The positive tone set by this week's earnings reports will likely shift toward mediocrity in the upcoming week, especially regarding firms that rely on consumer spending, said Charlie Smith, CIO of Fort Pitt Capital Group, and Alan Valdes, vice president of Kabrik Trading.
Though Valdes said these consumer-based companies will likely post better results than one year ago, they'll probably follow Johnson & Johnson 's lead and show a decline in sales revenue.
"That's really concerning us," he said.
Smith said his firm is still heavily invested in telecom and cable, adding that he thinks Comcast will greatly benefit if the dealfor NBC Universal goes through.
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But even if the deal doesn't materialize, he said he would still buy into the company.
"Comcast is going to be generating a whole lot of cash the next year or so, and a lot of it's going to be coming back to the shareholder," Smith said.
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Disclosures:
Disclosure information was not available for Smith, Valdes or their firms.
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