The season of corporate reports: investors are preparing for the increase volatility

By January 29, 2019 No Comments

The season of corporate reports has started, which can be a strong driver for the growth or decline of quotations on stock markets around the world. Investors are preparing to increase volatility next week, because there will be several events that can change the mood.

What can you learn from the company’s report and how this information will help the investor to earn?

Reporting season is the period during which companies publish the results of their activities for the last quarter. These data serve as a guide for many investors and hedge funds when making decisions on their own positions. That is why the average change in the stock price after the publication of the report may be about 5% in a few minutes. This factor often determines the dynamics of quotes for the following weeks. Anyone who owns a stock should know what to expect from the upcoming corporate reports.

Already, analysts are lowering profit forecasts for companies around the world at the fastest pace since 2009. Reports of some companies managed to disappoint investors. For example, Siemens Healthineers (DE: SHLG) stock price declined 4.8%. Shares of the British Royal Mail (LON: RMG) fell by more than 11%.

On Friday, February 1, the US Department of Labor will publish the January report on employment outside the agricultural sector. According to the forecast, jobs are expected to increase by 165 thousand after rising by 312 thousand in December. Employment effects can be potentially affected by the effects of a shutdown in the United States.

What reports to expect next week?

Next week, three of the four largest companies in the world will publish their quarterly reports, among nearly a quarter of the companies covered by the S & P 500 index and almost half of the companies covered by the Dow index. The quarterly reporting season is gaining momentum.

Reports of technology companies Apple, Microsoft and Amazon will be released on Tuesday, Wednesday and Thursday, respectively. The quarterly Facebook Report (NASDAQ: FB), which is the sixth largest company in the world by capitalization, will also be published on Wednesday.

Other important quarterly reports of the companies that will be released next week include Caterpillar (NYSE: CAT), AK Steel (NYSE: AKS) Whirlpool (NYSE: WHR) reports on Monday.

On Tuesday, the results of their financial activities for the quarter will be published by Verizon (NYSE: VZ), 3M (NYSE: MMM), Harley-Davidson (NYSE: HOG), Pfizer (NYSE: PFE), Lockheed Martin (NYSE: LMT), Advanced Micro Devices (NASDAQ: AMD) and eBay (NASDAQ: EBAY).

On Wednesday, Boeing (NYSE: BA), McDonald’s (NYSE: MCD), AT & T (NYSE: T), Alibaba (NYSE: BABA), Tesla (NASDAQ: TSLA), Visa (NYSE: V), PayPal (NASDAQ: PYPL), Wynn Resorts (NASDAQ: WYNN), Qualcomm (NASDAQ: QCOM) and US Steel (NYSE: X).

General Electric (NYSE: GE), United Parcel Service (NYSE: UPS), Mastercard (NYSE: MA), Raytheon (NYSE: RTN), Blackstone (NYSE: BX), Sprint (NYSE: S), DowDuPont ( NYSE: DWDP), Altria (NYSE: MO), Northrop Grumman (NYSE: NOC), and ConocoPhillips (NYSE: COP) investors will appreciate on Thursday.

ExxonMobil (NYSE: XOM), Chevron (NYSE: CVX), Merck (NYSE: MRK), Honeywell (NYSE: HON), Madison Square (NYSE: SQ) Garden (NYSE: MSG) and Cigna (NYSE) will be released on Friday. : CI).