Hundreds of companies report earnings this week, possibly providing stock market rally clarity. Dow Jones components Boeing stock, McDonald’s (MCD), Intel (INTC), Caterpillar (CAT) and United Technologies (UTX) are on tap, in addition to Microsoft stock and Visa stock.
The Boeing earnings conference call Wednesday could be key, as investors want to hear more about recent 737 Max news and whether the aerospace giant will concede that the jet won’t resume flights until 2020. The Boeing board meets with top executives during its Sunday-Monday meeting, after stripping CEO Dennis Muilenburg of his chairmanship. Boeing stock fell below a buy point as well as its 50-day and 200-day lines on Friday.
Microsoft stock briefly reclaimed its 141.77 flat-base buy point last Tuesday, but closed Friday at 137.41, just below its 50-day line. If it holds in its current range, the Dow tech titan will have another flat base, with a 142.47 entry, after this week. Microsoft stock is holding up better than most software stocks, in large part because cloud-computing services are driving growth. Microsoft earnings are due late Wednesday. Analysts expect Microsoft earnings to climb 10% to $1.25 a share as revenue rises 11% to $32.23 billion.
Visa earnings are late Thursday. Wall Street sees Visa earnings rising 18% to $1.43 a share as revenue grows 12% to $6.08 billion. That would snap a four-quarter string of slowing Visa earnings growth.
Comcast earnings are Thursday. Comcast earnings are seen climbing 15% to 75 cents a share with revenue up 22% to $27.067 billion.
Trader Georgi Bozhidarov