Stock Market Today: Futures Tumble as P&G and Honeywell Report Earnings

Stock Market Today: Futures Tumble as P&G and Honeywell Report Earnings

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

Investors can expect a sharply negative start to the stock market today, as the Dow Jones Industrial Average lost 109 points, or about 0.8%, in premarket trading this morning. As they did yesterday, stocks look set to follow world markets lower at the end of the trading week: European and emerging market indexes lost more than 1% in overnight trading. Meanwhile, corporate earnings continue to roll in, with huge companies, including Procter & Gamble , Honeywell , and Bristol-Myers Squibb , booking results this morning.

P&G today reported results for its fiscal second quarter. The consumer goods giant saw organic sales grow by 3%, in line with its forecast of between 3% and 4% growth this year. Revenue came in at $22.3 billion -- flat with the prior-year period -- as earnings ticked lower by a penny, to $1.21 a share. While unexciting, those solid results helped the company generate $3.3 billion in operating cash flow, which it distributed entirely to shareholders in the form of dividends and stock repurchases in the quarter. P&G also affirmed its guidance for the rest of the fiscal year, saying it still expects earnings to grow between 7% and 9%. The stock is unchanged in premarket trading.

Honeywell this morning booked a 13% jump in quarterly profit, to $1.24 a share. Revenue rose by a surprisingly high 8% in the fourth quarter, to hit $10.4 billion, as sales improved significantly in its automation and control and performance materials and technologies divisions. The company reaffirmed its guidance for 2014, saying that it sees sales growth of between 3% and 4% driving a 10% boost in earnings this year, to $5.35 a share. That leaves the stock valued at a reasonable 16 times this year's earnings. Honeywell shares are unchanged in premarket trading.

Finally, Bristol-Myers Squibb today beat quarterly earnings and sales estimates by logging $0.44 a share in profit on $4.4 billion in revenue. The drugmaker's revenue was pushed higher by a number of successful products, including the skin-cancer treatment Yervoy, which booked 23% sales growth in the quarter. Bristol-Myers provided an outlook for 2014 that called for earnings of $1.72 a share, or about 5% below last year's $1.82 haul. The stock is up 1.9% in premarket trading.

Start 2014 off right
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.

The article Stock Market Today: Futures Tumble as P&G and Honeywell Report Earnings originally appeared on

Fool contributor Demitrios Kalogeropoulos has no position in any stocks mentioned. The Motley Fool recommends Procter & Gamble. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Originally published