The markets continue to shrug off any concerns regarding the Coronavirus and its medium and longer term impact on the global economy with all of the major indexes continuing their record setting pace.

All 3 major indexes were up for the week ended 2020-02-14. The Dow Jones Industrial average ended the week at 29,398 an increase of 1.0%. The broader S&P 500 index ended the week at 3,380 an increase of 1.6%. The Nasdaq 100 ended the week at 9,624 an increase of 2.4%. The average change for the major averages was up 1.65%.

With the strong gains from this past week all three major indexes returned to positive territory this week. The Dow Jones Industrial average is up 2.0% year to date, the S&P 500 is up 3.0% and the Nasdaq Composite is leading the way at +4.8% for the year.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 0.7%, with the iShares Dividend price climbing from $105.41 to $106.16.

In the latest week, mid cap stocks outpaced both small cap and large cap stocks. Mid-cap stocks increased by 1.8% for the week while large-cap stocks increased by 1.5% and small-cap stocks increased by 1.6%.

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 2.9% as compared to 0.3%. Mid-cap growth stocks outperformed mid-cap value stocks 3.5% as compared to 1.2%. Finally, Small-cap growth stocks outperformed small-cap value stocks 2.9% as compared to 1.7%.

Sector View

All of the market sectors ended the week with increases, obviously some stronger than others, but upward move this week included the Utilities and Energy sectors, which in recent weeks did not share the benefits of the continued wave of records.

The Real Estate sector lead all sectors this week with an increase of 4.22%. The Consumer Discretionary sector followed at 2.73%, followed by the Utilities sector (+2.6%), Information Technology (+2.35%) and the Communication Services sector (+2.1%).



Earnings Roundup

This was a very busy earnings week without the massively popular and big technologoy companies reporting. Over 430 companies reported earnings this week including:

  • Cisco Systems, Incorporated. (CSCO) announced earnings after the market close on 2020-02-12. Earnings came in at $0.77 the analyst consensus was $0.76, a difference of $0.01 per share. Shares closed the prior day at $49.93 a share and closed the day at $47.32 a decline of -5.2%.
  • Dominion Energy Corporation. (D) announced earnings after the market close on 2020-02-11. Earnings came in at $1.18 the analyst consensus was $1.16, a difference of $0.02 per share. Shares closed the prior day at $84.59 a share and closed the day at $85.22 an increase of 0.7%.
  • Duke Energy Corporation. (DUK) announced earnings after the market close on 2020-02-13. Earnings came in at $0.91 the analyst consensus was $0.88, a difference of $0.03 per share. Shares closed the prior day at $97.92 a share and closed the day at $100.11 an increase of 2.2%.
  • Nvidia Corporation. (NVDA) announced earnings after the market close on 2020-02-13. Earnings came in at $1.89 the analyst consensus was $1.66, a difference of $0.23 per share. Shares closed the prior day at $270.78 a share and closed the day at $289.79 an increase of 7.0%.
  • Applied Materials. (AMAT) announced earnings after the market close on 2020-02-12. Earnings came in at $0.98 the analyst consensus was $0.92, a difference of $0.06 per share. Shares closed the prior day at $65.37 a share and closed the day at $67.37 an increase of 3.1%.
  • Cvs Health Corpation. (CVS) announced earnings after the market close on 2020-02-12. Earnings came in at $1.73 the analyst consensus was $1.68, a difference of $0.05 per share. Shares closed the prior day at $73.85 a share and closed the day at $73.75 a decline of -0.1%.
  • Pepsico, Inc. (PEP) announced earnings after the market close on 2020-02-13. Earnings came in at $1.45 the analyst consensus was $1.43, a difference of $0.02 per share. Shares closed the prior day at $146.08 a share and closed the day at $146.47 an increase of 0.3%.
  • Shopify Inc. (SHOP) announced earnings after the market close on 2020-02-12. Earnings came in at $0.43 the analyst consensus was $0.23, a difference of $0.20 per share. Shares closed the prior day at $492.75 a share and closed the day at $531.25 an increase of 7.8%.


Dividend Payments

With earnings season still going strong, dividend season hasn't really started yet. A few companies going ex-dividend this past week were:

  • Sirius XM Holdings (SIRI) paid a dividend of $0.01 on 2020-02-11. The stock closed at $7.16 giving an estimated yield of 0.7%.
  • Aramark Holdings Corp (ARMK) paid a dividend of $0.11 on 2020-02-12. The stock closed at $41.6 giving an estimated yield of 1.1%.
  • The Charles Schwab Corp (SCHW) paid a dividend of $0.18 on 2020-02-13. The stock closed at $47.29 giving an estimated yield of 1.5%.
  • Exxon Mobil Corp (XOM) paid a dividend of $0.87 on 2020-02-10. The stock closed at $59.96 giving an estimated yield of 5.8%.
  • Schlumberger N.V. (SLB) paid a dividend of $0.50 on 2020-02-11. The stock closed at $34.29 giving an estimated yield of 5.8%.


The Week Ahead

Big Economic and other data {or big events} being reported this week are:

  • Monday: US Markets are closed for Presidents Day
  • Tuesday: the Federal Reserve Bank of NY releases its Empire State Manufacturing Survey for February with economists anticipating sluggish growth readings in the region.
  • Wednesday: the BLS releases Producer Price Index for January, expecting a +0.2% increase vs. a 0.1% increase in December
  • Thursday: the Census Bureau reports residential construction for January, expecting 1.42 million permits matching December.
  • Friday: IHS Markit releases its US Manufacturing Purchasing Managers' Index for February with no change vs January anticipated

The heart of earnings season continues with some big names reporting earnings this coming week.:

  • Monday: Flowserve
  • Tuesday: Advanced Auto Parts, Ecolab, HSBC Holdings
  • Wednesday: Analog Devises, DISH Network, Garmin
  • Thursday: American Electric Power, Consolidated Edison, Norwegian Cruise Line Holdings
  • Friday: Deere, Royal Bank of Canada


Authors Note: Please note, the writer currently owns no individual stocks.

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.