Here’s your Investing Action Plan for Tuesday: what you need to know as an investor for the coming day.
An earnings tsunami will hit, led by big names such as McDonald’s (MCD), General Motors(GM), Caterpillar (CAT), United Technologies(UTX) and Lockheed Martin (LMT). But that’s just the beginning. Here are some other companies reporting Tuesday as well: AT&T(T), Eli Lilly (LLY), Edwards Lifesciences (EW), Illumina (ILMN), 3M (MMM), Advanced Micro Devices (AMD), MKS Instruments (MKSI), Texas Instruments (TXN), Sherwin-Williams (SHW) and Stanley Black & Decker (SWK).
The Golden Arches reports Q3 results before the market opens.
Estimates: EPS to drop 24% to $2.66 as revenue edges up less than 0.1% to $24.06 billion, according to Zacks Investment Research. Analysts polled by Consensus Metrix see same-store sales growth of 4.5%, with U.S. comps up 3.4%.
Stock: Shares were down 1.2% at 164.24 in afternoon trading on the stock market today but remain in buy range.
Last month, Longbow Research said McDonald’s was on track to report consensus-beating U.S. same-store sales growth for the third quarter, helped by cheaper drinks and fancier sandwiches. This followed an earlier report from analytics firm M Science that said McDonald’s domestic same-store sales and revenue were on track to miss expectations.
Chipotle Mexican Grill (CMG) reports after the close, and Burger King parent Restaurant Brands International (QSR) reports on Thursday.
The auto giant reports Q3 numbers before the open.
Estimates: EPS to fall 38% to $1.07 as revenue declines 15.6% to $36.16 billion.
Stock: Shares were down 0.3% at 45.49 but are still in profit-taking sell territory after breaking out last month.
Analysts have been debating how well-positioned GM is for the future auto market, with Deutsche Bank recently predicting GM’s commercial deployment of autonomous cars will happen much sooner than expected and RBC Capital Markets dismissing expected payoffs from GM’s moves as too lofty.
Meanwhile, carmakers are ramping up in electric vehicles, while curbing domestic production capacity of conventional cars as demand cools off, especially for sedans and compact cars.
Fiat Chrysler (FCAU) also reports early Tuesday, and Ford (F) reports on Thursday.
The maker of construction and mining equipment reports Q3 financials before the opening bell.
Estimates: EPS to jump 43.5% to $1.22, as revenue climbs 15.8% to $10.61 billion.
Stock: Shares were up 0.6% at 132.16, hitting another record high. The stock has surged more than 40% so far this year.
Commodities have rebounded, lifting demand for heavy equipment, and housing markets in the U.S. and China remain robust. But Caterpillar also faces a federal tax investigation and has contested a package of taxes and penalties the IRS has proposed.
Read more: http://www.investors.com/research/investing-action-plan/mcdonalds-gm-lockheed-caterpillar-united-tech-investing-action-plan/