As the S&P 500 notches its 35th record high this year, powered by a seemingly unstoppable tech sector, we dive into the numbers driving the rally to uncover whether this market is climbing on solid ground or teetering on exuberance.
Key Takeaways
- The S&P 500 index achieved a record high closing value of 5,666.86 points on July 16, 2024, marking its 35th record high of the year.
- The Dow Jones Industrial Average surged by 1.13% or 464.92 points to close at 41,603.10 on July 16, 2024.
- NASDAQ Composite index increased by 0.94% to 18,737.21 on July 16, 2024, driven by tech sector gains.
- Apple Inc. (AAPL) stock price reached $237.49 on July 16, 2024, up 0.8% daily.
- NVIDIA (NVDA) shares surged 150% YTD as of July 2024, driven by AI demand.
- Microsoft (MSFT) quarterly revenue grew 15% YoY to $64.7 billion in Q3 FY2024.
- Pfizer (PFE) revenue declined 43% to $13.8 billion in Q2 2024 due to COVID product drop-off.
- Johnson & Johnson (JNJ) sales grew 4.3% operationally to $22.4 billion in Q2 2024.
- Eli Lilly (LLY) Mounjaro sales hit $2.2 billion in Q2 2024, up 107% YoY.
- ExxonMobil (XOM) Q2 2024 earnings were $9.2 billion, up from $8.3 billion YoY.
- Chevron (CVX) produced 3.3 million barrels of oil equivalent per day in Q2 2024.
- ConocoPhillips (COP) Permian basin output averaged 707 MBOED in Q2 2024.
- JPMorgan Chase (JPM) Q2 2024 net interest income was $23.1 billion.
- Bank of America (BAC) provisions for credit losses totaled $1.5 billion in Q2 2024.
- Wells Fargo (WFC) CET1 capital ratio stood at 11.3% as of Q2 2024.
Major stock indexes reached new record highs as strong corporate earnings drove optimism.
Energy Sector
1ExxonMobil (XOM) Q2 2024 earnings were $9.2 billion, up from $8.3 billion YoY.
Verified2Chevron (CVX) produced 3.3 million barrels of oil equivalent per day in Q2 2024.
Verified3ConocoPhillips (COP) Permian basin output averaged 707 MBOED in Q2 2024.
Verified4Occidental Petroleum (OXY) Q2 2024 production hit 1.26 MMBOE/d.
Directional5EOG Resources (EOG) crude oil realizations averaged $78.42 per barrel in Q2 2024.
Single source6Schlumberger (SLB) revenue grew 9% YoY to $9.1 billion in Q2 2024.
Verified7Baker Hughes (BKR) orders reached $8.0 billion in Q2 2024.
Verified8Halliburton (HAL) North America revenue up 5% to $5.7 billion TTM.
Verified9Kinder Morgan (KMI) adjusted EBITDA was $2.1 billion in Q2 2024.
Directional10Williams Companies (WMB) transported 17.3 Bcf/d of natural gas in Q2 2024.
Single source11ONEOK (OKE) gathered 2,794 MMcf/d of natural gas in Q2 2024.
Verified12Cheniere Energy (LNG) produced 252 TBtu of LNG in Q2 2024.
Verified13ExxonMobil Permian production 1.4 MMBOE/d Q2 2024.
Verified14Chevron Guyana production averaged 380 MBbl/d Q2 2024.
DirectionalEnergy Sector Interpretation
While the oil majors flex their muscles with hefty profits and record production, the service companies and midstream operators are quietly, and profitably, ensuring the whole show runs smoothly, proving that in this industry, the real money is made not just in the ground, but in moving and servicing what comes out of it.
Finance Sector
1JPMorgan Chase (JPM) Q2 2024 net interest income was $23.1 billion.
Verified2Bank of America (BAC) provisions for credit losses totaled $1.5 billion in Q2 2024.
Verified3Wells Fargo (WFC) CET1 capital ratio stood at 11.3% as of Q2 2024.
Verified4Citigroup (C) revenues fell 3% to $20.1 billion in Q2 2024.
Directional5Goldman Sachs (GS) investment banking fees rose 31% to $1.3 billion in Q2 2024.
Single source6Morgan Stanley (MS) wealth management net new assets were $44 billion in Q2 2024.
Verified7BlackRock (BLK) AUM reached $10.6 trillion as of June 30, 2024.
Verified8Visa (V) payments volume grew 10% to $4.0 trillion in Q3 FY2024.
Verified9Mastercard (MA) gross dollar volume increased 11% to $2.5 trillion in Q2 2024.
Directional10S&P Global (SPGI) revenue up 12% to $3.6 billion in Q2 2024.
Single sourceFinance Sector Interpretation
While JPMorgan lines its vaults with interest payments and BlackRock's mountain of assets touches the stratosphere, the most telling detail is that Americans are swiping furiously, with Visa and Mastercard processing trillions, suggesting that spending—not saving—is the economy's true engine this quarter.
Healthcare Sector
1Pfizer (PFE) revenue declined 43% to $13.8 billion in Q2 2024 due to COVID product drop-off.
Verified2Johnson & Johnson (JNJ) sales grew 4.3% operationally to $22.4 billion in Q2 2024.
Verified3Eli Lilly (LLY) Mounjaro sales hit $2.2 billion in Q2 2024, up 107% YoY.
Verified4Novo Nordisk (NVO) Ozempic sales reached DKK 30.6 billion in H1 2024.
Directional5Merck (MRK) Keytruda sales grew 18% to $7.2 billion in Q2 2024.
Single source6AbbVie (ABBV) Humira U.S. net revenues fell 37% to $2.3 billion in Q2 2024.
Verified7Amgen (AMGN) quarterly revenue up 20% to $8.4 billion in Q2 2024.
Verified8Bristol Myers Squibb (BMY) Opdivo sales increased 9% to $2.3 billion in Q2 2024.
Verified9UnitedHealth Group (UNH) medical loss ratio was 84.8% in Q2 2024.
Directional10CVS Health (CVS) adjusted EPS was $2.05, down from $2.21 YoY in Q2 2024.
Single source11Gilead Sciences (GILD) HIV sales totaled $4.2 billion in Q2 2024.
Verified12Moderna (MRNA) cash reserves stood at $9.2 billion as of Q2 2024 end.
Verified13Regeneron (REGN) Eylea sales were $1.5 billion in Q2 2024.
Verified14Biogen (BIIB) Q2 2024 revenue was $2.4 billion, flat YoY.
Directional15Pfizer non-COVID revenue grew 7% operationally to $12.7 billion Q2 2024.
Single source16JNJ innovative medicine sales up 5.4% to $13.8 billion Q2 2024.
Verified17Lilly Zepbound sales were $1.0 billion in Q2 2024 launch quarter.
Verified18Novo Nordisk Wegovy sales DKK 14.3 billion in H1 2024.
Verified19Merck Gardasil sales up 16% to $2.0 billion Q2 2024.
Directional20AbbVie Skyrizi sales grew 46% to $2.8 billion Q2 2024.
Single source21Amgen Tepezza sales $563 million Q2 2024.
Verified22BMY Eliquis sales $3.8 billion up 9% Q2 2024.
Verified23UNH membership totaled 49.3 million at Q2 2024 end.
Verified24CVS Health same-store sales up 6.5% Q2 2024.
DirectionalHealthcare Sector Interpretation
The pharmaceutical landscape is currently a tale of two epidemics: the explosive demand for GLP-1s like Mounjaro is skyrocketing Eli Lilly and Novo Nordisk, while the post-pandemic hangover is leaving Pfizer and others searching for their next blockbuster to replace fading COVID and Humira revenues.
Tech Sector
1Apple Inc. (AAPL) stock price reached $237.49 on July 16, 2024, up 0.8% daily.
Verified2NVIDIA (NVDA) shares surged 150% YTD as of July 2024, driven by AI demand.
Verified3Microsoft (MSFT) quarterly revenue grew 15% YoY to $64.7 billion in Q3 FY2024.
Verified4Amazon.com (AMZN) AWS cloud revenue increased 17% YoY to $25.0 billion in Q2 2024.
Directional5Alphabet (GOOGL) ad revenue hit $64.6 billion in Q2 2024, up 11% YoY.
Single source6Meta Platforms (META) daily active users reached 3.27 billion in Q2 2024.
Verified7Tesla (TSLA) delivered 443,956 vehicles in Q2 2024, down 5% YoY.
Verified8Broadcom (AVGO) AI revenue doubled to $3.1 billion in Q2 FY2024.
Verified9AMD (AMD) data center revenue grew 115% YoY to $2.8 billion in Q2 2024.
Directional10Salesforce (CRM) subscription revenue rose 10% to $9.3 billion in Q1 FY2025.
Single source11Netflix (NFLX) added 8.05 million subscribers in Q2 2024, total 278 million.
Verified12Oracle (ORCL) cloud infrastructure revenue up 42% to $2.7 billion in Q4 FY2024.
Verified13Adobe (ADBE) annual recurring revenue reached $20.9 billion, up 11% YoY.
Verified14Intel (INTC) foundry business revenue was $4.5 billion in Q2 2024.
Directional15Cisco (CSCO) subscription revenue grew 18% YoY to $28.1 billion TTM.
Single source16Apple (AAPL) free cash flow was $28.2 billion in Q2 FY2024.
Verified17NVIDIA market cap surpassed $3.3 trillion on July 10, 2024.
Verified18Microsoft Azure revenue grew 31% YoY in Q3 FY2024.
Verified19Amazon Prime Day 2024 generated over $14 billion in sales.
Directional20Alphabet YouTube ad revenue was $8.9 billion in Q2 2024.
Single source21Meta Reality Labs revenue doubled to $275 million in Q2 2024.
Verified22Tesla energy storage deployments hit 9.4 GWh in Q2 2024.
Verified23Broadcom VMware revenue contributed $3.0 billion in Q2 FY2024.
Verified24AMD client segment revenue fell 48% to $1.0 billion in Q2 2024.
Directional25Salesforce Einstein AI usage grew 3x YoY in Q1 FY2025.
Single source26Netflix ad-tier subscribers tripled to 40 million in Q2 2024.
Verified27Oracle total cloud services revenue up 20% to $6.7 billion.
VerifiedTech Sector Interpretation
It appears the tech world is having an AI and cloud-powered party, but Tesla forgot the directions, AMD's living room is a mess, and Intel is still trying to find the door.
US Indices
1The S&P 500 index achieved a record high closing value of 5,666.86 points on July 16, 2024, marking its 35th record high of the year.
Verified2The Dow Jones Industrial Average surged by 1.13% or 464.92 points to close at 41,603.10 on July 16, 2024.
Verified3NASDAQ Composite index increased by 0.94% to 18,737.21 on July 16, 2024, driven by tech sector gains.
Verified4The VIX volatility index dropped to 12.46 on July 16, 2024, indicating low market fear levels.
Directional5S&P 500's price-to-earnings ratio stood at 27.8 as of July 2024, above its 10-year average of 21.5.
Single source6Dow Jones dividend yield averaged 1.85% over the past 12 months ending June 2024.
Verified7NASDAQ 100 index returned 18.4% year-to-date as of mid-July 2024.
Verified8Russell 2000 small-cap index underperformed with a YTD return of 5.2% as of July 2024.
Verified9S&P 500 trading volume reached 4.2 billion shares on July 11, 2024, highest in three months.
Directional10Dow Jones hit an intraday high of 41,872.43 on July 17, 2024.
Single source11NASDAQ's average P/E ratio for constituents was 32.1 in Q2 2024.
Verified12S&P 500's market cap exceeded $45 trillion for the first time in July 2024.
Verified13Dow Jones components had an average beta of 0.98 in 2024.
Verified14VIX term structure showed contango with front-month at 12.5 and 3-month at 14.2 on July 2024.
Directional15S&P 500 equal-weight index returned 7.8% YTD vs. 15.2% for cap-weight as of July 2024.
Single source16The average P/E ratio for S&P 500 tech sector stocks was 35.2 as of July 2024.
Verified17Dow Jones Industrial Average's 52-week high was 42,063.04 reached on July 11, 2024.
Verified18NASDAQ Composite's beta against S&P 500 is 1.15 over the past year.
Verified19S&P 500 dividend yield was 1.28% as of July 2024.
Directional20VIX futures curve steepened with August contract at 13.2 on July 2024.
Single source21Russell 1000 growth index outperformed value by 12% YTD July 2024.
VerifiedUS Indices Interpretation
While the champagne corks are popping over the S&P 500's 35th record high and a placid VIX suggests a blissful market nap, the chorus of historically high P/E ratios and the stark underperformance of small caps whisper a sober reminder that all that glitters may be overvalued.
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