Top 10 Earnings to Watch This Week

Published on August 18, 2022 at 9:48 am by Fahad Ali Khan in News

In this article, we will take a look at the top 10 earnings to watch this week.

Notable stocks from the tech sector, including Cisco Systems, Inc. (NASDAQ:CSCO), Analog Devices, Inc. (NASDAQ:ADI) and Wolfspeed, Inc. (NYSE:WOLF), came into the spotlight after posting financial results for their respective quarters.

Shares of Cisco Systems, Inc. (NASDAQ:CSCO) and Wolfspeed, Inc. (NYSE:WOLF) rose in pre-market trading Thursday, August 18, following their upbeat quarterly performance. On the other hand, shares of Analog Devices, Inc. (NASDAQ:ADI) fell despite surpassing estimates for its fiscal Q3.

In addition, consumer cyclical stocks, including Lowe’s Companies, Inc. (NYSE:LOW), Bath & Body Works, Inc. (NYSE:BBWI) and The TJX Companies, Inc. (NYSE:TJX), are also trending after their recent earnings.

Photo by Chris Liverani on Unsplash

Check out the full article below to see important financial highlights of these companies.

10. Wolfspeed, Inc. (NYSE:WOLF)

Number of Hedge Fund Holders: 31

Shares of Wolfspeed, Inc. (NYSE:WOLF) climbed over 20 percent in the pre-market trading session on Thursday, August 18, 2022, after crushing financial expectations for its fiscal fourth quarter.

Wolfspeed, Inc. (NYSE:WOLF) reported an adjusted loss of 2 cents per share, narrower than analysts’ average estimate for a loss of 10 cents per share. Revenue came in at $228.5 million, easily surpassing the expectations of $207.81 million. Wolfspeed, Inc. (NYSE:WOLF) posted an adjusted loss of 23 cents per share on revenue of $145.8 million in the same period last year.

The semiconductor company also issued the financial outlook for its fiscal first quarter. Wolfspeed, Inc. (NYSE:WOLF) projected an adjusted loss of 2 – 8 cents per share on revenue of $232.5 – $247.5 million.

9. Keysight Technologies, Inc. (NYSE:KEYS)

Number of Hedge Fund Holders: 37

Shares of Keysight Technologies, Inc. (NYSE:KEYS) turned green in the extended hours on Wednesday, August 17, 2022, after the electronic measurement services provider beat profit and sales expectations for its fiscal third quarter.

Keysight Technologies, Inc. (NYSE:KEYS) earned $2.01 per share on an adjusted basis, up from $1.54 per share in the year-ago period. Revenue for the quarter advanced 10 percent on a year-over-year basis to $1.38 billion. Analysts were looking for earnings of $1.79 per share on revenue of $1.34 billion.

If we break down the total sales by segments, communications solutions revenue increased 11 percent to $970 million, while electronic industrial solutions revenue rose 10 percent to $406 million in the quarter.

Among other updates, Keysight Technologies, Inc. (NYSE:KEYS) reported that it bought 1.6 million shares of its common stock for $228 million during the quarter.

Discussing the results, CEO of Keysight Technologies, Inc. (NYSE:KEYS), Satish Dhanasekaran, said in a statement:

“Keysight’s deep customer engagements with industry leaders, and high value, differentiated solutions continue to drive broad-based demand across key technology mega trends.”

8. Synopsys, Inc. (NASDAQ:SNPS)

Number of Hedge Fund Holders: 41

Synopsys, Inc. (NASDAQ:SNPS) slightly moved down on Wednesday, August 17, 2022, despite announcing better-than-expected financial results for its fiscal third quarter. The California-based company reported adjusted earnings of $2.10 per share, compared to $1.81 per share in the same period of 2021.

Revenue increased to $1.248 billion, from $1.057 billion in the comparable period last year. Analysts expected Synopsys, Inc. (NASDAQ:SNPS) to earn $1.99 per share on revenue of $1.23 billion.

For the current quarter, Synopsys, Inc. (NASDAQ:SNPS) guided for adjusted earnings in the range of $1.80 – $1.85 per share and revenue between $1.263 – $1.293 billion.

Like Synopsys, Inc. (NASDAQ:SNPS), analysts are also closely watching Cisco Systems, Inc. (NASDAQ:CSCO), Analog Devices, Inc. (NASDAQ:ADI) and Lowe’s Companies, Inc. (NYSE:LOW), following their recent earnings.

7. Agilent Technologies, Inc. (NYSE:A)

Number of Hedge Fund Holders: 41

Shares of Agilent Technologies, Inc. (NYSE:A) climbed to a nearly six-month high on Wednesday, August 18, 2022, following an upbeat financial performance for its fiscal third quarter.

Agilent Technologies, Inc. (NYSE:A) reported adjusted earnings of $1.34 per share, topping estimates of $1.18. In addition, the quarterly revenue of $1.72 billion exceeded the consensus of $1.61 billion.

Agilent Technologies, Inc. (NYSE:A) also released its segment-wise sales results. Revenue from its life sciences and applied markets group jumped 14 percent to $1.019 billion, while CrossLab revenue rose 5 percent to $359 million in the quarter. On the downside, revenue from the diagnostics and genomics group slipped 2 percent to $340 million.

Moving forward, Agilent Technologies, Inc. (NYSE:A) raised its full-year adjusted earnings outlook to a range of $5.06 to $5.08 per share and sales guidance to a range of $6.750 – $6.775 billion.

6. Target Corporation (NYSE:TGT)

Number of Hedge Fund Holders: 46

Shares of Target Corporation (NYSE:TGT) fell nearly three percent on Wednesday, August 18, 2022. The drop came after the Minnesota-based retailer missed profit expectations for its fiscal second quarter with a big margin.

Target Corporation (NYSE:TGT) primarily took a hit from excess inventory during the quarter. The company had to offer heavy discounts to get rid of unwanted merchandise. Those discounts negatively impacted its operating margin.

For the second quarter, Target Corporation (NYSE:TGT) reported adjusted earnings of 39 cents per share, well below $3.64 per share in the year-ago period. Analysts were looking for earnings of 72 cents per share. Revenue for the quarter rose 3.5 percent versus last year to $26 billion, matching expectations.

Nevertheless, Target Corporation (NYSE:TGT) received a price-target hike from Baird following its latest quarterly performance. Baird analyst Peter Benedict lifted his price target for Target stock from $180 per share to $190 per share, citing a cleaner inventory and encouraging guest engagement in the second half.

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

Number of Hedge Fund Holders: 47

Shares of Bath & Body Works, Inc. (NYSE:BBWI) slightly moved down in the after-hours trading session on Wednesday, August 17, 2022, following its fiscal third quarter results. The retail store chain reported earnings of 52 cents per share, down from 77 cents per share in the year-ago period.

Revenue for the quarter dropped 5 percent on a year-over-year basis to $1.618 billion. Analysts expected Bath & Body Works, Inc. (NYSE:BBWI) earn 45 cents per share on revenue of $1.58 billion.

Among other updates, Bath & Body Works, Inc. (NYSE:BBWI) reported that it recently cut about 130 jobs to simplify and rearrange its operating structure. According to the company, most job cuts included leadership roles.

For the third quarter, Bath & Body Works, Inc. (NYSE:BBWI) projected earnings of 10 – 20 cents per share, well below analysts’ average estimate of 35 cents per share.

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

Number of Hedge Fund Holders: 49

Shares of The TJX Companies, Inc. (NYSE:TJX) closed higher on Wednesday, August 17, 2022, after beating profit expectations for its fiscal second quarter. The off-price department stores operator reported earnings of 69 cents per share, above the consensus of 67 cents per share.

On the downside, the quarterly revenue of $11.8 billion missed the estimates of $12.04 billion. The TJX Companies, Inc. (NYSE:TJX) said its sales apparently took a hit from weak consumer spending amid inflation.

For the full year, The TJX Companies, Inc. (NYSE:TJX) lowered its adjusted earnings outlook to a range of $3.05 – $3.13 per share, compared to its previous guidance of $3.13 – $3.20 per share.

Speaking on the results, CEO Ernie Herrman said:

“Looking ahead, while we are not immune to macro factors, we are convinced that the flexibility of our off-price business model and the value proposition we offer to a wide range of consumers will continue to serve us well, as we have seen throughout our 46-year history.”

3. Lowe’s Companies, Inc. (NYSE:LOW)

Number of Hedge Fund Holders: 53

Lowe’s Companies, Inc. (NYSE:LOW) recently posted better-than-expected earnings for the second quarter. However, it failed to meet sales expectations for Q2, primarily due to a decline in the U.S. housing market.

The home improvement retailer earned $4.67 per share in the quarter, up from $4.25 per share in the year-ago period. Revenue came in at $27.5 billion, marginally down from $27.6 billion in the comparable period of 2021. Analysts expected Lowe’s Companies, Inc. (NYSE:LOW) to post earnings of $4.58 per share on revenue of $28.1 billion.

Looking forward, Lowe’s Companies, Inc. (NYSE:LOW) guided for earnings in the range of $13.10 – $13.60 per share and revenue between $97 – $99 billion for its fiscal 2022.

Commenting on the results, CEO Marvin R. Ellison said:

“Our results in the first half were disproportionately impacted by our 75% DIY customer mix, which was partially offset by our double-digit Pro growth for the ninth consecutive quarter. Despite continued macro uncertainty, we remain confident in the long-term strength of the home improvement market and our ability to take share.”

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

Number of Hedge Fund Holders: 61

Shares of Analog Devices, Inc. (NASDAQ:ADI) fell nearly five percent on Wednesday, August 17, 2022, despite surpassing profit and sales expectations for its fiscal third quarter.

Analog Devices, Inc. (NASDAQ:ADI) reported adjusted earnings of $2.52 per share on revenue of $3.1 billion. On the other hand, analysts expected the semiconductor company to earn $2.43 per share on revenue of $3.06 billion.

For the fourth quarter, Analog Devices, Inc. (NASDAQ:ADI) projected adjusted earnings of around $2.57 per share on revenue of about $3.15 billion. In comparison, Wall Street analysts, on average, are calling for earnings of $2.50 per share and revenue of $3.09 billion.

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

Number of Hedge Fund Holders: 63

Cisco Systems, Inc. (NASDAQ:CSCO) delivered better-than-expected results for its fiscal fourth quarter, as the tech giant benefitted from the ease in supply-chain disruptions during the quarter. Shares of Cisco Systems, Inc. (NASDAQ:CSCO) rose over five percent in the pre-market trading session on Thursday, August 18, 2022, following the results.

For the second quarter, Cisco Systems, Inc. (NASDAQ:CSCO) reported adjusted earnings of 83 cents per share, beating expectations by 1 cent. Revenue came in at $13.1 billion, while analysts were looking for $12.73 billion.

Moving forward, Cisco Systems, Inc. (NASDAQ:CSCO) expects adjusted earnings of 82 – 84 cents per share and revenue growth of 2 – 4 percent for its fiscal first quarter. In addition, it projected adjusted earnings of $3.49 – $3.56 per share and revenue growth of 4 – 6 percent for its fiscal year 2023.

Speaking on the results, CFO Scott Herren said:

“Total revenue exceeded our expectations in Q4, as a result of our strong execution and the numerous initiatives we have taken to reduce the impact of the global supply situation. Our operational discipline is reflected in our healthy operating margin and strong cash flow generation, enabling us to return nearly $4 billion to our shareholders in Q4. And we continue to make good progress in our business model transformation with RPO of over $31 billion, which, coupled with our record backlog, provide us with substantial visibility and confidence in our future revenue.”

You can also take a peek at Analyst Are Cutting Estimates on These 10 Tech Stocks and Jim Cramer Recommends These 10 Stocks For Recession.

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