Financial Select Sector SPDR® ETF

Latest Financial Select Sector SPDR® ETF News and Updates

  • Why tight credit spreads usually mean a period of global expansion
    Financials

    Why tight credit spreads usually mean a period of global expansion

    Today, most measures of credit conditions are positive, with tight spreads across all of fixed income. Even high yield spreads have come in after a short scare last month.

    By Russ Koesterich, CFA
  • The Great American Deleveraging: Fact or Myth?
    Macroeconomic Analysis

    The Great American Deleveraging: Fact or Myth?

    The great American deleveraging has largely been limited to the financial sector (XLF) (IYF). Non-financial debt is still much higher than historical averages.

    By Russ Koesterich, CFA
  • Financials

    Rate hike horizon: September’s jobs report was largely positive

    After September’s strong jobs numbers, a Fed rate hike could be on the horizon early next year. Russ explains two equity market implications.

    By Russ Koesterich, CFA
  • uploads///Valuations
    Earnings Report

    TD Ameritrade’s Valuation Falls alongside the Industry

    Historically, TD Ameritrade traded at a discount to its peers because of average operating margins. The sector’s valuations fell in the recent past.

    By Robert Karr
  • uploads///New capital
    Earnings Report

    Blackstone Is Attracting New Capital

    The launch of innovative ideas at the right time can help Blackstone attract a good amount of new capital through its dedicated network.

    By Robert Karr
  • uploads///Investment management
    Earnings Report

    Morgan Stanley Investment Management Thrives in 2Q15

    Morgan Stanley’s (MS) Investment Management segment reported a 7% increase, bringing total revenues to $751 billion compared to $705 billion in 2Q14.

    By Robert Karr
  • uploads///MS Capital
    Earnings Report

    Morgan Stanley’s Capital Position Remains Strong

    Since the financial crisis of 2009, there has been intense pressure on US banks to raise capital levels to meet minimum requirements.

    By Rebecca Keats
  • uploads///credit card loan portfolios
    Macroeconomic Analysis

    How Would Rising Charge-Offs Impact Major Banks’ Earnings?

    To make the most of growing consumer spending, major banks focused on their consumer banking business. They’re lending out more consumer loans.

    By Rebecca Keats
  • uploads///Profitability
    Company & Industry Overviews

    Carlyle’s Realizations and Distributions Expected to Improve in 3Q

    Carlyle Group (CG) is expected to see its distributable income rise in the current quarter on monetizations through the IPO process, private sales, and placements.

    By Robert Karr
  • uploads///Valuations
    Earnings Report

    Inside Berkshire’s Investment Income and Valuations after 3Q17

    As of October 2017, Berkshire Hathaway (BRK.B) stock has returned 3.2% in the past month and 31.4% over the past four quarters.

    By Robert Karr
  • uploads///Total revenues
    Company & Industry Overviews

    Morgan Stanley’s Strong Revenue Model

    Morgan Stanley charges fixed fees and performance fees for asset management services, products and services, and administration of accounts.

    By Robert Karr
  • Financials

    You should pay particular attention to this valuation metric

    I would pay particular attention to the Shiller P/E Ratio, which is a variation on the Cyclically Adjusted P/E or CAPE. This indicator is worth watching as it has historically correlated with long-term stock market returns.

    By Russ Koesterich, CFA
  • uploads///goldcboe
    Company & Industry Overviews

    How Stocks and Bonds Reacted to Trump’s Victory

    The CBOE Volatility Index suddenly rose 6.0% on November 9, 2016, after it was clear that Trump had unexpectedly clinched the election.

    By Russ Koesterich, CFA
  • uploads///GS ROE
    Earnings Report

    After a Lackluster 2Q15, Return on Equity Will Likely Improve

    Wall Street analysts expect Goldman Sachs to post return on equity (or ROE) of 11.5% in 3Q15. In 3Q14, ROE for Goldman Sachs was 11.8%.

    By Rebecca Keats
  • uploads///Bank payouts
    Company & Industry Overviews

    Financials Overview for the Week of June 26–30, 2017

    Major banking stocks rose after the Fed approved huge payout plans. Wells Fargo (WFC) rose 2.7% and Citigroup (C) rose 2.8%.

    By Peter Barnes
  • uploads///GS exps
    Earnings Report

    GS Cuts More Jobs than It Did during the 2008 Financial Crisis

    Goldman Sachs has been cutting costs in recent quarters. In 2016, 2,600 people may have lost their jobs at GS—the highest number since the financial crisis.

    By Rebecca Keats
  • uploads///The utilites sector is appearing overvalued
    Macroeconomic Analysis

    What Stretched Utility Sector Valuation Means

    Utility sector valuation appears stretched. 2014 was a great year for utilities, which gained 26.62% ex-dividends and were the best-performing sector.

    By Russ Koesterich, CFA
  • uploads///EPS Estimates
    Company & Industry Overviews

    5 Big Banks to Report Their Earnings this Week

    This week, five of the top six commercial and investment banks will report their quarterly earnings.

    By Rebecca Keats
  • uploads///US ADP Employment Change in September
    Macroeconomic Analysis

    Key ADP Highlights: 135,000 Jobs in September

    The ADP National Employment Report for September 2017 showed some weaker improvement in private sector employment to 135,000 in September compared to the market’s expectation of 125,000.

    By Sarah Sands
  • uploads///Profitability
    Company & Industry Overviews

    Weaker Markets Continue to Affect Carlyle’s Realizations

    Carlyle Group (CG) reported distributable earnings of $129 million in fiscal 1Q16, 13% lower than in 1Q15.

    By Robert Karr
  • uploads///corporate and investment bank segment
    Earnings Report

    JPMorgan’s Trading Revenues Fall 7% in 2Q15

    JPMorgan’s revenues from fixed income markets declined 10% year-over-year in the second quarter of 2015. The drop excludes the impacts of one-off items.

    By Rekha Khandelwal, CFA
  • uploads///WFC profitability ratios
    Earnings Report

    How Global Weakness Drags down Wells Fargo’s Profitability in 4Q15

    Two key elements gripping the US banking sector and Wells Fargo include the near-zero interest rate and global uncertainty, which have dampened earnings.

    By Rebecca Keats
  • uploads///GS Trading activities
    Earnings Report

    Factors That Will Drive Goldman Sachs’ Earnings in 2016

    Goldman Sachs derives 16% of its revenues from the investing and lending business. So far, 2016 has been a rough year for the financial sector.

    By Rebecca Keats
  • uploads///Quarterly income
    Company & Industry Overviews

    Did Banks’ Earnings Grow in 4Q15?

    The Federal Deposit Insurance Corporation’s quarterly report on the health of the US banking industry said that 4Q15 bank earnings rose 11.9% year-over-year.

    By Rebecca Keats
  • uploads///Dividends
    Company & Industry Overviews

    Is KKR a good pick for retirement or growth options?

    Is KKR a good pick for growth options? KKR is expected to improve its realizations in 2015 and 2016 after an expected valuation increase of energy holdings.

    By Robert Karr
  • uploads///stock price
    Earnings Report

    Morgan Stanley Posts Highest Profit Since 2007 in 1Q15

    Morgan Stanley (MS) reported net income of $1.18 billion, or $1.18 per diluted share, the bank’s most profitable first quarter since the 2007 financial crisis.

    By Robert Karr
  • Financials

    Major central banks are now diverging in their monetary policies

    Major central banks are now diverging in their monetary policies, a dynamic we saw vividly on display last week with the Federal Reserve ending its quantitative easing (or QE) program, while Japan expanded its version of QE.

    By Russ Koesterich, CFA
  • uploads///Fundflows XLF
    Macroeconomic Analysis

    Fund Flows to XLF Have Been Declining

    Exchange-traded fund investors added almost $552.6 million on average to the Financial Select Sector SPDR ETF (XLF) in the last quarter. During the week ending September 25, the ETF witnessed outflows of $318.3 million.

    By Rebecca Keats
  • uploads///CITI HOLDINGS
    Earnings Report

    Is Citigroup’s Restructuring Exercise Benefiting the Company?

    Citigroup’s CEO, Michael Corbat, continued his efforts to try to slim down the company’s operations and clean up its balance sheet in the second quarter.

    By Rebecca Keats
  • uploads///Bank of America Rallied Strongly Since the US Election
    Fund Managers

    What Goldman Sachs Thinks about Bank of America

    Bank of America (BAC) is currently trading at $25.26. Its 52-week high is $25.80 and 52-week low is $12.05.

    By Sarah Sands
  • uploads///PIMCO sector allocation
    Macroeconomic Analysis

    Turn to Financials and Healthcare When Fears of Rate Hike Loom

    With classic safe havens providing little protection, turn to financials and healthcare sectors for opportunities. Healthcare stocks usually hold up well in the run-up to a rate hike.

    By Russ Koesterich, CFA
  • uploads///WFC DY
    Earnings Report

    How Wells Fargo Creates Value for Shareholders

    Wells Fargo has consistently performed well in stress tests. This performance has let the company increase its dividends annually.

    By Rebecca Keats
  • uploads///AUM
    Company & Industry Overviews

    Blackstone and KKR Raise Funds amid Volatility and Prospects

    Equities and broader markets rebounded in 2H16. The global economic outlook has now become relatively more stable for 2017.

    By Robert Karr
  • uploads///Non interest expense
    Earnings Report

    Bank of America’s Continued Efficiency Maintains Margins

    Operating margins In 3Q17, Bank of America’s (BAC) non-interest expenses fell sequentially and YoY (year-over-year), reflecting strong operating efficiency. This fall was partially offset by continued investments in technology. The bank’s expenses fell to $13.1 billion in 3Q17, compared with $13.5 billion in 3Q16 and $13.7 billion in 2Q17. Commercial banks (XLF) are focusing on reducing operating spending, targeting huge investments in technology […]

    By Robert Karr
  • Financials

    Why investor sentiment can show overvaluation in US markets

    While valuation is important, investors should also pay attention to sentiment. The goal is to gauge how – to steal a phrase – “irrationally exuberant” investors have become.

    By Russ Koesterich, CFA
  • uploads///Total Assets All Federal Reserve Banks
    Macroeconomic Analysis

    How will the Federal Reserve go about policy normalization?

    Monetary policy normalization refers to two aspects: the federal funds rate and the Federal Reserve’s balance sheet.

    By David Ashworth
  • uploads///Efficiency ratio citi
    Earnings Report

    Citigroup’s Focus on Efficiency Could Boost Its Profitability

    Citigroup’s 2Q15 efficiency ratio was 56% and was 66% in 3Q14. The bank has focused on efficiency through cost controls and exiting low-return segments that led to a lower efficiency ratio.

    By Rebecca Keats
  • uploads///Valuations
    Company & Industry Overviews

    Why JPMorgan and Wells Fargo Are Trading at High Multiples

    In spite of a rather weak performance, Wells Fargo (WFC) commands the highest premium due to its strong franchise, mortgage concentration, and high net interest margins.

    By Robert Karr
  • Financials

    Overview: A key guide to investing in exchange-traded funds

    This series is our attempt to educate our readers about leveraged and inverse ETFs, their structure, and their suitability for retail investors.

    By Mike Sonnenberg
  • Financials

    Why Wells Fargo leads in loans

    The bank has always focused on its bread and butter revenue-earning stream: loans. Over the years, Wells Fargo slowly realized its goal of achieving a strong market share in lending.

    By Saul Perez
  • uploads///WFC Dividends
    Earnings Report

    Will Dividends Please Wells Fargo’s Investors Worried about Scandals?

    In June, the Federal Reserve approved Wells Fargo’s (WFC) capital plans after it found that the bank could keep lending in a severe economic downturn.

    By Rebecca Keats
  • uploads///JPM Ratings
    Company & Industry Overviews

    What Do Analysts Recommend for JPMorgan Chase and Wells Fargo?

    In a Bloomberg survey of 37 analysts, 19 analysts (51%) have assigned a “buy” rating to Wells Fargo (WFC) while 13 (35%) have rated it as “hold.” The stock currently has five “sell” ratings.

    By Rebecca Keats
  • uploads///XLU
    Energy & Utilities

    Utility Sector: Will Investors Continue Their Defensive Positions?

    The Utilities Select Sector SPDR ETF (XLU), which tracks the performance of the utility sector, rose 2.7% in November 2017.

    By Sarah Sands
  • uploads///Rel val
    Company & Industry Overviews

    Can State Street Recover Its Discounted Valuations?

    On a next 12-month basis, State Street Corporation (STT) has a PE (price-to-earnings) ratio of 13.9x. Its competitors’ average is 21.22x.

    By Raymond Anderson
  • uploads///PBV Banks
    Earnings Report

    Does Citigroup Look Attractive at Its Current Valuations?

    Currently, Citigroup trades at a discount of 40% to its book value. It trades cheaper than peers such as JPMorgan Chase, Wells Fargo, and Goldman Sachs.

    By Rebecca Keats
  • uploads///Return generation
    Company & Industry Overviews

    How Rate Hikes and Tax Rate Cuts Could Play Out for Bankers

    The Fed is targeting one last rate hike in December 2017 to bring the federal funds rate from 1.25% to 1.50%.

    By Robert Karr
  • uploads///price to book ratios relative to roe
    Earnings Report

    Major Litigations End, but Bank of America Faces New Challenge

    In March, the Fed issued a conditional non-objection to Bank of America’s capital plan. It must resubmit its plan and address certain weaknesses.

    By Rekha Khandelwal, CFA
  • uploads///Declining Gross Investment Of GDP
    Macroeconomic Analysis

    The Boon of Tax Reform and Infrastructure Spending: More Than Just High Hopes?

    President Trump is expected to submit a tax reform and infrastructure spending package to Congress this year—all aimed at increasing business investments.

    By Mary Sadler
  • uploads///AMTD and comp EBITDA margin
    Company & Industry Overviews

    TD Ameritrade’s Projected Operating Expenses for Fiscal 4Q17

    TD Ameritrade Holding (AMTD) saw an increase in its total operating expenses for fiscal 3Q17 compared to fiscal 3Q16.

    By Raymond Anderson
  • uploads///Financials Beat the Overall Market Since Election Results
    Company & Industry Overviews

    Hyman Bullish on Financials, Investors Upbeat about Rate Hike

    Trump’s domestic growth-friendly policies Returns have been surging for the financial sector (XLF) (VFH) as the market expects to benefit from the Trump administration’s projected policies. Markets are highly confident with the expectation of more rate hikes, for example, and of widespread deregulation. Banks’ earnings have thus been getting a huge boost, and the market has been […]

    By Mary Sadler
  • uploads///non interest expenses
    Company & Industry Overviews

    Bank of America’s Efficiency Could Improve to 63% in 2017

    Bank of America (BAC) has put in place a strong expense control mechanism that has resulted in lower growth in operating expenses compared to revenues.

    By Robert Karr
  • uploads///JPM EPS
    Earnings Report

    JPMorgan Chase Gained 4% after Its 1Q16 Earnings: Was It That Good?

    On April 13, JPMorgan Chase reported 1Q16 earnings of $1.35 per share. It beat consensus estimates of $1.28. Its shares rallied 4.2% after the earnings beat.

    By Rebecca Keats
  • uploads///Consumer finance cos
    Company & Industry Overviews

    Can American Express Distributions Continue to Attract Investors?

    American Express (AXP) has been using its strong balance sheet position to consistently declare dividends to its shareholders.

    By Raymond Anderson
  • uploads///Investment income
    Earnings Report

    Prospect Capital Plans to Raise Capital through Spin-Offs

    Prospect Capital (PSEC) is targeting spin-offs in order to raise capital to be redeployed in asset classes yielding higher returns.

    By Robert Karr
  • uploads///analysts
    Earnings Report

    How Analysts View TD Ameritrade after Fiscal 2Q18

    Of the 19 analysts covering TD Ameritrade (AMTD) in April 2018, seven have recommended “strong buy,” five have recommended “buy,” six have recommended “hold,” and one has recommended “strong sell.”

    By Raymond Anderson
  • uploads///MA XLF
    Miscellaneous

    XLF May Cross Its 100-Day Moving Average: Is It Time to Buy?

    The Financial Select Sector SPDR ETF (XLF) attracts the most attention among financial ETFs in the US. 87% of the fund is composed of large-cap stocks.

    By Rebecca Keats
  • Financials

    Why Wells Fargo has the highest net interest margin

    Maintaining a high net interest margin has always been part of Wells Fargo’s (WFC) strategy. Wells Fargo has consistently been better than the industry’s average net interest margin.

    By Saul Perez
  • Financials

    Must-know: Putting the price–to-book value ratio in perspective

    We explored the most commonly used valuation metric for financial companies—the price-book value. We also understood the relation between price-book value and return on equity.

    By Saul Perez
  • uploads///american express revenue and income growth
    Company & Industry Overviews

    American Express: Opportunities Abound in a Challenging Market

    Co-branding relationships are an important part of the American Express business model. The costs of renewing and extending these relationships is increasing.

    By Rekha Khandelwal, CFA
  • uploads///rps
    Company & Industry Overviews

    A Look at the PGIM Ultra-Short Bond ETF

    PGIM, which distributes Prudential Financial’s (PRU) retail products, has introduced the PGIM Ultra-Short Bond ETF, an actively managed fund focusing on capital appreciation and income generation.

    By Raymond Anderson
  • uploads/// eps goal
    Company & Industry Overviews

    General Electric’s Mission, Vision, and Strategy

    General Electric’s strategy is to reshape its portfolio from a broad conglomerate to a more focused industrial leader.

    By Jessica Stephans
  • uploads///EU exposure
    Macroeconomic Analysis

    Banks That Look Riskier in the Brexit Aftermath

    Banks with significant exposure to the United Kingdom and the European Union are the riskiest investments in a post-Brexit environment.

    By Rebecca Keats
  • uploads///Rel Val
    Company & Industry Overviews

    What Led to Invesco’s Discounted Valuations?

    Invesco has a price-to-book ratio of ~1.4x on an LTM basis.

    By Raymond Anderson
  • uploads///Rel Val
    Earnings Report

    What’s Charles Schwab’s Valuation?

    Charles Schwab (SCHW) has a price-to-earnings ratio of 20.80x on an NTM (next-12-month) basis.

    By Raymond Anderson
  • uploads///AdobeStock_
    Energy & Utilities

    Dimensional Fund Advisors’ Major Holdings in Q3

    Dimensional Fund Advisors’ top buys are Apple (AAPL), AT&T (T), Microsoft (MSFT), L3Harris Technologies (LHX), and Verizon Communications (VZ).

    By Rabindra Samanta
  • Financials

    Must-know: Is Wells Fargo making boring attractive for investors?

    Wells Fargo’s (WFC) broad operation level strategy over the long run can be described by two words—slow and steady. It doesn’t take many risks. It’s stable and boring.

    By Saul Perez
  • uploads///MS Trading revenues
    Earnings Report

    Morgan Stanley’s Expense Cuts Are Key Part of Recovery

    Morgan Stanley’s 2Q16 earnings beat analysts’ estimates, as the bank reported considerably lower legal expenses.

    By Rebecca Keats
  • uploads///Mastercard
    Company & Industry Overviews

    What to Expect from Mastercard Moving Forward

    Wall Street analysts expect Mastercard (MA) to post earnings per share (or EPS) of $1.25 for 1Q18.

    By Raymond Anderson
  • uploads/// SP  Index
    Company & Industry Overviews

    How REIT Classification Benefits Preferred Securities

    S&P Dow Jones Indices and MSCI (MSCI) have decided to shift stock exchange-listed equity REITs and other listed real estate companies from the financial sector (XLF) to a new real estate sector.

    By VanEck
  • uploads///PS
    Company & Industry Overviews

    What Prudential’s Planning for Its Investment Management Business

    Prudential’s investment management division is deploying money to expand its offerings and reach.

    By Raymond Anderson
  • uploads///analysts
    Company & Industry Overviews

    How Wall Street Analysts View Invesco

    Of 16 analysts tracking Invesco in April 2018, four analysts suggested a “buy,” and six analysts gave “hold” ratings on the stock.

    By Raymond Anderson
  • uploads///Rel Val
    Earnings Report

    Analyzing TD Ameritrade’s Higher Valuation after Fiscal 2Q18

    TD Ameritrade’s (AMTD) NTM (next-12-month) price-to-book ratio is 4.1x, higher than the peer average of 4.0x, indicating its higher valuation.

    By Raymond Anderson
  • uploads///Consumer spending seasonal headwinds
    Macroeconomic Analysis

    Where Are Opportunities in the Current Economic Environment?

    There are still pockets of value in US markets. Investors can look to the financial and technology sectors for opportunities in the current economic environment.

    By Jeffrey Rosenberg
  • uploads///pic business model
    Company & Industry Overviews

    Graphical Representation of General Electric’s Business Model

    General Electric’s industrials and finance services are its two broader divisions, contributing 91% and 9%, respectively, to its consolidated 2015 earnings.

    By Jessica Stephans
  • uploads///Stock performance
    Earnings Report

    Allianz Reports 11% Revenue Growth Backed by Insurance Business

    Allianz Group offer property casualty insurance, life and health insurance, and asset management products and services in over 70 countries. The company’s major operations are in Europe.

    By Robert Karr
  • uploads///allocation to cash
    Macroeconomic Analysis

    What Should Be The “Right Amount” of Cash Allocation?

    If you’re preparing your portfolio for the short term, the allocation to cash should be high. As the horizon increases, allocation to cash should go down.

    By Russ Koesterich, CFA
  • uploads///XLF MA
    Company & Industry Overviews

    Financial ETF XLF Traded below Its Moving Averages on December 11

    This series analyzes investors’ sentiments toward the financial sector in the major global regions: the United States, Europe, China, Japan, and the Emerging Market economies.

    By Rebecca Keats
  • uploads///stock market pic
    Earnings Report

    JPMorgan Chase Could Beat the Fourth-Quarter Estimates

    JPMorgan Chase (JPM) is scheduled to announce its fourth-quarter financial results on January 15.

    By Amit Singh
  • Financials

    Must-read: Key takeaways for investors in the banking sector

    The longer term outlook for Eurozone banks does look more positive than a year ago given reasons including the substantial deleveraging, capital raising by local banks and the European Central Bank (or ECB)’s recently announced ABS purchase program.

    By Russ Koesterich, CFA
  • uploads///Janus and Henderson AUM by investment capabilities
    Company & Industry Overviews

    Janus Capital, Henderson Group: Complementary Business Advantage

    The merged entity of Janus Capital Group (JNS) and Henderson Group (HGG) will help accelerate the twin strategic objectives for diversification and growth.

    By Raymond Anderson
  • uploads///de trend past  quarters
    Company & Industry Overviews

    Why the Sudden Jump in General Electric’s Debt-to-Equity Ratio?

    As of September 30, 2015, General Electric’s industrial plus verticals had a much cleaner balance sheet than consolidated GE in 3Q15.

    By Jessica Stephans
  • uploads///Inventory and price
    Energy & Utilities

    Will the US Dollar and Inventories Impact Crude Oil Futures?

    March US crude oil (DBO) (UWT) futures contracts increased 1.8% to $65.61 per barrel on January 24, 2018.

    By Gordon Kristopher
  • uploads///PCF
    Company & Industry Overviews

    Prudential’s International Insurance Aims to Expand Reach

    In 4Q17, Prudential Financial’s (PRU) life planner operations’ adjusted operating income fell to $383 million from $395 million in 4Q16 due to foreign currency exchange, policies, and increased expenses.

    By Raymond Anderson
  • uploads/// Deposits
    Financials

    Wells Fargo remains number one in low-cost deposits

    Wells Fargo continues to remain a sector leader in raising low-cost deposits. It grew its noninterest deposits by nearly 7.0% compared to 4Q14.

    By Saul Perez
  • Financials

    Why Wells Fargo’s future goals will help it grow more

    Management sets the vision for an organization. Wells Fargo’s vision is large, but it’s already halfway there. Wells Fargo is the largest bank in the U.S.—by market capitalization.

    By Saul Perez
  • uploads///Performance of Societe Generale
    Macroeconomic Analysis

    Société Générale Fell 5.8% and Became FEZ’s Biggest Loser

    On Friday, January 15, 2016, Société Générale stock fell 5.8%, putting it at the bottom of the SPDR Euro STOXX 50 ETF (FEZ).

    By Sarah Sands
  • uploads///Performance of the Financial Sector in September
    Financials

    Will the Financial Sector Continue Its Rally Next Month?

    The financial sector has had a strong performance so far in September 2017. The Financial Select Sector SPDR Fund (XLF), which tracks the performance of the financial sector, rose nearly 4.4% on a month-to-date basis.

    By Sarah Sands
  • uploads///JPM vs BAC stock perf
    Company & Industry Overviews

    Why Deutsche Bank Prefers Bank of America over J.P. Morgan

    In this series, we’ll compare Bank of America and J.P. Morgan on the basis of their 2Q earnings, profitability, cost-cutting initiatives, and interest rate sensitivities.

    By Rebecca Keats
  • uploads///Total shareholder returns
    Earnings Report

    Investors should watch Discover’s stock in the longer term

    Discover Financial’s (DFS) stock price rose from $14.70 at the end of 2009 to $65.50 at the end of 2014. This is an increase of 346%.

    By Rekha Khandelwal, CFA
  • uploads///WFC energy exposure
    Company & Industry Overviews

    How Does Wells Fargo Compare on Energy Exposure?

    Wells Fargo (WFC) seems secure when it comes to risks arising from energy-related loans. Wells Fargo’s energy loan portfolio of $17.8 billion made up 1.7% of the total loan portfolio in 1Q16.

    By Rebecca Keats
  • uploads///JPM Ratings
    Company & Industry Overviews

    Why Analysts Think Bank of America Is a Better Bet Than JPMorgan

    Financial stocks have been rising after a better-than-expected 2Q16. Despite this, Citigroup has downgraded JPMorgan Chase to a “neutral” from a “buy.”

    By Rebecca Keats
  • uploads///abeedaaffdbcf
    Macroeconomic Analysis

    Financials Steal the Spotlight on July 15: Stellar Q2 Earnings

    Financial-sector companies such as Bank of America (BAC), U.S. Bancorp (USB), and BlackRock (BLK) shared the spotlight on July 15.

    By Surbhi Jain
  • uploads///Markets Plunge With Brexit Announcement But Recover By Year End
    Company & Industry Overviews

    How Have Equities Performed since the Brexit Vote?

    Investors lost confidence due to the uncertainty surrounding the vote, which led to the expectation of the other member nations’ following in the United Kingdom’s footsteps.

    By Mary Sadler
  • Financials

    Why low funding cost is an advantage for Wells Fargo

    If a bank is able to keep its cost of deposits low, it will have a competitive advantage. Wells Fargo has the lowest cost of deposits among its peers—despite having a very high deposit base.

    By Saul Perez
  • uploads///analysts
    Company & Industry Overviews

    What Analysts Are Saying about Prudential Financial

    Of the 18 analysts covering Prudential Financial (PRU) in April 2018, six have recommended “strong buy,” five have recommended “buy,” and seven have recommended “hold.”

    By Raymond Anderson
  • uploads///top holdings
    Fund Managers

    What Were Jim Chanos’s Largest Holdings in 3Q17?

    In 3Q17, Jim Chanos has made a substantial investment in the finance sector (XLF) and various ETFs.

    By Sarah Sands
  • uploads///eaadaeaebd
    Macroeconomic Analysis

    What Commodities’ Outperformance Means for the Business Cycle

    Let’s take a look at where we are in the business cycle, what factors are at play, and what stands to work given current macroeconomic influences.

    By Surbhi Jain
  • uploads///MA XLF
    Company & Industry Overviews

    XLF Is above Its 20-Day Moving Average: Is This a Bullish Sign?

    On February 19, the Financial Select Sector SPDR ETF (XLF) closed at $20.98. This is 10% and 6% below its 100-day and 50-day moving averages, respectively.

    By Rebecca Keats
  • Financials

    Why Wells Fargo focuses on non-interest income

    Wells Fargo wants to maintain a balance between its interest income from loans and non-interest income. Non-interest income accounts for nearly 49% of Wells Fargo’s revenues.

    By Saul Perez
  • Financials

    Why cross-selling is part of Wells Fargo’s strategy

    Wells Fargo’s (WFC) first, and possibly the most important, operational strategy is focusing on cross-selling. It’s the most important pillar of its operational strategy.

    By Saul Perez
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