the same - to expand into the primary care segment: From Morgan Stanley Healthcare Conf: Well I think we are urging, obviously - we're very urging, I just ask our teams and I think if you think about our strategy, really we've been very clear that we want to extend into care delivery and we're starting with Signify. We can't always determine the order. Obviously primary care is something we believe we need to advance because we really want to enable consumers to have a differentiate experience and improve health outcomes. So we're playing our game. From the CVS Q2'22 earnings call: As you would expect, we are being very disciplined both strategically and financially, as we pursue kind of our M&A strategy. We can't be in the primary care without M&A. We've been very clear about that. Valuation Chart Comp Filings At current price levels, CANO seems undervalued on a TTM/2022E revenue basis relative to larger peers OSH (also owns and operates primary care centers) and AGL (runs primary care physician networks so not as comparable). Moreover, recently announced ONEM and SGFY acquisitions were done at noticeably higher multiples. Activist Owl Creek notes the following reasons for why CANO might be trading at a discount to peers/industry transactions: Unfortunately, Cano has consistently traded at a discount to its peers due to its SPAC heritage, its hybrid model (owned and operated medical centers along with affiliates), and heavy concentration in the South Florida market. One could argue for some discount due to one or more of these factors, but the valuation discrepancy between Cano and peers is highly punitive. Another activist Third Point also agrees that the undervaluation is explained by both SPAC heritage and the company's shareholder base (given dual class structure and high insider ownership): However given recent developments at the Issuer and taking into account the market's largely unfavorable view of companies taken public through special purpose acquisition vehicles, the Reporting Persons believe the Board of Directors should immediately engage financial and legal advisors to commence a review of strategic alternatives. […] The Reporting Persons believe this strategic review should focus on a sale of the Issuer, and that a properly run sales process is likely to result in offers representing a substantial premium to the Issuer's trading price. The Reporting Persons believe that the Issuer is unlikely to achieve such valuation on a stand-alone basis, in part due to structural issues with its shareholder base. The activist Owl Creek has stated that CANO has been undervalued by the market despite having higher 2022E revenues than both OSH/AGL and being on track to exceed 2022 membership/revenue/EBITDA guidance. Using a 3x revenue multiple based on peers OSH/AGL and Amazon's acquisition of ONEM, Owl Creek arrives at an acquisition price tag of $14/share. The markets have moved down a bit since the letter was written, so a 3x multiple would now translate to a $13/share price. More background on CANO Historical financials are provided below: Table Company Filings Financially, since going public in 2020, CANO has managed to record high revenue growth - 93% in 2021. Notably, the growth has to a large degree been driven by acquisitions, including purchase of University Health Care and Doctor's Medical Center for a total of $900m (announced in Jun'21 and Jul'21). This has allowed the company to significantly increase its patient base as number of memberships has expanded from 156k to 282k over the last year. That said, the business is yet to turn profitable and is still burning cash - $135m in 2021 operating losses. From a liquidity perspective, the company is quite highly levered with $878m in net debt (compared to $4.2bn market cap). Given CANO's business model, the company needs extensive capital to accelerate further growth. At current share price levels, any equity raise would seem highly dilutive given that even after the buyout rumors the stock trades below pre-2022 levels of $9-$16/share. CANO's shares are rather tightly held with 55% of the voting power (Class A + Class B shares) held by the management + insiders. CANO went public in 2020 through a SPAC backed by Starwood Capital CEO Barry Sternlicht who now holds 9% voting power. Another 33% of total shares are owned by a PE firm InTandem Capital Partners which has backed the company since 2016. Both Sternlicht and InTandem's managing partner Elliot Cooperstone currently sit on CANO's board. Interestingly, Cooperstone was previously the CEO of Prodigy Health Group which was acquired by Aetna, a subsidiary of CVS Health. Another 17% are held by six institutional investors, including FMR (7%), BlackRock (3%) and Millennium Asset Management (2%), among others. Risks According to the activist Owl Creek, last year CVS stated that the company had well over $10bn to deploy towards strategic initiatives related to value-based care. With the SGFY acquisition, the company will spend around $7bn, potentially implying that the management might not be willing to pursue another large acquisition. This risk, however, seems limited given CVS's overall large gross cash position ($15bn in cash + investments) and the fact that SGFY captures a slightly different market niche than CANO - it is a healthcare platform which does not own and operate health centers. Management/insiders not agreeing to sell their stake. That said, considering prominent activist pressure, current market turbulence and the fact that the company is yet to inflect towards profitability, an offer at $14/share - a share price close to 2021 highs - could seal the deal. Conclusion CANO presents a very interesting investment opportunity with a short potential timeline. I believe that prominent activist involvement and industry consolidation dynamics point to a company sale brewing up behind the scenes. Importantly, risk/reward seems to be highly favorable here, suggesting that investors might consider CANO as a long position in their portfolios.

$BEKE Jan 15 C $AMZN Nov 103 C $AA Mar 45/50 C Spd $NCLH Nov04 16.5 C $WBA Nov04 37.5 C $RITM Nov 9 C $COP Nov 145 C $XPEV Mar 10 C $DVN Nov 90 C

RECAP 10/28 Unusual Calls: $BEKE Jan 15 C $AMZN Nov 103 C $AA Mar 45/50 C Spd $NCLH Nov04 16.5 C $WBA Nov04 37.5 C $RITM Nov 9 C $COP Nov 145 C $XPEV Mar 10 C $DVN Nov 90 C

**TRIMESTRALI USA** Al via da oggi la pubblicazione degli utili trimestrali delle aziende statunitensi; di seguito un breve calendario di quelle di maggior impatto sui listini azionari e sugli indici USA. (fonte Investing.com) **__Mercoledì 12 Ottobre 2022__** PepsiCo (PEP) **__Giovedì 13 Ottobre 2022 __** BlackRock (BLK) Progressive (PGR)* Walgreens Boots (WBA) Fastenal (FAST) Delta Air Lines (DAL) Domino’s Pizza Inc (DPZ) **__Venerdì 14 Ottobre 2022__** UnitedHealth (UNH) JPMorgan (JPM) Wells Fargo&Co (WFC) Morgan Stanley (MS) Citigroup (C) PNC Financial (PNC) U.S. Bancorp (USB) First Republic Bank (FRC)

$GM Nov11 27 P $TWTR Oct114 46 P $AMZN Oct14 95 P $LEVI Jan 13 P $CCL Jan-25 2.5 P $AMD Apr 60 P $CCL Oct14 6.5 P $AAPL Feb 130 P $NLY Nov 15 P $AA Dec 35 P $ARI Nov 7.5 P $WBA Jan 30 P $ON Nov 60 P $COTY Oct14 6 P $AAPL Dec 150 P $GPS Dec 8 P

$GM Nov11 27 P $TWTR Oct114 46 P $AMZN Oct14 95 P $LEVI Jan 13 P $CCL Jan-25 2.5 P $AMD Apr 60 P $CCL Oct14 6.5 P $AAPL Feb 130 P $NLY Nov 15 P $AA Dec 35 P $ARI Nov 7.5 P $WBA Jan 30 P $ON Nov 60 P $COTY Oct14 6 P $AAPL Dec 150 P $GPS Dec 8 P

Notable large cap stocks that hit new 52 Week Lows at some point today Analog Devices $ADI Applied Materials $AMAT $AMD $ASML $BAC Caterpillar $CAT $CS Freeport $FCX Intel $INTC Lam Research $LRCX 3M $MMM Marvell $MRVL Micron $MU Nike $NKE Nvidia $NVDA Taiwan Semi $TSM $TXN $WBA

3800 $WBA MAY2022 $48 Cs trade 0.74

Think @AJAJ asked about $WBA yesterday

Reliance Industries studying bid for Walgreens Boots Alliance, Bloomberg says $WBA

Most active stocks in today's pre market trading Ford $F Apple $AAPL Abbott $ABT Edison $ED Tesla $TSLA Nvidia $NVDA Datadog $DDOG Nuance $NUAN AT&T $T Microsoft $MSFT Palantir $PLTR $BBBY $DELL Carnival $CCL $BAC UnitedHealth $UNH $AMD Chevron $CVX Walgreens $WBA

RECAP 1/3 Chatter: $WBA + Bain $IVAC + Photonics Biz Sale $MNTV - Jana want $ZEN to drop deal

BAIN AND OTHER FIRMS WANT TO BUY WALGREENS, ACCORDING TO REPORTS $WBA

Good morning....Market still down. As mentioned months ago, the market need an adjustment and now are doing step by step, avoid red button, and dont send message of panic.....Imho still going down or in the best situation, a lateral trend until January. Today watching some possible stock running up $VZ, $Z, $WMT, $WBA...But for now i am seating on my hands....Have dentist visit in the opening ( he is a suck dentist dont understand my work... ).Take care and focus in the futures index.

2523 $WBA JAN2022 $50 Cs trade 0.62

2523 $WBA JAN2022 $50 Cs trade 0.62

RECAP 11/23 Chatter: $BLMN + Jana $XRX + Go Private (G Haskett) $SPOT $NFLX + Netflix hub on Spotify $GIS + Price raise $AMZN + Redzone stake talks $CVS $WBA $WMT - OH Opiod Verdict

RECAP 11/5 Chatter: $RCII - CID $WKHS - DOJ Probe $WBA $CVS + $AMZN Prescriptions $ENDP - BK $TGNA + Byron Allen $DE - Strike Delays $MCFE + Go Private

Unusually active option classes on open November 3rd $TTE $BBBY $JOBY $CHGG $LMND $NNDM $WBA $KR $IVR $FUTU

$WBA slinging $32B drugs

Thursday, October 14, 2021 Futures Up/Down % Last Dow 205.00 0.60% 34,461 S&P 500 28.25 0.67% 4,384 Nasdaq 116.50 0.79% 14,880 Stock futures are jumping overnight, extending yesterday’s gains ahead of key earnings reports and inflation data. Stocks advanced on Wednesday as the S&P 500 and Nasdaq outperformed after a choppy session, with Big Tech doing much of the heavy lifting, led by shares of Microsoft, Amazon, Alphabet, and Nvidia. Minutes from the September Federal Reserve policy meeting showed central bankers signaled they could start reducing crisis-era support for the economy in mid-November, although they remained divided about how soon they may need to raise interest rates. Inflation data was in-line with forecast for consumer prices ahead of today’s producer price index at 8:30 AM ET. Banks the other top story with earnings this week, with JPMorgan falling after its third-quarter earnings beat expectations. Bank of America, Citigroup, Wells Fargo and Morgan Stanley are set to report results this morning. In Asian markets, The Nikkei Index rose 410 points to 28,550, while the Shanghai Index was little changed at 3,558. In Europe, the German DAX is rising 130 points to 15,380, while the FTSE 100 gains about 50-points to move just below the 7,200 level. Market sentiment improving after a rough start to the week, helped yesterday on news Port of Los Angeles to go 24/7 joining neighboring Port of Long Beach as the expanded operations would nearly double the hours that cargo can move and help remove the glut at ports and improve inventory for retail and food stores. Oil prices rose by about 1% after the International Energy Agency said that record natural gas prices will boost demand for oil and top oil producer Saudi Arabia dismissed calls for additional OPEC+ supplies. Market Closing Prices Yesterday The S&P 500 Index gained 13.15 points, or 0.30%, to 4,363.80 The Dow Jones Industrial Average little changed, or 0.00%, to 34,377.81 The Nasdaq Composite jumped 105.71 points, or 0.73%, to 14,571.63 The Russell 2000 Index advanced 7.70 points, or 0.34% to 2,241.97 Events Calendar for Today 8:30 AM ET Weekly Jobless Claims…est. 319K 8:30 AM EST Continuing Claims…est. 2.675M 8:30 AM ET Producer Price Index (PPI) Headline MoM for September…est. +0.6% 8:30 AM ET PPI Core: Ex Food & Energy MoM for September…est. +0.5% 8:30 AM ET Producer Price Index (PPI) Headline YoY for September…est. +8.7% 8:30 AM ET PPI Core: Ex Food & Energy YoY for September…est. 7.1% 10:30 AM ET Weekly EIA Natural Gas Inventory Data 11:00 AM ET EIA Weekly Inventory Data Earnings Calendar: Earnings Before the Open: BAC, C, CMC, DPZ, MS, PGR, UNH, USB, WBA, WFC Earnings After the Close: AA, DCT, TACO Other Key Events: Piper Insurance Summit in New York, 10/14 Macro Up/Down Last Nymex 0.87 81.31 Brent 0.97 84.15 Gold 4.90 1,801.60 EUR/USD 0.0014 1.1606 JPY/USD 0.17 113.41 10-Year Note -0.017 1.532% World News China sept. consumer prices rise7% y/y vs. est. 0.8%; China sept. producer prices rise 10.7% y/y vs. est. 10.5% Oil demand is set to jump by half a million barrels per day (bpd) as the power sector and heavy industries switch from other more expensive sources of energy, the IEA said, warning that the energy crunch could stoke inflation and slow the world’s economic recovery from the COVID-19 pandemic. In its monthly report, the IEA increased its global oil demand growth forecast by 170,000 bpd to 5.5 million bpd for 2021 and by 210,000 bpd to 3.3 million bpd for 2022. The agency now expects total oil demand in 2022 to reach 99.6 million bpd Sector News Breakdown Consumer Bed Bath & Beyond ($BBBY) downgraded to Underweight from Equal Weight at Morgan Stanley Wayfair ($W) downgraded to Underweight from Equal Weight at Morgan Stanley Esports Entertainment Group ($GMBL) rises after forecasting higher revenue in FY22 saying it expects net revenue to increase by at least 490% to $100 mln to $105 mln in FY22 driven primarily by the multiple acquisitions completed in calendar 2021 Good Times Restaurants ($GTIM) said Q4 YoY same store sales ended sept. 28, 2021 decreased 0.2% for its good times brand & increased 22.8% for its Bad Daddy’s brand Hyzon Motors ($HYZM) said in 2022, expects to increase capacity to up to 1,000 trucks/year through operational updates, addition of second shift in Europe facility Winnebago ($WGO) announces new $200M share repurchase authorization Energy, Industrials and Materials Occidental ($OXY) agreed to sell its interests in two Ghana offshore fields for $750 million to Kosmos Energy (KOS) paying $550M and Ghana National Petroleum Corporation paying $200M, prior to closing adjustments to reflect an April 1, 2021 effective date The American Petroleum Institute (API) WD-40 ($WDFC) approves new $75M share repurchase plan Matrix Nac ($MTRX) awarded multiple contracts for electrical infrastructure work that, in aggregate, totals about $50 mln The American Petroleum Institute (API) showed a build of 5.21M barrels of oil for the week ending October 8, a draw of 4.58M barrels, distillate inventories show a draw of 2.71M barrels and Cushing inventories show a draw of 2.28M barrels. Steel Dynamics ($STLD) CEO said steel prices, driven to nosebleed highs by surging demand, should start to “erode” by the first part of next year as COVID-related supply bottlenecks ease and new domestic production comes online. UPS ($UPS) upgraded to Buy from Hold at Stifel The Biden administration unveiled plans to hold as many as seven government auctions of offshore wind development rights in the next four years (watch shares of AGR, RDSA) Financials S.-listed Chinese online brokerages Futu Holding ($FUTU) and UP Fintech Holding ($TIGR) face regulatory risks as China’s personal data privacy law takes effect Nov. 1, the official People’s Daily said in an analysis on its website. Such brokerages could violate data privacy rules and also runs compliance risks, the article said. S. Bancorp ($USB) Q3 EPS $1.30 vs. est. $1.16; Q3 revs $5.89B vs. est. $5.77B; return on average assets 1.45% vs. 1.17% y/y; return on average equity 15.9% vs. 12.8% y/y; net charge-offs $147 million, -71% Yoy Healthcare UnitedHealth ($UNH) Q3 adj EPS $4.52 vs. est. $4.41; Q3 revs $72.34B vs. est. $71.19B; Q3 beat helped by a jump in revenue from its Optum unit that manages drug benefits, rising 14%; raises FY21 adjusted EPS view to $18.65-$18.90 from $18.30-$18.80 (est. $18.75) Perrigo ($PRGO) upgraded to Outperform from Market Perform at Raymond James with a $59 price target saying the recently announced acquisition of leading branded consumer play HRA Pharma is expected to immediately boost the company’s profitability back to 2019 levels while delivering on its goal of becoming a pure-play consumer health company by 2023 Sarepta ($SRPT)17M share secondary priced at $81 per share Lucid Diagnostics ($LUCD) 5M share IPO priced at $14 per share Agilent Technologies Inc. ($A) said its Ki-67 IHC MIB-1 pharmDx (Dako Omnis) is now FDA approved as an aid in identifying patients with early breast cancer (EBC) at high risk of disease recurrence Turning Point Therapeutics ($TPTX) and EQRx announced a clinical collaboration to evaluate elzovantinib or TPX-0022, Turning Point’s drug candidate targeting MET, SRC, and CSF1R, in combination with aumolertinib, EQRx’s drug candidate targeting EGFR for NSCLC Technology, Media & Telecom Taiwan Semiconductor Manufacturing Co. ($TSM) lifted its revenue growth forecast for 2021, citing an “industry megatrend” of strong chip demand after Q3 rev climbed 22.6% to $14.88B, in line with co’s prior estimated range of $14.6B-$14.9B and vs. est. $14.83B; Q3 profit rose 14% from a year earlier to 156.26 billion New Taiwan dollars (US$5.57 billion) AT&T ($T) upgraded to Sector Weight from Underweight at KeyBanc saying that it appears more difficult to justify further downside from current levels given simplification of the business, reduced leverage, and peers that trade at premiums GitLab ($GTLB)4M share IPO priced at $77.00 Rambus ($RMBS) announced that Rahul Mathur, senior vice president and CFO, will resign from Rambus effective November 15 to pursue another opportunity outside of the semiconductor industry; co affirmed its previously issued guidance for the third quarter fiscal year 2021. E2open ($ETWO) raises FY22 revenue view to $470M-$474M from $369M-$371M (est. $417.13M); adjusted EBITDA is expected to be in the range of $161M-$163M vs. prior guidance of $158M provided at the announcement of the BluJay transaction.

Earnings Out This Afternoon/Tomorrow Morning: Tomorrow Morning: BAC C CMC DPZ MS PGR TSM USB UNH WBA WFC

RECAP 9/13 Chatter: $WMT - No $LTC deal $AFRM - $AMZN POS $IBKR + Crypto $VNE + $QCOM $37 bid $SQ + Seller Payments in Cash app $WKEY + Kobe NFTs $TROX + $APO $27 $RDWR + Siris Capital $WBA - COVID Patient data MailChimp + $INTU

Tuesday, July 20, 2021 Futures Up/Down % Last Dow 178.00 0.53% 34,017 S&P 500 20.25 0.49% 4,272 Nasdaq 73.50 0.50% 14,614 U.S. stock futures are looking to rebound after major averages posted their worst single day returns in months with attention turning to earnings reports. Major U.S. stock benchmarks dropped sharply on Monday as the Dow Jones Industrial Average marked its worst drop since late October falling -725 points (off earlier lows down over 900 points), amid growing concerns about the global spread of the delta variant of the coronavirus that causes COVID-19. The benchmark S&P 500 index ended down 1.6% at 4,258, getting a boost late day to push back above its 50-day moving average of 4,240 (off lows below 4,235), while the Nasdaq Composite Index declined 1.1% at 14,275. The declines for stocks came as the 10-year Treasury note yield fell to a five-month low beneath 1.18%. The CBOE Volatility Index ($VIX), the SPX option derived measure of implied volatility, lifted $4.05 or 21.95% today to close at $22.50 (off earlier highs above 25). U.S. crude oil slides below $70 in biggest one-day drop since September as OPEC and its allies agreed to increase production at the same time the COVID-19 delta variant threatens global demand. All 30 of the components of the Dow Jones Industrial Average finished lower Monday. In Asian markets, The Nikkei Index declined -264 points to 27,338, the Shanghai Index slipped a few points to 3,536 and the Hang Seng Index dropped -230 points to 27,259. In Europe, the German DAX is higher by 50 points to 15,190, while the FTSE 100 rebounds 40 points to 6,885. Market Closing Prices Yesterday The S&P 500 Index dropped -68.67 points, or 1.59%, to 4,258.49 The Dow Jones Industrial Average fell -725.81 points, or 2.09%, to 33,962.04 The Nasdaq Composite sunk -152.25 1.42 points, or 1.06%, to 14,274.98 The Russell 2000 Index declined -32.56 points, or 1.51% to 2,130.68 Events Calendar for Today 7:45 AM ET ICSC Weekly Retail Sales 8:30 AM ET Housing Starts MoM for June…est. 1.59M 8:30 AM ET Building Permits MoM for June…est. 1.7M 8:55 AM ET Johnson/Redbook Weekly Sales 4:30 PM ET API Weekly Inventory Data Earnings Calendar: Earnings Before the Open: $ALLY, $BMI, $CATC, $CFG, $DOV, $FMBI, $GATX, $HAL, $HCA, $IRDM, $KEY, $MAN, $MBWM, $OMC, $ONB, $PEBO, $PM, $SBNY, $SI, $SNV, $SYF, $TRV Earnings After the Close: $AGR, $AIR, $CMG, $FOR, $FULT, $HOPE, $HWC, $IBKR, $ISRG, $NFLX, $PNFP, $PZN, $RUSHA, $RXN, $SMBL, $SNBR, $UAL, $UCBI, $XM Macro Up/Down Last Nymex 0.25 66.67 Brent 0.00 68.62 Gold 4.70 1,817.35 EUR/USD -0.001 1.179 JPY/USD -0.07 109.39 10-Year Note +0.02 1.6% Sector News Breakdown Consumer Inter Parfums ($IPAR) 2Q net sales $207.6Mm vs. est. $151.3Mm; guides FY net sales about $750Mm vs. est. $715.1Mm, sees FY EPS $1.95 vs est. $1.72 Tesla ($TSLA) Semi electric truck is finally about to go into production, Electrek reports. Sources familiar with the matter tell Electrek one of the last steps before starting production is happening as the general assembly line is debugged and the drive axle production line is ready. Energy, Industrials and Materials Halliburton ($HAL) Q2 EPS $0.26 vs. est. $0.23; Q2 revs $3.71B vs. est. $3.74B Crown Holdings ($CCK) Q2 adj EPS $2.14 vs. est. $1.78; Q2 sales $2.86B vs. est. $2.92B; sees Q3 EPS $1.90-$2.00 vs. est. $1.79 and raises year EPS to $7.30-$7.40 from prior $6.60-$6.80 (est. $6.89) B. Hunt ($JBHT) Q2 EPS $1.61 vs. est. $1.57’ Q2 revs $2.91B vs. est. $2.71B; Total freight transactions in the Marketplace for J.B. Hunt 360 increased to $500 million in the second quarter 2021 compared to $281 million in the prior year quarter. ICS revenue on the platform increased 73% to $396 million versus a year ago PPG Industries ($PPG) shares fell -7%; Q2 adj EPS $1.94 vs. est. $2.20; Q2 sales nearly $4.4B vs. est. $4.36B and up about 45% yoy; Q2 sales volumes grew about 24% year over year, supported by strong demand recovery across many end-use markets; sees 3q sales volume +21% to +23%; expect that aggregate input and logistics costs will be sequentially higher in q3, compared to q2 Steel Dynamics ($STLD) 2Q EPS $3.32 vs est. $3.42 on sales $4.5B vs est. $4.22B, qtrly steel and fabrication shipments of $2.9Mm tons and $189,000 tons, respectively; says continue to see strong steel demand coupled with extremely low customer steel inventories; auto sector remains strong despite chip shortages; believes 3Q earnings could represent another record performance SPX Flow ($FLOW) confirmed its Board of Directors previously received and rejected an unsolicited, conditional, non-binding proposal from Ingersoll Rand Inc. ($IR) to acquire all outstanding shares of SPX Flow common stock for $85.00 per share in cash Vale ($VALE) produced less iron ore than expected during Q2 saying Q2 iron ore output rose 11.3% Q/Q to 75.7M metric tons and climbed 12% Y/Y, but the analyst consensus estimate called for ~78M mt.; Q2 production of iron ore pellets jumped 27.4% Q/Q to 8M metric tons and 13.3% from the year-earlier quarter Financials ($KEY) 2Q EPS $0.72 vs est. $0.54, NII $1.0B vs est. $1.0B, qtrly return on avg tangible common equity 22.3%; says will evaluate an increase to common stock dividend in 4Q, announced new common share repurchase authorization of up to $1.5B Silvergate Capital ($SI) Q2 EPS 80c vs. est. 51c; Q2 deposits $11.4B, an increase of $4.4B, or 62.4%, from Q1, and an increase of $9.7B or 580.6%, from last year Signature Bank ($SBNY) Q2 EPS $3.57 vs. est. $3.14; Q2 CET1 capital ratio 10.03%, Q2 net charge-off .12% and Q2 book value per share $106.24; Q2 net interest income for 2021 q2 was $457.2 mln, an increase of $70.1 mln Synovus ($SNV) Q2 adj EPS $1.20 vs. est. $1.04; Q2 core transaction deposits increased $702.4M or 2% sequentially; Q2 provision for credit losses of $24.6M; qtrly net interest income of $381.9 mln increased $8.0 mln sequentially Synchrony ($SYF) Q2 EPS $2.12 vs. est. $1.39; Q2 book value per share $23.48, Q2 CET1 capital ratio 17.8% and Q2 net charge-offs 3.57%; qtrly net interest income decreased $84 million, or 2%, to $3.3 billion Cryptocurrency-exposed stocks fall in premarket trading after the selloff in Bitcoin accelerated and pushed the token below $30,000 for the first time in around a month, down over 3% at $29,600 while Ethereum prices fall over 4% to $1,750 (shares of $MARA, $RIOT, $MSTR lower) BCB Bancorp ($BCBC) 2Q EPS $0.45 vs. est. $0.40, NII $24.1Mm vs. est. $23.7Mm; increases qtrly dividend to $0.16/share Chubb Limited ($CB) announced its Board of Directors has authorized a new one-time incremental share repurchase program of up to $5 billion through June 30, 2022 Equity LifeStyle Properties ($ELS) 2Q adj FFO $0.61 vs est. $0.55; revs $156.2Mm vs est. $158.8Mm; sees Q3 FFO $0.59-$0.65 and year $2.42-$2.52 vs. est. $0.65 and $2.40 respectively FB Financial ($FBK) 2Q adj EPS $0.88 vs est. $0.75; NII on tax-equivalent basis $87.3Mm vs est. $83.8Mm FNB Corp. ($FNB) Q2 EPS $0.31 vs. est. $0.29; Q2 revs 4308M vs. est. $305.7M; Q2 net interest income ($NII) $227.9M; Total average deposits grew $3.2 billion, or 11.9%, led by increases in average non-interest-bearing deposits of $1.9 billion, or 23.5% PacWest Bancorp. ($PACW) Q2 EPS $1.52 vs. est. $0.97; Q2 net interest income $270.1M vs. $264.6M in Q1 ServisFirst Bancshares (SFBS) 2Q EPS $0.92 vs. est. $0.93, total loans grew $517.3 ex impact of PPP, deposits +17% yr/yr Wintrust Financial ($WTFC) Q2 EPS $1.70 vs. est. $1.59; Q2 net interest income $279.6M vs. $263.1MM last year; Q2 net interest margin 2.62% vs. 2.73% last year Zion Bancorp ($ZION) 2Q EPS $2.08 vs est. $1.29, CET1 ratio 11.3% vs 10.2% at beginning of pandemic; released more than $120Mm of allowance for credit losses Healthcare Ardelyx ($ARDX) shares tumble 75%; received a letter from the FDA on July 13 stating that, as part of its ongoing review of the co’s New Drug Application for the control of serum phosphorus in adult patients with chronic kidney disease on dialysis, the FDA has identified deficiencies that preclude discussion of labeling and post-marketing requirements/commitments at this time Cytokinetics ($CYTK) announces $200M common stock offering Thousands of opioid-crisis lawsuits filed against major drugmakers and distributors are nearing a conclusion, with the outlines of a $26 billion deal between states and four companies expected to be announced this week and a $1 billion settlement to resolve some of New York’s claims likely on Tuesday, Dow Jones reported. Drug distributors AmerisourceBergen Corp. ($ABC), Cardinal Health Inc. ($CAH) and McKesson Corp. ($MCK) and Johnson & Johnson ($JNJ) have been negotiating the $26 billion settlement for more than two years HCW Biologics ($HCWB) 7M share IPO priced at $8.00 PLx Pharma ($PLXLP) rises after saying Vazalore, a liquid-filled aspirin capsule, will be available in over 8,000 Walgreens (WBA) stores across U.S. in August Regeneron ($REGN) announced that Japan’s Ministry of Health, Labour and Welfare, or MHLW, has approved Regeneron’s casirivimab and imdevimab antibody cocktail to treat patients with mild to moderate COVID-19 Technology, Media & Telecom IBM Corp. ($IBM) Q2 operating $2.33 vs. est. $2.29; Q2 revs $18.75B vs. est. $18.29B; Q2 cloud & cognitive software revs up 6% to $6.1B, Q2 Global Business revenue $4.3B, up 11.6% and Q2 Global Technology Services revenue $6.3B, up 0.4%; GAAP gross profit margin of 48.0%, flat; said it sees FY revenue to grow based on mid-July 2021 foreign exchange rates and continues to expect adjusted free cash flow of $11 billion to $12 billion in 2021 Omnicom ($OMC) 2Q EPS $1.60 vs est. $1.38 on revs $3.57B vs est. $3.38B (organic +24.4%); says experienced improvement in biz in 2Q, op mgn 15.9% vs est. 14.3% Rapid7, Inc. ($RPD) acquired IntSights Cyber Intelligence Ltd., a leader in contextualized external threat intelligence and proactive threat remediation for approximately $335 million in cash and stock; RPD sees revs and adj EPS above high end of prior guidance

$WBA setting up for all day move

1300 $WBA 23JUL2021 $50 Cs trade 0.33

1300 $WBA 23JUL2021 $50 Cs trade 0.33

bought $wba

$wba looks interesting

3725 $WBA JAN2022 $45 Cs trade 5.35

3725 $WBA JAN2022 $45 Cs trade 5.35

$32k $WBA Jul21 9th 52.0 Calls bought

430 $WBA JAN2023 $50 Cs trade 5.95-6

430 $WBA JAN2023 $50 Cs trade 5.95-6

Unusually active option classes on open July 1st $VRRM $WBA $PRTY $ABNB $XPEV $ASHR $CCIV $ASTS $NIO $HIMX