Earnings on Tap: Heavyweights to Report Tuesday Morning

 The Goldman Sachs Group (GS) is scheduled to report second-quarter results before the bell Tuesday. Wall Street analysts expect earnings of $2.35 per share. In the year-ago quarter the company reported earnings of $0.78.

The global financial turmoil, the Greek bond crisis, and weak trading revenue in the bonds, commodities, and currency markets will likely affect Goldman Sachs' earnings, similar to what has happened with its peers. However, investment banking revenue will likely show good growth, also in line with those reported by peers earlier.

Investors will want clarity on media reports of more than 200 job cuts that might be in the offing and a plan to reduce noncompensation expense by as much as $1 billion.

 Bank of America (BAC) is also slated to declare earnings before the bell Tuesday. Analysts, on average, expect the firm to post a profit of $0.09 per share, compared with $0.27 per share in prior-year quarter.

Bank of America said June 29 it would take a $8.5 billion hit over settlement-related mortgage-backed securities charges.

Even as analysts would hope the deal signals the end of the bank's settlement troubles and clears uncertainty relating to future charges, they will look to see how management intends to build its capital base to meet international capital-requirement norms that will be implemented in the near future.

 Wells Fargo (WFC) is a third financial-services firm reporting Tuesday morning, with a survey of analysts expecting the firm to clock earnings per share of $0.69, compared with $0.55 in the same quarter last year.

Wells Fargo shares are highly undervalued at current prices, according to Morningstar analyst Jaime Peters, who believes the bank's net charge-offs have peaked and will start to trend downward.

Outside of the financial-services industry,  Johnson & Johnson (JNJ) is expected to post earnings of $1.24 per share, slightly up from $1.23 in the year-ago quarter.

With the health-care major's spate of product recalls, which troubled the firm in 2010 and early 2011, coming to a visible end, investors can focus on management's strategy to roll out products in the wake of key patent losses in the past few years. Morningstar analyst Damien Conover thinks Johnson & Johnson shares have been trading at a discount.

Investors will also focus on  Coca-Cola's (KO) earnings report before the opening bell Tuesday. Wall Street analysts expect earnings of $1.15 per share against $1.02 a year earlier. Revenue is expected to get a boost owing to the recent acquisition of Coca Cola Enterprises' North American operations.

The Street will look for Coke's growth in emerging markets such as Asia, Latin America, and Eastern Europe in the face of declining consumption of carbonated beverages in the firm's key North American market. Morningstar analyst Philip Gorham believes the Coke's global reach will hold the firm in good stead to meet these challenges and that Coke's investments in Asia and Eastern Europe will be a key valuation driver in the medium term.

Rouhan Sharma contributed to this article.