This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Earnings Grab Spotlight in Coming Week

NEW YORK ( TheStreet) -- A busy earnings calendar is likely to dominate the markets in the coming week, although investors will continue to react to headlines out of Europe and economic data coming out of the U.S. and China amid resurfacing concerns about global growth.

Stocks fell more than 1% on Friday, capping a stretch that saw the major U.S. equity indices suffer their worst week of 2012. Disappointing jobs data and soaring Spanish debt costs were among the factors weighing on sentiment.

The earnings season got off to a seemingly strong start with better-than-expected earnings from Alcoa (AA), Google (GOOG), JPMorgan Chase (JPM) and Wells Fargo (WFC). But aside from Alcoa, the stocks weren't really rewarded, and investors seem to be reserving judgment until they hear from more bellwethers, beginning next week.

Citigroup (C - Get Report) will set the tone early when it reports before the bell Monday. After underperforming peers in the last quarter and failing to win approval to return capital to shareholders from the Federal Reserve earlier this year, the bank is under heightened investor scrutiny.

> > Bull or Bear? Vote in Our Poll

JPMorgan and Wells, two of the healthiest banks, have also set a high bar for earnings.

Other "too big to fail" banks including Bank of America (BAC), Goldman Sachs (GS), and Morgan Stanley (MS) will report later in the week.

Outside of the financials, investors will also get a smattering of name-brand earnings reports from the tech ( IBM (IBM) and Intel (INTC)) and consumer sectors ( Coca-Cola (KO) and Johnson & Johnson (JNJ)).

Consensus expectations heading into the first-quarter earnings season are low, so nominal beats may not be sufficient to get his market excited, according to Burt White, CIO at LPL Financial.

"The whisper number was clearly higher for JPMorgan and Wells Fargo," said White, taking note of the market's lackluster reaction to their strong earnings beats. "The market appreciates that analyst expectations are low and anticipates some surprise. So it can't be just beats, but really solid beats. Are we clearing the hurdle by enough?"

The S&P 500 has climbed nearly 15% over the last six months as investors' concerns about the eurozone debt crisis abated following the European Central Bank's successful long-term refinancing operation. Better economic data in the U.S. and expectations that China's economy is in for a soft landing have also helped markets move higher.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
C $44.66 0.00%
AAPL $94.19 0.00%
FB $118.06 0.00%
GOOG $695.70 0.00%
TSLA $222.56 0.00%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs