Earnings Expectations for the Week of July 25

The earnings crunch continues this week even as the month of July winds to a close. Quarterly reports of note scheduled for the week include those from Netflix NFLX, United Parcel Service UPS, Exxon Mobil XOM, Starbucks SBUX, Merck MRK and Dow Chemical DOW, all of which are expected to post earnings growth. Here's a day-by-day rundown of the most anticipated quarterly reports of the week. Monday Kimberly Clark KMB, Netflix NFLX and Texas Instruments TXN get the week's flood of quarterly reports started. But analysts expect Kimberly Clark and Texas Instruments to post earnings lower than a year ago: down about a nickel per share to $1.15 for the former and down about a dime per share to $0.53 for the latter. Netflix earnings, on the other hand, are expected to be up 27.9% year over year to $1.11 per share, with revenues 52.3% higher to $791.5 million. Other companies anticipated to post double-digit EPS growth on Monday include:
  • Baker Hughes BHI: EPS up 60.4% to $0.91
  • Baidu BIDU: EPS up 46.9% to $0.66
  • Anadarko Petroleum APC: EPS up 46.7% to $0.92
  • Eaton ETN: EPS up 28.4% to $0.95
Tuesday United Parcel Service UPS is on deck Tuesday. This economic bellwether is forecast to report per-share earnings of $1.04 and revenues of $13.1 billion, which is up from $0.84 and $12.2 billion a year ago. But anyone looking for economic signals from Amazon.com AMZN, Ford F or Lockheed Martin LMT maybe be disappointed if they don't offer positive surprises Tuesday, because analysts expect them to report per-share earnings that are lower than a year ago. Earnings declines are also expected from JetBlue Airways JBLU, Lexmark LXK and Supervalu SVU. Analysts are looking for net losses from Eastman Kodak EK, Electronic Arts ERTS and Office Depot ODP. Among the day's many anticipated earnings winners are:
  • Dreamworks Animation DWA: EPS up 32.5% to $0.40
  • Hershey HSY: EPS up 5.6% to $0.54
  • Las Vegas Sands LVS: EPS up 61.4% to $0.44
  • Norfolk Southern NSC: EPS up 18.8% to $1.28
  • T. Rowe Price TROW: EPS up 23.4% to $0.77
  • 3M MMM: EPS up 3.8% to $1.60
  • Valero Energy VLO: EPS up 35.8% to $1.45
Wednesday Anticipated double-digit earnings gainers for Hump Day include:
  • Aflac AFL: EPS up 12.4% to $1.54
  • Cliffs Natural Resources CLF: EPS up 47.5% to $3.66
  • ConocoPhillips COP: EPS up 24.4% to $2.21
  • Dow Chemical DOW: EPS up 33.3% to $0.81
  • Hess HES: EPS up 42.2% to $1.99
  • Ryder System R: EPS up 24.7% to $0.77
  • Visa V: EPS up 21.1% to $1.23
  • Whole Foods WFMI: EPS up 20.8% to $0.48
Also look for earnings growth from Aetna AET, Crocs CROX, Dr Pepper Snapple DPS, General Dynamics GD, Moody's MCO, O'Reilly Automotive ORLY, Torchmark TMK and Wyndham Worldwide WYN. Analysts expect to see smaller earnings from Boeing BA, Corning GLW and Delta Airlines DAL. Thursday The quarterly reports continue to roll out on Thursday, highlighted by the following:
  • Exxon Mobil XOM: EPS up 31.3% to $2.33 on revenues of $121.4 billion (up 31.3%)
  • Starbucks SBUX: EPS up 14.7% to $0.34 on revenues of $2.9 billion (up 8.9%)
  • Kellogg K: EPS up 13.2% to $0.91 on revenues of $3.2 billion (up 7.3%)
  • Raytheon RTN: EPS up 51.7% to $1.16 on revenues of $6.2 billion (up 3.6%)
Earnings expectations are also high for Coinstar CSTR and Motorola Solutions MSI. Analysts are looking for the coin-counting and DVD rental kiosk operator to report per-share earnings of $0.81 and revenues of $445.9 million, which is up from $0.39 and $342.4 million a year ago. The consensus forecast for the communication equipment giant calls for $0.51 per share earnings (up 45.1%) but revenues of $2.0 billion (down 62.6%). Others expected to post earnings growth on Thursday include Automatic Data Processing ADP, Bristol Myers Squibb BMY, Colgate Palmolive CL, DuPont DD, Goodyear Tire GT, Nobel Energy NBL, Royal Caribbean Cruises RCL and Time Warner Cable TWC. Coca-Cola Enterprises CCE, Dominion Resources D and MetLife MET are expected to report smaller earnings, as compared to the same period of last year. Net losses are anticipated from Liz Claiborne LIZ and Sprint Nextel S. Friday Chevron CVX and Merck MRK will highlight Friday reports. Here's what analysts foresee:
  • Chevron: EPS up 24.2% to $3.56 and revenues 40.2% higher to $71.6 billion
  • Merck: EPS up 9.5% to $0.95 and revenues 3.8% higher to $11.8 billion
Also look for earnings growth from American Electric Power AEP, ITT ITT and Newmont Mining NEM as well. Per-share earnings from Amgen AMGN, Newell Rubbermaid NWL and Weyerhauser WY are anticipated to be lower than a year ago.
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