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Big Blue-Chip Earnings Week Puts Dow ETF in Focus


It’s a busy week for the Dow Jones Industrial Average exchange traded fund, with nine of the 30 blue-chip stocks revealing earnings over the next four days.

The SPDR Dow Jones Industrial Average ETF (DIA) is up 18.6% year-to-date. DIA tracks Dow Jones Industrial Average components. The index is computed by adding up stock prices and dividing by a divisor that changes depending on stock split or stock dividends.

On Tuesday, Intel Corp. (INTC) is reporting earnings after the close. Intel is looking like a “stealthy value and growth stock” despite the weakness in personal computers, writes Jon C. Ogg for 24/7 Wall St. INTC is 1.0% of DIA.

Johnson & Johnson (JNJ) reports Tuesday morning. Investors will watch for resolution to the major recall issues. Nevertheless, this company has provided stable growth and steadily increasing earnings and dividends. JNJ is 3.8% of DIA.

Coca-Cola (KO) will also reveal earnings Tuesday morning. Ogg points out that KO shares have been poor since the peak in May. KO is 1.6% of DIA.

On Wednesday after the close, American Express (AXP) will release its numbers. Investors are watching out for delinquencies in credit card repayment. AXP is 3.2% of DIA.

International Business Machines (IBM) is also reporting after the close Wednesday. Ogg says backlog of services, which was up 3% last quarter, will warn investors that charges for restructuring and layoffs could continue. IBM is 7.8% of DIA.

On Thursday, Goldman Sachs (GS) will reveal earnings early morning, with investors looking for trading revenues and investment banking revenues. GS is 6.7% of DIA.

UnitedHealth Group (UNH) reports Thursday morning before the open. We will see how the health care industry fares with Obamacare in full effect. UNH is 3.1% of DIA.

Verizon Communications (VZ) also reports Thursday morning. The Vodafone deal for Verizon has ended and a large debt offering could throw off numbers. VZ is 2.0% of DIA.

On Friday, General Electric (GE) will report earnings in the morning. GE is a bellwether for the economy but it has a limit exposure in the DJIA after recent rebalances. GE is 1.0% of DIA. All told, nearly third of DIA’s weight delivers quarterly results this week.

SPDR Dow Jones Industrial Average ETF

For more information on the Dow, visit our Dow Jones Industrial Average category.

Max Chen contributed to this article.