By Gareth Soloway on July 13th, 2010 12:53pm Eastern Time
With Alcoa Inc. (NYSE:AA) having reported better than expected earnings results, all eyes turn to the next major earnings announcements for the remainder of the week. The market has seen a significant rally in the past seven trading days. The Dow Jones Industrial Average is up around seven percent. This tells a tale of slightly raised expectations now for earnings, compared to where they were two weeks ago. Especially after Alcoa reported better than expected results, the rest of the group this week will have to follow to hold onto the rally in their stocks.
After the close of trading today, Intel Corporation (NASDAQ:INTC) reports earnings. This is the first major tech stock to report and will be looked at with a magnifying glass. Expectations are for a profit of $0.43 - $0.45 per share.
Thursday, a flood of earnings will be reported. In the morning, JPMorgan Chase & Co. (NYSE:JPM) will report. They are expected to report a profit of $0.71 per share. However, Wall Street feels they will come in closer to $0.85 per share. This will set the bar for the rest of the financial companies in the coming days.
Thursday after the market closes, Advanced Micro Devices, Inc. (NYSE:AMD) will report. They are expected to report a profit of $0.06 per share. However, again expectations are for a profit as high as $0.16 per share. In addition, Google Inc. (NASDAQ:GOOG) is set to report. This will be a huge report for the tech sector. Google has rallied in the last week from a low of $435.00 to a high today of $492.00. Earnings are expected to come in at $6.55 per share with a whisper number of around $6.70. With the recent jump in Google's stock price, these earnings are most likely factored in. They will have to beat significantly and have a positive outlook for the stock to continue higher.
Friday morning key stocks that report are Bank of America Corporation (NYSE:BAC) and General Electric Company (NYSE:GE). Bank of America is expected to report earnings of $0.22 per share. The market expects them to beat slightly, coming in at $0.26 per share. General Electric is expected to report earnings at $0.27 per share and is also expected to beat slightly at $0.30.
While the earnings whisper numbers are very key to the stocks performance, it is only one piece of the puzzle. The outlook this earnings season will be extremely significant due to the fear of a double dip recession. To get more analysis, swing trades, guidance and education, join the Research Center.
Gareth Soloway
Chief Market Strategist
www.InTheMoneyStocks.com
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