AUS
NZ
UK
CA
USA
IND
Highlights:
- Pfizer, Inc. (NYSE:PFE) would announce its quarterly earnings results on Tuesday, November 1.
- Advanced Micro Devices, Inc. (NASDAQ:AMD) expects its revenue to increase by around 29 per cent YoY.
- Amgen Inc. (NASDAQ:AMGN) noted a one per cent jump in its Q2 FY22 revenue.
A string of companies has already reported their earnings results that helped with gains in the market. The market has been highly volatile this year amid a slew of economic challenges dampening traders' sentiments.
This week also, several big companies like Alphabet Inc. (NASDAQ: GOOG), Microsoft Corporation (NASDAQ: MSFT), Meta Platforms, Inc. (NASDAQ:META), and others have reported their earnings results.
However, the recent earnings from the above-mentioned companies showed that their profits were hit in the latest quarter. In addition, the companies also provided warnings of a further slowdown in their sales in the coming days.
Now, the market participants would keep a close watch on the remaining earnings for cues on the health of the economy and their performance amid a turbulent market.
Companies like Pfizer, Inc. (NYSE:PFE), Advanced Micro Devices, Inc. (NASDAQ:AMD), QUALCOMM Incorporated (NASDAQ:QCOM), ConocoPhillips (NYSE: COP), and Amgen Inc. (NASDAQ: AMGN), are scheduled to report their earnings results next week.
Let's look at their financial performance in the last quarter and their recent stock performance amid a slump in the broader market:
Pfizer, Inc. (NYSE:PFE)
One of the leading multinational pharmaceutical and biotechnology firms, Pfizer Inc. had a dividend yield of 3.51 per cent. The company claims that its product pipeline comprises investigational drugs and vaccines that would revolutionize the healthcare segment.
Meanwhile, the US$ 257.77 billion market cap healthcare company's stock fell nearly 22 per cent in 2022. However, for the last 12 months as well as for the running month through October 27, it added over five per cent. It touched its 52-week low of US$ 41.445 on October 11, 2022.
The healthcare firm said that it would announce its quarterly earnings results on Tuesday, November 1, at market open. Meanwhile, on September 22, the company's board announced a fourth-quarter cash dividend of US$ 0.4 on its common stock, which would be payable on December 5 this year.
In Q2 FY22, Pfizer Inc's revenue rose 47 per cent YoY to US$ 27.74 billion, while its reported diluted EPS jumped 77 per cent YoY to US$ 1.73 apiece. For the first six months, its revenue rose 60 per cent YoY to US$ 53.40 billion, and its diluted EPS surged 68 per cent YoY to US$ 3.10 per share.
Advanced Micro Devices, Inc. (NASDAQ:AMD)
Advanced Micro Devices is one of the major semiconductor manufacturing firms with a price-to-earnings (P/E) ratio of 25.1. The company primarily engages in developing computer processors and other related products for businesses as well as consumers.
Just like other major technology stocks, the year hasn't been great for this company as well. The stocks of the Santa Clara-based firm fell over 58 per cent YTD and 51 per cent YoY. In the running month through October 27, AMD stock fell about five per cent and touched its 52-week low of US$ 54.57 on October 13.
The company is also slated to report its earnings on the same date as Pfizer but after the closing bell. Meanwhile, the chipmaker's preliminary Q3 FY22 results from October 6 showed that its revenue is expected to be around US$ 5.6 billion, up 29 per cent YoY.
The preliminary results were down from its prior expectations of 55 per cent growth at the mid-point of its revenue guidance.
In Q2 FY22, its revenue jumped 70 per cent YoY to US$ 6.55 billion, while its EPS fell 53 per cent YoY to US$ 0.27 apiece.
Source: ©Kalkine Media®; © Canva via Canva.com
QUALCOMM Incorporated (NASDAQ:QCOM)
Another leading semiconductor manufacturing firm, QUALCOMM holds a dividend yield of 2.52 per cent. The company primarily provides its services to the wireless technology industry.
The price of the chipmaker's stock fell over 35 per cent YTD and 10 per cent YoY. In the running month through October 27, the QCOM stock added over four per cent and touched its 52-week low of US$ 104.66 on Thursday, October 13.
On October 19, the company said that it would be publishing its Q4 FY22 earnings results on November 2. Meanwhile, on October 14, the San Diego-based semiconductor firm's board announced a quarterly cash dividend of US$ 0.75 apiece, which would be payable on December 15.
In Q3 FY22, QUALCOMM's net income rose 84 per cent YoY to US$ 3.73 billion on revenue of US$ 10.93 billion, which was an increase of 36 per cent YoY.
ConocoPhillips (NYSE:COP)
The energy company, ConocoPhillips said that it would report its Q3 FY22 earnings results on Thursday, November 3, at 12 pm ET. The stock of the firm, that engages in hydrocarbon exploration, rose around 75 per cent YTD and 64 per cent YoY.
Meanwhile, the NYSE-listed energy firm, ConocoPhillips reported earnings of US$ 5.1 billion in Q2 FY22, compared to US$ 2.1 billion in the year-ago period. Its EPS was US$ 3.96 in Q2 FY22, compared to US$ 1.55 in Q2 FY21.
Amgen Inc. (NASDAQ:AMGN)
Another healthcare company, Amgen is also scheduled to report its earnings results next week. The independent biotechnology firm would report its earnings on the same date as ConocoPhillips, but after the market closes.
The AMGN stock rose over 18 per cent YTD and 29 per cent YoY. It touched its 52-week high of US$ 267.98 this week on October 26.
Exploring its Q2 FY22 earnings, Amgen's revenue was up one per cent YoY to US$ 6.6 billion, and its GAAP net income totaled US$ 1.31 billion, compared to US$ 464 million in Q2 FY21.
Bottom line:
While the gloomy earnings from the technology leaders have raised concerns, as it is generally a negative sign for the market, it has also raised hopes for some investors. Some traders are betting on a dovish stance by the Federal Reserve in the coming days, as higher rates have already shown an effect on corporate profits.
In addition, latest economic data like the US single-family home sales also declined 10.9 per cent last month, suggesting that high mortgage rates have impacted the housing market.
Considering these scenarios, investors are hoping that the Fed may ease its aggressive rate-hike plans after announcing another 75-bps point hike at their upcoming meeting which is scheduled next week.
So, along with the corporate earnings mentioned above, the Fed's meeting and Fed Chair Jerome Powell's press conference would also be closely watched by market participants. While many are already betting on a 75-bps point hike, a larger increase might change the overall picture of the market.
