This was another record setting week with the final index breaking and erasing all of the losses for the year with the Dow Jones Industrial Average now at a 0.4% increase for the year. There was another initial unemployment claim report (for last week) that exceeded a million new filings, a very light earnings week with only 164 reports this week and a very good personal income report where personal incomes (for July) increased by 0.4% where the expectation had been a decline of 0.4%.

All 3 major indexes were up for the week ended 2020-08-28. The Dow Jones Industrial average ended the week at 28,654 an increase of 2.6%. The broader S&P 500 index ended the week at 3,508 an increase of 3.3%. The Nasdaq 100 ended the week at 11,996 an increase of 3.8%. The average change for the major averages was up 3.22%.

The Nasdaq Composite continues to lead the way with a huge 33.7% increase year-to-date, the S&P 500 is up 8.6% for the year and as mentioned above, the Dow Jones Industrial is now up 0.4% for the year.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 2.6%, with the iShares Dividend price climbing from $83.43 to $85.64.

In the latest week, small cap stocks outpaced both large cap and large cap stocks. Small-cap stocks increased by 2.3% for the week while large-cap stocks increased by 2.1% and mid-cap stocks increased by 2.0%.

In order for us to monitor the performance difference between growth and value stocks, we look at the different capitalization levels (large, mid and small cap). In the latest week, there was a mixture in performance between growth and value stocks based on the capitalization of the underlying companies. Large-cap growth stocks outperformed large-cap value stocks this week 5.0% vs. 2.2%. Mod-cap value stocks outperformed Mid-cap growth stocks this week 3.2% vs. 2.1%. Small-cap value stocks outperformed Small-cap growth stocks this week 3.7% vs. 1.3%.

Sector View

This was a very strong week with only one sector declining this week and all but one of the sectors that increased, all increased by more than 1% for the week.

The only declining sector this week was the Utilities sector which declined by 0.58%.

Three of the ten sectors that increased this week did so by more than 4%. The Communication Services sector grew by 4.51% this week, Financials grew by 4.4% amd the Information Technology sector increased by 4.3%. The Healthcare sector which grew by 0.81% this week was the weakest of the growing sectors.



Earnings Roundup

Only 164 companies reported earnings this week, with no real 'theme' for this week. Some of the biggest companies reporting earnings this week were:

  • Salesforce.com, Inc. (CRM) announced earnings after the market close on 2020-08-25. Earnings came in at $1.44 the analyst consensus was $0.67, a difference of $0.77 per share. Revenue estimates were $4,899M but came in at $5,151M, a difference of $252M. Shares closed the prior day at $216.05 a share and closed the day at $272.32 an increase of 26.0%.
  • Intuit Inc. (INTU) announced earnings after the market close on 2020-08-25. Earnings came in at $1.81 the analyst consensus was $1.21, a difference of $0.60 per share. Revenue estimates were $1,571M but came in at $1,816M, a difference of $245M. Shares closed the prior day at $336.42 a share and closed the day at $342.34 an increase of 1.8%.
  • Medtronic Plc (MDT) announced earnings after the market close on 2020-08-25. Earnings came in at $0.62 the analyst consensus was $0.21, a difference of $0.41 per share. Revenue estimates were $5,375M but came in at $6,507M, a difference of $1,132M. Shares closed the prior day at $100.13 a share and closed the day at $102.59 an increase of 2.5%.
  • Vmware, Inc. (VMW) announced earnings after the market close on 2020-08-27. Earnings came in at $1.81 the analyst consensus was $1.45, a difference of $0.36 per share. Revenue estimates were $2,802M but came in at $2,875M, a difference of $73M. Shares closed the prior day at $142.90 a share and closed the day at $146.09 an increase of 2.2%.


Dividend Payments

We've resumed the updates of this section after getting a new update of this data

  • Brookfield Property Partners L (BPY) paid a dividend of $0.33 on 2020-08-28. The stock closed at $11.9 giving an estimated yield of 11.2%.
  • Centurylink (CTL) paid a dividend of $0.25 on 2020-08-28. The stock closed at $10.99 giving an estimated yield of 9.1%.
  • Nu Skin Enterprises (NUS) paid a dividend of $0.38 on 2020-08-27. The stock closed at $47.11 giving an estimated yield of 3.2%.
  • Flowers Foods (FLO) paid a dividend of $0.20 on 2020-08-27. The stock closed at $24.75 giving an estimated yield of 3.2%.


The Week Ahead

Big Economic and other data {or big events} being reported this week are:

  • Monday: The Federal Reserve Bank of Dallas releases its Texas Manufacturing Outlook Survey for August.
  • Tuesday: The Census Bureau releases its construction spending report for July with an expected 1% monthly gain to a seasonally adjusted $1.36 Trillion.
  • Wednesday: ADP releases its National Employment Report for August with an expected increase of 1.1 million jobs after adding 167K jobs in July.
  • Thursday: The Department of Labor reports initial jobless claims for the week ended August 29
  • Friday: The Bureau of Labor Statistics releases its August jobs report with an expectation that 1.5 million nonfarm jobs will have been added after 1.8 million were added in July.

This weeks earnings releases to watch are:

  • Monday: Zoom Video Communications
  • Tuesday: H&R Block
  • Wednesday: Five Below, Brown-Forman
  • Thursday: Broadcom, Campbell Soup, DocuSign
  • Friday:

Authors Note: Please note, the writer currently owns no individual stocks.

About the Writer

This page was created and is maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt is an executive, data scientist and software engineer who holds an MBA in Management Information Systems. In 2010, he partnered with scientists at Northwestern University to launch The Street Wire. This was one of the first mainstream uses of what would become “Narrative Science”, an artificial intelligence platform specializing in natural language generation. You can contact Kurt on LinkedIn here.