Airlines, oil services, and some tech giants will dominate the second major week of the June 30 US earnings season.
Corporate heavyweights including Microsoft, Tesla, Intel, AT&T, Schlumberger, and Verizon Communications.
It’s early days in the June quarter earnings reporting season with less than 10% of S&P 500 companies reporting so far but there have been some better than expected results from JPMorgan Chase, Citi, Goldman Sachs, Johnson & Johnson, Netflix (for the quarter but not going forward) and Abbot Labs.
Small-cap companies are expected to post a year-over-year earnings declines of nearly 90% as companies report their second-quarter results over the next several weeks, compared to a 67% slide for mid-caps and 44% for large-caps, according to analysts.
The falls will happen next week when energy giants like Shell, BP, Exxon Mobil, and Chevron report but this week will see a hint with the three biggest oil services firms, Schlumberger, Halliburton and Baker Hughes which are all expected to report more losses and write-downs in a repeat of their first quarters.
But their losses will pale next to the flood of red ink from American Airlines, Southwest, Spirit Airlines, United Airlines, Jet Blue and Alaska Airlines. They are friendless and struggling and existing on government aid.
Delta, of the big four US carriers last week gave us a big hint – a loss for the quarter of $US5.7 billion for the three months to June. There will be more from its rivals.
But there are a host of other majors reporting next week – IBM, Coca Cola, Tesla, Snap, Kimberley Clark (how much will the dunny roll boom boost it’s bottom line), Lands End, Whirlpool, Mattel, Dow Inc, CSX and AutoNation.
