/ 3 Ago 2020
US Earnings Recap. Last week was one of the biggest weeks of earnings reports, with many large-cap technology names, and a total of 185 companies reporting earnings as we are now more than halfway through the earnings season (approximately 60% of companies have reported results). Earnings for the S&P 500 historically beat expectations in the ~5% range but currently are tracking ~15% better than expected thus far. The beats have come mostly in the defensive sectors that include Consumer Staples, Healthcare, Technology, and Utilities.
/ 27 Jul 2020
US Earnings Recap. Earnings season continued, and 82 companies in the S&P 500 reported earnings last week, where 85% of the companies beat estimates. However, only 58% of the companies traded higher since expectations were high entering the week (especially in the technology sector). Microsoft was the largest company to report earnings and traded lower despite a revenue (+4%), and earnings (+7%) beat as expectations were high. Some parts of the results were not as strong as expected. The company's Azure cloud business revenue growth slowed from 59% to 47%, and margins were slightly weaker than expected.
/ 20 Jul 2020
First week of US Earnings. In the first week of earnings season for 2Q 2020 there were a total of 28 companies in the S&P 500 that reported earnings, the majority of which were in the financial sector (~60%). However, the largest company by market capitalization to report earnings was Johnson & Johnson. For the companies reporting last week, revenues in total were 4.5% better than expected and earnings came in approximately 25% better than expected.
/ 13 Jul 2020
New Fed’s Stress Test Restrics Banks’ Dividends. The Federal Reserve (Fed) recently released the results for the 2020 stress tests for the 33 largest US-based bank holding companies. The Fed does this annual test as part of the regulations that were passed after the 2008 financial crisis. The Fed evaluates the capital adequacy and has a forward-looking component to see if the banks have enough capital to absorb losses under different economic scenarios. The Fed also evaluates the banks' plans for returning capital in the form of dividend payments and share repurchases.