More than half of the S&P 500 names that reported results this week beat top and bottom line – Earnings Scorecard
This week was one of the heaviest in terms of companies that reported their first quarter earnings. Here is a recap of a few popular names that have reported their results.
Of the 156 S&P 500 companies that reported, 125 had EPS above analyst expectations, 28 missed consensus, and three were in line. For revenue, 89 companies reported a beat, while 64 reported a top-line miss, and three were in line.
Of the 209 companies that have reported QTD, nearly 81% of them beat on EPS while 55.5% of the companies have exceeded expectations on revenue.
Tesla (TSLA) on Tuesday posted revenue of $21.30B, down 8.5% year-over-year, and missed the consensus estimate of $22.26B. EPS came in at $0.45 vs. $0.50 consensus and $0.85 a year ago. The EPS tally from the electric vehicle maker was the lowest in ten quarters. However, its shares shot up in post-market trading as investors were latching on to the company’s commitment to launch a more affordable model that can be produced on its existing manufacturing lines. During the earnings conference call, CEO Elon Musk said the EV adoption rate globally is under pressure, but he still thinks EVs will dominate the automobile industry over the long term.
Visa (V) stock gained 3.5% in Tuesday after-hours trading after delivering Q2 earnings and revenue that each exceeded Wall Street expectations and rose sequentially and from a year ago, as consumer spending was “stable” during the quarter, management noted. The payment network company still expects annual operating expense growth in the low double digits. It also reaffirmed guidance for FY2024 net revenue growth in the low double digits. Guidance for annual class A common stock EPS growth was, too, repeated in the low teens.
On Wednesday, Facebook parent Meta Platforms (META) slid 12% in an early reaction to first-quarter earnings, where the company’s revenues mostly met expectations but disappointed investors with a lackluster revenue forecast for Q2. Notably, the company forecast second-quarter revenue of $36.5B-$39B, the midpoint below consensus for $38.3B. It also expects full-year expenses of $94B-$99B due to “higher infrastructure and legal costs.”
Boeing’s (NYSE:BA) shares fell as much as 3.8% on Wednesday after the plane maker reported quarterly revenue that was less than the average estimate among Wall Street analysts. The company this year has worked to overcome safety issues that led aviation authorities to cap production of its best-selling plane.
On Thursday, chip giant Intel (INTC) reported significantly weaker-than-expected guidance for the coming quarter that overshadowed its better-than-expected first-quarter results. For the coming second quarter, the Pat Gelsinger-led firm expects revenue to be between $12.5B and $13.5B, well below the $13.61B analysts were anticipating.
Caterpillar’s (CAT) shares fell on Thursday by as much as 9.1% to a six-week low after the maker of heavy machinery and construction equipment reported weaker quarterly sales. The company said revenue this year should be similar to 2023 results, while analysts forecast a slight gain to $67.3 billion.
For the upcoming week, which is expected to be the heaviest week for Q1 results reporting, at least 166 S&P 500 names are scheduled to report, with the likes of Amazon.com Inc. (AMZN), Eli Lilly (LLY), and Coca-Cola (KO) on Tuesday, Mastercard (MA), Pfizer (PFE), and Qualcomm (QCOM) on Wednesday, and Apple (AAPL) and ConocoPhillips (COP) on Thursday.