The election is behind us, the legal battles are still moving along and a split congress will come down to 2 runoff elections in Georgia for both of their senate seats. None of that really mattered this week as hopes for a coronavirus vaccine got a huge boost this week when Pfizer announced the roughly 90% success rate for the vaccine that they were working on. That drove the markets for much of the week as lockdowns and coronavirus cases are on the rise.

The major indexes ended the week mixed for the week ended 2020-11-13. The Dow Jones Industrial average ended the week at 29,480 an increase of 4.1%. The broader S&P 500 index ended the week at 3,585 an increase of 2.2%. The Nasdaq 100 ended the week at 11,938 a decline of 1.3%. The average change for the major averages was up 1.66%.

This weeks' mixed performance allowed all of the major indexes to be positive for the year. The Dow Jones Industrial Average, which has lagged all year is not up 3.3% year-to-date. The S&P 500 is now up by 11% this year and the Nasdaq 100 is up 33% for the year.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 7.5%, with the iShares Dividend price climbing from $85.42 to $91.82.

In the latest week, small cap stocks outpaced both large cap and large cap stocks. Small-cap stocks increased by 6.6% for the week while large-cap stocks increased by 2.8% and mid-cap stocks increased by 4.1%.

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, the value stocks of all 3 capitalization groups outperformed the growth stocks. Large-cap value stocks outperformed large-cap growth stocks 6.4% as compared to -1.3%. Mid-cap value stocks outperformed mid-cap growth stocks 7.2% as compared to -2.4%. Finally, Small-cap value stocks outperformed small-cap growth stocks 9.8% as compared to 0.3%.

Sector View

Most of the market sectors performed very well this week, with the exception of 2 sectors which declined. Two of the sectors that have performed extremely well during this 'stay at home' period declined a bit this week.

The two sectors with declines for the week were; the Consumer Discretionary sector, which declined by 1.33% and the Information Technology sector, which declined by 0.65%. In comparison with the increases, these declines were not terribly large, but reflect the view that the potential end of the coronavirus could stifle the nearly guaranteed growth that these sectors have experienced is now behind them.

The remaining 9 sectors all posted gains this week. One of the most beat up sectors lead the way this week with the Energy sector climbing 16.6% for the week. The Financial sector, Real Estate and Industrials sectors posted impressive gains this week. The Financials grew by 8.3%, Real Estate by 7.0% and Industrials by 5.4% for the week.



Earnings Roundup

We are a little behind the peak of earnings season now, but there were still some large names in the over 900 earnings reports that came this week.

  • The Walt Disney Corporation. (DIS) announced earnings after the market close on 2020-11-12. Earnings came in at $-0.20 the analyst consensus was $-0.68, a difference of $0.48 per share. Revenue estimates were $14,337M but came in at $14,707M, a difference of $370M. Shares closed the prior day at $135.52 a share and closed the day at $138.36 an increase of 2.1%.
  • Applied Materials. (AMAT) announced earnings after the market close on 2020-11-12. Earnings came in at $1.25 the analyst consensus was $1.17, a difference of $0.08 per share. Revenue estimates were $4,604M but came in at $4,688M, a difference of $84M. Shares closed the prior day at $69.80 a share and closed the day at $72.81 an increase of 4.3%.
  • Cisco Systems. (CSCO) announced earnings after the market close on 2020-11-12. Earnings came in at $0.76 the analyst consensus was $0.71, a difference of $0.05 per share. Revenue estimates were $11,877M but came in at $11,929M, a difference of $52M. Shares closed the prior day at $38.67 a share and closed the day at $41.40 an increase of 7.1%.
  • Brookfield Assets. (BAM) announced earnings after the market close on 2020-11-12. Earnings came in at $0.10 the analyst consensus was $0.00, a difference of $0.10 per share. Revenue estimates were $0M but came in at $16,249M, a difference of $16,249M. Shares closed the prior day at $37.70 a share and closed the day at $36.01 a decline of -4.5%.
  • Alcon Inc. (ALC) announced earnings after the market close on 2020-11-10. Earnings came in at $0.39 the analyst consensus was $0.18, a difference of $0.21 per share. Revenue estimates were $1,623M but came in at $1,838M, a difference of $215M. Shares closed the prior day at $64.73 a share and closed the day at $64.90 an increase of 0.3%.
  • Rocket Companies. (RKT) announced earnings after the market close on 2020-11-10. Earnings came in at $1.21 the analyst consensus was $1.03, a difference of $0.18 per share. Revenue estimates were $4,339M but came in at $4,634M, a difference of $295M. Shares closed the prior day at $21.60 a share and closed the day at $21.06 a decline of -2.5%.
  • Rockwell Automation. (ROK) announced earnings after the market close on 2020-11-10. Earnings came in at $1.87 the analyst consensus was $1.77, a difference of $0.10 per share. Revenue estimates were $1,573M but came in at $1,570M, a difference of $-3M. Shares closed the prior day at $254.74 a share and closed the day at $249.05 a decline of -2.2%.
  • Sumitomo Mitsuibishi. (SMFG) announced earnings after the market close on 2020-11-11. Earnings came in at $0.00 the analyst consensus was $0.00, a difference of $0.00 per share. Revenue estimates were $0M but came in at $0M, a difference of $0M. Shares closed the prior day at $5.97 a share and closed the day at $6.03 an increase of 1.0%.


Dividend Payments

This will be returning soon, we have an issue with our data provider.

  • Arbor Realty Trust (ABR) paid a dividend of $0.32 on 2020-11-13. The stock closed at $12.67 giving an estimated yield of 10.1%.
  • Exxon Mobil Corp (XOM) paid a dividend of $0.87 on 2020-11-10. The stock closed at $36.86 giving an estimated yield of 9.4%.
  • Enbridge Inc (ENB) paid a dividend of $0.61 on 2020-11-12. The stock closed at $28.94 giving an estimated yield of 8.4%.
  • Archrock Inc (AROC) paid a dividend of $0.15 on 2020-11-10. The stock closed at $7.43 giving an estimated yield of 7.8%.

  • The Week Ahead

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

    • Monday: The Federal Reserve Bank of NY releases its manufacturing index for November with an anticipated reading of 15.5 as compared to Octobers' 10.5 reading.
    • Tuesday: The Census Bureau reports on retail sales for October with an expected increase of 0.5% over September.
    • Wednesday: The Census Bureau reports on new residential construction for October with economists looking for an annual rate of 1.47 million units, even with September.
    • Thursday: The Labor Department reports on initial jobless claims after this weeks' 709,000 initial claims, the fewest since the lockdowns started.
    • Friday:

    Earnings season continues this week with the following releases to watch:

    • Monday: Baidu, JD.com, Tyson Foods
    • Tuesday: Home Depot, Walmart
    • Wednesday: L Brands, Lowe's, Nvidia, Target
    • Thursday: Intuit, Ross Stores, Workday
    • Friday: Trip Advisor, Live Nation

    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.