Pepsi and Netflix Kick Off Second-Quarter Earnings Season
We also have big names in finance and healthcare on our radar.
As the second quarter ends, another season of earnings begins with a report from PepsiCo PEP on Monday, followed by reports from Johnson & Johnson JNJ and Netflix NFLX on Thursday. We also expect to see earnings reports from financial-services giants on Tuesday and Thursday, and BlackRock BLK closes the week with its report on Friday.
Snacks have become a haven for consumers during the pandemic and quarantine, leaving companies like PepsiCo in a better position than others. During the market turbulence, the wide-moat company has been able to focus on its strategic priorities.
As a leader across the major healthcare industries, Johnson & Johnson continues to present the next generation of drugs to treat unmet medical conditions. The wide-moat firm is well-positioned in immunology and continues to report strong data in oncology.
Netlfix's subscriber growth took off at the start of 2020 as the coronavirus outbreak gained momentum and people stayed home. However, the narrow-moat firm has more subscribers outside of the United States than inside, and we believe that maintaining subscribers in the U.S. will continue to be a challenge for Netflix.
Citigroup C, JPMorgan Chase JPM, and Wells Fargo WFC are expected to report earnings on Tuesday. We are looking out for Bank of America's BAC earnings on Thursday, and an earnings report from BlackRock, which has felt the weight of the pressure to reopen local economies, is expected on Friday.