..Here we go...
Tuesday, October 13, 2009 at 08:29AM Since the NFP report on October 2 and a test of the gap 1016-1018, the market has seemed ‘bullish’ towards this earnings season or has this rally just been a function of the weak USD ??. Today, we got up all the way up to 1079, a point off the Sept intraday high with inconclusive evidence this high is deservingly so, if based on earnings expectations.
So far, AA beat forecasts but its ~6% pop was met by sellers (the stock closed up ~2%). RPM struggled despite beating and raising. According to Barron’s, “in recent weeks, analysts have raised their estimates for 641 companies and lowered their marks for 383, bringing the positive-to-negative differential to 258 companies, or 17.2% of the S&P 1500. That's the most bullish in nearly two years.
Once again we moved higher on a low volume day (under 6bln), ES traded about 50% of its 10 day average, as investors wait for week 1 reports which will will be dominated by tech and financials. In tech land, there will be a slew of semis (INTC, AMD, XLNX, ALTR, CY, FCS, ASML, and others), as well as the first major enterprise firm (IBM ), and internet company (GOOG ). In financials, there will be only a few names, but they are some of the industry’s largest (JPM ) starts things off on Wed, GS/C come Thurs morning, and BAC/GE are Fri before the bell). There will also be some important health care companies (JNJ on Tues).
Interestingly, while we wait for big name earnings, a few DJIM's EPS' were in the headlines AMC with earnings related reports.
ININ – preannounced earnings; sees revs $32-34MM and EPS .28-.31 (St was .15 and $31MM). "Product and services revenues contributed to results for the quarter, both increasing compared to the same period last year," said Interactive Intelligence founder and CEO, Dr. Donald E. Brown. "We received two license orders that were each more than $1 million and eight other orders each worth more than $250,000. Company results were due to strong revenues and continued expense
management."
BWY acquires BLL’s plastic pail biz, raises guidance – Ball Corp announces sale of plastic pail plant to BWAY Corp for $32MM. BWY guides 4Q and FY adj EBITDA and EPS to high end of guidance range provided in early August; also sees adj FCF exceeding $50MM vs prior guidance of $46-48MM