Diamonds and Dogs
Best Buy was a buy. The diamond of the day goes to Best Buy (BBY) up 15% following better than expected earnings. The guidance wasn't great, the stock is still down 20% since March, but after the last week we'll take it. All the blue chips are rallying today with Apple up 6%, Alibaba up 6%, Gilead up 6%, Amazon up 5%, Netflix up 8%, Facebook up 5%, and Bank of America up 4%. About the only sector not participating in the rebound is the utilities.
Pepco Holdings (POM) is the dog of the day down 14% after the D.C. Public Service Commission denied an application from energy giant Exelon Corp EXC to acquire Pepco in a $6.4 billion deal. The three-member commission voted unanimously to block the deal, saying it was not in the best interests of ratepayers, according to sources. Exelon (EXC) shares fell 3% on the news along with the sector. This has not been a good year for utility companies.