For Immediate Release
Chicago, IL – October 4, 2010 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes Alcoa (AA), Costco (COST), Marriott (MAR), Monsanto (MO) and Pepsico (PEP).
To see more earnings analysis, visit http://at.zacks.com/?id=3207.
Employment, Not Earnings
Next week is the “official” start of the third quarter earnings season. However, Alcoa (AA), the place kicker that gets the game started will not report until Thursday. Thus, we still have a pretty light earnings release schedule, with a total of only 33 firms, but that includes 8 from the S&P 500.
We define any fiscal period ending in August, September and October to be the third quarter. So we have already been getting some “pre-season games” of firms with fiscal periods that end in August, but those have just been a trickle. The following week will bring the flood. However, the eight from the S&P 500, provide an interesting cross section of the market, including Costco (COST), Marriott (MAR), Monsanto (MO) and Pepsico (PEP). Together they should give some interesting clues on the overall economy.
The focus of the week is going to be much more on jobs than on earnings. The most important report of the week will be the employment report on Friday. Before then, the market will be looking at the appetizers for that report like the ADP payroll numbers, and as always the weekly initial unemployment claims report.
We are likely to see an increase in both the number of people working, and in the unemployment rate. The rise in the unemployment rate will likely mostly come from an increase in the participation rate in the labor force. Changes in the unemployment rate are likely to have significant political implications as well with the midterm elections rapidly approaching.
Dirk Van Dijk, CFA, is the Chief Equity Strategist for Zacks.com.
About the Zacks Rank
Since 1988, the Zacks Rank has proven that “Earnings estimate revisions are the most powerful force impacting stock prices.” Since inception in 1988, #1 Rank Stocks have generated an average annual return of +28%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have underperformed the S&P 500 (+2% versus +10%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.
Zacks “Profit from the Pros” e-mail newsletter offers continuous coverage of the industries and the stocks poised to outperform the market. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=5614.
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it’s your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros by going to http://at.zacks.com/?id=5615.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Contact: Dirk Van Dijk, CFA
Company: Zacks.com
Phone: 312-265-9211
Email: pr@zacks.com
Visit: www.Zacks.com
ALCOA INC (AA): Free Stock Analysis Report
COSTCO WHOLE CP (COST): Free Stock Analysis Report
MARRIOTT INTL-A (MAR): Free Stock Analysis Report
ALTRIA GROUP (MO): Free Stock Analysis Report
PEPSICO INC (PEP): Free Stock Analysis Report
Zacks Investment Research
