Latest Earnings Reports Put These Stocks on Investors’ Radars

Markets are bullish this morning following Apple Inc. (NASDAQ:AAPL)’s strong financial report. Investors also await a policy statement scheduled later today to get hints regarding a possible September rate hike.

Aside from Apple, other stocks that are making moves today include Hilton Worldwide Holdings Inc (NYSE:HLT), Ballard Power Systems Inc. (USA) (NASDAQ:BLDP), STMicroelectronics NV (ADR) (NYSE:STM), and United States Steel Corporation (NYSE:X). Let’s find out why these stocks are in the spotlight this morning and analyze the hedge fund sentiment towards them.

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Apple Beats Estimates

Apple Inc. (NASDAQ:AAPL)’s stock has advanced by over 7% since the opening bell after the tech giant posted fiscal third quarter results that beat analysts’ expectations. Apple earned $1.42 per share in the quarter, better than the forecasts of $1.38, while revenue of $42.4 billion also surpassed the expected $42.09 billion. However, Apple registered a 15% fall in iPhone sales during the quarter (for the second time since the iPhone was launched), but analysts had anticipated a larger decline. In a statement, Apple’s CEO Tim Cook said that Apple’s strategy to attract new customers through its 4-inch iPhone SE is working. Analysts are, however, alarmed at declining iPhone sales as users are no longer upgrading their phones with the same zeal due to market saturation. Apple’s sales in China, Hong Kong and Taiwan plunged by 33% on the year. Apple’s CFO Luca Maestri said in a press briefing that the company was aware of the slowdown in China, and it will have to “work through them”. As of the end of first quarter, 152 hedge funds in our database are long Apple Inc. (NASDAQ:AAPL), owning approximately $14.8 billion worth of shares. Billionaire Ken Fisher’s Fisher Asset Management reported holding 11 million shares in its 13F filing for the end of the second quarter.

Hilton Worldwide Misses Estimates

Hilton Worldwide Holdings Inc (NYSE:HLT) shares are getting smacked this morning after the company posted dissipating second-quarter results. The Texas-based hotel and resort company posted EPS of $0.24, behind the estimates of $0.26. Revenue in the quarter came in at $3.05 billion, versus the consensus estimate of $3.06 billion. System-wide comparable revenue per available room increased 2.9% in the quarter on a currency neutral basis from the same period in 2015. For the full year, Hilton Worldwide sees its EPS between $0.21 and $0.23. Among the funds we track, 42 funds were long Hilton Worldwide Holdings Inc (NYSE:HLT) at the end of March.

On the next page, we will discuss the stock activity around Ballard Power Systems, STMicroelectronics and United States Steel Corporation. 

Ballard Power Systems Posts Second Quarter Earnings, Announce Agreement with Zhongshan Broad-Ocean Motor Co

Ballard Power Systems Inc. (USA) (NASDAQ:BLDP)’s stock is in the green today on the back of the second-quarter earnings release. The fuel cell products company earned $0.04 per share, in-line with the analysts’ forecasts, but revenue in the quarter came in at $17.6 million, well behind the estimated $18.32 million. The company also announced that it had entered into a strategic collaboration agreement with Zhongshan Broad-Ocean Motor Co, which includes a $28.3 million equity investment in Ballard by Broad-Ocean. The investment will be made through a subscription and purchase of 17.25 million common shares. Just two investors from our database were positioned in Ballard Power Systems Inc. (USA) (NASDAQ:BLDP) at the end of the first quarter.

STMicroelectronics NV Second Quarter In-Line with Estimates

Shares of STMicroelectronics NV (ADR) (NYSE:STM) have gained over 8% after the semiconductor company posted $23 million profit for the second quarter, while its adjusted earnings of $0.4 a share and revenue of $1.7 billion revenue were in-line with the estimates. In a media statement, STMicroelectronics CEO Carlo Bozotti said that revenue increased in the quarter due to strategic focus, Smart Driving and Internet of Things. Seven investors tracked by our team amassed shares of STMicroelectronics NV (ADR) (NYSE:STM) as of the end of the first quarter.

United States Steel Narrows Losses, Beats Estimates

United States Steel Corporation (NYSE:X)  are up by nearly 10% so far today after the company released better-than-expected results for the second quarter. The Pennsylvania-based steel producer posted a loss of $0.32 a share, better than the estimated loss of $0.50 per share. Revenue in the quarter came in at $2.58 billion for the quarter, compared to estimated $2.68 billion. US Steel’s CEO Mario Longhi said in a statement that the financial performance of the company got a boost due to a price rally in steel,  Flat-Rolled and European segments. For full 2016, U.S. Steel expects its EPS at $0.34. Phill Gross and Robert Atchinson’s Adage Capital Management is one of 28 hedge funds from our database that held stakes in United States Steel Corporation (NYSE:X) at the end of the  first quarter.

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