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The earnings season is slated to peak in the upcoming week, with a wide range of companies across various sectors reporting their financial results. The focus will be on mega-cap tech giants, but many other firms from wide-ranging sectors will announce results, including those from consumer staples, industrial, automobile, airline and energy segments.
Facebook parent Meta (NASDAQ:META), Amazon (NASDAQ:AMZN), Alphabet (NASDAQ:GOOGL) (NASDAQ:GOOG) and Microsoft (NASDAQ:MSFT) are all set to release their quarterly results.
The list of companies reporting also includes major automakers General Motors (NYSE:GM) and Ford (NYSE:F), consumer staples manufacturers Coca-Cola (NYSE:KO), and Colgate Palmolive (NYSE:CL), defense leaders Boeing (BA), L3Harris Technologies (LHX), Raytheon Technologies (RTX), General Dynamics (GD), and Northrop Grumman (NOC), energy sector giants ExxonMobil (NYSE:XOM) and Chevron (NYSE:CVX), payment processors Visa (NYSE:V) and Mastercard (NYSE:MA) and major airline Southwest Airlines (NYSE:LUV).
Below is a rundown of major quarterly updates anticipated in the week of October 23 to 27:
Monday, October 23
Cleveland-Cliffs (NYSE:CLF)
Cleveland-Cliffs (CLF) is scheduled to announce Q3 earnings results on Monday, after market close. Analysts expect profit to surge by more than 50%, while revenue is projected to go down slightly.
The stock gets a Hold rating from Seeking Alpha’s Quant Rating system, a more cautious view than the consensus Buy rating from Wall Street analysts.
“Cleveland-Cliffs is well-positioned to perform well over time, thanks to its strong position when it comes to supplying automobile companies and due to energy cost advantages compared to competitors from markets such as Europe,” says investing group leader Jonathan Weber.
- Consensus EPS Estimates: $0.44
- Consensus Revenue Estimates: $5.53B
- Earnings Insight: The company has beaten EPS expectations in 3 of the past 8 quarters and revenue in 5 of those reports.
Also reporting: Logitech International S.A. (LOGI), Koninklijke Philips N.V. (PHG), Packaging Corporation of America (PKG) and more.
Tuesday, October 24
Alphabet (GOOG) (GOOGL)
Alphabet (GOOG) (GOOGL) will be announcing its Q3 results during Tuesday’s post-market session. The search-engine giant has outperformed the broader market index with a 55% growth rate this year, surpassing the S&P 500’s 12%.
Following the tech behemoth’s upbeat Q2 results, investment firm Bank of America said it is expecting “favorable” headlines, due in part to strength in YouTube, search, and artificial intelligence.
Just a few days before the earnings report, Seeking Alpha’s Quant Rating system changed its view from Strong Buy to Hold, while Wall Street analysts maintained a bullish view on the stock, giving it a Strong Buy rating.
- Consensus EPS Estimates: $1.45
- Consensus Revenue Estimates: $75.73B
- Earnings Insight: Google has topped EPS expectations in 4 of the past 8 quarters, beating revenue estimates in 5 of those reports.
Microsoft (MSFT)
Joining Alphabet on Tuesday, Microsoft (MSFT) is also set to report its Q4 performance after the closing bell.
Seeking Alpha’s Quant Rating system turned bullish on the stock just a few days before the earnings by upgrading its view to Strong Buy from Hold. Meanwhile, Wall Street analysts maintain their optimism about the stock with a Strong Buy rating.
After more than a year of rigorous examination by antitrust investigators across the world, Microsoft just completed its $69B acquisition of Activision Blizzard, the largest deal in video game history. Its benefits, however, will not be reflected in the company’s financial report.
- Consensus EPS Estimates: $2.65
- Consensus Revenue Estimates: $54.54B
- Earnings Insight: Microsoft has outperformed EPS forecasts in 7 of the last 8 quarters, and revenue in 6 of those quarters.
Also reporting: General Electric Company (NYSE:GE), Verizon Communications (VZ), Visa Inc. (V), The Coca-Cola Company (KO), 3M Company (MMM), General Motors Company (GM), Raytheon Technologies Corporation (RTX), Teladoc Health, Inc. (TDOC), Dow (DOW), Snap (SNAP), Texas Instruments Incorporated (TXN), Halliburton Company (HAL), Corning Incorporated (GLW), Novartis AG (NVS), Waste Management (WM), Spotify Technology S.A. (SPOT), Kimberly-Clark (KMB) and more.
Wednesday, October 25
Meta Platforms (META)
Facebook parent Meta Platforms (META) is scheduled to announce its Q3 results after the close on Wednesday. After exceeding expectations in Q2, the social media giant forecast Q3 revenue in the range of $32B–$34.5B.
SA contributor Dair Sansyzbayev, who is extremely optimistic about the company’s near-term prospects, says, “Meta Platforms stock remains undervalued despite a tripling price since November 2022. Quarterly earnings show revenue growth, profitability, and solid cash flow, while Meta’s expansion and large user base present potential revenue streams.”
Meta’s cost-cutting actions and a rebound in ad income boosted the stock’s performance this year, which has climbed by about 150%. The stock has been rated as a Strong Buy by sell-side analysts and Seeking Alpha’s Quant Rating system.
Recently, Alphabet’s unit Google (GOOG) (GOOGL), Meta Platforms (META), and Apple (AAPL) have received approval from U.S. regulators to deploy the new set of mobile AR/VR devices, including goggles and in-car connections.
- Consensus EPS Estimates: $3.60
- Consensus Revenue Estimates: $33.43B
- Earnings Insight: Meta has topped EPS expectations in 4 of the past 8 quarters, beating revenue estimates in 5 of those reports.
Boeing (BA)
Boeing (BA) is preparing to report Q3 results after the closing bell on Wednesday. Shares of the now-Virginia-based industrial and defense giant have dropped over 7% over the past 6 months, attracting a cautious view of Hold from Seeking Alpha’s Quant Rating system, pointing to valuation concerns. Meanwhile, Wall Street analysts rate the stock a Buy.
During the third quarter, Boeing and its supplier Spirit AeroSystems (SPR) determined that the aft pressure bulkhead on many Boeing 737 MAX airplanes had erroneously drilled fastening holes. At the 2023 Industrial Conference, CFO Brian West claimed that the current issue will affect 75% of the 220 planes in inventory, or 165 planes. Despite persistent 737 manufacturing problems, the firm reiterated its ambitions to boost 787 production from three to four per month by the end of 2023.
The company delivered 27 commercial jets to customers in the month of September, raising its yearly total to 371 planes.
- Consensus EPS Estimates: $-2.53
- Consensus Revenue Estimates: $18.37B
- Earnings Insight: Boeing has beaten EPS expectations just once in the past 8 quarters and revenue just twice in that span.
Also reporting: International Business Machines (IBM), QuantumScape Corporation (QS), ServiceNow (NOW), General Dynamics (GD), Automatic Data Processing (ADP), Baker Hughes Company (BKR), KLA Corporation (KLAC) and more.
Thursday, October 26
Amazon (AMZN)
Ecommerce and cloud giant Amazon (AMZN) is due to release its Q3 earnings on Thursday after the market closes. The quarter will focus on Amazon’s cost-cutting initiatives, supply chain management, and AI product deployment as potential positive factors for attracting investment in equities amidst current market environments.
Wall Street analysts have a consensus Strong Buy rating, but Seeking Alpha Quant Ratings assesses the company as a Hold. On a YTD basis, Amazon shares have expanded by almost 50% in value.
“AMZN’s cost-cutting initiatives and margin improvements make it a solid buying opportunity, despite concerns such as the FTC lawsuit and a weakening economy.” writes SA Investing Group Leader Danie Jones with a bullish stance on the stock. Meanwhile, fellow Investing Group Leader Sensor Unlimited expects the stock to continue being range-bound in the near term due to the key challenges on its operating margins, competition in key growth areas, and valuation risks.
- Consensus EPS Estimates: $0.60
- Consensus Revenue Estimates: $141.621B
- Earnings Insight: Amazon has beaten EPS and revenue expectations in half of the past 8 quarters.
Also reporting: Kenvue (KVUE), Intel (INTC), Ford Motor Company (F), Altria Group (MO), Merck & Co. (MRK), Bristol-Myers Squibb (BMY), Mastercard (MA), Southwest Airlines (LUV), Newmont Corporation (NEM), United Parcel Service (UPS), Comcast Corporation (CMCSA), Honeywell International (HON), Chipotle Mexican Grill (CMG), United States Steel Corporation (X), Royal Caribbean Cruises (RCL), Northrop Grumman Corporation (NOC), International Paper Company (IP), Boston Scientific Corporation (BSX), Capital One Financial (COF), L3Harris Technologies (LHX), Peabody Energy (BTU), Hertz Global Holdings (HTZ), The Hershey Company (HSY), PG&E Corporation (PCG), Hasbro (HAS), FirstEnergy (FE), Harley-Davidson (HOG), W.W. Grainger (GWW) and more.
Friday, October 27
Oil giants Chevron (CVX) and Exxon Mobil (XOM) are set to announce their Q3 earnings before the market opens on Friday. Despite both stocks lagging behind the broader market index, Seeking Alpha’s Quant Rating system has approached them cautiously, assigning a Hold rating. In contrast, Wall Street analysts express optimism, giving both stocks a Buy rating.
Given the prevailing market conditions and the upward trend in crude oil prices, analysts anticipate Y/Y growth in earnings per share and revenue for CVX, while expecting a decline for XOM.
Also reporting: WisdomTree (WT), AbbVie (NYSE:ABBV), Phillips 66 (PSX), Colgate-Palmolive Company (CL), Sanofi (SNY), T. Rowe Price Group (TROW), Stanley Black & Decker (SWK), Charter Communications (CHTR), Newell Brands (NWL), Xcel Energy (XEL), Aon (AON), AutoNation (AN), CBRE Group (CBRE), and more.
