The Zacks Analyst Blog Highlights: Citrix Systems, Southwest Airlines, Comcast, Travelers Companies And Intuitive Surgical
Zacks Investment Research | Jan 22, 2020 07:54AM ET
For Immediate Release
Chicago, IL – January 22, 2020 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Citrix Systems Inc. (NASDAQ:CTXS) , Southwest Airlines Co. (NYSE:LUV) , Comcast Corp. (NASDAQ:CMCSA) , The Travelers Companies Inc. (NYSE:TRV) and Intuitive Surgical Inc. (NASDAQ:ISRG) .
Here are highlights from Tuesday’s Analyst Blog:
5 Large-Cap Stocks Poised to Beat on Q4 Earnings This Week
Wall Street had a dream run in 2019 wherein all three major stock indexes, predominantly consisting of large-cap stocks, witnessed best yearly performances in six years. In the fourth quarter of 2019, the Dow gained 6%, the S&P 500 rose 8.5% and the Nasdaq rose 12.2%.
The last three months of the year were quite promising for Wall Street as the U.S.-China trade war finally seemed to ease and strong economic data boosted investors’ sentiments.
Fourth-Quarter at a Glance
A series of impressive economic data shows strong economic activities in the fourth quarter of 2019. Retail sales grew 0.3% in December and November’s retail sales growth rate was revised upward to 0.3% from 0.2% reported earlier. A report from National Retail Federation (NRF) revealed that holiday retail sales increased 4.1% year over year. Strong retail sales shows higher consumer spending, which generates 70% of GDP.
U.S. housing starts jumped 16.9% in December to a seasonally adjusted annual rate of 1.608 million units, reflecting the highest percentage gain since October 2016. November’s data was revised upward from 1.365 million units to 1.375 million units. Recovery of the housing market in 2019 was a major positive for the U.S. economy as the sector constitutes nearly 3.1% of GDP.
U.S. manufacturing rose 0.2% in December. However, excluding motor vehicles and parts, manufacturing production grew 0.5%. Notably, the U.S. manufacturing sector, which suffered a severe setback in 2019 due to the lingering tariff war, contributed 12% to GDP.
Weak Expectations for Fourth-Quarter Earnings
Expectations for fourth-quarter 2019 earnings are far from encouraging at present. However, although corporate earnings growth was negative year over year in the first three quarters, results were far better than initially anticipated.
Total earnings of the S&P 500 Index are anticipated to be down 3.2% from the same period last year on 3.5% higher revenues. As of Jan 20, just 44 S&P 500 members reported fourth-quarter earnings results. Total earnings of these companies are down 3.8% from the same period last year on 3.9% higher revenues. Of the total, 75% surpassed EPS estimates while 70.5% outpaced revenue estimates. (Read More: Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.