By James Dennin for Kapitall.
Next week kicks off the start of second-quarter earnings season,
which is when stocks will release their numbers from the spring.
Many analysts are optimistic in outlook, with the average
profit expectation at a 6% gain.
And those expectations could get even higher if Thursday's
pre-Independence Day jobs
report is as good as it is expected to be
, especially after strong ADP payroll numbers were
released this week.
However, people are still also concerned that stocks cannot move
much higher without strong earnings to support them. Careful
investors will also be closely following where these earnings are
coming from and what companies say about their plans moving
The announcement of any new buybacks or changes to capital
expenditures will help
how confident companies are
about the next quarters and the overall strength of the
economy. These insights will be closely scrutinized given the
preponderance of skeptics who fear that the Fed's asset purchasing
has propped up stock markets.
We decided to run a screen comprised of stocks that
report during the first week of earnings season
, starting on July 8th with
. This started us with a universe of about 40 stocks. We then
limited that screen again by looking for companies with
spikes in institutional purchasing over the last
. This means that the managers of pensions and hedge funds are
bullish about the stock's prospects.
Do you think this will be an exciting earnings season? Use the
list below to begin your analysis, and let us know what you think
in the comments.
Click on the interactive chart to view data over
1. Alcoa, Inc.
): Engages in the production and management of aluminum, fabricated
aluminum, and alumina. Market cap at $17.43B, most recent closing
price at $14.80.
Net institutional purchases in the current quarter at 64.5M
shares, which represents about 5.51% of the company's float of
1.17B shares. Major Investor: Vanguard Group, Inc (The) at a 6.34%
Alcoa reports earnings on Tuesday, July 8th.
2. MSC Industrial Direct Co. Inc.
): Operates as a direct marketer and distributor of metalworking
and maintenance, repair, and operations (
) products to industrial customers in the United States. Market cap
at $5.91B, most recent closing price at $94.51.
Net institutional purchases in the current quarter at 3.3M
shares, which represents about 6.47% of the company's float of
51.03M shares. Major Investor: JP Morgan Chase & Company at a
MSC Industrial Direct reports earnings on Wednesday,
3. Synergy Resources Corporation
): Engages in the acquisition, exploitation, exploration,
development, and production of oil and natural gas properties
primarily located in the Wattenberg field in Denver-Julesburg Basin
in northeast Colorado. Market cap at $983.37M, most recent closing
price at $12.98.
Net institutional purchases in the current quarter at 4.1M
shares, which represents about 6.15% of the company's float of
66.64M shares. Major Investor: Bank of New York Mellon Corporation
at a 4.74% stake.
Synergy Resources reports earnings on Wednesday, July 9th.
(List compiled by James Dennin. Monthly returns sourced from
Zacks Investment Research, institutional data sourced from
Fidelity. All other data sourced from Finviz.)
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