Today we are watching…
1. Coca-Cola (#coke)
If it weren’t for this year’s market rally, Coca-Cola’s 10% gains since January would leave a better taste. As the steady dividend machine serves up earnings again today, both the numbers and the narrative will be compared to PepsiCo. If Coca-Cola echoes the same cautious tone towards the rest of the year, investors will hope that legendary competitive advantages such as its brand power and economies of scale, bring the fizzy pop producer home. Analysts estimate Coca-Cola will make $0.62 of profit on $9.7 billion in revenue.
2. Snap (#snapchat)
Everyone loves a comeback story! For investors, it’s Snap. Not often does a stock price triple in a year, but as teenagers get over an unpopular Snapchat update, user numbers for the social media company have reversed their decline. Volatile? Sure, but with a new games platform and augmented reality features, Snap looks fit to compete again with big-brother Instagram, owned by Facebook. A lot is riding on earnings today, tipped by Wall Street to come in at a loss of 10 cents per share on revenue of $360 million.