U.S. markets shrugged off some weak economic data out of Asia this morning to kick off November on a positive note. Many of the earnings reports and U.S. economic readings today were good, and healthcare showed a lot of strength to lead the indices higher.
China’s National Bureau of Statistics released an, unchanged from September, but below expectations for 50.0. But another index, the , rose from 47.2 in September to 48.3 in October. The Caixin index measures small- to medium-sized companies that are not covered by the official Chinese data.
In economic reports, the October Manufacturing index reading was 50.1, the fourth monthly decline, but a tick above the street’s expectations. Construction spending was up 0.6% in September. The October manufacturing PMI was 54.1, a six-month.
The Dow Jones Industrial Average was up 0.9%, turning positive for the year intra-day, while the S&P 500 finished up 1.2% and the Nasdaq was 1.5% higher. Sectors were higher across the board, with healthcare making a sharp move higher today.
Earnings continue to push many stocks higher, including Cardinal Health Inc (NYSE:CAH), Estee Lauder Companies Inc (NYSE:EL) and Noble Corp plc (NYSE:NE
), which put them on the list of today’s best stocks.
Cardinal Health Inc (NYSE:CAH)
Cardinal Health stock was streaking more than 4% higher today after announcing adjusted earnings of $1.38 per share, blowing away the Zacks Consensus estimate of $1.18. Revenue climbed 17% year-over-year to $28.06 billion and easily bested the forecast for $26.95 billion.
CAH also raised it’s outlook for fiscal 2016, saying it expects adjusted earnings to range between $5.15 and $5.35 per share, well ahead of previous guidance for $4.85 to $5.05 per share.
CAH stock also rose above its 200-day moving average today for the first time since August.
Estee Lauder Companies Inc (NYSE:EL)
EL stock also had the sweet smell of profits today after the beauty products manufacturer on revenue of $2.83 billion. Both figures easily bested the Street’s estimates for 70 cents per share on $2.78 billion.
CEO Fabrizio Freda said his company had achieved strong results by cost saving initiatives, as well as strong sales gains.
EL stock blasted up 8%, and in doing so crossed above the 200-day moving average and took out recent resistance at $85 per share.
Noble Corp plc (NYSE:NE)
NE stock, which has been rising sharply over the past three days, had another big day today, up 5%. On Thursday, Noble of 72 cents per share, easily besting the Zacks Consensus Estimate of 54 cents. Revenue of $897 million was far ahead of the estimate for $759 million.
On Friday, Noble rose again on higher oil prices and a and a higher natural gas rig count report by Baker Hughes Incorporated (NYSE:BHI). When natural gas rig counts rise, that helps oil equipment companies such as Noble Corp.
NE stock also pushed its way up to touch the 200-day moving average at $14.18 today.
As of this writing, Ethan Roberts does not hold a position in any of the aforementioned securities.
