Today we are watching…
1. JP Morgan (#jpm)
As the opening bell wakes you this morning, a new season of quarterly earnings chaos begins a-new! Mega-bank JP Morgan is first up, and investors are keen to hear about its ‘net interest margin.’ That’s simply the difference between the interest the bank pays out to consumers, and the interest it brings in from loans! On the whole, a rate cut would stimulate stocks, but it would squeeze JP Morgan’s net interest margin and its chance at beating earnings. We’ll see how Jamie Dimon’s company has fared so far as the firm chases $2.44 in earnings per share on $28 billion in revenue. With JP Morgan being king of its industry, everyone will snoop on these results.
2. Johnson & Johnson (#jnj)
J&J’s quarterly earnings are up against an opioid crisis, but analysts still fancy it to beat expectations today. The blame game has officially started in America’s opioid epidemic, and many fingers are being pointed at the world’s largest biotech company. Every lawsuit bites into J&J’s pile of cash, which is then rendered less effective at funding future growth through new projects. Hopefully, a raft of new acquisitions this quarter will paper over any cracks. For Johnson & Johnson, the profit per share benchmark has been set to $2.00 on $20.05 billion in revenue.