
North American Bond Research – March 25, 2020
Posted on March 25, 2020
HIGH YIELD BOND RESEARCH
|
March 25, 2020
|
Key Gainers and Losers | Volume Leaders | ||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
BNP Paribas VAR% PERP 144A HCA Inc. 3.5% 9/1/2030 Netflix Inc. 5.875% 11/15/2028 Sally Hldg LLC 5.625% 12/1/2025 Altice Financing SA 7.5% 5/15/2026 144A |
Industry Returns Tracker | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
New Issues | Forward Calendar |
---|---|
(None Current 03/25/2020)
|
1. AVI-SPL: $370MM covenant lite TLB (B2/B)
2. Service Logic: $140MM bank debt: $40MM TL; $100MM DD TL 3. CJ Foods Inc.: $285MM TLB 4. Cornerstone Ondemand Inc.: $1.135MM senior secured credit facilities: $150MM revolver; $985MM TLB 5. Eldorado Resorts Inc./Caesars Entertainment Corp.: $6.4B credit facilities:$1B revolver at Eldorados; $3B seven-year cove-lite TLB due 2027 at Eldorado; $2.4B seven-year cove-lite TLB due 2027 at Caesars Resorts Collection 6. Innovate Xcessories & Services LLC: $695MM credit facilities: $75MM revolver; $620MM TL(B2/B) 7. Instructure: $825MM senior secured credit facilities: $50MM revolver; $775MM TL 8. RSA: $1.425B credit facilities: $75MM revolver; $1B TL; $350MM TL 9. Snapav: $390MM term loans: $290MM TL (B2); $100MM TL 10. Tata Chemicals North America Inc. : $380MM TL (Ba3) |
Top Widening Loans | Top Narrowing Loans |
McDermott International Inc. (USD) DD L+1000 10/21/2021 Ascent Resources Marcellus LLC (USD) TL EXT L+650 12/31/2049 Mcjunkin Red Man Corp. (USD) TLB L+275 09/20/2024 WCA Waste Corp. (USD) TLB L+250 08/12/2023 LGC LTD (EUR) TLB E+400 03/08/2023 |
Citco Group LTD (USD) TL L+250 09/17/2023 Janus International Group LLC (USD) TL L+375 02/07/2025 Merrill Communications LLC (USD) TLB L+500 09/26/2026 Brooks Automation Inc. (USD) TLB L+300 10/04/2024 Tibco Software Inc. (USD) TLB L+400 07/03/2026 |
SYNDICATED LOANS HIGHLIGHTS:
Deals recently freed for secondary trading, notable secondary activity:
- Symantec Corp., Broadcom LTD, Toll Brothers Inc., Cole-Parmer Instrument Co.
OVERALL CREDIT MARKET:
Long-term bond yields are expected to hit a cyclical peak in 2019 given tight fiscal policy and lagging global economies. Europe remains checked by stubbornly low inflationary forces. Positive effects remained in force:
- TED spread held below 123.87 bp (basis points), as of 03/25/2020
- Net negative capital flows into high-yield ETFs & mutual funds
INVESTMENT GRADE BOND RESEARCH
|
March 25, 2020
|
Key Gainers and Losers | Volume Leaders | ||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
Wells Fargo & Co. 5.013% 4/4/2051 Lowe’s Companies Inc. 5.125% 4/15/2050 JP Morgan Chase & Co. 4.493% 3/24/2031 McDonald’s Corp. 3.625% 9/1/2049 PepsiCo. Inc. 3.625% 3/19/2050 |
Industry Returns Tracker | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
New Issues | New Issues [Continued] |
---|---|
1. Kimberly-Clark Corp. (USD) 3.1% 3/26/2030 (03/24/2020): 750MM Senior Unsecured Notes, Price at Issuance 99.923, Yielding 3.11%.
2. Florida Power & Light (USD) 2.85% 4/1/2025 (03/24/2020): 1100MM Senior Secured Notes, Price at Issuance 99.898, Yielding 2.87%. 3. Comcast Corp. (USD) 3.1% 4/1/2025 (03/24/2020): 800MM Senior Unsecured Notes, Price at Issuance 99.949, Yielding 3.11%. 4. Comcast Corp. (USD) 3.3% 4/1/2027 (03/24/2020): 800MM Senior Unsecured Notes, Price at Issuance 99.73, Yielding 3.34%. 5. Comcast Corp. (USD) 3.4% 4/1/2030 (03/24/2020): 1600MM Senior Unsecured Notes, Price at Issuance 99.823, Yielding 3.42%. 6. Comcast Corp. (USD) 3.75% 4/1/2040 (03/24/2020): 800MM Senior Unsecured Notes, Price at Issuance 99.456, Yielding 3.79%. 7. Citigroup Inc. (USD) 4.412% 3/31/2031 (03/24/2020): 4000MM Senior Unsecured Notes, Price at Issuance 100, Yielding 4.41%. 8. Lowe’s Companies Inc. (USD) 5% 4/15/2040 (03/24/2020): 750MM Senior Unsecured Notes, Price at Issuance 99.533, Yielding 5.04%. 9. Lowe’s Companies Inc. (USD) 5.125% 4/15/2050 (03/24/2020): 1250MM Senior Unsecured Notes, Price at Issuance 99.814, Yielding 5.14%. 10. Chevron Phillips Chemical Co. LLC (USD) 5.125% 4/1/2025 144A (03/24/2020): 650MM Senior Unsecured Notes, Price at Issuance 99.992, Yielding 5.13%. |
Top Widening Loans | Top Narrowing Loans |
McDermott International Inc. (USD) DD L+1000 10/21/2021 Ascent Resources Marcellus LLC (USD) TL EXT L+650 12/31/2049 Mcjunkin Red Man Corp. (USD) TLB L+275 09/20/2024 WCA Waste Corp. (USD) TLB L+250 08/12/2023 LGC LTD (EUR) TLB E+400 03/08/2023 |
Citco Group LTD (USD) TL L+250 09/17/2023 Janus International Group LLC (USD) TL L+375 02/07/2025 Merrill Communications LLC (USD) TLB L+500 09/26/2026 Brooks Automation Inc. (USD) TLB L+300 10/04/2024 Tibco Software Inc. (USD) TLB L+400 07/03/2026 |
SYNDICATED LOANS HIGHLIGHTS:
Deals recently freed for secondary trading, notable secondary activity:
- Symantec Corp., Broadcom LTD, Toll Brothers Inc., Cole-Parmer Instrument Co.
OVERALL CREDIT MARKET:
Long-term bond yields are expected to hit a cyclical peak in 2019 given tight fiscal policy and lagging global economies. Europe remains checked by stubbornly low inflationary forces. Positive effects remained in force:
- TED spread held below 123.87 bp (basis points), as of 03/25/2020
- Net positive capital flows into high-yield ETFs & mutual funds
Copyright 2020 Advantage Data Inc. All Rights Reserved. http://www.advantagedata.com
Information in this document should not be regarded as an offer to sell or solicitation of an offer to buy bonds or any financial instruments referred to herein. All information provided in this document is believed to be accurate. However, Advantage Data and its sources make no warranties, either express or implied, as to any matter whatsoever, including but not limited to warranties of merchantability or fitness for a particular purpose. Opinions in this document are subject to change without notice. Electronic redistribution, photocopying and any other electronic or mechanical reproduction is strictly prohibited without prior written permission from Advantage Data Inc.
Are you using AdvantageData?
AdvantageData is your fixed income solution for pricing, analytics, reports, and insight on approximately:
- 500,000+ U.S. and international corporate bonds
- Over 300,000+ BDC fair value assessments dating back to 2000
- Over 22,000+ syndicated loans
- Over 100 equity markets worldwide
- One platform 15 products and services from debt to loans to mid-market
- Used by top buy and sell-side firms worldwide