April 12th – 16th Earnings Basket Weekly Special Report based on 1.00 Lot Calculation:
EARNINGS SEASON: APRIL 12 – 16
|
Company |
Ticker |
Sectors |
Earnings Date |
Time |
|
J.P. Morgan |
#JP_Morgan |
Banking and Financial Services |
April 12 |
PREMARKET |
|
Wells Fargo |
#WELLSFARGO |
Banking and Financial Services |
April 12 |
PREMARKET |
|
Citigroup |
#CITIGROUP |
Banking and Financial Services |
April 12 |
PREMARKET |
|
Goldman Sachs |
#GS |
Banking and Financial Services |
April 15 |
PREMARKET
|
|
Morgan Stanley |
#MORGAN_STA |
Banking and Financial Services |
April 16 |
PREMARKET
|
|
Bank Of America |
#BOA |
Banking and Financial Services |
April 16 |
PREMARKET
|
Source: Bloomberg
- TIMETABLE: The six stocks of consideration are expected to report their Q1 earnings mid-April. (January 12-16).
- SECTORS: The stocks belong to the Banking and Financial Sector. They are all part of S&P 500. J.P. Morgan and Goldman Sachs are also part of the prestigious Dow Jones Industrial Average.
- CURRENT ENVIRONMENT: Financial stocks have benefited from a rising interest rate environment as the benchmark interest rate in the US stands at the highest in more than 20 years (5.50%).
- EARNINGS PERFORMANCE: According to Bloomberg, the basket has beaten earnings and revenues expectations collectively 79.16% of the time over the last 8 quarters.
HISTORICAL PERFORMANCE (PAST 8 QUARTERS): EARNINGS and REVENUE
|
Company |
Earnings Beats Expectations |
Revenues Beats Expectations |
|
J.P. Morgan |
6 of 8 |
6 of 8 |
|
Wells Fargo |
7 of 8 |
5 of 8 |
|
Citigroup |
7 of 8 |
7 of 8 |
|
Goldman Sachs |
6 of 8 |
6 of 8 |
|
Morgan Stanley |
7 of 8 |
6 of 8 |
|
Bank Of America |
7 of 8 |
6 of 8 |
Source: Bloomberg
STOCK PRICE REACTION: BASED ON STATISTICAL ANALYSIS (PAST 8 QUARTERS)1
|
Downside potential |
Upside Potential |
|
-3.24% |
+8.15% |
|
Potential Profit/Loss on 1 lot of every stock in the basket2 |
|
|
-$34,573 |
$86,879 |
|
-€32,019 |
€80,459 |
|
-£27,470 |
£69,029 |
|
-C$47,135 |
C$118,444 |
Data Source on Stock Returns and Volatility: Bloomberg
Please note that past performance does not guarantee future performance.
1-Calculation Downside/Upside Potential: Average price reaction for all five stocks from 5 trading sessions after the earnings date release for the last 8 quarterly earnings releases.
2- Profit/Loss Calculation (**): Based on 1 lot (*) on each of the six stocks (6 lots). Range: based on the statistical analysis.
* J.P. Morgan, Citigroup, Morgan Stanley, bank of America and Goldman Sachs: 1.00 lot is equivalent to 1000 units. Wells Fargo: 1.00 lot is equivalent to 5000 units.
** Calculations for exchange rate used as of 14:20 (GMT+1) 05/04/2024.
TARGET LEVELS: SUPPORT AND RESISTANCE
|
Company |
Support |
Current Price |
Resistance |
|
J.P. Morgan |
$190 |
$196 |
$212 |
|
Wells Fargo |
$54 |
$56 |
$61 |
|
Citigroup |
$58 |
$60 |
$65 |
|
Goldman Sachs |
$389 |
$402 |
$435 |
|
Morgan Stanley |
$89 |
$92 |
$99 |
|
Bank Of America |
$35 |
$36 |
$39 |
Note: Support and Resistance Levels have been calculated by using upside and downside potential figures.
Please note that past performance does not guarantee future performance.
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account ManagerClient Manager regarding their use.
- You may wish to consider closing your position in profit, even if it is lower than suggested one
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