Happy Thursday 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 wavered today. The S&P 500 notched its third straight gain, but the Dow ticked down on a mixed batch of major earnings.

• 📈 | One Notable Gainer: Coach-parent Tapestry (TPR) is looking smart for calling off its merger with Michael Kors-owner Capri (CPRI). Capri saw sales slump double-digits over the holiday season. But Tapestry had the holidays in the bag, sending its shares 12% higher today.

• 📉 | One Notable Decliner: Ford (F) went into a skid after reporting EV losses exceeding $5B. Its stock fell 7.5%.

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High Net Worth But Feeling Stuck?

Are you a high-net-worth individual, but not happy with your current wealth advisor?

It may be time to start taking a look elsewhere. 

It’s like when one doctor says you need back surgery. This decision is going to change your life, so it might be worth getting a second opinion.

You can start by one-click subscribing to Griffin Asset Management’s monthly newsletter. 

Every month Griffin – who manages over $1 Billion in assets – shares their thoughts on the markets along with posts that are helpful for high earners.

MARKET MOVERS

Uber, Honeywell, Philip Morris

UBER (+8.6%) Uber Stock Rebounds After Falling on Earnings. Analysts See a Silver Lining. (Barron’s)

HON (-5.6%) Honeywell, one of the few remaining US industrial conglomerates, will split into three companies (AP)

PM (+11%) Philip Morris’s stock touches record high as outlook tops Wall Street estimates (MarketWatch)

SWKS (-24.7%) Skyworks Stock Crashes as ‘Nightmare’ Becomes Reality. Why Apple Is to Blame. (Barron’s)

RL (+9.7%) Ralph Lauren's upbeat holiday boosts FQ3 results (SeekingAlpha)

OVERHEARD ON THE STREET

CNBC: A federal judge paused the Trump administration’s federal employee buyout offer nationwide, pending a court hearing on its legality.

Reuters: US weekly jobless claims rose by 11,000 to 219,000 last week, reflecting easing labor market conditions and scarce opportunities amid weak hiring.

WSJ: Edison’s SoCal unit said its equipment may be linked to the Hurst and Eaton wildfires in Southern California last month.

Bloomberg: OpenAI is looking into developing more data centers in Texas and other states ahead of its planned $500B Stargate Project.

AP: The average US 30-year mortgage rate dropped to 6.89%, its third straight weekly decline, offering some hope for homebuyers ahead of the spring season.

TOMORROW’S TRADE IDEA, TODAY

Turning Trash Into Treasure

A Well-Insulated Stock

Waste management isn’t as sexy a sector as, say, AI or chipmaking. But Barron’s says investors shouldn’t throw it out just yet.

The industry is very profitable and unlikely to be negatively affected by volatile market forces like AI or politics. Like utilities, waste management stocks tend to do well in most environments, as an essential service that does not fluctuate with economic trends. 

In particular, Barron’s points to GFL Environmental (GFL). 70% of its business is US-based, so it’s unlikely to be harmed by tariffs. It goes on to posit that GFL has a strong roadmap, not just to survive the uncertain future, but to thrive in it.

A New Chapter

Investors have been wary of purchasing GFL stock because private equity (PE) firm BC Partners is one of its biggest shareholders. Typically, PE firms do not hold stocks for the long term, and investors do not want to buy right before a major shareholder dumps their position. 

However, the company recently inked a deal to sell its hazardous waste environmental services business, which will provide it with $4.3 billion in cash, while retaining a minority stake. The company is expected to use around $2.7 billion of that to repay debt, with another $1.6 billion being used to repurchase shares from BC Partners.

Discount Doesn’t Make Sense

Following the deal, GFL’s debt level will be in a much better place, Barron’s predicts — resulting in a much stronger balance sheet.

Wall Street is projecting around 6% sales growth over the next three years, with margins set to expand around 2% over the same period. 

The stock is currently being offered at a discount to its competitors — but according to the publication, the reasoning behind that discount is quickly disappearing. You know what they say: one man’s trash company is an investor’s treasure.

Sponsored by Griffin Asset Management

High Net Worth But Feeling Stuck?

Are you a high-net-worth individual, but not happy with your current wealth advisor?

It may be time to start taking a look elsewhere. 

It’s like when one doctor says you need back surgery. This decision is going to change your life, so it might be worth getting a second opinion.

You can start by one-click subscribing to Griffin Asset Management’s monthly newsletter. 

Every month Griffin – who manages over $1 Billion in assets – shares their thoughts on the markets along with posts that are helpful for high earners.

ON OUR RADAR

WSJ: The White House is preparing an executive order to lay off thousands of federal health workers as soon as next week.

CNBC: Calvin Klein-parent PVH was blacklisted in China following President Trump’s 10% tariff on Chinese imports.

Reuters: The Bank of England cut interest rates and warned of a 3.7% inflation peak.

AP: Mexican border cities face uncertainty as tariff threats raise fears of a recession.

CNN: Starbucks baristas are complaining about doodling on cups as part of CEO Brian Niccol’s turnaround strategy to humanize the brand.

WEDNESDAY’S POLL RESULTS

Which stock do you think will outperform over the next 12 months?

🟩🟩🟩🟩🟩🟩 CrowdStrike (CRWD)

🟨⬜⬜⬜⬜⬜ Hamilton Lane (HLNE)

🟨🟨🟨⬜⬜⬜ Mueller Water Products (MWA)

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