5 Companies Making Headlines on Earnings Reports

In this article, we discuss the 5 companies making headlines on earnings reports. If you want to read our detailed analysis of these companies, go directly to the 11 Companies Making Headlines on Earnings Reports.

5. The TJX Companies, Inc. (NYSE:TJX)

Number of Hedge Fund Holders: 56

Shares of The TJX Companies, Inc. (NYSE:TJX) rose over seven percent on Wednesday, May 18, 2022, despite posting mixed financial performance for its fiscal first quarter. The off-price retailer reported adjusted earnings of 68 cents per share, topping estimates of 61 cents per share.

Revenue for the quarter advanced 13 percent on a year-over-year basis to $11.41 billion, while analysts were expecting The TJX Companies, Inc. (NYSE:TJX) to generate revenue of $11.61 billion.

Looking forward, The TJX Companies, Inc. (NYSE:TJX) expects adjusted earnings in the range of $3.13 – $3.20 per share for its fiscal year 2023. However, the midpoint of the outlook missed the consensus of $3.15 per share.

Speaking on the results, CEO Ernie Herrman said:

“We believe our value proposition is as appealing as ever for consumers in today’s retail environment, and we are excited about our initiatives to drive customer traffic and sales. We remain focused on our long-term vision to become an increasingly profitable, $60-billion-plus company.”

4. Cisco Systems, Inc. (NASDAQ:CSCO)

Number of Hedge Fund Holders: 57

Cisco Systems, Inc. (NASDAQ:CSCO) appears to be in serious trouble after missing revenue expectations for its fiscal third quarter and releasing disappointing guidance for the current quarter.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO) plummeted to a nearly 18-month low on Thursday, May 19, 2022, following the results. The California-based networking giant earned 87 cents per share on an adjusted basis, compared to 83 cents per share in the year-ago period.

In addition, Cisco Systems, Inc. (NASDAQ:CSCO) posted revenue of $12.84 billion, nearly unchanged from the same quarter of the prior year. Analysts were looking for earnings of 86 cents per share on revenue of $13.34 billion.

For the current quarter, Cisco Systems, Inc. (NASDAQ:CSCO) guided for adjusted earnings in the range of 76 – 84 cents per share, missing the consensus of 92 cents per share with a big margin.

Discussing the results, CEO Chuck Robbins said in a statement:

“While Covid lockdowns in China and the war in Ukraine impacted our revenue in the quarter, the fundamental drivers across our business are strong and we remain confident in the long term.”

3. Bath & Body Works, Inc. (NYSE:BBWI)

Number of Hedge Fund Holders: 62

Bath & Body Works, Inc. (NYSE:BBWI) recently announced better-than-expected financial results for its fiscal first quarter. However, the company trimmed its profit outlook for the full year. As a result, its shares hit a new 52-week low of $38.35 on Thursday, May 19, 2022.

The Ohio-based specialty retailer reported adjusted earnings of 64 cents per share, compared to 60 cents per share in the year-ago period. In addition, Bath & Body Works, Inc. (NYSE:BBWI) posted revenue of $1.45 billion, down 1 percent on a year-over-year basis. Nevertheless, the results exceeded the consensus of 53 cents per share for earnings and $1.43 billion for revenue.

For its fiscal 2022, Bath & Body Works, Inc. (NYSE:BBWI) expects earnings in the range of $3.80 – $4.15 per share, down from its previous guidance between $4.30 – $4.70 per share.

Speaking on the results, CEO Sarah Nash said in a statement:

“Looking ahead in 2022, we are continuing to plan prudently and use our agility to chase winners. We are accelerating investments in the business to drive our long-term growth, while at the same time, our team continues to successfully navigate the inflationary environment.”

2. Analog Devices, Inc. (NASDAQ:ADI)

Number of Hedge Fund Holders: 72

Analog Devices, Inc. (NASDAQ:ADI) recently caught investors’ attention after delivering impressive profit and sales for its fiscal second quarter. The Massachusetts-based semiconductor giant benefitted from the solid demand for its technologies across all end markets.

The company reported adjusted earnings of $2.40 per share, well above $1.54 per share in the comparable period of 2021. Revenue for the quarter skyrocketed 78.9 percent on a year-over-year basis to $2.97 billion. Analysts were expecting Analog Devices, Inc. (NASDAQ:ADI) to report earnings of $2.11 per share on revenue of $2.84 billion.

Analog Devices, Inc. (NASDAQ:ADI) also released its financial outlook for the current quarter. It expects adjusted earnings of about $2.42 per share and revenue of approx. $3.05 billion for its fiscal third quarter.

Commenting on the results, CEO Vincent Roche said:

“ADI delivered its fifth consecutive quarter of record revenue, illustrating the unprecedented demand for our technologies and our ability to increase output in a challenging supply backdrop.”

1. Lowe’s Companies, Inc. (NYSE:LOW)

Number of Hedge Fund Holders: 72

Shares of Lowe’s Companies, Inc. (NYSE:LOW) declined over five percent on Wednesday, May 18, 2022, after delivering mixed financial performance for its fiscal first quarter. The Mooresville-based home improvement retailer reported earnings of $3.51 per share, beating expectations of $3.22 per share.

On the downside, Lowe’s Companies, Inc. (NYSE:LOW) reported that its quarterly revenue decreased to $23.7 billion, from $24.4 billion in the year-ago period. It also missed the consensus of $23.76 billion.

Lowe’s Companies, Inc. (NYSE:LOW) also reaffirmed its financial outlook for the full year. It continues to expect earnings in the range of $13.10 – $13.60 per share and revenue between $97 -$99 billion.

Speaking on the results, CEO Marvin Ellison said in a statement:

“Our sales this quarter were in line with our expectations, excluding our outdoor seasonal categories that were impacted by unseasonably cold temperatures in April.  Because 75% of our customer base is DIY, our Q1 sales were disproportionately impacted by the cooler spring temperatures.  Now that spring has finally arrived, we are pleased with the improved sales trends we are seeing in May.”

You can also take a peek at 12 Best American Stocks To Buy in 2022 and 10 Favorite Stocks of Dan Loeb’s Third Point.

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