So far this earnings season, 855 companies have reported, and 248 of them are S&P 500 names. Of the non-S&P 500 companies that have reported, just 55% have beaten earnings estimates. Of the 248 S&P 500 companies that have reported, 69% of companies have beaten earnings estimates.
This is a pretty wide margin, and it made us think of this recent NFIB survey that showed that taxes and government red tape are the biggest problems facing small businesses today. Large caps are obviously more equipped to handle government requirements and red tape. Is this large cap outperformance the new norm in the current economic environment?
For those interested, below are lists of the best and worst performing S&P 500 stocks on their report days so far this season. As shown, Netflix (NFLX) ranks at the top with a one-day gain of 24.44%. Akamai Tech (AKAM) ranks second at +17.71%, followed by CLF, CMG and ALXN. Other notables on the list of big earnings winners this season include Coach (COH), Coca-Cola (KO), Biogen (BIIB) and Google (GOOG).On the downside, Edwards Lifesciences (EW) has been the worst performer in response to earnings with a one-day decline of 21.99%. Safeway (SWY) ranks second worst at -13.94%. Other notables on the list of losers include Expedia (EXPE), IBM, Amazon.com (AMZN), Amgen (AMGN), eBay (EBAY), Procter & Gamble (PG) and Bank of America (BAC). There are quite a few big names on the losers list!
The post Check out the first quarter earnings winner's circle appeared first on Smarter Investing
Covestor Ltd. is a registered investment advisor. Covestor licenses investment strategies from its Model Managers to establish investment models. The commentary here is provided as general and impersonal information and should not be construed as recommendations or advice. Information from Model Managers and third-party sources deemed to be reliable but not guaranteed. Past performance is no guarantee of future results. Transaction histories for Covestor models available upon request. Additional important disclosures available at http://site.covestor.com/help/disclosures. For information about Covestor and its services, go to http://covestor.com or contact Covestor Client Services at (866) 825-3005, x703.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV