TUE, DEC 20, 2022

The goal of this newsletter is to get you ahead of the next day of investing and trading. It’s your first look at tomorrow and last look at today powered by the team of people who direct CNBC TV’s stock market coverage.

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Stocks that are up for the year and offering income

Even as most of the S&P 500 heads for yearly declines, there are a number of stocks that are holding on to gains and offer above-average dividend yields for investors hunting for income. Here are a few such names across several sectors:
Energy: Pioneer Natural Resources (dividend yield: 11.9%), Coterra Energy (10.2%) and Devon Energy (8.7%)
Consumer Staples: Philip Morris International (5.0%), Kraft Heinz (4.0%) and Kellogg (3.3%)
Health Care: Gilead Sciences (3.4%), Amgen (3.2%) and Bristol-Myers Squibb (3.1%)
Technology: IBM (4.7%)

Clean energy names slump, FuelCell Energy suffers

FuelCell Energy led some big declines in the clean/alternative energy space. That stock posted its worst day since December 2020, down nearly 19%, after a miss on revenues and a wider-than-expected loss. EVgo fell 9% Tuesday to a new all-time low. Tesla hit another fresh low and is now tracking for both its worst month on record and its longest monthly losing streak on record. The solar stocks had been outperforming earlier in the session, thanks to a Goldman Sachs upgrade of First Solar. Ultimately, First Solar, Enphase and SolarEdge finished near the flatline. Still, those names have been outperformers this year. First Solar, which joined the S&P 500 on Monday, is up over 130% in six months.

Weakness continues for used car stocks

Elsewhere, used car stocks were under pressure, extending a recent bout of weakness. That includes names like Sonic Automotive, Group 1, AutoNation and Lithia Motors. All those stocks were down 3% or more Tuesday, and they are tracking for double-digit declines in December. CarMax was a relative outperformer Tuesday, but it’s down 55% year to date, which would be its worst performance since 2008.

Cybersecurity names recover, Okta’s big December jump

Some hard-hit cybersecurity names rebounded Tuesday. SentinelOne gained almost 4%, though it’s still down about 13% in the past week. Rapid7, Tenable Holdings and Varonis Systems all gained roughly 2% or more. CrowdStrike was up 1.6%. There are a few names in this group that have had strong months so far, including Rapid7. Okta is up 24% month to date, which would be its biggest monthly gain since May 2020. However, it’s still down a whopping 70% in 2022.