This week, earnings season finally started in earnest with about 60 S&P 500 companies making their announcements with the results of their 2017 fourth quarters. Many of the companies that are reporting this week are large banks, so you’ll likely be familiar with many of them.
For instance, BB&T Corporation (BBT), M&T Bank Corporation (MTB), and Morgan Stanley (MS) all reported their earnings earlier this morning before the market opened. And all three bested their respective analyst estimates. There were many other financial institutions that also exceeded analyst expectations on Thursday morning – so this is a great sign of economic stability and growth in the market right now. But it’s only one sign…
Coming up on Friday are other institutions you’re likely familiar with such as Citizens Financial Group, Inc. (CFG), SunTrust Banks, Inc. (STI), and Synchrony Financial (SYF), among others. It will be interesting to see how they fare.
As we move forward, stronger economic growth, less government regulations, and quicker lending should favor the banks. But those are all things that we’ve been hearing about for a while now, and none of them have, to this point, come to fruition.
In fact, my colleague and maverick stock market pioneer, Chris Johnson, is an expert when it comes to earnings.
He’s spent over two decades studying earnings price eruptions, and has invented a way to predict these explosive moves two days ahead of time.
And he’s already killing it on the heels of this earnings season.