Market Overview

The Week Ahead: Host of Earnings on Tap; Investors Watching Anadarko, Activision, and Whole Foods

The upcoming trading week will see a host of companies releasing their quarterly results as earnings season continues in high gear.

Investors will also be focused on key economic data set to be released throughout the week, although the docket is quite light. Among the most important domestic economic reports will be weekly jobless claims which are due to be released on Thursday.

Among the key earnings reports will be quarterly financial updates from Whole Foods (NASDAQ: WFM), Activision Blizzard (NASDAQ: ATVI) and Anadarko Petroleum (NYSE: APC). Although dozens of companies are set to report, the week is short on results scheduled for mega-cap names.

Earnings

On Monday, Anadarko Petroleum will be one of the more closely watched names when the company releases its financial results after the closing bell. Wall Street analysts expect the company to earn $0.94 per share, compared to EPS of $0.92 in last year's corresponding quarter. Revenue for the quarter is estimated to be up 1.10 percent to $3.49 billion. Year-to-date, Anadarko shares have rallied nearly 17 percent heading into next week.

Last week, the company announced success at its Phobos site, with the discovery well indicating 250 feet of net pay. Anadarko is a 30 percent owner in Phobos. In a report from April 25, analysts at Deutsche Bank also noted that Anadarko's success from its deepwater program "continues to garner interest." The firm has a Buy rating on the shares and a $101.00 price target. Anadarko closed on Friday at $86.60. Bank of America Merrill Lynch analysts also released a research update on the independent oil and gas company last week, reiterating its Buy rating and $120.00 price target on the stock.

After the closing bell on Tuesday, grocer Whole Foods will report its quarterly results. Current consensus EPS estimates for the company are set at $0.73 versus $0.64 last year. Revenue is expected to rise 13.40 percent to $3.03 billion. Heading into the key quarterly update, Whole Foods shares have been struggling a little. In 2013, the stock is roughly unchanged, underperforming the broader market.

In an earnings preview report, analysts at Deutsche Bank said that Whole Foods "remains very well-positioned to capitalize on growing secular demand for healthier natural/organic food and can triple its U.S. store base over time, driving high-teens/low 20% EPS growth for several years." The firm has a Buy recommendation on the stock and a $100.00 price target. Whole Foods closed Friday's trading session at $91.46.

Video-game publisher Activision Blizzard is due to release its quarterly earnings results on Wednesday after the close. Investors will be watching the stock closely after a big run-up in the shares in 2013. Year-to-date, ATVI has climbed roughly 43 percent. Wall Street expects the company to report EPS of $0.11 versus $0.06 last year. Sales are expected to be up 20 percent to $704.20 million.

Wedbush analysts released an update on the company on Friday. The firm said that they are expecting a beat due to strength in Activision Blizzard's Call of Duty franchise, but that guidance is unlikely to change much on future uncertainty. Wedbush reiterated its Outperform rating and $21.00 price target on the stock.

Economics

The schedule of domestic economic data for next week is very light, but the market will be paying attention to initial and continuing jobless claims data on Thursday. Wholesale inventories will also be released on Thursday. The first report of the week will be Consumer Credit. The current consensus is calling for an increase in credit for March of $16.3 billion.

Around the world, investors will be keeping a close eye on a number of other important economic releases. On Tuesday, Australia is expected to hold interest rates at 3 percent, but any deviation from that expectation could cause volatility in currency markets. German factory order data is also due out Tuesday. The consensus expects factory orders to fall 0.5 percent in Germany.

On Wednesday, Chinese CPI data is due out which could have an impact on commodity prices. Year-over-year CPI is expected to be up 2.1 percent, but CPI is expected to fall 0.9 percent on a month-over-month basis. On Thursday, an interest rate decision is expected from the Bank of England. Economists expect the BoE to hold rates steady at 0.50 percent. On Friday, the Federal Budget Balance will be released in the United States. Expectations are for a surplus of roughly $96 billion.

Weekly calendar

Monday

  • Earnings from: Apollo Global Management (NYSE: APO), PetMed Express (NASDAQ: PETS), Sysco (NYSE: SYY), Tyson Foods (NYSE: TSN), Anadarko Petroleum (NYSE: APC), Forest Oil (NYSE: FST), Plains All-American (NYSE: PAA), and many others
  • Canadian Ivey PMI

Tuesday

  • Earnings from: Chiquita Brands (NYSE: CQB), DirecTV (NASDAQ: DTV), Discovery Communications (NASDAQ: DISCA), Fossil (NASDAQ: FOSL), Perrigo (NASDAQ: PRGO), Andersons (NASDAQ: ANDE), DaVita (NYSE: DVA), Marathon Oil (NYSE: MRO), McKesson (NYSE: MCK), Walt Disney (NYSE: DIS), Whole Foods (NASDAQ: WFM), many others
  • Australian interest rate decision, Swiss unemployment rate, German factory orders, Chinese trade balance

Wednesday

  • Earnings from: AOL (NYSE: AOL), Liberty Media (NASDAQ: LMCA), Sodastream (NASDAQ: SODA), Vivus (NASDAQ: VVUS), Activision Blizzard (NASDAQ: ATVI), CF Industries (NYSE: CF), Green Mountain Coffee Roasters (NASDAQ: GMCR), Groupon (NASDAQ: GRPN), Monster Beverage (NASDAQ: MNST), Rackspace (NYSE: RAX), Tesla Motors (NASDAQ: TSLA), Transocean (NYSE: RIG), many others
  • Swiss CPI, German industrial production, Australian unemployment rate, Chinese CPI

Thursday



  • Earnings from: Apache (NYSE: APA), Carlyle (NYSE: CG), Dean Foods (NYSE: DF), Dendreon (NASDAQ: DNDN), DISH Network (NASDAQ: DISH), Sony (NYSE: SNE), Dillard's (NYSE: DDS), NVIDIA (NASDAQ: NVDA), Sotheby's (NYSE: BID), many others
  • BoE interest rate decision, Mexican CPI, U.S. wholesale inventories, U.S. jobless claims


Friday



  • Earnings from: ArcelorMittal (NYSE: MT), Gordmans (NASDAQ: GMAN), True Religion (NASDAQ: TRLG), Silver Wheaton (NYSE: SLW) and others
  • Indian industrial production, Great Britain trade balance, Canadian unemployment rate, U.S. Federal budget balance

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