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 today as consumer price inflation rose in line with expectations. The Dow ticked down, while the Nasdaq Composite closed above 20,000 for the first time.

• 📈 | One Notable Gainer: GE Vernova (which we sang praises for a few months back) surged 5% after announcing its first-ever dividend.

• 📉 | One Notable Decliner: Shares of health insurers dropped sharply — and it had nothing to do with that news story. A bipartisan coalition is eyeing a bill to force drug middlemen to sell pharmacies, sending shares of both Cigna and UnitedHealth lower by more than 5.5%.

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MARKET MOVERS

Tesla, Uber, Broadcom

TSLA (+5.9%) Tesla Stock Hits All-Time Intraday High as It Rises for 6th-Straight Day (Barron’s)

UBER (-5.8%) Uber Warns NYC Response to Insolvent Insurer Exposes Drivers (Bloomberg)

AVGO (+6.6%) Apple Is Working on AI Chip With Broadcom (The Information)

MTCH (-4.8%) Tinder Warns of Declining Revenue While It Rethinks Core App (YF)

EQT (+5.9%) Jim Cramer Says EQT Corporation (EQT) 'Is A Buy' (Insider Monkey)

OVERHEARD ON THE STREET

AP: U.S. inflation edged up to 2.7% in November, with core prices rising 3.3% and monthly prices increasing by 0.3%, the largest rise since April.

CNN: Albertsons officially canceled its $25B merger with Kroger after a federal judge blocked the deal and subsequently sued Kroger for breach of contract.

Bloomberg: SpaceX is now the world's most valuable private startup after its valuation soared to $350B in an insider deal.

CNBC: The former Macy's employee who concealed $151M in delivery expenses was attempting to cover up an initial mistake, per the company’s investigation.

Forbes: Meta apps including Facebook and Instagram experienced widespread outages today due to a “technical issue”.

TOMORROW’S TRADE IDEA, TODAY

Will American Airlines Rise Above the Rest?

Ready for Takeoff

The airline industry is taking off — but American Airlines (AAL) in particular might be ready to rise above the rest.

The carrier just inked a new credit card deal, leading Bernstein analysts to become bullish on the stock. The firm recently upgraded the stock to Outperform and lifted its price target to $24 per share, representing more than 36% upside from current prices.

According to Bernstein’s David Vernon, the company’s Q4 guidance reflects the industry's positive pricing and revenue trends.

Perfect Time for a Partnership

American’s credit card partnership with Citi (C) is set to begin in January 2026. Analysts project that its compensation from this venture, as well as other partnerships, will grow around 10%.

According to Vernon, the credit card deal should provide the airline with consistent cash flow to offset its slow recovery through 2025. The added cash could also help take a chunk out of its debt, which has been a pain point for investors over recent years.

Strong Stock Movement

The stock has gained more than 50% over the past six months, so investor confidence is clearly building momentum. But analysts have yet to follow suit.

Of the 23 analysts covering the stock, 15 give it a Hold, while just 7 have given it either Buy or Strong Buy ratings. Still, only one has rated it Underperform.

Bernstein may be more bullish than the rest of Wall Street. But if its analysts are correct, American should have plenty of runway.

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ON OUR RADAR

CNBC: The NFL approved the sale of an 8% minority stake in the Philadelphia Eagles to two family investment groups, valuing the team at $8.3B, the highest in the league.

WP: FBI Director Christopher Wray will resign before President-elect Donald Trump takes office, after Trump announced plans to nominate Kash Patel.

NYT: The Alexander brothers, prominent real estate agents, were charged with sex trafficking in a federal indictment, alleging they raped dozens of victims.

WSJ: Crypto industry leaders are hopeful that Trump's incoming administration and a new pressure campaign will help them secure access to bank accounts.

Reuters: Dealmakers anticipate a return of megadeals in 2025, fueled by Trump's policies easing regulatory pressures and $4 trillion in private equity funds.

TUESDAY’S POLL RESULTS

Are you bullish or bearish on Gap (GAP) over the next 12 months?

🟩🟩🟩🟩🟩🟩 🐂 Bullish

🟨🟨🟨⬜️⬜️⬜️ 🐻 Bearish