We ended the week with a not-so-great jobs report for November indicating that the latest coronavirus spike has really put a damper on hiring and economic growth -- BUT, we also ended the week with the Dow Jones Industrials closing over 30,000 and the Nasdaq and S&P 500 continuing their 2020 climb.

All 3 major indexes were up for the week ended 2020-12-04. The Dow Jones Industrial average ended the week at 30,218 an increase of 1.0%. The broader S&P 500 index ended the week at 3,699 an increase of 1.7%. The Nasdaq 100 ended the week at 12,528 an increase of 2.2%. The average change for the major averages was up 1.63%.

With all 3 indexes up again this week, the year-to-date levels climbed to new highs as well with the Dow Jones Industrials up 5.9% for the year, the S&P 500 up 14.5% for the year and the Nasdaq Composite up 39.6% for the year.

Investment Style View

If you are a dividend investor, dividend stocks increased in the last week by 2.0%, with the iShares Dividend price climbing from $95.67 to $97.54.

In the latest week, mid cap stocks outpaced both small cap and large cap stocks. Mid-cap stocks increased by 2.1% for the week while large-cap stocks increased by 1.9% and small-cap stocks increased by 1.8%.

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 2.2% as compared to 1.5%. Mid-cap value stocks outperformed mid-cap growth stocks 1.9% as compared to 1.4%. Finally, Small-cap value stocks outperformed small-cap growth stocks 2.5% as compared to 1.8%.

Sector View

While all of the major indexes climbed this week, it was an imperfect move up (kidding of course). Ten of the 11 sectors notched gains this week with the Utility sector being the only sector with a decline for the week.

The Utility sector lost 1.97% this past week as the lone declining sector. This sector has been a bit choppy since the election with a gain last week (all sectors grew last week) and a big drop 2 weeks ago (the week ended 11/20).

Ten sectors grew last week with the Energy sector leading the way at +4.55%, Healthcare at +2.78%, Information Technology at +2.56%, the Financial sector at +2.07% and the Communication Services at +2.0% all climbing 2% or more this week.

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

There were a little over 100 earnings releases this past week with a number of technology companies reporting with some mixed results (mixed on the performance of the stock after the report). Salesforces earnings report came right after they announced the acquisition of Slack after falling a little short on their revenue expectation for the latest quarter.

  • Salesforce.com, Corporation. (CRM) announced earnings after the market close on 2020-12-01. Earnings came in at $1.74 the analyst consensus was $0.74, a difference of $1.00 per share. Revenue estimates were $5,246M but came in at $5,419M, a difference of $173M. Shares closed the prior day at $241.35 a share and closed the day at $220.78 a decline of -8.5%.
  • Docusign Inc. (DOCU) announced earnings after the market close on 2020-12-03. Earnings came in at $0.22 the analyst consensus was $0.12, a difference of $0.10 per share. Revenue estimates were $360M but came in at $383M, a difference of $23M. Shares closed the prior day at $231.01 a share and closed the day at $243.22 an increase of 5.3%.
  • Snowflake Inc. (SNOW) announced earnings after the market close on 2020-12-02. Earnings came in at $-0.28 the analyst consensus was $-0.27, a difference of $-0.01 per share. Revenue estimates were $147M but came in at $160M, a difference of $13M. Shares closed the prior day at $292.69 a share and closed the day at $339.89 an increase of 16.1%.
  • Zoom Video Communications. (ZM) announced earnings after the market close on 2020-11-30. Earnings came in at $0.99 the analyst consensus was $0.75, a difference of $0.24 per share. Revenue estimates were $695M but came in at $777M, a difference of $83M. Shares closed the prior day at $478.36 a share and closed the day at $406.31 a decline of -15.1%.
  • Crowdstrike Holdings. (CRWD) announced earnings after the market close on 2020-12-02. Earnings came in at $0.08 the analyst consensus was $0.00, a difference of $0.08 per share. Revenue estimates were $214M but came in at $232M, a difference of $19M. Shares closed the prior day at $141.84 a share and closed the day at $161.19 an increase of 13.6%.
  • Dollar General. (DG) announced earnings after the market close on 2020-12-03. Earnings came in at $2.31 the analyst consensus was $1.99, a difference of $0.32 per share. Revenue estimates were $8,139M but came in at $8,200M, a difference of $61M. Shares closed the prior day at $217.54 a share and closed the day at $214.49 a decline of -1.4%.
  • The Kroger Co. (KR) announced earnings after the market close on 2020-12-03. Earnings came in at $0.71 the analyst consensus was $0.66, a difference of $0.05 per share. Revenue estimates were $29,978M but came in at $29,723M, a difference of $-255M. Shares closed the prior day at $32.29 a share and closed the day at $30.88 a decline of -4.4%.
  • Okta, Inc. (OKTA) announced earnings after the market close on 2020-12-02. Earnings came in at $0.04 the analyst consensus was $-0.01, a difference of $0.05 per share. Revenue estimates were $203M but came in at $217M, a difference of $15M. Shares closed the prior day at $230.21 a share and closed the day at $242.35 an increase of 5.3%.


Dividend Payments

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

  • Spark Energy (SPKE) paid a dividend of $0.18 on 2020-11-30. The stock closed at $9.28 giving an estimated yield of 7.8%.
  • H&R Block (HRB) paid a dividend of $0.26 on 2020-12-04. The stock closed at $18.19 giving an estimated yield of 5.7%.
  • Kronos Worldwide Inc (KRO) paid a dividend of $0.18 on 2020-11-30. The stock closed at $13.75 giving an estimated yield of 5.2%.
  • Nordic American Tanker Shipping Ltd (NAT) paid a dividend of $0.04 on 2020-12-01. The stock closed at $3.05 giving an estimated yield of 5.2%.

  • The Week Ahead

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

    • Monday: The Federal Reserve reports on consumer credit for October. Economists are forecasting a level of $4.2 Trillion, which is on pace for a yearly decline for the first time in a decade.
    • Tuesday: The Small Business Optimism index is released by the National Federation of Independent Business with an estimated reading of 103, slightly below October.
    • Wednesday: The Bureau of Labor Statistics reports on JOLTS for October. This is the Jobs, Openings and Labor Turnover report. Economists are looking for 6.44 million open jobs for October, about the same as September.
    • Thursday: the BLS reports on the Consumer Price Index for November with an expected increase of 1.1% over 2019.
    • Friday: the University of Michigan reports on Consumer Sentiment for December with an estimated 76.3 reading, a slight drop from November.

    This will be a lighter earnings release week as we come towards the end of the quarter and year:

    • Monday: Coupa Software, Toll Brothers
    • Tuesday: Auto-Zone, Brown-Forman, Chewy
    • Wednesday: Campbell Soup
    • Thursday: Adobe, Broadcom
    • 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.