Pinterest and defensive telecommunications lead the week’s winners in communications stocks (NYSE:PINS)


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Communications services stocks made a slight gain for the week – a bit surprise, with the negative tenor of the market sell-off this week. But the sector was buoyed by gains on Monday, Tuesday and (especially) Wednesday – after the market rallied overall following Federal Reserve policy decisions.

The Communication Services Sector (XLC) SPDR Fund gained 0.5% for the week; last week he had fell 3.7%and this week’s gain only takes a small advantage over a year to date 24% drop.

The sector’s weekly gainers were mainly led by a somewhat downcast group in telecoms/broadband, which made up four of the top five.

Pinterest (NYSE: PINS) was the top large-cap gainer of the week, up 10.6% in steady gains since its April 28 results were positively received by investors and analysts. But Lumen Technologies (NYSE: LUMN) was right behind with a gain of 8.5% for the week, also mainly driven by a positive earnings report and improved guidance.

Charter Communications (CHTR) was the worst performer in the past week, down 16.2%so this week 7.3% yield (third-best among large-caps in the sector) marked a sort of relief rebound. It was followed by AT&T(T), up 6.2%and Verizon (VZ), up 4.3% – is part of a typically defensive telecom group. AT&T took the opportunity this week to raise some mobile rates for the first time in three years.

As for the biggest losers, earnings once again played an outsized role, especially over the weekend. The week’s worst large-cap decline was Dish Network, down 22.1% almost entirely on Friday after its report showed financial misfires and a sharp drop in subscriber numbers.

It did worse than the second-worst decline, News Corp., whose own poor report sent the stock down 13.9% for the week and led media names lower on Friday.

Another notable earnings reporter among the losers: Live Nation Entertainment (LYV) received a post-marketing boost on Thursday after producing a strong report, but couldn’t escape a week-long downdraft that left the stock 11.8% less for the period.

The top five gainers over the past five sessions among large-cap and larger communications services stocks (market cap $10 billion or more):

  • Pinterest (PINS), +10.6%;
  • Lumen Technologies (LUMN), +8.5%;
  • Communications Charter (CHTR), +7.3%;
  • AT&T (T), +6.2%;
  • Verizon (VZ), +4.3%.

The top five declines over the past five sessions among large-cap and larger communications services stocks (market cap $10 billion or more):

  • Dish Network (NASDAQ: FLAT), -22.1%;
  • News Corp. Class A (NASDAQ: NWSA), -13.9%;
  • Snap (SNAP), -12.4%;
  • National Live Entertainment (LYV), -11.8%;
  • Roblox (RBLX), -9.3%.

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