Happy Wednesday afternoon to everyone on The Street. Here's a snapshot of where markets ended the trading session, plus tomorrow's trade idea delivered to you today.

• 🟨 | US stocks were mixed on Wednesday. The S&P 500 saw a less than 1% decline, pulling the index from a record reached in the previous session. The Nasdaq also slipped less than 1%, and the Dow gained 38 points.

• 📈 | One Notable Gainer: 3M saw a 5% gain today, marking the stock’s fifth consecutive positive session. These gains come after an approved spin-off for its healthcare business and news that Bill Brown will succeed Michael Roman as CEO.

• 📉 | One Notable Decliner: Shares of Dollar Tree dropped 14% after the company reported a $1.7B net loss in its most recent quarter. The company also posted that it will be closing 970 of its 8,400 Family Dollar Locations in the near future.

• ✈️ | Tomorrow's Trade: A Trip Abroad. Scroll down for more.

MARKET MOVERS

Tesla, US Steel, and Ford 

TSLA (-5%) Tesla’s stock tumbled after Wells Fargo analysts called it a “growth company with no growth” as competition intensifies and the EV market cools (Investopedia)

DG (-2%) Dollar General shares took a hit from Dollar Tree’s earnings miss, which investors see as a sign of weak spending among lower-income consumers (CNBC)

F (+2%) Morgan Stanley investors selected Ford as a top pick and upgraded the automotive industry from an In-Line rating to Attractive (SA)

X (-13%) United States Steel Corp plunged on news that Biden plans to express “serious concern” over its proposed acquisition by Nippon Steel Corp (Bloomberg)

NVDA (-1%) Nvidia shares dropped, most likely due to profit-taking since its stock closed up 7.2% on Tuesday, and demand remains high for its GPUs (Barron’s)

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OVERHEARD ON THE STREET

FT: Jamie Dimon endorsed Disney CEO Bob Iger in his proxy fight with activist investor Nelson Peltz. Peltz seeks board seats for himself and former Disney CFO Jay Rasulo.

CNBC: Wolfe Research is concerned that the Federal Reserve will announce later rate cuts than markets are anticipating following the latest inflation reports.

Bloomberg: New research shows that the wealth of typical US seniors climbed by about $91,000 during the pandemic years as home and stock values soared.

CNBC: Canon Electronics led a plunge among Japan’s Space One shareholder companies after its Kairos Rocket exploded within seconds of its inaugural launch.

YF: Despite a booming economy and record profits, tech sector layoffs have already outpaced last year’s, averaging 780 layoffs a day in 2024.

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TOMORROW’S TRADE IDEA, TODAY

A Trip Abroad

European Opportunities

If you’re thinking of moving some capital overseas next quarter, Barclays (BCS) has you covered. 

The British bank just came out with a list of small and mid-cap European stocks it’s bullish on. The stocks on the list have an average upside potential of 26%. 

Analysts highlighted three stocks from the list in a recent note sent to clients: Smurfit Kappa (SMFKY), Leroy Seafood (LYSFY), and Raiffeisen Bank (RAIFY).

Smurfit Kappa

Barclays has given Smurfit Kappa, a paper packaging manufacturer based in Ireland, a price target of $49.10. This figure represents a 16% potential upside. 

The company is currently merging with one of its US rivals, WestRock (WRK). After the deal is complete, the merged companies will be the world’s largest paper and packaging manufacturer. Barclays believes this merger will also make it one of the most efficient companies in the industry. 

The stock is up over 2% this year, and Barclays predicts it will have the highest return on invested capital and adjusted earnings margins among its packaging competition in the European market.

Leroy Seafood & Raiffeisen Bank

Barclays analysts give Leroy Seafood a 22% upside. The Norwegian seafood company’s stock is expected to rise to $5.50 per share over the next 12 months. 

In 2023, the company was faced with numerous biological challenges that disrupted the industry. The bank believes it will benefit from a normal fishing volume this year. 

Austrian banking group Raiffeisen Bank was given a 35% upside potential. Shares dropped around 10% this week as investors feared US sanctions on its Russian business. The bank is working on a deal to divest a significant portion of its Russian interests. Once that deal is done, Barclays is confident the bank will benefit.

For investors looking to capitalize on overseas companies with improving circumstances, these stocks could provide some upside potential.

POWERED BY THERIVA BIOLOGICS

Could This Common Virus Unlock New Cancer Treatments? Theriva Biologics Believes That Adenoviruses Could Be Instrumental In The Next Evolution Of Oncology

Sometimes the most unsuspecting biological materials, like viruses, can be the solutions to medicine’s biggest dilemmas, like cancer.  Adenoviruses have attracted attention in recent years due to their potential use in gene therapy and vaccine development. Their ability to efficiently deliver genes into mammalian cells has made them valuable tools in medical research, and they’re being explored as potential treatments for certain genetic disorders. Theriva Biologics (NYSE American: TOVX) is a biotech company that is looking to use adenoviruses in its novel cancer treatment.

Click here to read more!

ON OUR RADAR

NBC: The House voted to pass legislation that could ban TikTok in the U.S. as both parties sound the alarm that TikTok is a national security threat.

Vermont Business: Sen. Bernie Sanders announced that he will introduce legislation to establish a standard 32-hour workweek with no loss in pay.

Fox Business: Treasury Secretary Janet Yellen says she regrets calling inflation “transitory” in 2021.

BI: The average American debt load hit $104,215 in the fourth quarter of 2023, fueled by $12.25 trillion in mortgage debt, which far surpasses other debt types.

Bloomberg: Bitcoin's rally is creating roughly 1,500 new “millionaire wallets” daily, according to crypto analytics firm Kaiko Research.

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