The third quarter earnings season begins this week with the first of the big banks set to report tomorrow morning. One feature of our Earnings Explorer tool is an interactive earnings calendar with detailed information on stocks set to report earnings in the days, weeks, and months ahead. Below is a snapshot of the calendar showing expected earnings reports through Wednesday morning. Notably, Citigroup (C) and JP Morgan (JPM) will report tomorrow morning, while Bank of America (BAC), Goldman Sachs (GS), and Wells Fargo (WFC) will report on Wednesday morning.
You can dig deeper into individual stocks with our Earnings Explorer tool to see their historical earnings reports and how investors reacted. Below we show aggregate earnings snapshots for both Citigroup (C) and JP Morgan (JPM), which report tomorrow ahead of the open.
Notably, the Q3 earnings release for Citigroup has seen the stock average a one-day gain of 0.87% in reaction to the news. That’s a better share price response than any other quarter. Following its historical Q4 earnings releases, for example, Citi shares have been very weak with an average one-day decline of 2.39%.
While Q3 earnings have been okay for Citigroup in terms of share price reaction, it has been the worst quarter of the year for JP Morgan (JPM) historically. Over the last 19 years, JPM has averaged a one-day decline of 0.73% on its Q3 earnings reaction day with positive returns just 26% of the time.
Bank of America (BAC) has the worst numbers of the five big banks reporting this week when it comes to share price reactions to earnings. As shown below, the stock has averaged a decline of 1.03% on its 76 earnings reaction days since 2001 with positive returns just 42% of the time. Goldman Sachs (GS) has also struggled on earnings historically with its share price rising in reaction to the news just 39% of the time. Goldman’s Q3 report, however, has been a bit more bullish with the stock averaging a one-day gain of 0.44% in reaction to past third quarter earnings releases. Finally, Wells Fargo (WFC) is also set to release Q3 earnings on Wednesday, and the stock has only gained in reaction to past Q3 releases 32% of the time. Try out our Earnings Explorer tool for free with a two-week trial to Bespoke Institutional.