Overall we had a down week after several strong weeks, so 2 almost unbelievable IPOs aside this week, much of the market took a bit of a break this week. DoorDash and AirBNB started the week with a private combined value of $34 billion and ended the week as public companies with a combined value of $170 billion. Pretty insane.

All 3 major indexes were down for the week ended 2020-12-11. The Dow Jones Industrial average ended the week at 30,046 a decline of 0.6%. The broader S&P 500 index ended the week at 3,663 a decline of 1.0%. The Nasdaq 100 ended the week at 12,375 a decline of 1.2%. The average change for the major averages was down 0.92%.

With all 3 major indexes down for the week, the year-to-date figures also went down. The Dow dropped to a year-to-date gain of 5.3%, the S&P 500 gain is 13.4% for the year and the Nasdaq is now at +37.9% for the year.

Investment Style View

If you are a dividend investor, dividend stocks declined in the last week by 1.0%, with the iShares Dividend price declining from $97.54 to $96.59.

In the latest week, small cap stocks outpaced both large cap and large cap stocks. Small-cap stocks decreased by 0.2% for the week while large-cap stocks decreased by 0.4% and mid-cap stocks decreased by 0.6%.

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 -0.6% vs. -1.6%. Mid-cap growth stocks outperformed Mid-cap value stocks this week 0.4% vs. -1.0%. Small-cap growth stocks outperformed Small-cap value stocks this week 2.4% vs. -0.8%.

Sector View

Even with a down week, there were still two sectors of the market that had some pretty good gains.

There were 2 sectors that ended the week with gains. The Energy sector lead the way with a gain of 1.3% and the Communication Services sector gained 0.69% for the week.

This leaves 9 sectors with losses for the week. The Real Estate sector lead the way down with a drop of 2.29%, followed by the Financial sector (-1.35%), the Information Technology sector (-1%) and the Consumer Discretionary sector (-0.9%).

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

This was a fairly light earnings report week, but as usual there were still a few large names/companies with earnings releases:

  • Adobe Inc. (ADBE) announced earnings after the market close on 2020-12-10. Earnings came in at $2.81 the analyst consensus was $2.65, a difference of $0.16 per share. Revenue estimates were $3,360M but came in at $3,424M, a difference of $64M. Shares closed the prior day at $483.74 a share and closed the day at $476.87 a decline of -1.4%.
  • Costco Wholesale Clubs. (COST) announced earnings after the market close on 2020-12-10. Earnings came in at $2.29 the analyst consensus was $2.04, a difference of $0.25 per share. Revenue estimates were $43,155M but came in at $43,208M, a difference of $53M. Shares closed the prior day at $372.79 a share and closed the day at $375.10 an increase of 0.6%.
  • Lululemon Athletica. (LULU) announced earnings after the market close on 2020-12-10. Earnings came in at $1.16 the analyst consensus was $0.87, a difference of $0.29 per share. Revenue estimates were $1,013M but came in at $1,117M, a difference of $104M. Shares closed the prior day at $369.07 a share and closed the day at $344.32 a decline of -6.7%.
  • Oracle Corporation. (ORCL) announced earnings after the market close on 2020-12-10. Earnings came in at $1.06 the analyst consensus was $1.00, a difference of $0.06 per share. Revenue estimates were $9,786M but came in at $9,800M, a difference of $14M. Shares closed the prior day at $59.48 a share and closed the day at $60.61 an increase of 1.9%.


Dividend Payments

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

  • Fanhua Inc (FANH) paid a dividend of $0.25 on 2020-12-08. The stock closed at $13.94 giving an estimated yield of 7.0%.
  • PPL Corp (PPL) paid a dividend of $0.42 on 2020-12-09. The stock closed at $28.88 giving an estimated yield of 5.7%.
  • Flushing Finl Corp (FFIC) paid a dividend of $0.21 on 2020-12-08. The stock closed at $15.96 giving an estimated yield of 5.3%.
  • Kimco Realty Corp (KIM) paid a dividend of $0.16 on 2020-12-08. The stock closed at $14.82 giving an estimated yield of 4.3%.

  • The Week Ahead

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

    • Monday:
    • Tuesday: The BLS (Bureau of Labor Statistics) reports on import and export price data for November with import prices expected to increase 0.3% after a slight dip in October of 0.1%
    • Wednesday: the Census Bureau reports on retail sales for November.
    • Thursday: the Census Bureau reports on new residential construction for November with a seasonally adjusted reading of 1.53 million homes.
    • Friday: the Conference Board releases its Leading Economic Index for November with economists expecting a 0.3% gain, lower than Octobers' 0.7%

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

    • Monday:
    • Tuesday: Eli Lilly
    • Wednesday: Lennar
    • Thursday: Fed Ex, General Mills, Accenture
    • Friday: Darden Restaurants, Nike

    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.