Stocks Waffle, Earnings Season Begins
Originally published: 05.01.15 by Margot Crabtree
News was mixed, but the trend was positive as our trading session ended April 15, 2015. The main drivers were an uptick in oil prices, and indication from the Federal Reserve that any rate hikes in the offing will come later in the year.
The National Association of Home Builders/Wells Fargo builder sentiment index fell to 52, the third straight monthly decline, but that shifted as our session came to an end: the index increased to 56 in March.
The Commerce Department said that new home sales rocketed up 7.8 percent in February to the strongest showing since February 2008. The University of Michigan sentiment index slid to 93 in March, from 95.4 in February, in large part because of rising gas and home heating prices. Consumer spending increased in February after three declining months.
The Labor Department released its much-anticipated March jobs growth report, which showed weakness in hiring, with the smallest gain since December 2013, especially prominent in the products-producing arena. That led investors to conclude that the Federal Reserve will delay interest rate raises until September, instead of June as earlier expected.
Alcoa launched the first quarter earnings season, with market-watchers wary about worldwide economic pressures' influence on corporate results, especially the strong dollar. Thomson Reuters data estimates that earnings for S&P 500 companies will decrease by 2.9 percent from a year ago. If the projections hold true, that will mark the first time since 2009 that earnings have shrunk.
"Companies can jump over a bar that's about as low as a limbo stick," said Jack Ablin, chief investment officer at BMO Private Bank in Chicago. "Beating expectations should be relatively easy."
Exchange |
Symbol |
Company Name |
Price
|
Price
|
Net
|
PercentChange |
52-Week
|
52-Week
|
Shares
|
Market
|
| NASD | AAON | AAON, Inc. | 24.56 | 22.15 | 2.41 | 10.88% | 24.84 | 16.78 | 54060 | 1327713.6 |
| NYSE | ABB | ABB Ltd. | 22.08 | 20.16 | 1.92 | 9.52% | 26.35 | 19.14 | 2260000 | 49900800 |
| NYSE | ARG | Airgas, Inc. | 105.48 | 114.84 | -9.36 | -8.15% | 119.00 | 101.36 | 75120 | 7923657.6 |
| NYSE | AOS | AO Smith Corp. | 65.71 | 62.04 | 3.67 | 5.92% | 66.13 | 44.60 | 89360 | 5871845.6 |
| NYSE | FIX | Comfort Systems USA, Inc. | 21.17 | 19.42 | 1.75 | 9.01% | 21.44 | 12.63 | 37110 | 785618.7 |
| NYSE | DOV | Dover Corp. | 73.99 | 71.25 | 2.74 | 3.85% | 91.84 | 67.13 | 163040 | 12063329.6 |
| NASD | ELON | Echelon Corp. | 0.93 | 1.08 | -0.15 | -13.89% | 2.96 | 0.89 | 43990 | 40910.7 |
| NYSE | DD | E. I. DuPont de Nemours & Co. | 72.10 | 80.50 | -8.40 | -10.43% | 80.65 | 63.70 | 905410 | 65280061 |
| NYSE | EME | EMCOR Group, Inc. | 47.53 | 44.63 | 2.90 | 6.50% | 48.00 | 38.68 | 62980 | 2993439.4 |
| NYSE | EMR | Emerson Electric Co. | 59.16 | 55.26 | 3.90 | 7.06% | 69.94 | 54.95 | 685200 | 40536432 |
| NYSE | FCAU | Fiat Chrysler | 16.49 | 16.41 | 0.08 | 0.49% | 17.08 | 8.54 | 1280000 | 21107200 |
| NYSE | F | Ford Motor Co. | 16.07 | 16.20 | -0.13 | -0.80% | 18.12 | 13.26 | 3960000 | 63637200 |
| NYSE | GM | General Motors Co. | 36.94 | 38.05 | -1.11 | -2.92% | 38.99 | 28.82 | 1610000 | 59473400 |
| NYSE | HON | Honeywell International, Inc. | 103.79 | 101.17 | 2.62 | 2.59% | 106.15 | 82.89 | 782660 | 81232281.4 |
| NASD | HDSN | Hudson Technologies, Inc. | 3.93 | 4.20 | -0.27 | -6.43% | 4.80 | 2.55 | 32320 | 127017.6 |
| NYSE | IR | Ingersoll-Rand Plc | 69.19 | 67.22 | 1.97 | 2.93% | 69.42 | 52.47 | 263320 | 18219110.8 |
| NYSE | JCI | Johnson Controls, Inc. | 50.00 | 48.82 | 1.18 | 2.42% | 52.00 | 38.60 | 657290 | 32864500 |
| NYSE | LII | Lennox International Inc. | 113.58 | 107.86 | 5.72 | 5.30% | 114.08 | 72.91 | 44680 | 5074754.4 |
| NYSE | LXU | LSB Industries, Inc. | 41.81 | 39.68 | 2.13 | 5.37% | 42.91 | 28.91 | 22660 | 947414.6 |
| NYSE | MTW | Manitowoc Co., Inc. | 22.45 | 21.41 | 1.04 | 4.86% | 33.50 | 16.24 | 135620 | 3044669 |
| NYSE | NWL | Newell Rubbermaid, Inc. | 39.63 | 38.60 | 1.03 | 2.67% | 40.73 | 28.27 | 268500 | 10640655 |
| NYSE | MLI | Mueller Industries, Inc. | 36.93 | 34.84 | 2.09 | 6.00% | 37.18 | 27.10 | 56920 | 2102055.6 |
| NASD | NTK | Nortek, Inc. | 89.16 | 84.40 | 4.76 | 5.64% | 92.30 | 70.73 | 16260 | 1449741.6 |
| OTC | NSANY | Nissan Motor Co. Ltd. | 20.90 | 21.33 | -0.43 | -2.02% | 21.46 | 16.65 | 2100000 | 43890000 |
| NASD | OFLX | OmegaFlex, Inc. | 26.67 | 29.51 | -2.84 | -9.62% | 39.46 | 15.93 | 10090 | 269100.3 |
| NYSE | PH | Parker-Hannifin Corp. | 123.50 | 117.72 | 5.78 | 4.91% | 133.41 | 99.82 | 142460 | 17593810 |
| NYSE | RBC | Regal-Beloit Corp. | 77.44 | 76.65 | 0.79 | 1.03% | 80.77 | 62.15 | 44710 | 3462342.4 |
| NYSE | ROK | Rockwell Automation | 114.14 | 111.52 | 2.62 | 2.35% | 128.57 | 98.55 | 135440 | 15459121.6 |
| OTC | SIEGY | Siemens Aktiengesellschaft | 110.14 | 108.66 | 1.48 | 1.36% | 136.90 | 103.20 | 881000 | 97033340 |
| NYSE | SPW | SPX Corp. | 85.82 | 83.58 | 2.24 | 2.68% | 111.47 | 77.30 | 40980 | 3516903.6 |
| NYSE | TXN | Texas Instruments | 58.50 | 57.12 | 1.38 | 2.42% | 59.99 | 41.47 | 1050000 | 61425000 |
| NYSE | UTX | United Technologies Corp. | 117.87 | 118.74 | -0.87 | -0.73% | 124.45 | 97.30 | 907160 | 106926949.2 |
| NYSE | WSO | Watsco, Inc. | 124.67 | 120.39 | 4.28 | 3.56% | 131.10 | 84.28 | 32360 | 4034321.2 |
The HVACR Business Stock Index inched forward, hampered by sharp declines in share prices by DuPont and Airgas. The index rose 6.96 points, or 0.52 percent, and closed at 1336.20. Advancing issues easily outpaced declining issues by a 24-to-9 count.
Parker-Hannifin jumped 5.78 points, or 4.91 percent. Zacks Investment Research rated PH as "hold." The consensus price target on the stock is $130.10 per share. PH will report earnings on April 28, 2105, after production deadline. PH closed at 123.50, and was the top dollar gainer.
Airgas tumbled 9.36 points, or 8.15 percent, after the company lowered its fiscal fourth quarter profit forecast. ARG now expects to earn between $1.13 and $1.16 per share, down from an earlier $1.25 to $1.30 per share. Airgas also cut its organic revenue growth, now projected to increase by 1 to 2 percent, from an earlier 6 to 7 percent. Investment firm Global Hunter cut its rating on Airgas to "accumulate" from "buy." ARG closed at 105.48, and was the top dollar loser.
AAON reached new 52-week highs, and as our session ended, topped out at a high of 24.84. The consensus target price for the company is $25. The company expects to post earnings during the first week in May. AAON increased 2.41 points, or 10.88 percent, and was the top percentage gainer. AAON closed at 24.56.
Margot Crabtree is president of Trade Trends, Inc., a financial data services provider. She has been offering market analysis with customized stock indices and financial commentaries since 1999. For additional information, visit www.tradetrendsonline.com.