We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Zacks Analyst Blog Highlights: Alphabet, General Motors, Advanced Micro Devices, PayPal and Starbucks
Read MoreHide Full Article
For Immediate Release
Chicago, IL – February 2, 2022 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Alphabet (GOOGL - Free Report) , General Motors (GM - Free Report) , Advanced Micro Devices (AMD - Free Report) , PayPal (PYPL - Free Report) and Starbucks (SBUX - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
Big Earnings Beats for GOOGL, AMD, GM; Misses for PYPL and SBUX Causes Sell-Off
Market indexes closed higher Tuesday for the third-straight trading day: the Dow was +273 points, +0.78%; the S&P 500 +31, +0.69%; the Nasdaq grew +106 points, +0.75%; and the small-cap Russell 2000 was +22 points to +1.10%. The trading day carried lots of volatility, but rallied in the final hour of regular trading to the close.
We saw slightly better-than-expected manufacturing data from both PMI and ISM for January, while Job Openings widened to 10.9 million in December. Job Quits remained high at 4.3 million. And Construction Spending dropped 50 basis points from expectations to +0.2% in December, from an upwardly revised +0.6% in December. A mixed bag in econ data yesterday, but nothing earth-shattering.
Google parent Alphabet zoomed passed estimates in its Q4 earnings report released after the closing bell, rising +6.7% in after-hours trading. Earnings of $30.69 per share outpaces expectations by a solid dollar, while revenues of $61.9 billion (minus traffic acquisition costs [TAC], which the company does not include in its sales headline of $75.3 billion) surged past the $59.32 billion in the Zacks consensus.
Alphabet also announced a big 20-for-1 stock split, which should provide a nice bonus for holders of the stock going forward (and bring its share price down to more affordable levels, from around $3000 to around $150). The big quarterly beat was in its Search category, which brought in $43.3 billion from the $41 billion expected. YouTube gained $8.6 billion while Cloud was $5.5 billion. This is the seventh straight quarterly earnings beat for the global leader in Internet search.
Zacks Rank #1 (Strong Buy)-rated General Motors posted beats on both top and bottom lines for its Q4 report Tuesday afternoon, as well: $1.35 per share outpaced expectations by 20 cents per share, while sales of $33.58 billion in the quarter topped the $29.22 billion in the Zacks consensus. Electric vehicle (EV) reservations are also reportedly very strong, led by Silverado, whose EV reservations have surpassed 110K. Shares are up +2.5% in late trading.
Chip giant Advanced Micro Devices surged past expectations in its Q4 on both earnings and sales: 92 cents per share on a record-high $4.83 billion in revenues outstripped the 75 cents per share and $4.52 billion in sales anticipated. Data Center receipts doubled in the quarter for this 11th-straight bottom-line beat for the Zacks Rank #2 (Buy)-rated company. Guidance for Q1 and full-year earnings were also raised from expectations.
PayPal shares, however, are sinking -16% following its penny-miss on its bottom line to $1.11 per share in its Q4, while sales came roughly in-line at $6.9 billion, +13% year over year. Headwinds from its eBay spinoff continue, however, and guidance for next quarter and the full year came in below expectations, as the top brass looks to keep expectations conservative. This looks to be what traders are focused on, as the sharp decline swings PayPal to negative gains year to date thus far.
Starbucks turned in a mixed fiscal Q1 Tuesday afternoon, with 72 cents per share missing the 80 cents expected, though still better than the 61 cents per share from a year ago. Revenues edged past expectations to $8.1 billion from $7.99 billion in the Zacks consensus. Comps in China weighed on the quarter, dropping -14% on strict Covid regulations in Starbucks’ second-biggest market. Shares are down -4.7% in late trading.
Wednesday morning brings us private-sector payroll data for January from ADP. Only about 200K jobs are expected to have been created in the month, with the Omicron variant having peaked in much of the country and seasonal adjustments from holiday shopping season the usual considerations for this time of year. We’ll also get a Treasury quarterly refunding announcement and a Q4 home-ownership rate.
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +25.3% per year. So be sure to give these hand-picked 7 your immediate attention.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
The Zacks Analyst Blog Highlights: Alphabet, General Motors, Advanced Micro Devices, PayPal and Starbucks
For Immediate Release
Chicago, IL – February 2, 2022 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Alphabet (GOOGL - Free Report) , General Motors (GM - Free Report) , Advanced Micro Devices (AMD - Free Report) , PayPal (PYPL - Free Report) and Starbucks (SBUX - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
Big Earnings Beats for GOOGL, AMD, GM; Misses for PYPL and SBUX Causes Sell-Off
Market indexes closed higher Tuesday for the third-straight trading day: the Dow was +273 points, +0.78%; the S&P 500 +31, +0.69%; the Nasdaq grew +106 points, +0.75%; and the small-cap Russell 2000 was +22 points to +1.10%. The trading day carried lots of volatility, but rallied in the final hour of regular trading to the close.
We saw slightly better-than-expected manufacturing data from both PMI and ISM for January, while Job Openings widened to 10.9 million in December. Job Quits remained high at 4.3 million. And Construction Spending dropped 50 basis points from expectations to +0.2% in December, from an upwardly revised +0.6% in December. A mixed bag in econ data yesterday, but nothing earth-shattering.
Google parent Alphabet zoomed passed estimates in its Q4 earnings report released after the closing bell, rising +6.7% in after-hours trading. Earnings of $30.69 per share outpaces expectations by a solid dollar, while revenues of $61.9 billion (minus traffic acquisition costs [TAC], which the company does not include in its sales headline of $75.3 billion) surged past the $59.32 billion in the Zacks consensus.
Alphabet also announced a big 20-for-1 stock split, which should provide a nice bonus for holders of the stock going forward (and bring its share price down to more affordable levels, from around $3000 to around $150). The big quarterly beat was in its Search category, which brought in $43.3 billion from the $41 billion expected. YouTube gained $8.6 billion while Cloud was $5.5 billion. This is the seventh straight quarterly earnings beat for the global leader in Internet search.
Zacks Rank #1 (Strong Buy)-rated General Motors posted beats on both top and bottom lines for its Q4 report Tuesday afternoon, as well: $1.35 per share outpaced expectations by 20 cents per share, while sales of $33.58 billion in the quarter topped the $29.22 billion in the Zacks consensus. Electric vehicle (EV) reservations are also reportedly very strong, led by Silverado, whose EV reservations have surpassed 110K. Shares are up +2.5% in late trading.
Chip giant Advanced Micro Devices surged past expectations in its Q4 on both earnings and sales: 92 cents per share on a record-high $4.83 billion in revenues outstripped the 75 cents per share and $4.52 billion in sales anticipated. Data Center receipts doubled in the quarter for this 11th-straight bottom-line beat for the Zacks Rank #2 (Buy)-rated company. Guidance for Q1 and full-year earnings were also raised from expectations.
PayPal shares, however, are sinking -16% following its penny-miss on its bottom line to $1.11 per share in its Q4, while sales came roughly in-line at $6.9 billion, +13% year over year. Headwinds from its eBay spinoff continue, however, and guidance for next quarter and the full year came in below expectations, as the top brass looks to keep expectations conservative. This looks to be what traders are focused on, as the sharp decline swings PayPal to negative gains year to date thus far.
Starbucks turned in a mixed fiscal Q1 Tuesday afternoon, with 72 cents per share missing the 80 cents expected, though still better than the 61 cents per share from a year ago. Revenues edged past expectations to $8.1 billion from $7.99 billion in the Zacks consensus. Comps in China weighed on the quarter, dropping -14% on strict Covid regulations in Starbucks’ second-biggest market. Shares are down -4.7% in late trading.
Wednesday morning brings us private-sector payroll data for January from ADP. Only about 200K jobs are expected to have been created in the month, with the Omicron variant having peaked in much of the country and seasonal adjustments from holiday shopping season the usual considerations for this time of year. We’ll also get a Treasury quarterly refunding announcement and a Q4 home-ownership rate.
Questions or comments about this article and/or its author? Click here>>
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +25.3% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.