Earnings Season Heats Up Next Week; Apple Reports Tuesday
Traders can finally shift focus from macro headlines in Greece and China as earnings go into full swing next week with hundreds of companies expected to report quarterly results. News flow has been predicated on overseas uncertainty, so earnings will be a welcome change as headlines will be more stock driven. The economic data calendar is relatively light with the following reports in focus: FHFA Housing Index, New and Existing Home Sales, Leading Indicators, Chicago and Kansas City Manufacturing, PMI and Jobless Claims. Mike Khouw and Jill Malandrino of TheStreet’s Action Alerts OPTIONS review six key stocks to watch in the trading week that are held in the Action Alerts PLUS portfolio. Morgan Stanley (MS) is well positioned going into earnings on Monday and one of the most stable in the sector, especially as the market rallies due to assets under management and fee generation. All eyes will be on Apple (AAPL) earnings due out Tuesday, and while the Apple Watch is a hot topic, mobile numbers are what moves the needle. Diagnostic company Thermo Fisher Scientific (TMO) reports on Wednesday. Thursday will be a busy day for the portfolio as three names report including General Motors (GM), Dow Chemical (DOW) and 3M (MMM). Finally, industrial conglomerate 3M (MMM) has been a company that historically performs, but valuation may be a bit stretched at this level.
