There’s not a lot of economic data or earnings reports next week as we continue to ease into the new year.

The market is closed on Monday January 16 for Martin Luther King Day.

Goldman (GS) and Morgan Stanley (MS) report earnings Tuesday morning.

(Click on image to enlarge)

My focus is Thursday when Top Gun holding Procter & Gamble (PG) reports in the morning and Netflix (NFLX) reports in the afternoon. I see no reason not to expect a solid quarter from PG. As I’ve mentioned many times in the past, they sell the kinds of stuff – like Tide laundry detergent, Crest toothpaste and Old Spice anti-perspirant – that people buy in good times or bad. While PG is expensive at nearly 26x FY23 guidance, I’m willing to pay up for one of the premier consumer staples companies.

(Click on image to enlarge)

Probably the most interesting event next week is Netflix (NFLX) earnings Thursday afternoon. NFLX was decimated eight months ago when they reported a shocking drop in screaming subscribers for their 1Q22 and forecast one for the following quarter as well. However in their 3Q22 subscriber growth resumed and they forecast a gain of 4.5 million for 4Q22 as well which has really got the stock going. The problem is that NFLX has now doubled off its lows and is expensive again. I’ll likely take a small short position and look to buy some puts ahead of earnings.

More By This Author:

Why I Shorted The Big 4 Banks
Fed And Market Play Chicken
CPI Wonks Are Focused On The “Supercore”