5 Stocks in Focus After Releasing Their Financial Results

In this article, we discuss the 5 stocks in focus after releasing their financial results. If you want to read our detailed analysis of these companies, go directly to the 11 Stocks in Focus After Releasing Their Financial Results.

5. Zynga Inc. (NASDAQ:ZNGA)

Number of Hedge Fund Holders: 47

Zynga Inc. (NASDAQ:ZNGA) recently missed profit and sales expectations for the first quarter. The interactive entertainment company reported earnings of 2 cents per share, compared to a loss of 2 cents per share in the year-ago period.

Revenue also inched down two percent versus last year to $691 million. Analysts were expecting Zynga Inc. (NASDAQ:ZNGA) to report earnings of 9 cents per share on revenue of $745.22 million.

If we look at the sales performance of the flagship segments of Zynga Inc. (NASDAQ:ZNGA), online game revenue slipped 3 percent to $538 million, while advertising & other revenue jumped 23 percent to $154 million in the quarter.

Speaking on the results, CEO Frank Gibeau said:

“Through continued execution across all aspects of our multi-year growth strategy including live services, new game development and investments in our advertising platform, new markets and technologies, we are strengthening our position as a leading mobile-first, free-to-play live services company.”

4. Exelon Corporation (NASDAQ:EXC)

Number of Hedge Fund Holders: 47

Shares of Exelon Corporation (NASDAQ:EXC) slightly moved down on Monday, May 9, 2022, following its mixed financial performance for the first quarter. The Illinois-based energy company earned 64 cents per share on an adjusted basis, missing the consensus of 66 cents per share.

On the bright side, Exelon Corporation (NASDAQ:EXC) posted revenue of $5.33 billion, beating the expectations of $4.61 billion. The latest results do not include any contribution from its former power generation business Constellation Energy, which was separated from Exelon earlier this year.

Exelon Corporation (NASDAQ:EXC) also reaffirmed its profit outlook for the full year. It continues to expect adjusted earnings in the range of $2.18 – $2.32 per share, in line with the consensus of $2.26 per share.

3. RingCentral, Inc. (NYSE:RNG)

Number of Hedge Fund Holders: 47

Shares of RingCentral, Inc. (NYSE:RNG) rose over six percent in the pre-market trading session on Tuesday, May 10, 2022, following its upbeat financial performance for the first quarter.

RingCentral, Inc. (NYSE:RNG) reported adjusted earnings of 39 cents per share, up from 27 cents per share in the comparable period of 2021. Revenue for the quarter jumped 33 percent on a year-over-year basis to $468 million. The results easily surpassed the consensus of 34 cents per share for earnings and $458.69 million for revenue.

Looking forward, RingCentral, Inc. (NYSE:RNG) now expects adjusted earnings in the range of $1.83 – $1.87 per share for fiscal 2022, up from its previous outlook of $1.69 – $1.72 per share.

Discussing the results, CEO Vlad Shmunis said:

“We had a very strong start to the year, driven by continued success with large enterprise customers and ramping contributions from our partners. We are also seeing the benefits of scale, with strong top line contributions now being complemented by increasing bottom line profitability, including meaningful free cash flows.”

2. Microchip Technology Incorporated (NASDAQ:MCHP)

Number of Hedge Fund Holders: 48

Microchip Technology Incorporated (NASDAQ:MCHP) delivered solid profit and sales for its fiscal fourth quarter, sending its shares up more than three percent in the pre-market trading session on Tuesday, May 10, 2022.

The microcontroller and analog semiconductors provider reported adjusted earnings of $1.35 per share, well above 93 cents per share in the year-ago period. Revenue came in at $1.844 billion, up 25.7 percent on a year-over-year basis. Analysts were expecting Microchip Technology Incorporated (NASDAQ:MCHP) to post earnings of $1.25 per share on revenue of $1.82 billion.

Among other updates, Microchip Technology Incorporated (NASDAQ:MCHP) announced that it repurchased $259.6 million worth of its common stock during the quarter. Moreover, it announced a quarterly dividend of 27.6 cents per share, up 9.1 percent on sequential basis.

For its fiscal first quarter, Microchip Technology Incorporated (NASDAQ:MCHP) guided for adjusted earnings in the range of $1.32 – $1.36 per share and revenue between $1.92 – $1.99 billion. The outlook is above the consensus of $1.28 per share for earnings and $1.86 billion for revenue.

Praising the results, CEO Ganesh Moorthy said:

“These impressive results are a testament to the resilience of our model and the strength of our team as we continue to navigate through a challenging supply environment. We believe our focus on operational excellence positions us well to achieve our long-term non-GAAP gross margin target of 68%, non-GAAP operating margin target of 45%, and free cash flow target of 38% through industry cycles.”

1. XPO Logistics, Inc. (NYSE:XPO)

Number of Hedge Fund Holders: 53

Shares of XPO Logistics, Inc. (NYSE:XPO) turned green in the pre-market trading session on Tuesday, May 10, 2022, after its first-quarter profit and sales showed a substantial improvement on a year-over-year basis.

XPO Logistics, Inc. (NYSE:XPO) reported adjusted earnings of $1.25 per share, up from 79 cents per share in the comparable period of 2021. Revenue increased to $3.47 billion, from $2.99 billion in the year-ago quarter. Analysts were looking for earnings of 93 cents per share on revenue of $3.22 billion.

XPO Logistics, Inc. (NYSE:XPO) also raised its profit outlook for the full year. The freight transportation company now expects adjusted earnings in the range of $5.20 – $5.60 per share for fiscal 2022.

Speaking on the results, CEO Brad Jacobs said in a statement:

“Our best-in-class truck brokerage business gained share again in the quarter, with year-over-year load growth of 23%. Shippers increasingly want cutting-edge brokerage automation, and our XPO Connect platform gives them access to more than one and a half million carrier trucks. We’re creating or covering 74% of our brokerage loads digitally on the platform, up four percentage points from the fourth quarter.”

You can also take a peek at 10 Stocks To Buy Now According To Stamos Capital and 10 Favorite Stocks of Dan Loeb’s Third Point.

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