| | Good Afternoon! | Hey, everyone. It's Adam from Elite Trade Club. | Here’s what moved the market today. |
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| | | | Markets 📈 | The market finished off the week on a dour note from a tech decline and rounds of sell-offs to end the year. The Russell 2K small-cap index fell the hardest, dropping just shy of two percent going into the weekend. | DJIA [-0.77%] S&P 500 [-1.11%]
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| Nasdaq [-1.49%] Russell 2K [-1.83%]
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| | Market-Moving News 📈 | Healthcare | Appeals Court Revives Whistleblower Case Against Novartis Over Kickback Allegations | | A U.S. appeals court has reopened a whistleblower lawsuit against Novartis, a Swiss pharmaceutical company, over allegations of improper payments to doctors to promote its multiple sclerosis drug, Gilenya. The case centers on claims that Novartis hosted events designed to appear educational but were primarily social, with the intent of increasing prescriptions. | The whistleblower, a former sales representative, alleges that these activities violated federal laws by involving excessive payments and luxurious dining experiences for doctors. These practices reportedly influenced prescriptions, leading to false claims being submitted to government healthcare programs for reimbursement. | The court’s decision reverses a prior dismissal of the case and sends it back for further proceedings. This ruling aligns with interpretations of the federal Anti-Kickback Statute, which prohibits compensations intended to encourage purchases of federally reimbursable medical products. | Novartis has faced declining sales of Gilenya in recent years due to generic competition. Meanwhile, the company previously resolved other kickback-related charges in 2020 through a settlement with the U.S. government. | The revived lawsuit highlights ongoing scrutiny of pharmaceutical marketing practices and their compliance with federal laws designed to prevent fraud and ensure ethical conduct within the healthcare industry. |
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| | Banking | Bank of America to Acquire HomeStreet Loan Portfolio in Strategic Deal | | Bank of America has reached an agreement to acquire nearly $1 billion in multifamily commercial real estate loans from HomeStreet. This move is expected to help HomeStreet stabilize its financial position and move toward profitability after a series of quarterly losses. | The proceeds from the transaction will allow HomeStreet to reduce reliance on higher-cost funding sources, such as advances from the Federal Home Loan Bank and brokered deposits. These adjustments aim to lower overall expenses and improve the bank's financial outlook. | The sale marks a pivotal step in HomeStreet's new strategic plan, which focuses on returning to profitability in the coming year. The bank has faced challenges stemming from rising costs for deposits and declining returns on its investments. Additionally, its plans to be acquired by another financial institution were recently rejected by regulators, adding to its financial pressures. | The loan sale is structured in two phases, with a significant portion expected to close immediately and the remainder by the end of December. This strategic shift reflects efforts to streamline operations and rebuild financial stability. |
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| | Energy | Brookfield Moves Closer to $6.4 Billion Acquisition of Neoen | | Brookfield Asset Management, alongside its co-investors, has moved closer to completing a significant acquisition of Neoen, a French renewable energy developer, with the purchase of a majority stake valued at approximately $6.4 billion. The group acquired roughly 53% of Neoen’s shares at €39.85 per share from various shareholders, including Impala SAS. | With this controlling stake secured, Brookfield and its partners have announced their intention to make a tender offer for the remaining shares at the same price, aiming to take Neoen private. This move highlights the increasing interest in the clean energy sector as demand for low-carbon energy solutions rises. Renewable energy developers like Neoen require substantial capital to fund the expansion of solar, wind, and battery-storage projects. | The deal follows a series of similar acquisitions in the renewables industry, where major investors, including KKR and EQT, have been actively pursuing stakes in clean-energy companies. For instance, KKR recently offered to acquire Encavis AG, a German renewables firm, while EQT made a bid for OX2, a Swedish wind developer. These transactions underscore the growing appeal of clean-energy investments in the face of global efforts to reduce carbon emissions. |
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| | Technology | | | The original Magnificent Seven—Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta, and Tesla—redefined market leadership and rewarded early investors with massive gains. | As these giants mature, the door is wide open for a new wave of companies poised to lead the next era of market innovation. | Seven emerging companies are quietly positioning themselves to reshape industries in 2025, armed with expanding market share and robust cash flows. | These stocks are still under the radar, offering a rare opportunity to invest before the crowd catches on. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) | Don’t wait for history to repeat itself—act before these companies become household names. | Click here to discover the “Next Magnificent 7” and prepare for 2025’s breakout opportunities. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) |
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| | Top Winners and Losers 🔥 | | Palladyne AI Corp [PDYN] $11.77 (+61.45%) | Palladyne AI is still flying high after achieving a successful first flight of a drone that identified and followed a person of interest. | MySize Inc [MYSZ] $6.51 (+54.27%) | MySize shares jumped after the company projected reaching $15 million in revenue for 2025. | Rigetti Computing Inc [RGTI] $17.06 (+10.52%) | Rigetti Computing launched its 84-qubit Ankaa-3 system, its newest in a line of quantum computers. |
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| | | | WISeKey International Holding [WKEY] $11.31 (-13.00%) | WISeKey also felt the impact of sell-offs, even as the company anticipates a satellite launch with SpaceX in early 2025. | Travelzoo [TZOO] $19.72 (-10.85%) | Travelzoo fell significantly as several investors sold shares of the stock today. | Peloton Interactive Inc [PTON] $9.39 (-8.57%) | Peloton Interactive stock got caught up in an investor push to lock in gains before the end of the year, sending shares down. |
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| | | | That's it for today! Please, write us back, and let us know what you think of the Closing Bell Roundup. We're always eager to hear feedback! | Thanks for reading. I'll see you at the next open! | Best Regards, — Adam G. Elite Trade Club |
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