00:00Alexis Christophorus. Let's kick things off with Adobe because it's got some openings in its C
00:05suite. Its chief financial officer is leaving the company just months after its CEO said he was
00:11stepping down. That stock is down about 9 percent. It is down 37 percent so far this year, now
00:18hovering near its lowest level in about seven years. But here's the deal. Adobe's quarterly
00:23results and outlook, they were better than expected. But this announcement that the CFO
00:27is leaving on the heels of the CEO leaving has overshadowed things. For a while now,
00:33Wall Street has been concerned about Adobe's ability to do its business in the face of AI
00:39disruption. Adobe Photoshop, you must be familiar with that, right? That's the software that a lot
00:44of pros use. So they're saying that it's easy for AI to come in there and sort of mimic what
00:49Adobe
00:49is doing. So now they're looking for new leaders at the top. And at least two firms are lowering
00:54their price target this morning on Adobe, including BMO Capital from $285 to $230 a share.
01:00This is just like the whole innovation thing. It's coming. It is. It folds into the SpaceX worries
01:08as well. I don't know. Perfect. Next. Lenar, home builder, third quarter forecast for new orders
01:13and deliveries below expectations. On the earnings call, the CEO said headwinds like elevated mortgage
01:20rates, inflation, cautious consumers, all keeping a lot of the homeowners on the sideline. So they're
01:26trimming their full year delivery forecast. And here's the deal. There's really sort of the tale
01:32of two home builders out there because Lenar's average home price sale is around $370,000 with
01:37incentives. Actually, incentives have been running about 14 percent and it's all due to mortgage
01:41buy downs at Lenar. But then you've got Toll Brothers, where the average price that they sell
01:47a home at tops a million dollars. They're seeing order growth. They're seeing solid gross margins.
01:53And get this, nearly half of the 20 analysts that Bloomberg tracks have sell ratings on Lenar,
01:58while Toll Brothers has one out of 20. So I think that tells you the story right there.
02:036.57 in a 30-year pause. It's really not broken out of the range.
02:07It hasn't.
02:07To be fair, it's gone from 8 percent down to 6.57. I need to see a little more like
02:13over 7 percent
02:14before I can say OMG rates.
02:17But it's just people aren't comfortable with these rates here.
02:20So there you go. What else you got?
02:22I have got, oh, we've got like a cluster of stocks because we know space is taking over
02:27Wall Street today with the SpaceX IPO. So as a result, we're seeing other space related stocks
02:31rallying. Echo Star is higher. Investors see the satellite maker as a proxy for SpaceX because it
02:38reached a deal last year to sell Musk's company Spectrum in return for about 2 percent of SpaceX
02:44stocks. So Echo Star has a lot to gain today. Rocket Lab higher as well. By the way, it's going
02:48to be,
02:49I looked a little deeper. It's not all about SpaceX. Rocket Lab is going to be joining the
02:53NASDAQ 100 later this month. And also a satellite maker, AST Space Mobile, Firefly Aerospace, all
02:59higher, all higher because of this.
03:01So anything with the name space in it, it's going to do well today.
03:03It's a pretty good bet, at least today.
03:05Here's something interesting, guys. You put up SpaceX and you use the BQ function. It gives you a lot of
03:10information, including what does BI say the comps are for SpaceX. And here's what they say. It's a
03:15couple of satellite companies, Sirius XM and Space Exploration. It's an Echo Star. It's a couple of
03:20cable television companies, telecom companies, Charter and Comcast. Also some defense contractors
03:26like general dynamics.
03:27Right.
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