January 24, 2020 Weekly Wrap up LIVE from the floor of the NYSE | Financial Buzz

January 24, 2020 Weekly Wrap up LIVE from the floor of the NYSE

On Monday, markets were closed for the Martin Luther King holiday, and on Tuesday markets fell on the news that a person in the United States who traveled from China was diagnosed with a coronavirus.  Investors were worried that the virus can spread, similar to the SARS outbreak in Asia in 2002, which caused heavy economic losses.  The Dow Industrials closed 152 points lower. 

On Wednesday existing home sales for December increased 3.6% to an annualized 5.54 million units.  Markets were volatile but ended the day on continued concerns on the coronavirus spreading within China. Chinese officials took steps to start isolating the epicenter of the outbreak in Wuhan. 

On Thursday the EIA petroleum status report for the week ending January 17th saw crude oil inventory decline 400,000 barrels and jobless claims for the week ending January 18th increased 6,000 to 211,000.  Asian stocks took a big hit on fears of the coronavirus spreading, however, U.S. markets recovered and closed mixed.  Ten year Treasuries yielded 1.73% and gold finished at $1,562 an ounce. 

On Friday the PMI composite Flash for January rose .9 point to 53.1 and markets opened modestly higher on good earnings reports, however, a second confirmed U.S. coronavirus case took away all the gains.  Now let’s take a look at some stocks.

Netflix, Inc. (NASDAQ: NFLX) reported financial results for the fourth quarter, late Tuesday, with revenue growing 31% year over year as full year revenue increased to over $20 billion.   Fiscal 19 operating income increased 62% to $2.6 billion.  Netflix added 8.76 million paid subscribers globally that netted almost $5.5 billion dollars in revenue.

Capital One Financial Corporation (NYSE: COF) announced fourth quarter financial results on Tuesday reporting net income of $1.2 billion, and earnings per share of $2.69 on revenue of almost $7 billion.  The company disclosed that noninterest expenses and provisions for credit losses grew, nevertheless, shares increased to over $107 on Wednesday post announcement.

United Airlines (NASDAQ: UAL) reported results for its full year and fourth quarter on Tuesday, with fourth quarter net income of $641 million and full year net income of $3 billion.  The company repurchased $216 million of its common shares in the fourth quarter at an average price of $88.95 per share, and repurchased a total of $1.6 billion in shares for all of 2019.

Teradyne, Inc. (NASDAQ: TER) announced fourth quarter and fiscal year 2019 results on Wednesday.  Revenue amounted to $655 million in the fourth quarter, a 26% increase from a year ago.   Full year revenue grew 9%.  The company board authorized a $1 billion share repurchase program and expects to repurchase a minimum of 250 million dollars in shares in 2020.

Intel Corporation (NASDAQ: INTC) reported fourth quarter and full year 2019 financial results.  The board of directors approved a 5% cash dividend increase to $1.32 per share on an annual basis.  Fourth quarter revenue reached $20.2 billion, up 8% year over year while full year revenue reached an all-time record of $72 billion or up 2% year over year.  Intel shares surged after hours on Thursday, post announcement to over $66 or up 5%.