5 Financial Stocks To Watch This Week With Earnings Reports

Earnings season continues to heat up with many of the largest companies reporting quarterly results over the next several weeks. Among the biggest categories represented with earnings this week is financial services companies.

Here is a look at five financial companies reporting earnings this week.

Interactive Brokers: Brokerage firm Interactive Brokers Group IBKR reports third-quarter earnings Tuesday after market close.

The company has beat consensus revenue estimates in the last five quarterly reports. The company beat first- and second-quarter revenue estimates by 21% and 11%, respectively. The Street consensus estimate is $640.9 million versus a total of $548 million in the prior year’s third quarter.

Monthly data shows the company having over 1.5 million accounts and adding net new totals of over 37,000 in July, 41,000 in August and 43,000 in September. The company also announced the launch of a cryptocurrency trading platform Monday, which could be a big topic in the earnings report.

IBKR shares gained 0.75% Monday, closing at $71.62. Shares have traded between $46.71 and $80.57 over the last 52 weeks.

American Express: Global integrated payments company American Express Co AMEX reports third-quarter earnings before market open on Friday, Oct. 22.

The company has posted mixed financial results in the current fiscal year, with earnings per share beating the consensus each of the last three quarters. Revenue beat the consensus in the second quarter after a first-quarter miss.

The company reported second-quarter revenue of $10.2 billion, led by “robust” demand for its premium fee products. American Express reported record levels for its cards with 2.4 million new cards issued in the second quarter.

“As we look ahead, we are increasingly optimistic that the momentum we generated will continue given the strength we see in our core business,” the company said in its second-quarter earnings report.

Shares of AMEX are trading at $176.82, at the high end of the 52-week range of $89.11 to $179.67.

Related Link: 5 Value Stocks To Watch In The Financial Services Sector 

Discover: Credit card and payments company Discover Financial Services DFS reports third-quarter earnings after close on Wednesday Oct. 20.

The company beat revenue in the last five consecutive quarters, including a 23% beat of second quarter consensus estimates. Estimates call for the company to report $2.89 billion in revenue for the third quarter, ahead of the $2.67 billion in last year’s third quarter but down from $3.58 billion reported in the last quarter.

Discover reported a 1% decline in loans in the second quarter, which could be the area to watch in the third quarter earnings report. Overall revenue was up 39% led by payment services volume growth of 22% year-over-year and a strong rebound in the Diners Club card.

DFS shares trade at $130.05, near the high end of their 52-week range of $60.42 to $135.69.

Ally Financial: Investors in Ally Financial Inc ALLY will be watching to see if the company continues its second-quarter momentum with a third-quarter earnings report before market open on Thursday, Oct. 21.

The company reported strong numbers in the second quarter, with retail deposits up 12% year-over-year, mortgage originations up 81% year-over-year, invest segment revenue up 62% year-over-year and a record 3.5 million auto loan applications.

“Ally’s robust second quarter performance, including record revenue and income, reflects years of execution and a deliberate strategy to position ourselves to capitalize on market opportunities across operating environments,” CEO Jeffrey Brown said.

The company has beat revenue estimates in each of the last 11 quarters, including double digit beats in the last three quarters. Third-quarter consensus estimates call for revenue of $2.02 billion, compared to last year’s $1.68 billion and the second-quarter total of $2.15 billion. If the momentum carried from the second quarter, a double-digit beat could occur once again.

ALLY shares are trading at $54.86, near the 52-week high of $56.61.

Nasdaq: Known for its namesake exchange, Nasdaq Inc NDAQ is a financial services company that provides market services and investor relation products along with its equity exchange. The company reports third-quarter earnings before market open Wednesday, Oct. 20.

Estimates call for the company to report revenue of $830.42 million, following a trend of the first two quarters also hitting the $800-million mark, with respective totals of $851 million and $846 million.

The company reported second quarter revenue of $846 million, up 21% year-over-year, led by investor demand and higher listing revenue. Those two trends could continue to play out on third-quarter earnings.

NDAQ shares hit a new 52-week high on Monday trading as high as $204.52 versus a 52-week range of $119.76 to $203.42.

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