Four Earnings Beats, Four Stocks Making A Morning Move

Four companies have reported their latest quarterly earnings since yesterday’s market close, and all four managed to top estimates, sending their shares up in morning trading. The results are a positive development for the market, as analysts have otherwise been predicting a rather gloomy earnings season. Let’s dig into the results and see what has investors pleasantly surprised by these companies.

The Boeing Company (NYSE:BA) is up by a little more than 2% today after reporting its third quarter earnings and providing positive guidance for fiscal year 2015. Revenue came in well ahead of estimates at $25.85 billion, buoyed by a 7% increase in commercial deliveries to a record 199. Earnings per share also came in well ahead of estimates at $2.52, a beat of $0.30. In addition, The Boeing Company (NYSE:BA) upgraded its earnings guidance for 2015 to a range of $7.95-to-$8.15 from a previous guidance range of $7.70-to-$7.90. One of the most popular aerospace and defense stocks, The Boeing Company (NYSE:BA) was in the portfolios of 44 of the elite investors that we track as of June 30.

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Let’s move on to Baker Hughes Incorporated (NYSE:BHI), which is in the midst of being acquired by Halliburton Company (NYSE:HAL). Shares are up by over 1% despite the oil field services company reporting weak third quarter results. Revenue fell by 39% year-over-year to $3.79 billion, while the company registered a loss of $0.36 (or an adjusted loss of $0.05 per share) compared to a profit of $0.86 per share a year ago. Nonetheless, the rough times were not unexpected given its exposure to the U.S oil industry, where there’s been a broad pullback in terms of operations, as analysts had predicted a greater adjusted loss of $0.14 per share. Activist investor Jeffrey Ubben of ValueAct Capital, a supporter of the merger, recently filed an amended 13D related to his Baker Hughes Incorporated (NYSE:BHI) position in which he claimed that he intended to have discussions with the company regarding ways to increase shareholder value. Ubben continues to hold a 23.25 million-share stake in Baker Hughes Incorporated (NYSE:BHI) as of October 1.

We have the earnings reports of two more companies to get to, including a major auto manufacturer, which we’ll do on the following page.

General Motors Company (NYSE:GM) has posted strong gains of 4.24% in morning trading following the release of strong third quarter results. Among the positives were earnings per share of $1.50, running over estimates of $1.19, and revenue of $38.80 billion, topping estimates by $190 million. General Motors Company (NYSE:GM)’s strong showing was fueled by an increased appetite for trucks and SUV’s in the low gas price environment, as well as strength in the key U.S and China markets. The results will please Toronto-based Breton Hill, which we reported yesterday as having a taste for tobacco and automobiles heading into this quarter. General Motors Company (NYSE:GM) was the fund’s top pick as of September 30, with it holding 295,995 shares.

Lastly is Biogen Idec Inc (NASDAQ:BIIB), which is up by 2.70% in morning trading, after initially surging by over 5%. As with the previous three companies, Biogen Idec Inc (NASDAQ:BIIB) also announced stronger-than-expected results, in addition to upgrading its guidance. On top of adjusted earnings per share of $4.48, a beat of $0.69, Biogen’s $2.78 billion in revenue also beat forecasts by $130 million. Furthermore, the biopharmaceutical company announced that it would slash its global workforce by 11%, while upgrading its non-GAAP diluted EPS estimates for fiscal year 2015 to between a range of $16.20 and $16.50. Biogen Idec Inc (NASDAQ:BIIB) was found in the portfolios of 63 elite investors that we track as of June 30, topped by Samuel Isaly’s healthcare fund Orbimed Advisors.

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