Triple-digit gains in regular-day Tuesday trading in both the Dow and Nasdaq were bolstered by a number of different things — strong housing starts and a lack of relative geopolitical tension early this week among them — but nothing so influential as a very strong Q1 earnings season. We are still in the early stages so far (only a week has passed since Delta Air Lines beat estimates on both top and bottom lines), but overall results have been notably better than expected.
While after-the-bell earnings reports yesterday were better than expected across the board, some companies performed more impressively than others. While Intuitive Surgical (ISRG - Free Report) posted a robust earnings beat, IBM (IBM - Free Report) eked out a positive surprise on new corporate tax benefits alone. (IBM’s Watson enterprise has thus far failed to inspire fresh investment in Big Blue.) As a result, IBM has shed more than 5% in today’s pre-market, while ISRG shares are up 5% this morning.
New Q1 earnings reports are following suit, starting with Morgan Stanley (MS - Free Report) , which left estimates in the dust this morning. This investment banking major posted $1.45 per share on $11.1 billion in quarterly revenues, outpacing the $1.28 and $10.5 billion in the Zacks consensus estimates, respectively. Net income grew 38% in Q1, whereas Sales & Trading rose 26%. For more on MS’s earnings, click here.
Fellow financial institution U.S. Bank (USB - Free Report) beat earnings estimates by a penny to 95 cents per share, but missed on revenue expectations, bringing in $5.47 billion as opposed to the $5.53 billion our analysts were looking for. This still represents good year-over-year growth from $5.29 billion in Q1 2017, but pre-market trading shows USB shares slipping half a percentage point at this hour. For more on USB’s earnings, click here.
Based on Chicago’s North Shore, Abbott Labs (ABT - Free Report) also topped earnings consensus by a penny to 59 cents per share. Revenues also slightly surpassed expectations in Q1, reporting $7.39 billion in sales. Guidance for full-year 2018 has been posted at between $2.80 and $2.90 per share, and the Zacks consensus is roughly at the midpoint. Shares are off 1.3% ahead of today’s opening bell. For more on ABT’s earnings, click here.
Defense components major Textron (TXT - Free Report) , however, performed much better this morning — 76 cents per share blew away expectations of 46 cents, and more than double the 37 cents per share a year ago. Sales of $3,296 million also impressed, both above the estimated $3,114 million and the year-ago figure of $3,093 million. Industrial sales perked up 14%, and the company saw gains from its Arctic Cat acquisition. Shares are up 6.7% in today’s pre-market. For more on TXT’s earnings, click here.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Triple-digit gains in regular-day Tuesday trading in both the Dow and Nasdaq were bolstered by a number of different things — strong housing starts and a lack of relative geopolitical tension early this week among them — but nothing so influential as a very strong Q1 earnings season. We are still in the early stages so far (only a week has passed since Delta Air Lines beat estimates on both top and bottom lines), but overall results have been notably better than expected.
While after-the-bell earnings reports yesterday were better than expected across the board, some companies performed more impressively than others. While Intuitive Surgical (ISRG - Free Report) posted a robust earnings beat, IBM (IBM - Free Report) eked out a positive surprise on new corporate tax benefits alone. (IBM’s Watson enterprise has thus far failed to inspire fresh investment in Big Blue.) As a result, IBM has shed more than 5% in today’s pre-market, while ISRG shares are up 5% this morning.
New Q1 earnings reports are following suit, starting with Morgan Stanley (MS - Free Report) , which left estimates in the dust this morning. This investment banking major posted $1.45 per share on $11.1 billion in quarterly revenues, outpacing the $1.28 and $10.5 billion in the Zacks consensus estimates, respectively. Net income grew 38% in Q1, whereas Sales & Trading rose 26%. For more on MS’s earnings, click here.
Fellow financial institution U.S. Bank (USB - Free Report) beat earnings estimates by a penny to 95 cents per share, but missed on revenue expectations, bringing in $5.47 billion as opposed to the $5.53 billion our analysts were looking for. This still represents good year-over-year growth from $5.29 billion in Q1 2017, but pre-market trading shows USB shares slipping half a percentage point at this hour. For more on USB’s earnings, click here.
Based on Chicago’s North Shore, Abbott Labs (ABT - Free Report) also topped earnings consensus by a penny to 59 cents per share. Revenues also slightly surpassed expectations in Q1, reporting $7.39 billion in sales. Guidance for full-year 2018 has been posted at between $2.80 and $2.90 per share, and the Zacks consensus is roughly at the midpoint. Shares are off 1.3% ahead of today’s opening bell. For more on ABT’s earnings, click here.
Defense components major Textron (TXT - Free Report) , however, performed much better this morning — 76 cents per share blew away expectations of 46 cents, and more than double the 37 cents per share a year ago. Sales of $3,296 million also impressed, both above the estimated $3,114 million and the year-ago figure of $3,093 million. Industrial sales perked up 14%, and the company saw gains from its Arctic Cat acquisition. Shares are up 6.7% in today’s pre-market. For more on TXT’s earnings, click here.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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