This past week several the financial markets experienced several new record closes. All 3 major indexes were up for the week ended 2019-12-20. The Dow Jones Industrial average ended the week at 28,455 an increase of 1.1%. The broader S&P 500 index ended the week at 3,221 an increase of 1.7%. The Nasdaq 100 ended the week at 8,678 an increase of 2.2%. The average change for the major averages was up 1.68%.

The market performance this past week seemed like the Santa Claus rally started before Christmas. The year to date performance of the major indexes are some of the strongest in years. The Dow Jones Industrial is nwo up 22.0% for the year, the S&P500 is up 28.5% and the Nasdaq is up 30.8% for the year.

There was not a lot of news happening this week with only a few earnings releases this week and only a few major economic data announcements this week, but nothing was bad. The GDP data was largely unchanged from previous reports. Oh yes, there was an impeachment vote and the house ruled against the President.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 1.0%, with the iShares Dividend price climbing from $104.67 to $105.76.

In the latest week, small cap stocks outpaced both large cap and large cap stocks. Small-cap stocks increased by 1.9% for the week while large-cap stocks increased by 1.0% and mid-cap stocks increased by 1.0%.

In order for us to monitor the performance difference between growth and value stocks, we look at the different capitalization levels (large, mid and small cap). In the latest week, the growth stocks of all 3 capitalization groups outperformed the value stocks. Large-cap growth stocks outperformed large-cap value stocks 2.3% as compared to 0.6%. Mid-cap growth stocks outperformed mid-cap value stocks 1.6% as compared to 1.2%. Finally, Small-cap growth stocks outperformed small-cap value stocks 2.2% as compared to 1.3%.

Sector View

This past week only 1 of the 11 sectors declined, so this was a broad based increase. The Energy sector declined by 0.69% on the week.

Not only were 10 sectors up this week, 5 of these sectors increased by more than 1.5%. The Communication Services sector increased by 2.75% and the Health sector increased by 2.24%. The Utilities sector increased by 1.98% and the Real Estate sector increased by 1.81%.



Earnings Roundup

There were only 42 earnings releases this week, including:

  • Fedex Corporation. (FDX) announced earnings after the market close on 2019-12-17. Earnings came in at $2.51 the analyst consensus was $2.79, a difference of $-0.28 per share. Shares closed the prior day at $163.23 a share and closed the day at $146.86 a decline of -10.0%.
  • General Mills, Inc. (GIS) announced earnings after the market close on 2019-12-18. Earnings came in at $0.95 the analyst consensus was $0.88, a difference of $0.07 per share. Shares closed the prior day at $52.17 a share and closed the day at $53.18 an increase of 1.9%.
  • Micron Technologies. (MU) announced earnings after the market close on 2019-12-18. Earnings came in at $0.48 the analyst consensus was $0.48, a difference of $0.00 per share. Shares closed the prior day at $53.04 a share and closed the day at $54.53 an increase of 2.8%.
  • Nike, Inc. (NKE) announced earnings after the market close on 2019-12-19. Earnings came in at $0.70 the analyst consensus was $0.58, a difference of $0.12 per share. Shares closed the prior day at $101.15 a share and closed the day at $99.96 a decline of -1.2%.
  • Conagra Brands Corporation. (CAG) announced earnings after the market close on 2019-12-19. Earnings came in at $0.63 the analyst consensus was $0.57, a difference of $0.06 per share. Shares closed the prior day at $29.05 a share and closed the day at $33.66 an increase of 15.9%.
  • Carnival Corporation. (CCL) announced earnings after the market close on 2019-12-20. Earnings came in at $0.62 the analyst consensus was $0.51, a difference of $0.11 per share. Shares closed the prior day at $46.65 a share and closed the day at $50.21 an increase of 7.6%.
  • Paychex, Inc. (PAYX) announced earnings after the market close on 2019-12-18. Earnings came in at $0.70 the analyst consensus was $0.68, a difference of $0.02 per share. Shares closed the prior day at $85.21 a share and closed the day at $84.77 a decline of -0.5%.
  • Rite Aid Corporation. (RAD) announced earnings after the market close on 2019-12-19. Earnings came in at $0.54 the analyst consensus was $0.03, a difference of $0.51 per share. Shares closed the prior day at $8.32 a share and closed the day at $11.84 an increase of 42.3%.


Dividend Payments

In this new section we will be highlighting companies that trade on Nasdaq or on the NYSE with strong dividend yields during the week. If you are looking for income producing stocks that will provide a good return on your investment, here are some ideas:

  • Philip Morris International Inc (PM) paid a dividend of $1.17 on 2019-12-18. The stock closed at $85.7 giving an estimated yield of 5.5%.
  • Designer Brands Inc (DBI) paid a dividend of $0.25 on 2019-12-19. The stock closed at $15.9 giving an estimated yield of 6.3%.
  • Telefonica S.A. (TEF) paid a dividend of $0.17 on 2019-12-17. The stock closed at $7.39 giving an estimated yield of 4.5%.
  • Tri Continental Corp (TY) paid a dividend of $0.25 on 2019-12-17. The stock closed at $27.75 giving an estimated yield of 3.7%.


The Week Ahead

Things should be fairly quiet this coming week with Christmas coming right in the middle of the week, but a few things will still be happening this week:

  • Monday: Census Bureau releases its Durable Goods Oreport for November with the expectation of an increase of 1.6% vs. 0.5% in October.
  • Monday: Census Bureau releases its report on New Home Sales for November, estimated to increase 11% from November of 2018.
  • Tuesday:
  • Wednesday:
  • Thursday: The Labor Department reports on initial jobless claims for the week ended 12/21
  • Friday:

The major earnings announcements for this week are (well, there really aren't any):

  • Monday:
  • Tuesday:
  • Wednesday:
  • Thursday:
  • Friday: CarMax

Have a great holiday season everyone


Authors Note: Please note, the writer owns no stocks discussed in this article.

About the Writer

This page was created and is maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt is an executive, data scientist and software engineer who holds an MBA in Management Information Systems. In 2010, he partnered with scientists at Northwestern University to launch The Street Wire. This was one of the first mainstream uses of what would become “Narrative Science”, an artificial intelligence platform specializing in natural language generation. You can contact Kurt on LinkedIn here.