SANDY, Utah, Jan. 18, 2018 /PRNewswire/ -- Investors continue
to be predominately bullish or very bullish on market performance,
according to the latest Ally Invest quarterly survey of independent
investors. Bullish/very bullish sentiment rose from 55 percent in
the previous quarter to 76 percent this quarter, suggesting that
even with recent market highs, investors still see room at the top
for continued growth. Further, investors remain largely positive
about upcoming FAANG (Facebook, Amazon, Apple, Netflix, Google)
earnings, with investors showing particular confidence in Amazon's
results exceeding street expectations.
The results of the in-house survey, conducted January 4-9, 2018 by Ally Invest, are based on
responses from 385+ independent investors.
Bull - Bear Sentiment
The quarterly survey showed 61%
of investors have a bullish market outlook (vs. 49% last quarter)
and 15% are very bullish (vs. 6% last quarter), with just 3% of
investors reporting a bearish or very bearish view (down from 12%
the last quarter). Investors point to corporate earnings (71% of
respondents) and accelerating growth (44%) as particular market
drivers. However, investors continue to keep a close eye on
potential market concerns, including somewhat lessened concerns
about international unrest (42% this quarter vs. 54% last quarter),
with concerns about slowing year-over-year growth and weakening of
the U.S. dollar tied at 17% of respondents.
Optimistic Outlook for FAANG Earnings
When asked "What
is your outlook for each of the 'FAANG' stocks for the fourth
quarter?," the majority of investors believe again this quarter
these companies will either meet or exceed street expectations with
bullish sentiment the strongest on Amazon and the weakest on Apple
and Netflix. Here is how response for the FAANG stocks
compared:
- Facebook (meet street expectations: 31%, exceed street
expectations 29%)
- Amazon (meet street expectations: 19%, exceed street
expectations: 41%)
- Apple (meet street expectations: 35%, exceed street
expectations: 27%)
- Netflix (meet street expectations: 33%, exceed street
expectations: 27%)
- Google (meet street expectations: 28%, exceed street
expectations: 38%)
Investors Watching a Variety of Trade Triggers for FAANG
Stocks
When asked, "Which trade triggers are you watching
most closely for each of the 'FAANG' stocks?," investors offered a
range of responses, though ongoing annual revenue growth was among
the top three triggers cited by all investors surveyed.
- Facebook: The social network's advertising revenue was cited as
the top investor response (19%), followed by year-over-year revenue
growth (12%) and year-over-year EPS growth and the number of active
users/subscribers tied for third (11%).
- Amazon: Investors likewise pointed to year-over-year revenue
growth as the top trade trigger (28%), followed by year-over-year
EPS growth (12%) and gross margins (7%).
- Apple: Apple's enduring reputation for innovative consumer
products continues to be its calling card, with investors pointing
to new product launch(es) as a top trade trigger (18%), followed by
product sales by category (16%) and year-over-year revenue growth
(12%).
- Netflix: The number of active users/subscribers was Netflix's
top trade trigger (29%), followed by year-over-year revenue growth
(10%) and year-over-year EPS growth (9%).
- Google: Ad revenue was the top Google trade trigger (18%)
followed closely by year-over-year revenue growth (17%), with
year-over-year EPS growth (9%).
Results of the survey are for informational purposes only and
not intended as investment advice. Investing involves risk. Thus,
before investing you should consider what is suitable given your
particular circumstances or seek professional advice.
About Ally Financial Inc.
Ally Financial Inc. (NYSE:
ALLY) is a leading digital financial services company and a top 25
U.S. financial holding company offering financial products for
consumers, businesses, automotive dealers and corporate clients.
Ally's legacy dates back to 1919, and the company was redesigned in
2009 with a distinctive brand, innovative approach and relentless
focus on its customers. Ally has an award-winning online bank (Ally
Bank Member FDIC, Equal Housing Lender) offering deposits, credit
card and home loan products, one of the largest full service auto
finance operations in the country, a complementary auto-focused
insurance business, a growing wealth management and online
brokerage platform, and a trusted corporate finance business
offering capital for equity sponsors and middle-market
companies.
The company had approximately $164
billion in assets as of September 30,
2017. For more information, visit the Ally press room at
http://media.ally.com or follow Ally on Twitter:
@AllyFinancial.
Securities products and services are offered through Ally Invest
Securities LLC, member FINRA and SIPC. Investment advisory services
are offered through Ally Invest Advisors Inc., an SEC registered
investment adviser. Ally Invest Advisors Inc. and Ally Invest
Securities LLC are wholly owned subsidiaries of Ally Invest Group
Inc. Investments are NOT FDIC INSURED, NOT BANK GUARANTEED
and MAY LOSE VALUE.
Media Contacts:
Andrea Puchalsky at Ally
313-656-3798
Andrea.Puchalsky@ally.com
Kathy Wilson at Tier One
Partners
781-652-0499
kwilson@tieronepr.com
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SOURCE Ally Financial