Guidance lifts commonly inject positivity into shares, with investors scrambling to get in and ride the momentum. Companies raise their outlooks when business is fruitful, sending a bullish message to shareholders.
And in 2024, several companies, including Procter & Gamble (PG - Free Report) , Super Micro Computer (SMCI - Free Report) , and Abercrombie & Fitch (ANF - Free Report) , have raised their outlooks, with shares moving higher following the announcements.
For those interested in recent bullish activity, let’s take a closer look at each.
Super Micro Computer
Likely the most recognizable of the bunch due to the AI-frenzy, Super Micro Computer is the premier provider of advanced Server Building Block Solutions for 5G/Edge, Data Center, Cloud, Enterprise, Big Data, HPC, and Embedded markets worldwide.
The company delivered a remarkably strong guide for its 2024 Q2 thanks to a strong market and end customer demand for its rack-scale, AI, and Total IT Solutions. Net sales are expected in a band of $3.6 - $3.65 billion ($2.7 - $2.9 billion previously) and GAAP EPS of $4.90 - $5.05 per share ($3.75 - $4.24 per share previously.
Shares melted higher following the announcement, now up an astounding 57% on a year-to-date basis.
Analysts have remained bullish on the company’s current fiscal year, with the current $17.13 Zacks Consensus EPS Estimate up more than 110% over the last year and unsurprisingly being raised further following the guidance update.
The stock remains a prime selection for growth investors seeking AI exposure, with consensus expectations for its current year suggesting 45% earnings growth paired with a sizable 53% sales jump. It currently holds a Style Score of ‘A’ for Growth and is a Zacks Rank #1 (Strong Buy).
Procter & Gamble
Procter & Gamble just recently delivered its 2024 Q2 results, with the company exceeding the Zacks Consensus EPS Estimate easily and reporting sales a hair below expectations. Earnings improved 16% year-over-year thanks to an improved operating margin, whereas sales climbed 3% year-over-year.
Following the results, the company upped its FY24 core net EPS growth into a band of 8% - 9% vs. the previously expected 6% - 9%. Shares have seen bullish activity following the news, injecting positive sentiment as they try to break out of a nearly year-long consolidation period.
Investors stand to reap a steady income stream from PG shares, as the company belongs to the elite Dividend Aristocrats group. Shares currently yield a solid 2.5% annually, with the payout growing by 6% annualized over the last five years.
Abercrombie & Fitch
Abercrombie & Fitch, a current Zacks Rank #1 (Strong Buy), operates as a specialty retailer of many types of premium, high-quality casual apparel for men, women, and kids through a vast store network.
The strength of ANF shares has been nearly unparalleled over the last year, up a sizable 270% on the back of a string of positive quarterly releases.
The retailer upped its Q4 and FY23 net sales and operating margin outlook following a hotter-than-expected holiday season, causing shares to see immense buying pressure following the announcement. ANF has continued to be a strong earnings performer overall, exceeding the Zacks Consensus EPS Estimate by an average of 700% across its last four releases.
A more favorable operating environment with easing costs is expected to lead to a growth recovery for ANF, with consensus expectations for its current fiscal year suggesting quad-digit earnings growth on 15% higher sales.
Bottom Line
Guidance lifts are among the most positive announcements shareholders can hear, injecting confidence in the long-term picture.
And recently, all three companies above – Procter & Gamble (PG - Free Report) , Super Micro Computer (SMCI - Free Report) , and Abercrombie & Fitch (ANF - Free Report) – have upped their outlooks, with shares of each moving higher in response.
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 +24.2% per year. So be sure to give these hand picked 7 your immediate attention.
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Guidance lifts commonly inject positivity into shares, with investors scrambling to get in and ride the momentum. Companies raise their outlooks when business is fruitful, sending a bullish message to shareholders.
And in 2024, several companies, including Procter & Gamble (PG - Free Report) , Super Micro Computer (SMCI - Free Report) , and Abercrombie & Fitch (ANF - Free Report) , have raised their outlooks, with shares moving higher following the announcements.
For those interested in recent bullish activity, let’s take a closer look at each.
Super Micro Computer
Likely the most recognizable of the bunch due to the AI-frenzy, Super Micro Computer is the premier provider of advanced Server Building Block Solutions for 5G/Edge, Data Center, Cloud, Enterprise, Big Data, HPC, and Embedded markets worldwide.
The company delivered a remarkably strong guide for its 2024 Q2 thanks to a strong market and end customer demand for its rack-scale, AI, and Total IT Solutions. Net sales are expected in a band of $3.6 - $3.65 billion ($2.7 - $2.9 billion previously) and GAAP EPS of $4.90 - $5.05 per share ($3.75 - $4.24 per share previously.
Shares melted higher following the announcement, now up an astounding 57% on a year-to-date basis.
Analysts have remained bullish on the company’s current fiscal year, with the current $17.13 Zacks Consensus EPS Estimate up more than 110% over the last year and unsurprisingly being raised further following the guidance update.
The stock remains a prime selection for growth investors seeking AI exposure, with consensus expectations for its current year suggesting 45% earnings growth paired with a sizable 53% sales jump. It currently holds a Style Score of ‘A’ for Growth and is a Zacks Rank #1 (Strong Buy).
Procter & Gamble
Procter & Gamble just recently delivered its 2024 Q2 results, with the company exceeding the Zacks Consensus EPS Estimate easily and reporting sales a hair below expectations. Earnings improved 16% year-over-year thanks to an improved operating margin, whereas sales climbed 3% year-over-year.
Following the results, the company upped its FY24 core net EPS growth into a band of 8% - 9% vs. the previously expected 6% - 9%. Shares have seen bullish activity following the news, injecting positive sentiment as they try to break out of a nearly year-long consolidation period.
Investors stand to reap a steady income stream from PG shares, as the company belongs to the elite Dividend Aristocrats group. Shares currently yield a solid 2.5% annually, with the payout growing by 6% annualized over the last five years.
Abercrombie & Fitch
Abercrombie & Fitch, a current Zacks Rank #1 (Strong Buy), operates as a specialty retailer of many types of premium, high-quality casual apparel for men, women, and kids through a vast store network.
The strength of ANF shares has been nearly unparalleled over the last year, up a sizable 270% on the back of a string of positive quarterly releases.
The retailer upped its Q4 and FY23 net sales and operating margin outlook following a hotter-than-expected holiday season, causing shares to see immense buying pressure following the announcement. ANF has continued to be a strong earnings performer overall, exceeding the Zacks Consensus EPS Estimate by an average of 700% across its last four releases.
A more favorable operating environment with easing costs is expected to lead to a growth recovery for ANF, with consensus expectations for its current fiscal year suggesting quad-digit earnings growth on 15% higher sales.
Bottom Line
Guidance lifts are among the most positive announcements shareholders can hear, injecting confidence in the long-term picture.
And recently, all three companies above – Procter & Gamble (PG - Free Report) , Super Micro Computer (SMCI - Free Report) , and Abercrombie & Fitch (ANF - Free Report) – have upped their outlooks, with shares of each moving higher in response.
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 +24.2% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
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