Market Update 10/27/2014 MARKETS U.S. stocks drifted little changed on Monday, after the market's best week of the year, as investors tracked the cost of crude as a proxy for the health of the global economy and sorted through quarterly earnings. The S&P 500 declined 0.2 percent, with Materials the weakest and Telecommunications faring best among its 10 major industries. (CNBC) Index S&P 500 DJIA NASDAQ Closing Price 1,961.63 16,817.94 4,485.93 Points -2.95 12.53 2.22 % Change -0.15% 0.07% 0.05% YTD 6.13% 1.46% 7.41% Past Week 1.05% 1.22% 1.50% Source: S&P Capital IQ, Reality Shares Research. DIVIDENDS Of the eight remaining top dividend payers in 2008, six surpassed those dividend levels in 2013 and four are at doubledigit percentage premiums to 2008 levels. The remaining two companies are General Electric and Pfizer, but, with 2013 dividends at a 37% and 23% discount to 2008 levels, the companies are substantially closer to full recovery than Bank of America and Citigroup. (FactSet Dividend Quarterly, 9/15/2014) INDEX DIVIDEND POINTS ON 10/24/2014 Closing Index Price DJIA 16,805.41 S&P 500 1,964.58 NASDAQ 100 4,042.02 FTSE 100 6,388.73 EURO STOXX 50 3,030.37 Nikkei 225 15,291.64 Price Growth (y-o-y) 8.36% 12.13% 20.21% -4.83% -0.28% 5.56% Dividend Points 378.27 38.77 52.11 312.72 114.51 244.84 Dividend Growth (y-o-y) 12.24% 9.63% 11.51% 27.50% 1.75% 13.40% Source: Bloomberg, Reality Shares Research. ‘Y-o-Y’ = Year-over-Year. EX-DIVIDEND ON 10/27/2014 S&P 500 Companies by Sector Consumer Staples CLX The Clorox Company Industrials ADT The ADT Corporation XYL Xylem Inc. Closing Price Current S&P 500 Dividend LTM NTM NTM Dividend Contribution Dividends Dividends Growth $99.47 $0.74 0.09% $2.90 $2.99 3.22% $34.50 $35.34 $0.20 $0.13 0.03% 0.02% $0.80 $0.51 $0.75 $0.91 -6.46% 78.05% Source: S&P Capital IQ, Reality Shares Research. ‘LTM’ = Last Twelve Months; ‘NTM’ = Next Twelve Months. EX-DIVIDEND ON 10/28/2014 No S&P 500 companies are scheduled to go Ex-Dividend on Tuesday. Source: S&P Capital IQ, Reality Shares Research. ‘LTM’ = Last Twelve Months; ‘NTM’ = Next Twelve Months. Reality Shares™, Inc. | Copyright © 2014 Reality Shares, Inc. All rights reserved. 1 EARNINGS The blended earnings growth rate for Q3 2014 is 5.6%. The Telecom Services sector is reporting the highest earnings growth for the quarter, while the Consumer Discretionary and Energy sectors are the only sectors reporting year-overyear declines in earnings. (FactSet Earnings Insight, 10/24/2014) RELEASED EARNINGS ON 10/27/2014 S&P 500 Companies by Sector Financials GGP General Growth Properties, Inc BEN Franklin Resources Inc. PCL Plum Creek Timber Co. Inc. HIG The Hartford Financial Services Group, Inc. XL XL Group plc Healthcare AGN Allergan Inc. AMGN Amgen Inc. MRK Merck & Co. Inc. Industrials ROP Roper Industries Inc. Information Technology STX Seagate Technology Public Limited Company Closing Price EPS Est $24.89 $53.90 $41.35 $37.69 $33.12 $0.06 $0.93 $0.30 $0.84 $0.63 $0.06 $1.02 $0.32 $1.06 $0.70 EPS Surprise EPS Growth LTM (q-o-q) Trend 0.00% 9.68% 6.67% 26.19% 11.11% 15.61% 10.87% -0.40% 241.94% -31.37% $182.33 $1.78 $1.76 $148.20 $2.30 $2.11 $56.45 $0.90 $0.88 1.14% 9.00% 2.27% 17.88% -2.95% 5.88% $150.94 $1.55 $1.53 1.31% -0.64% $58.74 $1.34 $1.25 7.20% 21.82% Source: S&P Capital IQ, Reality Shares Research. ‘LTM’ = Last Twelve Months. WEEKLY ECONOMIC DATA The following table lists the key economic data released this week, along with the consensus estimates and period-overperiod changes for each indicator. Date 10/27/2014 Statistic Pending Home Sales For Sep Actual 0.3% Est 0.5% Prior -1.0% Change 130.0% Source: Yahoo! Finance, Reality Shares Research. DISCLAIMER This publication has been prepared and issued by Reality Shares, Inc., (“Reality Shares”). 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All rights reserved. 2 sources Reality Shares believes to be reliable, but Reality Shares does not represent or warrant that it is accurate or complete. This publication does not constitute personal investment advice or take into account the individual financial circumstances or objectives of the clients who receive it. The securities discussed herein may not be suitable for all investors. Reality Shares recommends that investors independently evaluate each issuer, security or instrument discussed herein and consult any independent advisors they believe necessary. The value of and income from any investment may fluctuate from day to day as a result of changes in relevant economic markets (including changes in market liquidity). The information herein is not intended to predict actual results, which may differ substantially from those reflected. Past performance is not necessarily indicative of future results. Copyright © 2014 Reality Shares, Inc. All rights reserved. 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