The Week of the Rotation, Earnings Reports & Retiree Spending Rules
The Money Wise guys kick off another engaging episode with a look at last week’s numbers from Wall Street. The Dow was up 2.1%, the S&P 500 was up 0.7%, and the NASDAQ was down 0.6%. YTD all three remain up, with the Dow in the black 6.3%, the S&P up 18.1%, and the NASDAQ up 34.1%. The guys discuss whether it was “the week of the rotation.” They revisit how tech stocks have driven a huge amount of the total return for the S&P, though last week it was the healthcare sector leading the markets. Industrials are also making a comeback, small caps are really coming to life, and tech has slowly begun to take more of a backseat. The guys share how this broadening of the market is how we can continue to see gains on the back end of 2023. They discuss the specifics of Netflix and Tesla and what else might be driving this market rotation. The guys also talk about earnings reports, Tesla manufacturing evolutions, and why companies sometimes sacrifice margins in the present for increased future earnings.
Understanding Earnings Reports
Since Netflix and Tesla earnings reports are up for discussion in this episode, let’s talk about what earnings reports really mean. This data shows after-tax net income, or profits, in a given quarter or fiscal year. Earnings reports are important data for investors because they are crucial to assessing a company’s profitability and are a major factor in determining stock price. For more, check out the latest earnings reports for Netflix and Tesla, as discussed in this episode.
In the second hour, the Money Wise guys discuss Retiree Spending Rules you’d be wise to follow. You don’t want to miss the details! Tune in for the full discussion on your favorite podcast provider or at davidsoncap.com, where you can also learn more about the Money Wise guys or take advantage of a portfolio review and analysis with Davidson Capital Management.
