US STOCKS PREMARKET: October 21, 2025

Futures Indices

Dow Futures: -0.03%
S&P 500 Futures: -0.02%
Nasdaq 100 Futures: 0.0%

Market Environment

US indices are ticking slightly lower this Tuesday, after closing sharply higher on Monday, as investors await several key earnings releases and the September inflation report expected this Friday.

"The main catalyst was positive news on trade, combined with signals that the government shutdown could soon end," explains Henry Allen from Deutsche Bank.

The S&P 500 posted a +1.07% gain, driven by the "Magnificent 7" (+1.44%), with Apple standing out (+3.94%) and reaching a new all-time high.

Earnings releases today include Coca-Cola, Netflix, GE Aerospace, 3M, General Motors, Lockheed Martin, RTX, and Philip Morris.

As for the shutdown, now into its 21st day, Kevin Hassett (NEC) believes it could end "by the end of the week."

"Friday's delayed CPI will be one of the few economic indicators available before the next Fed meeting. It may therefore carry more weight than usual," notes Rick Gardner (RGA Investments), while still expecting a rate cut at the end of October.

Stocks to Watch

**Minerva Neurosciences (NERV) +143.61% **
Spectacular jump after an announcement of up to $200M in funding to advance its schizophrenia treatment.
**Crown Holdings (CCK) +7% **
Q3 results exceeded expectations (EPS $2.24 vs consensus $1.99), raising its annual EPS outlook and free cash flow to around $1B.
**Dragonfly Energy (DFLI) +5.56% **
Regained compliance with Nasdaq, sparking a technical rebound.
**Fluor (FLR) +5.47% **
Gained after news that activist fund Starboard Value took a stake.
**Lithium Americas (LAC) +2.7% **
Received first $435M drawdown on a $2.23B DOE-backed loan to finance Thacker Pass (Nevada) site infrastructure.
**Philip Morris (PM) -0.82% **
Despite double-digit growth in smoke-free revenues and nicotine pouches in Q3, the stock dipped, likely on profit-taking.
**Stardust Power (SDST) -3.61% **
Declined despite a North American lithium supply deal; the market seems wary of speculative announcements.
**Galapagos (GLPG) -11.40% **
Plunged after abandoning its cell therapy unit.

Recommendation Changes

Upgrades

Nextracker Inc. ($NXT) → Citi upgraded to buy (from neutral), target raised from $66 to $114.
Royal Gold Inc. ($RGLD) → BMO Capital upgraded to outperform, target $240 (from restricted).

Neutral

Alphabet Inc. ($GOOGL) → BNP Paribas Exane maintained neutral, target raised from $187 to $247.
Bunge Global Sa ($BG) → Barclays kept equalweight, target from $85 to $105.
Lyft, Inc. ($LYFT) → Bernstein stayed at market perform, target raised from $16 to $22.
Morgan Stanley ($MS) → JP Morgan maintained neutral, target from $122 to $157.
Pure Storage ($PSTG) → Citi confirmed buy, target raised from $81 to $110.
Summit Therapeutics ($SMMT) → Barclays stayed underweight, target raised from $13 to $16.

Downgrades

Apple Inc. ($AAPL) → Phillip Securities downgraded to reduce (from neutral), target $200.
Cleveland-Cliffs Inc. ($CLF) → Wells Fargo downgraded to underweight, target $11.
Nuscale Power ($SMR) → Citi downgraded to sell (from neutral), target from $46 to $37.50.
Rivian Automotive ($RIVN) → Mizuho downgraded to underperform, target dropped from $14 to $10.
Texas Instruments ($TXN) → Mizuho downgraded to underperform, target reduced from $200 to $150.
Goldman Sachs ($GS) → JP Morgan downgraded to neutral (from overweight), despite raising target from $625 to $750.

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Have a great session everyone
Sylvain Mouilhaud: Stocks Coach