This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
TheStreet Open House

Earnings Scorecard: BofA, Citigroup, Goldman Beat; Coke Fizzles

Stocks in this article: BAC C CMA CSX GS JBHT JNJ KO MOS YHOO

NEW YORK ( TheStreet) -- This week's earnings reports illustrate how Federal Reserve policy helps Wall Street, while Main Street struggles.

The four "too big to fail" banks have reported better-than-expected results and they clearly benefited from low interest rates and by booking profits on the $85 billion of U.S. Treasuries and mortgage-backed securities sold to the New York Fed Open Market Trading Desk each month under QE3 and QE4.

The big banks continue to have hold ratings, but with their huge balance sheets, have the accounting flexibility to consistently beat Wall Street estimates.

Meanwhile, consumer staples companies are missing on the revenue line because of the higher cost of living on Main Street. Consumers have cut spending even on necessities.

Wednesday morning premarket, Bank of America (BAC - Get Report) ($13.92) was the fourth of the four "too big to fail" money center banks to report an earnings beat. Their beat was by 7 cents, earning 32 cents per share. The stock traded just above $14.00 premarket vs. the multi-year high set on Tuesday at $14.02. My weekly value level is $13.13, with a monthly risky level at $14.66.

On July 11, I wrote, Earnings Scorecard: Yum, Yahoo! On Deck, where I profiled eight stocks scheduled to report quarterly earnings results on Monday and Tuesday of this week. Seven are profiled again in today's earnings scorecard.

Citigroup (C - Get Report) ($51.83) beat EPS estimates by 7 cents, earning $1.25, and they also beat on the revenue line. The stock traded up to $52.42 Tuesday, still shy of its multi-year high at $53.56 set on May 30. My weekly value level is $48.18, with a monthly pivot at $50.85 on this hold-rated bank.

Comerica (CMA) ($40.86) beat EPS estimates by 6 cents, earning 76 cents, but the stock traded down to $40.21 on Tuesday. This hold-rated regional bank has a weekly value level at $39.92, with a monthly pivot at $41.31 and semiannual risky level at $44.83.

CSX (CSX) ($24.64) beat EPS estimates by 5 cents, earning 52 cents per share. This sell-rated railroad reported after the close on Tuesday, and was positioned just below its 50-day SMA at $24.67 pre-release. Wednesday morning, the stock has accelerated above the $25.00 marker. My weekly value level is $22.82, with a monthly pivot at $25.15 and the multi-year high at $26.36 set on May 21.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link 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

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs