Quarterly revenues could be a wake-up call next week, as some of America’s largest companies begin issuing their quarterly numbers, amid rising commodity prices, the ongoing geographical crisis and the ongoing shortage of supply chains.
According to Bloomberg, the reviews and trends of recent analysts in the organization’s guidelines indicate that income levels and revenues during the catastrophic period were outside the normal range and could reach a peak.
Contrary to analysts’ tendency to increase their estimates ahead of the next revenue season during this crisis, analysts spent a lot of time preparing for the first quarter of the 2022 revenue season to adjust their lower expectations.
However, they still expect other companies to report significant profits, especially those that continue to maintain their pricing ability. Revenue is expected to rise 6.1% in the first quarter, from 8.9% in the fourth quarter, according to I / B / E / S data from Refinitiv.
Below, we have selected three shares from different sectors that we take a closer look at as the first quarter earnings season begins:
Netflix streaming company (NASDAQ 🙂 is expected to report its results for the first quarter of 2022 on Tuesday, April 19, after the market closed. Analysts expect revenue of $ 2.95 per share on revenue of $ 7.94 billion.
Netflix shares have been under intense pressure since the stock reached a record high on November 11. Investors fear that growing competition and slower customer growth will continue to weigh on sales and margins. Under pressure from this wind, the Netflix stock of Los Gatos has lost more than 40% of its value since the beginning of the year. Closed Thursday for $ 341.13.
Netflix’s collapse increased after the company released its latest version in January, indicating that customer growth is not returning as quickly as analysts had expected. Compared to the four million users added a year earlier, the company is only expected to add 2.5 million members in the first quarter.
Electric car manufacturer Tesla Inc (NASDAQ 🙂 will release its first-quarter results on Wednesday, April 20 after the market closes. Analysts expect a revenue of $ 2.24 per share on revenue of $ 17.63 billion.
Austin, Texas-based EV car manufacturer announced this month that it was shipping 310,048 vehicles worldwide in what Elon Musk called an “unusual” complex in the first quarter, due to ongoing supply cuts. This number was slightly higher than analysts’ expectations.
However, this performance shows that the company has managed to control existing supply issues better than traditional manufacturers who have been forced to work in factories and reduce production.
The company’s sales forecast for the remainder of 2022 and the demand situation in China, where COVID locks threaten to hurt production, will be the key details that investors are waiting for.
Tesla stocks, after falling nearly 7% this year, closed Thursday for $ 985.
3. Procter & Gamble
The largest company Procter & Gamble (NYSE 🙂 will report the third quarter of 2022 before the market opens on Wednesday. The agreement calls for revenue per share of $ 1.3 billion for revenue of $ 18.7 billion.
Manufacturers of Downy fabric, Puffs tissue and Luvs diapers are among the companies that feel the effects of rising inflation and supply shortages. The company Cincinnati, Ohio, however, is trying to cope with the pressure by raising prices.
In January, he told investors that he now expects 4% to 5% organic sales growth year-round, from an initial estimate of 2% to 4%, as consumers can take higher prices, and help P&G achieve higher rising raw prices. . equipment costs, freight and foreign exchange.
The P&G stock closed Thursday at $ 158.57, down 3% year-on-year. Shares have risen around 19% in 2021, benefiting from the high demand for essential household items during a crisis.