The Week Ahead: Media Firms Undervalued Ahead of Earnings

Jeremy Glaser: Welcome to The Week Ahead. The pace of earnings will slow down this week after last week's deluge. Media firms Discovery, Disney, News Corp, and 21st Century Fox will report on Tuesday and Wednesday. We see all four firms as trading below their fair value estimates today, as we think the market is too pessimistic about the impact of cord-cutters.

Snap will release its first results as a publicly traded company on Wednesday. On Thursday, Macy's and Nordstrom report. Traditional brick-and-mortar retailers have been under tremendous pressure from e-commerce and other forces recently. The market will be looking for signs that the firms' strategies for navigating this environment are having an impact.

Friday will bring the biggest data releases of the week. April's consumer price index is due, and we'll see if there is a bounce back from the decline in core and headline prices reported for March. We'll also be looking to see if retail sales rebounds from a disappointing March.

Consumer sentiment and a look at job openings on Tuesday will round out the week's releases. Stay tuned to Morningstar for our take on these stories.