Bank stocks are weak after Q4 results, but not due to fundamental issues. Earnings aren’t great, but not bad either, with an improving outlook. Finance sector companies are beating estimates, with total earnings up 12.6% and revenues up 6.9% from last year.
Early signs suggest enduring trends in Finance sector earnings. Q4 results show earnings up 17.7% and revenues up 9.4% from last year. Many major banks are yet to report, but the sector is expected to show strong growth on an annual basis.
Netflix is expected to report earnings of 55 cents per share on $11.97 billion in revenues, while Capital One is expected to report $4.07 per share on $15.3 billion in revenues. Both companies face challenges, with Netflix down -30% in the last 6 months and Capital One impacted by interest rate caps.
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Read more at Nasdaq: Making Sense of Early Q4 Earnings Results
