Click the FOLLOW AUTHOR button to get an email each time a ...
[Pages:6]9/24/2015
What to Expect from the Q3 Earnings Season? September 10, 2015
Learn what Wall Street already knows in our "Billion Dollar Secret" guide.
Earnings Preview ?
Save at ZACKSTrade
What to Expect from the Q3 Earnings Season?
by Sheraz Mian Published on September 10, 2015 | No Comments ORCL FDX ADBE
Earnings aren't in the spotlight at present the market's focus is justifiably on the Fed which starts its twoday meeting on Wednesday (September 16th). The big question is whether they will announce the first rate increase in a long time on Thursday afternoon or delay that decision to a later date in response to recent Chinacentric uncertainty.
Regular readers know that we have strong views on the subject. But instead of speculating about what they will or will not do on Thursday, we will rather discuss the Q3 earnings season whose early reports will start arriving next week. The FedEx ( FDX Analyst Report) report Wednesday morning will be the first Q3 earnings report from amongst S&P 500 members, followed by Oracle ( ORCL Analyst Report) that same evening and Adobe Systems ( ADBE Analyst Report) the following day. All of these early reporters have fiscal quarters ending in August, which we count as part of our 2015 Q3 tally.
In total, we will get results from more than two dozen companies this week, including 4 S&P 500 members. But as you can see in the chart below of weekly reporting calendar for companies in the S&P 500 index, we will have to wait another 4 weeks for the Q3 reporting cycle to really ramp up.
Join Sign In Help
Zacks Releases 7 Best Stocks For October, 2015
These 7 were handpicked from the list of 220 Zacks Rank #1 Strong Buys with earnings estimate revisions that are sweeping upward. Their stock prices are expected to rise sooner than the others. Today, this Special Report will be available to new visitors free of charge.
Enter your email address Get Stocks Free
Privacy Policy | No cost, no obligation to buy anything ever.
Close This Panel X
Trending Topics
Latest Most Popular
CrashProof Stocks to Buy Now How Low Does This Correction Go? Alibaba: How Far Will This Stock Sink? 4 LowRisk Consumer Staples Stocks to Buy N... 3 Key Factors in Biotech ETF Investing
More Commentary ?
Top Zacks Features
Zacks #1 Rank
Premium Home
Will the Earnings Growth Picture Improve?
Home
Stocks
Funds
Earnings Screening
Finance
Portfolio
Stock Screener EducaMtioynPortfoSlieorvices
We know that the growth picture was quite bad in Q2, with total earnings for the
Zacks Ultimate
S&P 500 index down 2.1% from the same period last year on 3.4% lower
revenues. The Energy sector was the primary reason for the aggregate decline ?
the growth picture improves once the Energy sector is excluded from the
aggregate numbers. Excluding Energy, total earnings for the S&P 500 index
would have been up +5.2% in Q2 on +1.3% higher revenues.
Video Equity Research Fund Newsletter QuFotreeeorMSeemarcbhership Profit from the Pros
1/6
9/24/2015
What to Expect from the Q3 Earnings Season? September 10, 2015
The growth picture isn't expected to improve in the current period either, with total earnings for the S&P 500 index expected to be down 5.5% from the same period last year on 4.4% lower revenues. The headwinds from Q2 are at play in Q3 as well, with a combination of Energy sector weakness, dollar weakness and global growth uncertainties weighing on the outlook. Excluding the drag from the Energy sector (Energy sector earnings expected to be down 63.9% year over year), total earnings for the index would be up +1.7% on +0.7% higher revenues.
My Portfolio Tracker ?
Estimates for the quarter came down over the last couple of months, following a trend that has now been well entrenched for quite some time. The chart below shows the evolution of Q3 earnings growth estimates since the start of the period in early July.
Is it Time to Sell?
One of the most important steps you can take today is to set up your portfolio tracker on . Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.
Set up my free Portfolio Tracker today
Standout Sectors in Q3
Energy stands out for the wrong reasons, as briefly mentioned earlier, but it is hardly the only one with negative earnings growth in Q3. In fact, half of the 16 Zacks sectors are expected to have lower earnings in 2015 Q3 relative to the yearearlier period, with Industrial Products (earnings decline of 24.5%), Conglomerates (15.6%), Basic Materials (13.3%), and Consumer Discretionary (12.5%) as the big decliners.
On the positive side, the Finance sector is expected to have another good quarter, with total earnings for the sector expected to be up +8.8% after the +7.2% gain in the preceding quarter. Other sectors with positive earnings growth in Q3 include Transportation (earnings growth of +16.5%), Autos (+21.3%), Construction (+8.7%) and Medical (+8.1%).
The table below presents the summary picture for Q3 contrasted with what companies actually reported in the 2015 Q2 earnings season.
More Zacks Resources
Zacks Rank Home Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.
Mutual Fund Rank Home Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.
Stock/Mutual Fund Screening Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.
My Portfolio Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.
Zacks #1 Rank Top Movers
Growth Value Momentum Income
Company DESTINATION... UNIVERSAL I... PRIMO WATER... ALON USA PA... CROSS COUNT...
Symbol DXLG UVE PRMW ALDW CCRN
Price %Chg 6.15 +2.67%
27.90 +1.42% 7.59 +1.34%
24.99 +1.13% 16.01 +1.01%
View All Zacks Rank #1 Growth Stocks ? Learn to Profit from the Zacks Rank
2/6
9/24/2015
What to Expect from the Q3 Earnings Season? September 10, 2015
Looking Beyond Q3
The chart below shows current consensus earnings growth expectations for the coming quarters contrasted with what is expected for Q3 and what was actually achieved in Q2. As you can see, this year has effectively been washed out, with growth expected to resume early next year and accelerate from there onwards. Total earnings for the S&P 500 index are effectively flat this year, but are expected to be up in doubledigits next year.
The relatively optimistic looking expectations for the outer periods aren't unusual ? Wall Street analysts always tend to be more optimistic about the future. But estimates start coming down as the period in question comes closer. The erosion of 2015 growth estimates was driven largely by what happened to the Energy sector. But estimates for other sectors came down too...............and we will likely see something similar to current 2016 estimates as well.
Note: Want more articles from this author? Scroll up to the top of this article and click the FOLLOW AUTHOR button to get an email each time a new article is published.
Note: For a complete analysis of 2015 Q3 estimates and actual Q2 results, please check out weekly Earnings Trends report.
Here is a list of the 28 companies reporting this week, including 4 S&P 500 members.
Company Ticker Current Qtr YearAgo Qtr Last EPS Surprise % Report Day Time
3/6
9/24/2015 Kroger Co KR
Brady Corp Cl A BRC Mattress Firm MFRM
Student Transpt STB Energy Xxi Ltd EXXI
Tenax Therapeut TENX Conifer Hldgs CNFR
Full Circle Cap FULL Park City Grp PCYG Unilife Corp UNIS
Nevada Gold&Cas UWN Netsol Tech Inc NTWK Utd Natural Fds UNFI Fedex Corp FDX Ascena Retail ASNA Cracker Barrel CBRL LightintheboxA LITB Supercom Ltd SPCB Oracle Corp ORCL Analogic Corp ALOG Apogee Entrprs APOG Clarcor Inc CLC Herman Miller MLHR Marcus Corp MCS Rite Aid Corp RAD Adobe Systems ADBE Mcbc Holdings MCFT Zayo Group Hldg ZAYO
0.4 0.34
0.7 0.06 1.27 N/A 0.15 0.11 0.01 0.16 0.04 0.15 0.72 2.44 0.05 1.89 0.08 0.27 0.48 1.15
0.5 0.84 0.47 0.54 0.03 0.35 0.19 0.05
What to Expect from the Q3 Earnings Season? September 10, 2015
0.35
3.31%
Friday BTO
0.41
10.53%
Friday BTO
0.61
13.16%
Friday BTO
0.06
0.00%
Monday N/A
0.2
5.61%
Monday BTO
0.08
N/A
Monday BTO
N/A
N/A
Monday AMC
0.15
11.76%
Monday AMC
0.03
50.00%
Monday AMC
0.13
21.43%
Monday AMC
0.02
N/A
Monday AMC
0.79
10.53% Tuesday BTO
0.67
9.30% Tuesday AMC
2.1
1.48% Wednesday BTO
0.13
5.26% Wednesday BTO
1.63
7.19% Wednesday BTO
0.11
13.64% Wednesday BTO
0.19
0.00% Wednesday BTO
0.59
9.76% Wednesday AMC
1.2
13.86% Wednesday AMC
0.35
17.14% Wednesday AMC
0.83
1.30% Wednesday AMC
0.47
17.50% Wednesday AMC
0.45
25.00% Thursday BTO
0.13
100.00% Thursday BTO
0.14
9.68% Thursday AMC
N/A
N/A Thursday AMC
N/A
300.00%
Friday BTO
Get the latest research report on ORCL FREE Get the latest research report on FDX FREE Get the latest research report on ADBE FREE
Economy About To Collapse
Sponsored Links by Taboola
The method used by most Americans to pay off large credit card balances
NextAdvisor
Warren Buffett Just Gave Americans a Big Warning
The Motley Fool
4/6
9/24/2015
What to Expect from the Q3 Earnings Season? September 10, 2015
Jim Cramer's Genius Tip on Paying Off Mortgage
An Extremely Brilliant Way To Pay Off Your Credit Cards
LendingTree
From The Web
Two Savings Accounts That Pay 10x What Your Bank Pays
(WiserSaver Bank Referrals)
Warren Buffett Just Gave Americans a Big Warning (The Motley Fool)
Jim Cramer's Genius Tip on Paying Off Mortgage ()
Transferring your credit card balance to a 21month 0% APR is brilliant (NextAdvisor)
An Extremely Brilliant Way To Pay Off Your Credit Cards (LendingTree)
Avoid GOL, Copa: Try These 5 US Airline Stocks Instead
4 Stocks Apple Could Buy for Its "Flight of Fantasy" Car
Mexico to Conduct AWS Spectrum Auction in January 2016
Bear of the Day: Exxon Mobil (XOM)
Can Cintas (CTAS) Maintain the Earnings Momentum in Q1?
More From Zacks Promoted Links by Taboola
Zacks Commentary
Related Articles
Commentary Archive
? Twitter Offers CustomEmoji Ads for ''Share a
Coke'' Campaign ( ADBE , FB , KO , TWTR )
? Dropping FedEx (FDX) After Q1 Earnings Miss?
Think Twice ( AAWW , FDX , TNTEY , UPS )
? Stock Market News for September 21, 2015 (
CAT , COP , CVX , EOG , FDX , OXY , UNP , UPS , XOM )
? Company News for September 21, 2015 ( ADBE ,
FCX , JCI , ZAYO )
? Company News for September 18, 2015 ( ATML ,
EXPE , ORCL , RAD )
? Will the Earnings Picture Improve? ? What to Expect from the Q3 Earnings Season? ? Market's Growth Worries Make Sense ? Sizing Up the Retail Sector's Earnings Picture ? What's Clouding the Earnings Picture?
More Commentary ?
More Articles ?
Quick Links
Services Account Types Premium Services Zacks Rank Research Personal Finance Commentary Education
My Account Manage Account Update Profile Subscriptions Preferences Login/Password Help Upgrade to Premium
Resources Help About Zacks Disclosure Privacy Policy Performance Site Map
Client Support Contact Us Share Feedback Media Careers Affiliate Advertise
Follow Us Facebook Twitter Linkedin RSS You Tube
Zacks Research is Reported On:
Zacks Investment Research is 5/6
9/24/2015
What to Expect from the Q3 Earnings Season? September 10, 2015
an A+ Rated BBB Accredited Business.
Copyright ? 2015 Zacks Investment Research
At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stockrating system. Since 1986 it has nearly tripled the S&P 500 with an average gain of +26% per year. These returns cover a period from 19862011 and were examined and attested by Baker Tilly, an independent accounting firm.
Visit performance for information about the performance numbers displayed above. Visit to get our data and content for your mobile app or website. Real time prices by BATS. Delayed quotes by Sungard.
NYSE and AMEX data is at least 20 minutes delayed. NASDAQ data is at least 15 minutes delayed.
6/6
................
................
In order to avoid copyright disputes, this page is only a partial summary.
To fulfill the demand for quickly locating and searching documents.
It is intelligent file search solution for home and business.
Related download
- ebay inc ebay zacks investment research
- guide to growth income investing zacks investment research
- click the follow author button to get an email each time a
- table of contents zacks investment research
- equity research research summary pcs topics amd intc
- contents zacks investment research
- types and sources of investment information
- the influence of institutional investors
- analyst blog sell these stocks today
Related searches
- best place to get an auto loan
- where to get an auto loan
- reasons to get an education
- how to get an installment loan
- how to create an email account
- how to send an email from word
- how to get an email domain name
- how to get an email domain
- creating an email address for a business
- how do i get an email account
- how to get an email account
- how to get an abscess to drain