Stock Alert: Constellium Jumps 20%

Shares of aluminium products maker Constellium SE (CSTM) are trading higher by more than 20% Wednesday morning after reporting its first-quarter results.

The company reported a net loss in the first quarter of €31 million or €0.22 per share compared with net income of €24 million or €0.17 per share a year ago. The company had an unfavorable change in unrealized gains and losses on derivatives related to commodity hedging positions of €68 million in this year quarter.

Adjusted EBITDA increased 9% to a record €147 million, driven by strong performance at both P&ARP and A&T and much improved performance in AS&I. Free Cash Flow also was very strong at €87 million.

Revenue, however, decreased 6% year-over-year to €1.437 billion on lower shipments.

The company also withdrew its outlook until improved visibility.

“Constellium took swift actions in response to the COVID-19 pandemic. We are aggressively reducing costs, optimizing our working capital, further reducing our capital spending, and significantly augmenting our liquidity position. I am confident that we are well-positioned to weather this storm and emerge as a stronger company,” Jean-Marc Germain, Constellium’s Chief Executive Officer commented.

CSTM is currently trading at $8.13. It has traded in the range of $3.90- $15.10 in the last one year.

Home-sale contracts declined in March as coronavirus drove buyers away

Contracts to purchase previously owned homes declined sharply in March as the coronavirus outbreak kept would-be buyers away, National Association of Realtors data showed on Wednesday.

The NAR’s pending home sales index fell to a reading of 88.2, down 20.8 percent from the prior month. February’s index was revised slightly to 111.4 from 111.5.

Economists polled by Reuters had forecast pending home sales would fall 10 percent last month. Pending home sales fell in all four regions.

Pending home contracts generally are seen as a forward-looking indicator of the health of the housing market because they become sales one to two months later.

Lawrence Yun, NAR’s chief economist, said the housing market was “temporarily grappling with the coronvirus-induced shutdown.”

“As consumers become more accustomed to social distancing protocols, and with the economy slowly and safely reopening, listings and buying activity will resume, especially given the record low mortgage rates,” he said.

US home resales slid by 8.5 percent in March, the most in nearly 4 1/2 years, as extraordinary measures to control the spread of the novel coronavirus brought buyer traffic to a virtual standstill.

Compared to one year ago, pending sales were down 16.3 percent in March.

Stock Alert: Ollie’s Bargain Outlet Gains

Shares of discount retailer Ollie’s Bargain Outlet Holdings, Inc. (OLLI) are climbing more than 2% Wednesday morning despite any positive news to drive the stock up.

Heavy discount stores like Ollie’s Bargain Outlet are reaping benefits during this time of Coronavirus pandemic. The stock more than doubled from its 52 week low of $28.83 hit last month.

Ollie’s is one of America’s largest chain retailers of closeout merchandise and excess inventory.

Currently, OLLI is at $72.04. It had recorded a 52 week high of $103.03 in May last year.

Coronavirus sends pending home sales plunging 20.8% in March

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The coronavirus broke a record U.S. economic growth streak. Macromavens President Stephanie Pomboy with more.

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BALTIMORE (AP) — U.S. home sales showed signs of collapsing in March, as the number of contract signs plunged sharply because of the coronavirus outbreak.

The National Association of Realtors said Wednesday that its pending home sales index, which measures signed buyer contracts, plummeted a seasonally adjusted 20.8% in March from the prior month to a reading of 88.2. That is the lowest level since May 2011. Pending sales have fallen 16.3% from a year ago.

PHOENIX, SEATTLE SEE BIGGEST PRE-CORONAVIRUS ANNUAL HOME PRICE GAINS

The economic shutdown resulting from COVID-19 has hit real estate hard. Sales listings were already tumbling, but would-be buyers are now also coping with a rattled stock market and an uncertain job outlook as 26 million people are out of work. Still, the Realtors expect sales to begin recover once the outbreak subsides.

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Stock Alert: Ollie’s Bargain Outlet Gains

Shares of discount retailer Ollie’s Bargain Outlet Holdings, Inc. (OLLI) are climbing more than 2% Wednesday morning despite any positive news to drive the stock up.

Heavy discount stores like Ollie’s Bargain Outlet are reaping benefits during this time of Coronavirus pandemic. The stock more than doubled from its 52 week low of $28.83 hit last month.

Ollie’s is one of America’s largest chain retailers of closeout merchandise and excess inventory.

Currently, OLLI is at $72.04. It had recorded a 52 week high of $103.03 in May last year.

Mastercard says touchless transactions spiked amid coronavirus worries

Coronavirus-driven travel decline impacting Mastercard revenue

Coronavirus impacts airlines while Costco bans non-members from eating at its food courts. FOX Business’ Cheryl Casone with more.

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Limited contact is a popular social precaution amid the Covid-19 pandemic and it is reshaping how consumers are paying at the register.

Mastercard Inc. President Michael Miebach said contactless transactions increased 40% worldwide in the quarter that ended in March, and he expects those habits to last.

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"Our recent consumer insights indicate that habits are being created today," he said on Mastercard's earnings call. "They will last beyond the current situation."

Miebach said the company is "increasing contactless limits around the globe" and that banks are showing "renewed commitment to accelerate the issuance of new contactless cards."