Full-steam ahead for earnings season in the coming week as a range of industry leaders across a swath of sectors release their recent quarterly performances.
The week begins with one-fifth of S&P 500 companies already having reported earnings. It's been a mixed bag so far with earnings coming in fairly strong and revenue just barely passing beating expectations.
"It's not too bad, not too good," Vincent Deluard, vice president of global macro stategy at the BD Division of INTL FCStone Financial, said in a phone call. "Close to 80% of earnings beat, a little less on the sales side... and that's a pattern that we've seen pretty much every season for the past three years or so."
Of the 19% of S&P 500 companies that have reported so far, nearly 76% have exceeded analysts' earnings estimates, above the 64% historical average, according to Thomson Reuters. Just over 62% of companies have bested revenue estimates, narrowly edging past the historical average of 59%.
"Part of it has to do a little bit with accounting creativity," added Deluard. "You have a lot more leeway in the bottom-line number than you have in the top-line. What could have also dragged down the top-line is the strength in the U.S. dollar. S&P 500 companies derive more than half of their revenue from overseas."
The trend of weaker revenue could continue in the coming week with a particular emphasis on multinationals in the consumer and tech space.
Consumer earnings include Hasbro (HAS) - Get Hasbro, Inc. (HAS) Report , Whirlpool (WHR) - Get Whirlpool Corporation (WHR) Report and Kimberly-Clark (KMB) - Get Kimberly-Clark Corporation (KMB) Report on Monday; Chipotle (CMG) - Get Chipotle Mexican Grill, Inc. Report , Coca-Cola (KO) - Get Coca-Cola Company Report , JetBlue (JBLU) - Get JetBlue Airways Corporation Report , Panera Bread (PNRA) and Supervalu (SVU) on Tuesday; Bloomin' Brands (BLMN) - Get Bloomin' Brands, Inc. Report , Boston Beer (SAM) - Get Boston Beer Company, Inc. Class A Report , Buffalo Wild Wings (BWLD) , Hershey (HSY) - Get Hershey Company (HSY) Report , PepsiCo (PEP) - Get PepsiCo, Inc. Report and Procter & Gamble (PG) - Get Procter & Gamble Company Report on Wednesday; American Airlines (AAL) - Get American Airlines Group, Inc. Report , Ford (F) - Get Ford Motor Company Report , Domino's Pizza (DPZ) - Get Domino's Pizza, Inc. Report , GrubHub (GRUB) - Get Grubhub, Inc. Report , MGM Resorts (MGM) - Get MGM Resorts International (MGM) Report , Pinnacle Foods (PF) , Southwest Airlines (LUV) - Get Southwest Airlines Co. Report , Starbucks (SBUX) - Get Starbucks Corporation Report and Under Armour (UA) - Get Under Armour, Inc. Class C Report on Thursday; and Colgate-Palmolive (CL) - Get Colgate-Palmolive Company Report , General Motors (GM) - Get General Motors Company (GM) Report and VF Corp (VFC) - Get V.F. Corporation Report on Friday.
PepsiCo, Southwest Airlines, and Starbucks are holdings in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells PEP, LUV, or SBUX? Learn more now.
In oil, materials and industrials earnings, Alcoa (AA) - Get Alcoa Corp. Report , Barrick Gold (ABX) , Halliburton (HAL) - Get Halliburton Company (HAL) Report and Owens-Illinois (OI) - Get Owens-Illinois, Inc. Report are scheduled for Monday; 3M (MMM) - Get 3M Company Report , AK Steel (AKS) - Get AK Steel Holding Corporation Report , Baker Hughes (BHI) , Caterpillar (CAT) - Get Caterpillar Inc. Report , DuPont (DD) - Get DuPont de Nemours, Inc. Report , United States Steel (X) - Get United States Steel Corporation Report and Lockheed Martin (LMT) - Get Lockheed Martin Corporation (LMT) Report on Tuesday; Boeing (BA) - Get Boeing Company Report and Hess (HES) - Get Hess Corporation (HES) Report on Wednesday; Dow Chemical (DOW) - Get Dow, Inc. Report and Vale (VALE) - Get Vale S.A. Sponsored ADR Report on Thursday; and Chevron (CVX) - Get Chevron Corporation Report , Exxon Mobil (XOM) - Get Exxon Mobil Corporation Report , LyondellBasel (LYB) - Get LyondellBasell Industries NV (LYB) Report and Phillips 66 (PSX) - Get Phillips 66 Report on Friday.
Health and biotech earnings this week include Express Scripts (ESRX) on Monday; Biogen (BIIB) - Get Biogen Inc. Report , Eli Lilly (LLY) - Get Eli Lilly and Company (LLY) Report and Novartis (NVS) - Get Novartis AG Sponsored ADR Report on Tuesday; Amgen (AMGN) - Get Amgen Inc. Report , Anthem (ANTM) - Get Anthem, Inc. Report and Baxter International (BAX) - Get Baxter International Inc. Report on Wednesday; and AbbVie (ABBV) - Get AbbVie, Inc. Report , Allergan (AGN) - Get Allergan plc Report , AthenaHealth (ATHN) - Get athenahealth, Inc. Report , Bayer (BAYRY) - Get Bayer AG Report , Boston Scientific (BSX) - Get Boston Scientific Corporation Report , Bristol-Myers (BMY) - Get Bristol-Myers Squibb Company Report and Celgene (CELG) - Get Celgene Corporation Report on Thursday.
Finance earnings include Ameriprise Financial (AMP) - Get Ameriprise Financial, Inc. Report on Monday; Capital One (COF) - Get Capital One Financial Corporation Report and Discover Financial (DFS) - Get Discover Financial Services Report on Tuesday; Credit Suisse (CS) - Get Credit Suisse Group AG Sponsored ADR Report on Wednesday; and UBS (UBS) - Get UBS Group AG Report on Friday.
In tech and telecom earnings, U.S. Silica Holdings (SLCA) - Get U.S. Silica Holdings, Inc. Report and Sohu.com (SOHU) - Get Sohu.com Limited Sponsored ADR Report will report on Monday; Texas Instruments (TXN) - Get Texas Instruments Incorporated Report , AT&T (T) - Get AT&T Inc. Report , Shutterfly (SFLY) - Get Shutterfly, Inc. Report , Juniper Networks (JNPR) - Get Juniper Networks, Inc. (JNPR) Report and Xerox (XRX) - Get Xerox Holdings Corporation (XRX) Report on Tuesday; Netgear (NTGR) - Get NETGEAR, Inc. Report , Paypal (PYPL) - Get PayPal Holdings Inc Report and Seagate (STX) - Get Seagate Technology PLC Report on Wednesday; and Alphabet (GOOGL) - Get Alphabet Inc. Class A Report , Amazon.com (AMZN) - Get Amazon.com, Inc. Report , Baidu (BIDU) - Get Baidu, Inc. Sponsored ADR Class A Report , Microsoft (MSFT) - Get Microsoft Corporation (MSFT) Report and Western Digital (WDC) - Get Western Digital Corporation Report on Thursday.
On the economic calendar in the coming week: new home sales for March, the S&P Corelogic Case-Shiller Home Price Index for February and consumer confidence for April will be released on Tuesday; durable goods orders, international trade and the pending home sales index for March are scheduled for Thursday; Chicago PMI for April and the final reading on consumer sentiment for April are set for Friday.
Most importantly, the advance estimate of first-quarter GDP is set for Friday morning.
"The advance GDP release is likely to confirm a slowdown to a below-trend pace," TD Securities analysts wrote in a note. "We are roughly in line with the market consensus and look for a 1.3% print, reflecting sub-par consumer spending and a drag from net exports. The reading would be in stark contrast to relatively bullish survey data, though we note that residual seasonality is partly at play. Because of this, the Fed is likely to look through below-trend Q1 growth given robust labor market conditions."
Congress will also scramble to avoid a government shutdown by pushing through a continuing resolution. Negotiations will likely intensify on Friday ahead of the deadline of midnight, April 28. Office of Management and Budget Director Mick Mulvaney has said that money for President Trump's proposed border wall must be part of the spending bill Congress will look to pass, a major conflict for Democrats in opposition of the expensive project.