Since the election is now a couple of weeks behind us and barring a couple of lawsuits and runoffs there's a clearer picture of the political landscape for the next 2 years, the 'market' has returned to looking at things in a different way. Right now much of the focus is once again on getting the virus under control and getting both the economy and the job market back into shape.

All 3 major indexes were down for the week ended 2020-11-20. The Dow Jones Industrial average ended the week at 29,263 a decline of 0.7%. The broader S&P 500 index ended the week at 3,558 a decline of 0.8%. The Nasdaq 100 ended the week at 11,906 a decline of 0.3%. The average change for the major averages was down 0.59%.

This weeks performance pushed the year-to-date market indicators down a bit this week, all are still positive for the year, but a little less-so. The Dow Jones Industrials has been the laggard this year and is not up 2.5% on the year, the S&P 500 is up 10.1% for the year and the leading Nasdaq Composite is up 32.7% for the year.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 0.5%, with the iShares Dividend price climbing from $91.82 to $92.28.

In the latest week, small cap stocks outpaced both large cap and large cap stocks. Small-cap stocks increased by 2.6% for the week while large-cap stocks decreased by 1.3% and mid-cap stocks increased by 0.3%.

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 value stocks outperformed large-cap growth stocks this week 0.2% vs. -0.2%. Mid-cap growth stocks outperformed Mid-cap value stocks this week 2.2% vs. 0.9%. Small-cap value stocks outperformed Small-cap growth stocks this week 3.1% vs. 1.8%.

Sector View

This past week gave us a rare opportunity to pick some winners and losers based on the performance of the sectors. The sectors were fairly well split this week with 5 sectors gaining and 6 sectors losing ground this week.

The sectors that lost some ground this week were some of the biggest gainers last week. The Utilities sector lead the decliners this week with a drop of 3.54% followed by Healthcare (-2.4%) and Consumer Staples (-1.4%).

The leading sector this week, Energy followed up last weeks' huge 16.6% gain with another 5.7% this week followed by the Consumer Discretionary sector (+2.0%), the Industrials sector (+1.3%) and the Materials sector (+1.1%).

Please note, this coming week we will be releasing a set of pages that will be automatically updated every Saturday. This collection of pages will provide performance comparisons of each sector against the S&P500 over the last month and year and will also provide a set of investment style comparisons - like small-cap vs large-cap or dividends vs growth stocks. Stay tuned, this is looking pretty useful.



Earnings Roundup

A lot of the biggest 'story' stocks have reported earnings this quarter, but there were still over 300 earnings reports this week, many of the big ones were from retailers leading into the important holiday sales season.

  • The Home Depot, Incorporated. (HD) announced earnings after the market close on 2020-11-17. Earnings came in at $3.18 the analyst consensus was $3.08, a difference of $0.10 per share. Revenue estimates were $32,032M but came in at $33,536M, a difference of $1,504M. Shares closed the prior day at $279.57 a share and closed the day at $272.47 a decline of -2.5%.
  • Lowes Companies. (LOW) announced earnings after the market close on 2020-11-18. Earnings came in at $1.98 the analyst consensus was $1.97, a difference of $0.01 per share. Revenue estimates were $21,076M but came in at $22,309M, a difference of $1,233M. Shares closed the prior day at $159.86 a share and closed the day at $146.74 a decline of -8.2%.
  • Nvidia Corporation. (NVDA) announced earnings after the market close on 2020-11-18. Earnings came in at $2.91 the analyst consensus was $2.57, a difference of $0.34 per share. Revenue estimates were $4,418M but came in at $4,726M, a difference of $308M. Shares closed the prior day at $537.15 a share and closed the day at $537.61 an increase of 0.1%
  • Walmart Inc. (WMT) announced earnings after the market close on 2020-11-17. Earnings came in at $1.34 the analyst consensus was $1.19, a difference of $0.15 per share. Revenue estimates were $133,001M but came in at $134,708M, a difference of $1,707M. Shares closed the prior day at $152.44 a share and closed the day at $149.37 a decline of -2.0%.


Dividend Payments

Now that our backend database has been fixed, here are some of the better dividend payments this past week.

  • Valero Energy Corp (VLO) paid a dividend of $0.98 on 2020-11-17. The stock closed at $54.15 giving an estimated yield of 7.2%.
  • Adams Express Company (ADX) paid a dividend of $0.95 on 2020-11-20. The stock closed at $16.55 giving an estimated yield of 6.6%.
  • Umpqua Holdings Corp (UMPQ) paid a dividend of $0.21 on 2020-11-19. The stock closed at $14.2 giving an estimated yield of 5.9%.
  • Phillips 66 (PSX) paid a dividend of $0.90 on 2020-11-16. The stock closed at $62.62 giving an estimated yield of 5.7%.
  • Marathon Petroleum Corp (MPC) paid a dividend of $0.58 on 2020-11-17. The stock closed at $40.61 giving an estimated yield of 5.7%.

  • The Week Ahead

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

    • Monday: IHS Markit releases its Manufacturing and Services Purchasing Managers' Indices for November with economists expecting lower readings than October with Manufacturing at 53 and Services at 56.5
    • Tuesday: The Conference Board releases its Consumer Confidence Index for November with an anticipated lower reading (98) as compared to October (100.9).
    • Wednesday: The Federal Open Market Committee releases minutes of their November meeting.
    • Thursday: US Markets are closed for Thanksgiving
    • Friday: It's BLACK FRIDAY!

    This will be a lighter earnings release week with the US Markets being closed for Thanksgiving, but here is what we are looking for this week:

    • Monday: Agilent Technologies
    • Tuesday: Autodesk, Best Buy, Dell Technologies, VMWare, Hormel Foods
    • Wednesday:
    • Thursday: US Markets are closed for Thanksgiving
    • Friday: Shortened trading day, stock exchanges close at 11

    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.