U.S. Markets open in 2 hrs 39 mins

Looking Forward to an Eventful Week; Plus L, CNA, DO

Mark Vickery
With investors' attention being drawn toward the end of this trading week ??? including another possible U.S. government shutdown at the end of this week, hopes of U.S./China trade negotiations making some progress before the March 1 deadline, statements from Federal Reserve members and a Brexit vote on Thursday ??? we still have Q4 earnings reports to digest through this, the last of the earnings-heavy weeks.

Monday, February 11, 2019

With investors’ attention being drawn toward the end of this trading week — including another possible U.S. government shutdown at the end of this week, hopes of U.S./China trade negotiations making some progress before the March 1 deadline, statements from Federal Reserve members and a Brexit vote on Thursday — we still have Q4 earnings reports to digest through this, the last of the earnings-heavy weeks from a wide variety of industries. Beginning next week we start hearing from retailers, who often have a quarter-end at January instead of December in order to account for holiday sales gains.

For a comprehensive view of what to expect from this week beyond company-specific news from stocks in the S&P 500, et. al., make sure to take a look at Zacks Chief Strategist John Blank’s latest Global Week Ahead report: “Kick the Can Down the Road”: Global Week Ahead

After today’s market close, we look forward to earnings reports from companies such as Vornado Realty VNO and Zacks Rank #1 (Strong Buy) Molina Healthcare MOH. Later in the week we hear from Under Armour UAA, Nvidia NVDA, Coke KO, Pepsi PEP and CBS CBS.

This morning, well-known conglomerate Loews Corp. L came in woefully shy of expectations, based on higher quarterly costs and overall operating revenues which fell 4.7% year over year. Loews, the parent company of insurance company CNA Financial CNA and E&P staple Diamond Offshore Drilling DO, saw lower-than-expected results from both of these two components of its business.

Diamond Offshore missed expectations on the bottom line by 2 cents per share to a loss of 42 cents, on quarterly revenues of $232.5 million which tumbled 5.8% year over year. But it was CNA’s numbers that really hurt Loews in the quarter: -8 cents per share was reported when expectations were for 81 cents in profit. Core income was -22.7% off estimates, and -94% year over year. All 3 companies had Zacks Rank #4 (Sell) ratings ahead of the earnings reports.

Mark Vickery
Senior Editor

Questions or comments about this article and/or its author? Click here>>

Zacks' Top 10 Stocks for 2019

In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?

Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.

See Latest Stocks Today >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

CBS Corporation (CBS) : Free Stock Analysis Report

Pepsico, Inc. (PEP) : Free Stock Analysis Report

CNA Financial Corporation (CNA) : Free Stock Analysis Report

Diamond Offshore Drilling, Inc. (DO) : Free Stock Analysis Report

Under Armour, Inc. (UAA) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report