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The last week of February will see a variety of earnings releases. Tech investors are anxiously awaiting updates from Salesforce (NYSE:CRM), Snowflake (NYSE:SNOW), Zoom Video Communications (NASDAQ:ZM), HP (NYSE:HPQ), Zscaler (NASDAQ:ZS), C3.ai, Inc. (NYSE:AI), and Dell Technologies.
In energy, Plug Power (NASDAQ:PLUG), Devon Energy Corporation (DVN), and OneOK are attracting attention. AMC Entertainment Holdings (AMC) and Paramount Global (PARA) will report, highlighting the entertainment business.
Lowe’s Companies (LOW), Macy’s (M), eBay (EBAY), and Best Buy Co. (BBY) will also report earnings, revealing consumer spending trends. The Toronto-Dominion Bank (TD), Royal Bank of Canada (RY), and Bank of Nova Scotia (BNS) will represent the finance industry, giving significant insights into their financial health.
These reports, along with those from First Sola (FSLR), Okta (OKTA), Virgin Galactic Holdings (SPCE), Beyond Meat (BYND), Novavax (NVAX), 3D Systems Corporation (DDD), Li Auto (LI), Workday (WDAY), Marathon Digital Holdings (MARA), and Autodesk (ADSK), will influence market sentiment next week.
The important quarterly updates for February 26–March 1 are listed below:
Monday, February 26
Zoom Video Communications
Zoom Video Communications (ZM) will report Q4 earnings after the market closes on Monday. Sell-side analysts and Seeking Alpha contributors rate the business Hold after its shares fell 14% in 2024. Zoom was downgraded from Strong Buy to Hold by Seeking Alpha’s Quant Rating system days before the earnings announcement.
Seeking Alpha author Miletus Research notes Zoom’s ability to maintain its UCaaS market share amid heavy competition. Zoom’s excellent product selection, growing enterprise customer base, and steady financial success explain its durability. The author thinks that the market may be excessively worried about competition concerns and refers to Zoom Phone and Contact Center development prospects.
Analysts predict $1.15 EPS.
Revenue consensus: $1.13B
Earnings Analysis: Zoom has outperformed EPS forecasts for 8 quarters and missed sales estimates twice.
Unity Software (U), ONEOK (OKE), Li Auto (LI), Innovative Industrial Properties (IIPR), Workday (WDAY), Elanco Animal Health (ELAN), iRobot (IRBT), Domino’s Pizza (DPZ), AES (AES), Public Service (PEG), SBA Comm (SBAC), Hims & Hers Health (HIMS), Pilgrim’s Pride (PPC) Also Report earnings
On Tuesday, February 27
Lowe’s Companies (LOW)
Lowe’s Companies (LOW) will provide its Q4 quarterly update before the market on Tuesday, a week after Home Depot (HD) posted poor comparable sales.
Seeking Alpha and sell-side experts urge buying Lowe’s shares despite recent industry problems. Seeking Alpha’s Quant ranking methodology is more conservative, ranking Hold.
Billionaire investor Bill Ackman’s Pershing Square Capital Management cut their Lowe’s holding by 82.4% from 7.07M shares in Q3 2023 to 1.25M shares in Q4.
Last week, J.P. Morgan raised Lowe’s to Overweight from Neutral and featured it in its Analyst Focus List as a bargain company.
Consensus EPS: $1.68
Revenue consensus: $18.47B
Earnings Analysis: Lowe’s has surpassed EPS and sales predictions in 8 and 3 periods, respectively.
Virgin Galactic (SPCE), American Tower (AMT), 3D Systems (DDD), Beyond Meat (BYND), First Solar (FSLR), Macy’s (M), Lemonade (LMND), Devon Energy (DVN), Splunk (SPLK), eBay (EBAY), Norwegian Cruise Line (NCLH), Luminar Technologies (LAZR), Agilent (A), Pan Am Silver (PAAS), Stitch Fix (SFIX), J.M.
On Wednesday, February 28
Salesforce (CRM)
Salesforce (CRM) will release its Q4 numbers after the market closes on Wednesday. Analysts expect 35% bottom-line growth and 10% top-line growth.
Over a year, the stock has grown 80%. Bank of America Analyst Brad Sills called it one of his top selections for 2024, saying the firm is well-positioned to continue grabbing part of the $200B industry. Seeking Alpha’s Quant Rating system rates the company as a Strong Buy, while Wall Street analysts suggest Buy.
The Einstein 1 Platform’s artificial intelligence technologies are boosting CRM growth, according to Investing Group Leader Dan Victor.
EPS consensus: $2.27
Revenue consensus: $9.22B
Earnings Analysis: CRM has outperformed EPS and sales for 8 quarters.
HP (HPQ)
After the closing bell on Wednesday, HP Inc. (HPQ) will report quarterly profits. Sell-side analysts rate the stock Buy, while Seeking Alpha’s Quant Rating system rates it Hold.
Q1 reports showed Berkshire Hathaway reduced its shareholding from 102.5M to 22.9M shares.
Last week, HSBC raised HP to Buy from Hold, noting improving industry dynamics and profitability. The brokerage boosted its stock price estimate to $33 from $30.
Consensus EPS: $0.81
Revenue consensus: $13.60B
Earnings HP has exceeded sales projections in 2 of the previous 8 quarters and EPS in 6 of the past 8.
Viatris (VTRS), Baidu (BIDU), AMC Entertainment (AMC), Snowflake (SNOW), HP Inc. (HPQ), Okta (OKTA), Marathon Digital Holdings (MARA), C3.ai (AI), TJX, Geron (GERN), Advance Auto (AAP), Marqeta (MQ), WW, ODP Corporation (ODP), and others reported.
On Thursday, February 29.
Zscaler (ZS) will release its quarterly results after the market closes. Seeking Alpha’s Quant Rating system rates the stock Strong Buy, while Wall Street analysts suggest a consensus Buy. It has risen 72% in a year.
SA author Michael Del Monte claims the company’s primary technologies, ZIA, ZPA, and ZDX, guard against external harmful attacks, positioning it for the next generation of threat actors. He believes Zscaler has a large GenAI ramp opportunity, boosting its growth prospects.
Analysts predict $0.58 EPS.
Revenue consensus: $506.81M
Earnings Insight: Zscaler has surpassed EPS and revenue projections for 8 quarters.
The following companies reported: SoundHound AI (SOUN), Hewlett Packard Enterprise (HPE), Toronto-Dominion Bank (TD), Royal Bank of Canada (RY), Best Buy (BBY), Autodesk (ADSK), Anheuser-Busch InBev (BUD), Hormel Foods (HRL), NetApp (NTAP), Bath & Body Works (BBWI), Hyatt Hotels (H), Six Flags
On Friday, March 1
Plug Power Inc. (PLUG) will release its Q4 results before the opening bell. Seeking Alpha’s Quant rating system rates the company Sell due to weaker profitability and negative EPS revisions compared to comparable industrial firms. The opinion among Wall Street analysts is Hold.
Plug Power said it will cut yearly operational costs by $75M with a $15M implementation cost. The strategy comprises employment layoffs, operational consolidation, supply chain optimization, and discretionary spending savings to improve efficiency and scalability.
Plug Power’s GenDrive and GenSure face exorbitant warranty and service contract prices, according to SA writer Bashar Issa. Recent events, including a 50% share price drop, DOE loan discussions, and stock fundraisers, highlight Plug Power’s reliance on external finance and the financial effects of new IRS restrictions.
EPS consensus: -$0.41.
Revenue consensus: $202.93M
Earnings Analysis: Plug Power beat sales projections in 3 of the last 8 quarters and EPS estimates in 1 of the past 8.
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