10 Stocks Making Headlines Following Earnings Reports

In this article, we will take a look at the 10 stocks making headlines following earnings reports.

Stocks from the communication services, consumer cyclical and healthcare sectors, including Snap Inc. (NYSE:SNAP), Amazon.com, Inc. (NASDAQ:AMZN), Bristol-Myers Squibb Company (NYSE:BMY) and Merck & Co., Inc. (NYSE:MRK), announced their financial results for the fourth quarter recently.

Amazon’s stock rose over 13 percent despite posting a lower-than-expected Q4 revenue. In addition, shares of Snap and Bristol-Myers Squibb also closed higher following their upbeat quarterly profit. On the other hand, Merck & Co stock fell even after topping Q4 expectations.

Several other companies, including Unity Software Inc. (NYSE:U), Honeywell International Inc. (NASDAQ:HON) and Ford Motor Company (NYSE:F), also recently posted their quarterly results.

Source:Pixabay

Now, let’s have a look at the detailed performance of these companies.

Stocks Making Headlines Following Earnings Reports

10. The Hershey Company (NYSE:HSY)

Number of Hedge Fund Holders: 33

Shares of The Hershey Company (NYSE:HSY) hit a new 52-week high of $206.16 on Thursday, February 3, 2022, after beating profit and sales expectations for the fourth quarter. The Pennsylvania-based chocolate manufacturer reported adjusted earnings of $1.69 per share, up 13.4 percent from the year-ago period.

In addition, The Hershey Company (NYSE:HSY) posted sales of $2.326 billion, compared to $2.185 billion for the fourth quarter of 2020. The results surpassed analysts’ average estimate of $1.61 per share for earnings and $2.266 billion for revenue.

For the current fiscal year, The Hershey Company (NYSE:HSY) expects adjusted EPS growth in the range of 9 – 11 percent and revenue growth between 8 – 10 percent.

Speaking on the results, CEO Michele Buck said in a statement:

“In 2021, we delivered a record year of production and double-digit sales and earnings growth, with a strong finish and momentum heading into 2022.  While the environment remains volatile, we are confident in our ability to continue to respond to the changes in the world around us and deliver another year of advantaged performance in 2022.”

9. Unity Software Inc. (NYSE:U)

Number of Hedge Fund Holders: 36

Shares of Unity Software Inc. (NYSE:U) climbed over 17 percent on Thursday, January 4, 2022, after posting a narrower-than-expected loss for the fourth quarter. The developer of video game software reported an adjusted loss of 5 cents per share, compared to the consensus forecast for a loss of 7 cents per share.

Revenue for the quarter climbed 43 percent on a year-over-year basis to $315.9 million, beating expectations of $295.5 million. Unity Software Inc. (NYSE:U) also reported its segment-wise sales performance. Revenue from the create solutions segment soared 49 percent to $99.9 million, while operate solutions revenue jumped 45 percent to $194.6 million. In comparison, strategic partnerships and other revenue rose 12 percent versus last year to $21.3 million.

In addition, Unity Software Inc. (NYSE:U) released its sales outlook for the first quarter and full year. The company projected revenue in the range of $315 – $320 million for the current quarter and between $1.49 – $1.51 billion for the full year.

Like Unity Software Inc. (NYSE:U), investors are also closely watching Snap Inc. (NYSE:SNAP), Amazon.com, Inc. (NASDAQ:AMZN) and Bristol-Myers Squibb Company (NYSE:BMY), following their Q4 results.

8. Honeywell International Inc. (NASDAQ:HON)

Number of Hedge Fund Holders: 45

Shares of Honeywell International Inc. (NASDAQ:HON) recently hit a new 52-week low of $188.03 after posting disappointing sales numbers for the fourth quarter. The company blamed logistic hurdles and lower demand for its masks for weak sales.

Honeywell International Inc. (NASDAQ:HON) generated revenue of $8.66 billion, down 3 percent versus last year and below expectations of $8.73 billion. On the bright side, the adjusted earnings of $2.09 per share surpassed the consensus forecast of $2.08 per share.

Looking forward, Honeywell International Inc. (NASDAQ:HON) expects revenue in the range of $35.4 billion to $36.4 billion for the current fiscal year, representing an organic growth between 4 – 7 percent over last year. However, the outlook is below analysts’ average estimate of $36.73 billion.

7. Ford Motor Company (NYSE:F)

Number of Hedge Fund Holders: 51

Shares of Ford Motor Company (NYSE:F) fell to a nearly three-month low on Friday, February 4, 2022, after announcing lower-than-expected financial results for the fourth quarter. The Detroit-based automaker earned 26 cents per share on an adjusted basis, well below the consensus forecast of 45 cents per share.

Revenue for the quarter rose 5 percent versus last year to $37.7 billion, while analysts were expecting Ford Motor Company (NYSE:F) to generate revenue of $41.2 billion. In addition, the company reported that it had over $36 billion in cash at the end of the fourth quarter.

Looking forward, Ford Motor Company (NYSE:F) expects adjusted pretax earnings in the range of $11.5 billion and $12.5 billion, translating to a surge between 15 – 25 percent over last year.

Like Ford Motor Company (NYSE:F), Snap Inc. (NYSE:SNAP), Amazon.com, Inc. (NASDAQ:AMZN) and Bristol-Myers Squibb Company (NYSE:BMY) also came into the spotlight after releasing their earnings reports.

6. Eli Lilly and Company (NYSE:LLY)

Number of Hedge Fund Holders: 62

Eli Lilly and Company (NYSE:LLY) recently announced its fourth-quarter profit and sales above expectations. The results were mainly driven by strong demand for its diabetes medicine Trulicity and coronavirus antibody therapies.

The Indiana-based pharmaceutical giant posted adjusted earnings of $2.49 per share, up 8 percent versus last year and above the consensus of $2.19 per share. Revenue for the quarter also rose 8 percent on a year-over-year basis to $7.9 billion, topping estimates of $6.90 billion.

Eli Lilly and Company (NYSE:LLY) also released the sales numbers of its top-performing treatments. Its flagship drug Trulicity generated revenue of $1.88 billion, up 25.4 percent from the year-ago quarter. In comparison, revenue from COVID-19 antibodies jumped 22 percent to $1.06 billion. Analysts were expecting Trulicity and COVID-19 antibodies to bring in revenue of $1.80 billion and $691.0 million, respectively.

The company also issued its financial outlook for 2022. Eli Lilly and Company (NYSE:LLY) expects adjusted earnings in the range of $8.50 – $8.65 per share and revenue between $27.8 – $28.3 billion for the current fiscal year. The outlook is better than analysts’ average estimate of $7.54 per share for earnings and $24.88 billion for revenue.

Shares of Eli Lilly and Company (NYSE:LLY) fell for two straight days despite its better-than-expected Q4 performance and 2022 outlook.

5. Biogen Inc. (NASDAQ:BIIB)

Number of Hedge Fund Holders: 66

Shares of Biogen Inc. (NASDAQ:BIIB) fell over two percent on Thursday, February 3, 2022, after issuing a weak full-year outlook along with its fourth-quarter results.

The Massachusetts-based biotechnology company expects adjusted earnings in the range of $14.25 – $16.00 per share and revenue between $9.7 – $10.0 billion for 2022. The guidance missed analysts’ average estimate of $18.85 per share for earnings and $10.34 billion for revenue.

For the fourth quarter, Biogen Inc. (NASDAQ:BIIB) reported adjusted earnings of $3.39 per share, nearly in line with the expectations. Moreover, the quarterly revenue of $2.73 billion topped the consensus forecast of $2.62 billion.

Discussing the results, CEO of Biogen Inc. (NASDAQ:BIIB), Michel Vounatsos, said:

“Biogen continued to execute well in the fourth quarter despite the challenges we have faced. We have introduced the first FDA-approved treatment for Alzheimer’s disease in nearly 20 years, and we are engaging with the Centers for Medicare and Medicaid Services with the hope of finding a path for immediate patient access.”

4. Bristol-Myers Squibb Company (NYSE:BMY)

Number of Hedge Fund Holders: 74

Shares of Bristol-Myers Squibb Company (NYSE:BMY) closed higher on Friday, February 4, 2022, after announcing a better-than-expected profit for the fourth quarter. The New York-based pharmaceutical company earned $1.83 per share on an adjusted basis, up from $1.46 per share in the year-ago period.

Revenue came in at $11.99 billion versus $11.07 billion in the fourth quarter of 2020. Analysts were expecting Bristol-Myers Squibb Company (NYSE:BMY) to post earnings of $1.80 per share on revenue of $12 billion. If we look at the region-wise sales performance, U.S. sales jumped 11 percent to $7.5 billion, while international sales rose 4 percent to $4.5 billion in the quarter.

Bristol-Myers Squibb Company (NYSE:BMY) also issued its financial outlook for 2022. It expects adjusted earnings in the range of $7.65 – $7.95 per share and revenue of around $47 billion for the current fiscal year.

3. Merck & Co., Inc. (NYSE:MRK)

Number of Hedge Fund Holders: 77

Shares of Merck & Co., Inc. (NYSE:MRK) slipped nearly four percent on Thursday, February 3, 2022, even after posting its fourth-quarter profit and sales above expectations. The New Jersey-based pharmaceutical company reported adjusted earnings of $1.80 per share, representing a big jump from 98 cents per share in the year-ago period.

Revenue for the quarter also climbed 24 percent versus last year to $13.5 billion. Analysts were expecting Merck & Co., Inc. (NYSE:MRK) to post earnings of $1.53 per share on revenue of $13.156 billion.

Merck & Co., Inc. (NYSE:MRK) also released its segment-wise sales performance. Revenue from its pharmaceutical unit jumped 23 percent on a year-over-year basis to $12 billion. In comparison, revenue from the animal health segment rose 8 percent versus last year to $1.3 billion.

Looking forward, Merck & Co., Inc. (NYSE:MRK) expects adjusted earnings of $7.12 – $7.27 per share and revenue of $56.1 – $57.6 billion for 2022. This compares to the consensus forecast of $7.30 per share for earnings and $56.7 billion for revenue.

Speaking on the results, CEO Robert Davis said in a statement:

“We enter 2022 with strong momentum and are moving with speed to bring forward innovations that address critical unmet needs and contribute to global health. This remains at the core of our strategy, and why we are focused on benefitting the patients we serve, and in turn creating long-term value for our shareholders.”

2. Snap Inc. (NYSE:SNAP)

Number of Hedge Fund Holders: 78

Shares of Snap Inc. (NYSE:SNAP) skyrocketed nearly 60 percent on massive volume on Friday, February 4, 2022, after surprising investors with solid profit and sales for the fourth quarter and an upbeat outlook.

Snap Inc. (NYSE:SNAP) earned 22 cents per share on an adjusted basis, crushing expectations of 10 cents per share. Revenue for the quarter climbed 42 percent on a year-over-year basis to $1.3 billion, topping estimates of $1.2 billion.

Among other updates, Snap Inc. (NYSE:SNAP) said that its daily active users on Snapchat jumped 20 percent versus last year to 319 million. In addition, the average revenue per user for the quarter increased to $4.06 versus expectations of $3.79.

Looking forward, Snap Inc. (NYSE:SNAP) expects revenue in the range of $1.03 – $1.08 billion for the current quarter, better than analysts’ average estimate of $1.01 billion. Moreover, daily active users for the same period are expected to come between 328 – 330 million versus the consensus forecast of 327.8 million.

Discussing the results, CEO Evan Spiegel said:

“2021 was an exciting year for Snap and we made significant progress growing our business and serving our global community. The strength of our core business has enabled us to accelerate our investments in augmented reality, transforming the way that the Snapchat community experiences the world through our camera.”

1. Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holders: 78

Shares of Amazon.com, Inc. (NASDAQ:AMZN) climbed over 13 percent on Friday, February 4, 2022, despite its mixed financial results for the fourth quarter. The company reported adjusted earnings of $5.80 per share, surpassing expectations of $3.57 per share.

On the downside, Amazon.com, Inc. (NASDAQ:AMZN) posted revenue of $137.4 billion, up 9 percent versus last year but below analysts’ average estimate of $137.6 billion. Revenue from its flagship segment, Amazon Web Services, jumped 40 percent to $17.8 billion.

Moving forward, Amazon.com, Inc. (NASDAQ:AMZN) plans to raise the annual pricing of its Prime subscription from $119 to $139. The updated prices will be applicable from February 18 for new members and after March 25 for existing members.

Amazon.com, Inc. (NASDAQ:AMZN) also issued its sales guidance for the current quarter. It expects revenue of $112 – $117 billion for the first quarter, below the consensus forecast of $120 billion.

Commenting on the quarter, CEO Andy Jassy said in a statement:

“As expected over the holidays, we saw higher costs driven by labor supply shortages and inflationary pressures, and these issues persisted into the first quarter due to Omicron. Despite these short-term challenges, we continue to feel optimistic and excited about the business as we emerge from the pandemic.”

You can also take a peek at 15 Worst Stock Picks of Cathie Wood and Top 10 Stock Picks of Thomas Bancroft’s Makaira Partners.

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Disclosure: None. 10 Stocks Making Headlines Following Earnings Reports is originally published on Insider Monkey