10 Earnings Reports Investors Must Read

In this article, we will take a look at the 10 earnings reports investors must read.

The second-quarter earnings season has almost ended, with S&P 500 stocks posting their strongest earnings growth in more than a decade, according to data compiled by research firm FactSet. Investors were also relieved with the impressive performance of S&P 500 companies.

Notable companies that recently released their earnings reports include Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD).

Source: pexels

To discuss the detailed financial performance of these stocks, let’s start our list of 10 earnings reports investors must read.

Earnings Reports Investors Must Read

10. Caleres, Inc. (NYSE: CAL)

Number of Hedge Fund Holders: 18

Caleres, Inc. (NYSE: CAL) is a leading footwear retailer, operating various brands. It recently announced better-than-expected financial results for the second quarter, mainly driven by a rebound in shoe sales.

The company reported adjusted earnings of $1.19 per share for the three months ended July 31, compared to a loss of 57 cents per share in the year-ago quarter. In addition, Caleres, Inc. (NYSE: CAL) posted revenue of $675.5 million, representing a surge of 35 percent on a year-over-year basis.

Analysts, on average, were expecting Caleres, Inc. (NYSE: CAL) to post earnings of 53 cents per share on $640.40 million in revenues. If we look at the performance of key businesses, revenue from the Famous Footwear segment jumped 35.8 percent, while revenue from the Brand Portfolio segment rose 30.2 percent.

Speaking on the results, CEO Diane Sullivan said in a statement:

“The Caleres team continued to execute at a high level during the quarter, achieving another significant sequential increase in sales and delivering earnings well in excess of pre-pandemic levels.”

Caleres, Inc. (NYSE: CAL) also issued its profit outlook for the third quarter and full year. It expects adjusted earnings in the range of $1.10 per share to $1.25 per share for Q3, better than the consensus forecast of 66 cents per share. For FY 2021, it expects adjusted earnings between $3.25-$3.50 per share, higher than analysts’ average estimate of $2.24 per share.

Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD) also caught investors’ attention after releasing their financial results.

9. Li Auto Inc. (NASDAQ: LI)

Number of Hedge Fund Holders: 20

Li Auto Inc. (NASDAQ: LI) is an emerging electric vehicle (EV) manufacturer in China. It is currently competing in the market with a premium electric SUV named Li One, which has been selling well since its rollout in November 2019. Meanwhile, Li Auto plans to strengthen its product portfolio by launching more EVs in the coming years.

The Chinese EV maker recently posted record revenue for the second quarter. Li Auto Inc. (NASDAQ: LI) generated revenue of 5.04 billion yuan in the three months ended June 30, up 158.8 percent from the comparable period of 2020.

However, Li Auto Inc. (NASDAQ: LI) swung to a loss of 0.07 yuan per share on an adjusted basis. On the bright side, vehicle deliveries in the quarter skyrocketed 166 percent to 17,575, while vehicle margin improved to 18.7 percent.

CEO Xiang Li expressed his satisfaction with the results. Li said in a statement:

“Our remarkable second quarter results reflect the undeniable strength and appeal of our Li ONE. The 2021 Li ONE received rave reviews and strong endorsement from users, contributing to our second quarter deliveries of 17,575 vehicles and July deliveries of 8,589 vehicles, resulting in cumulative deliveries of over 70,000 vehicles. We are also excited to share that Li ONE topped sales charts in the large SUV and new energy SUV categories in July, making us a leading domestic NEV manufacturer in China.”

Looking forward, Li Auto Inc. (NASDAQ: LI) expects to post revenue of 6.98 billion yuan for the third quarter, above the consensus forecast of 5.52 billion yuan. Moreover, vehicle deliveries in the current quarter are expected to increase between 188.7-200.2 percent.

Like Li Auto Inc. (NASDAQ: LI), Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD) also came into the limelight after posting their quarterly earnings.

8. Chico’s FAS, Inc. (NYSE: CHS)

Number of Hedge Fund Holders: 22

Shares of Chico’s FAS, Inc. (NYSE: CHS) have dropped to their lowest price in more than three months after releasing its financial results for the second quarter. The women’s clothing retailer reported earnings of 21 cents per share for the three months ended July 31, compared to a loss of 40 cents per share in the year-ago quarter.

In addition, Chico’s FAS, Inc. (NYSE: CHS) posted revenue of $472.1 million, up 54 percent from $306.2 million in the comparable period of 2020. Gross margin increased to 38.4 percent, marking the highest level in more than three years. However, comparable sales inched down 1.6 percent versus the second quarter of 2019.

Discussing the results, CEO Molly Langenstein said:

“Our second quarter earnings performance was the best second quarter Chico’s FAS has posted since 2013, and these results show the incredible progress we continue to make in our turnaround strategy, despite pandemic challenges. Our return to profitability in the quarter was driven by our strategic actions that grew sales, expanded gross margin, and diligently controlled our expenses.”

Like Chico’s FAS, Inc. (NYSE: CHS), investors are also closely watching Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD) after their quarterly results.

7. Asana, Inc. (NYSE: ASAN)

Number of Hedge Fund Holders: 22

Asana, Inc. (NYSE: ASAN) touched a new 52-week high of $94.81 after announcing its second-quarter results above expectations. The software company reported an adjusted loss of 23 cents per share for the quarter ended July 31, narrower than the adjusted loss of 34 cents per share in the comparable period of 2020.

Revenue for the quarter climbed 72 percent on a year-over-year basis to $89.5 million. Analysts, on average, were expecting Asana, Inc. (NYSE: ASAN) to report a loss of 26 cents per share on $82.3 million in revenues.

Speaking on the results, CEO Dustin Moskovitz said:

“In the second quarter we accelerated total revenue growth, continued to report strong customer growth and increased dollar-based net retention rates across the board. Customers are adopting Asana everywhere: across our major geographies and across all sizes of teams. We saw particular strength in the enterprise, with the number of customers spending over $50,000 up 111 percent. Stay tuned for more enterprise announcements in October.”

Asana, Inc. (NYSE: ASAN) also issued the sales outlook for its fiscal third quarter and fiscal year 2022. It is anticipating revenue in the range of $93 million to $94 million for Q3, translating to year-over-year growth of 58-60 percent. For the full year, it expects revenues between $357 million and $359 million, representing year-over-year growth of 57-58 percent.

Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD) have also come under investors’ radar after their earnings reports.

6. PVH Corp. (NYSE: PVH)

Number of Hedge Fund Holders: 28

Shares of PVH Corp. (NYSE: PVH) jumped over 15 percent on Wednesday after the company delivered solid results for the second quarter. The clothing retailer reported adjusted earnings of $2.72 per share, significantly higher than 13 cents per share in the comparable period of 2020.

Moreover, PVH Corp. (NYSE: PVH) posted revenue of $2.313 billion, up 46 percent from the year-ago quarter. The results easily surpassed analysts’ average estimate of $1.52 per share for earnings and $2.14 billion for revenue.

Commenting on the performance, CEO Stefan Larsson said in a statement:

“We delivered another quarter of high-quality growth and strong performance above our guidance. This was driven by disciplined execution of our key strategic priorities, led by Calvin Klein and TOMMY HILFIGER and our international markets, focused on product strength and winning in the marketplace, super-charged by e-commerce”

PVH Corp. (NYSE: PVH) also updated its profit outlook for the third quarter. It expects adjusted earnings in the range of $1.95 per share to $2 per share, ahead of the consensus forecast of $1.77 per share.

Nutanix, Inc. (NASDAQ: NTNX), Chewy, Inc. (NYSE: CHWY), Veeva Systems Inc. (NYSE: VEEV), Okta, Inc. (NASDAQ: OKTA), and CrowdStrike Holdings, Inc. (NASDAQ: CRWD) are also under the spotlight after their quarterly financial reports.

5. Nutanix, Inc. (NASDAQ: NTNX)

Number of Hedge Fund Holders: 29

Shares of Nutanix, Inc. (NASDAQ: NTNX) hit their highest since April 2019 after posting a narrower-than-expected loss for its fiscal fourth quarter. The cloud computing company reported an adjusted loss of 26 cents per share, compared to an adjusted loss of 39 cents per share in the year-ago quarter.

Analysts, on average, were expecting Nutanix, Inc. (NASDAQ: NTNX) to report a loss of 42 cents per share. Revenue came in at $390.7 million, higher than $327.9 million in the same period last year and above the consensus forecast of $362.9 million.

CEO Rajiv Ramaswami called the results “a strong end to an excellent fiscal year”. Ramaswami added:

“We have entered our fiscal 2022 with good momentum and a solid plan for growth, executing on the model we laid out at Investor Day and delivering on our vision of making clouds invisible.

4. Chewy, Inc. (NYSE: CHWY)

Number of Hedge Fund Holders: 43

Shares of Chewy, Inc. (NYSE: CHWY) have declined for the third consecutive trading session following weak Q2 results and outlook. The pet food supplier reported a loss of 4 cents per share for the three months ended August 1, narrower than a loss of 8 cents per share in the year-ago quarter. Still, it was wider than a loss of 2 cents per share estimated by analysts.

Revenue for the quarter jumped 27 percent on a year-over-year basis to $2.16 billion but missed the consensus estimate of $2.20 billion. Monthly active customers in the quarter rose 21 percent to 20.1 million.

CEO Sumit Singh seemed satisfied with the results. Singh said in a statement:

“We have now crossed the halfway point of 2021, and our results once again demonstrate the strength of our business model and the incredible bond between pets and pet parents. Our business remains healthy, with second quarter net sales up 27 percent year over year, driven by a 21 percent increase in active customers and a 13 percent increase in net sales per active customer. Customer engagement is growing, and we are confident in our ability to deliver strong results while navigating uncertain market conditions due to the ever-evolving COVID-19 pandemic.”

Looking forward, Chewy, Inc. (NYSE: CHWY) expects revenue in the range of $2.20 billion to $2.22 billion for the third quarter, marginally below the consensus forecast of $2.23 billion.

3. Veeva Systems Inc. (NYSE: VEEV)

Number of Hedge Fund Holders: 44

Veeva Systems Inc. (NYSE: VEEV) shares fell more than 5 percent on Thursday despite beating expectations for its fiscal second quarter. The cloud-computing company reported adjusted earnings of 94 cents per share for the three months ended July 31, compared to 72 cents per share in the year-ago quarter.

Analysts, on average, were expecting Veeva Systems Inc. (NYSE: VEEV) to report earnings of 87 cents per share. Revenue for the quarter rose 29 percent on a year-over-year basis to $455.6 million, beating the consensus forecast of $452 million. Revenue from the subscription services increased to $366.4 million versus $283.5 million in the comparable period of 2020.

Speaking on the results, CEO Peter Gassner said in a statement:

“Thanks to the team and the trust of our customers, it was another great quarter. Rapid innovation is driving expansion in existing markets and significant early traction in newer areas like CDMS and safety as we start to realize the major potential of Veeva Development Cloud.”

Veeva Systems Inc. (NYSE: VEEV) also updated the financial outlook for its full fiscal year. It now expects adjusted earnings of $3.57 per share versus its earlier outlook of $3.49 per share. Moreover, revenue for the full year is now expected to come between $1.83 billion and $1.835 billion, compared to its previous guidance between $1.815 billion and $1.825 billion.

2. Okta, Inc. (NASDAQ: OKTA)

Number of Hedge Fund Holders: 57

Okta, Inc. (NASDAQ: OKTA) was founded in 2009 by Todd McKinnon and Frederic Kerrest to provide workforce identity services over the internet. The company has grown at an exceptional rate since then. Okta identity cloud software lets users securely access applications from any device. It also helps customers manage user authentication into apps. Okta serves thousands of clients, including notable names such as Slack and Western Union.

The company recently came into the limelight after announcing better than expected results for the second quarter. Okta, Inc. (NASDAQ: OKTA) reported an adjusted loss of 11 cents per share, narrower than the loss of 35 cents per share estimated by analysts.

Revenue came in at $315.5 million, well above $200.4 million in the comparable period of 2020. Analysts were expecting Okta, Inc. (NASDAQ: OKTA) to post revenue of $296.7 million.

Discussing the results, CEO Todd McKinnon said:

“Execution remained sharp with strong demand for Okta’s workforce and customer identity solutions, as well as Auth0’s developer-centric identity solutions. As organizations advance on their journey of improving their customers’ digital experience, adopting zero-trust security environments, and deploying more cloud applications, they continue to turn to Okta to deliver an unmatched array of modern identity solutions to meet these challenges.”

1. CrowdStrike Holdings, Inc. (NASDAQ: CRWD)

Number of Hedge Fund Holders: 66

CrowdStrike Holdings, Inc. (NASDAQ: CRWD) recently announced its second-quarter profit and sales above expectations. The cybersecurity company reported adjusted earnings of 11 cents per share for the three months ended July 31, compared to 3 cents per share in the same period last year.

Revenue for the quarter climbed 70 percent on a year-over-year basis to $337.3 million. The results exceeded analysts’ average estimate of 9 cents per share for earnings and $323.2 million for revenue. CrowdStrike Holdings, Inc. (NASDAQ: CRWD) also announced that its annual recurring revenue (ARR) jumped 70 percent to $1.34 billion.

Speaking on the results, CFO Burt Podbere said:

“In the second quarter we once again achieved strong growth at scale and delivered exceptional unit economics, drove leverage and remained capital efficient, generating strong operating and free cash flow. Given our strong performance and growing momentum in the market, and reflecting our view of a continued robust demand environment, we are raising our guidance for fiscal year 2022.”

Looking forward, CrowdStrike Holdings, Inc. (NASDAQ: CRWD) now expects adjusted earnings in the range of 43 cents per share to 49 cents per share for the full year, above the consensus forecast of 40 cents per share. In addition, the company expects revenue between $1.39 billion – $1.41 billion, better than analysts’ average estimate of $1.36 billion.

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Disclosure: None. 10 Earnings Reports Investors Must Read is originally published on Insider Monkey.