There seems to be a bit of profit taking ahead of profit season. Corporate earnings are the big X-factor in determining the sustainability of the most recent rally. The first quarter was likely a huge stinker and earnings will likely carry less weight in the market than the outlooks companies are giving. Are things the same, getting worse or getting better? What are companies saying about jobs? Are there any real surprises? While there are some big names releasing earnings this week, next week is when things really start getting interesting.
Emerson Electric (EMR) unch
Emerson cut its profit forecast for the year, citing falling demand and inventory reductions by customers. The company now expects earnings between $2.40 and $2.60 per share, down from $2.70 to $2.95 per share.
The company said the weak economy has taken a toll on Emerson’s residential, nonresidential and capital businesses.
WellPoint (WLP) +2.27% UnitedHealth Group (UNH) +6.93%
Insurers with U.S. Medicare-backed health plans for the elderly and disabled advanced after Centers for Medicare and Medicaid Services announced a rate increase of 0.8 percent in 2010, higher than originally proposed.
Quick Hits
- Gates Cuts to Boeing, Lockheed Spur Fight in Congress
- Cisco Forges Ahead With Acquisitions as Technology Companies Cut Spending
Peter Lazaroff, Junior Analyst
No comments:
Post a Comment