This article originally apperared on the Motley Fool.
Stocks rose last week as earnings season kicked into high gear. The uptick left both the Dow Jones Industrial Average (DJINDICES:^DJI) and the S&P 500 (SNPINDEX:^GSPC) solidly higher for the year so far, but still below the records they set in early March.
Earnings season rolls on over the coming five trading days, and a few of the most anticipated reports set to be released will be from Chipotle (NYSE:CMG), Amazon (NASDAQ:AMZN), and Starbucks (NASDAQ:SBUX).
Chipotle’s return to growth
Chipotle will release its fiscal first-quarter earnings results after the closing bell on Tuesday. The struggling restaurant chain’s stock is down sharply since late 2015, when its food safety scare stopped sales growth in its tracks and sent profits plunging.
However, shares have been on a spicy rally since the start of this year as hopes rise that a recovery is finally gaining steam. Chipotle in early February said that comparable-store sales spiked by 15% in the month of December when stacked against a prior-year period that was swamped by plunging store traffic.
The sales comparisons will stay easy for a while, and in fact, Chipotle executives believe they’ll manage comps increases in the high-single digits for fiscal 2017. A recent price increase, meanwhile, might indicate that the management team is seeing encouraging traffic trends. Investors this week will be focused on how that boost has been received by burrito fans, and how.
Amazon’s long game
Online shopping juggernaut Amazon is set to announce its quarterly figures on Wednesday afternoon just as shares bounce along near record highs. The latest stock rally coincides with a huge increase in profits as annual net income soared to $2.4 billion in 2016 from $596 million in the year-ago period.
Spiking earnings at Amazon Web Services played a big role in that surge, given that operating income in the division more than doubled to $3.1 billion. In contrast, Amazon…