A day ago, after Caterpillar (CAT - Free Report) ushered in a stellar Q1 earnings report, pre-market futures were zooming up. Q1 earnings season in general was going along swimmingly, and it looked like Tuesday trading was off to the races.
Well, a funny thing happened in CAT’s Q1 conference call — CEO Jim Umpleby was quoted as saying Q1 represented a “high water mark” for Caterpillar’s 2018 earnings, which caused a hasty reassessment among market participants, and trading in the markets, the Dow in particular, sank like a stone.
For sure, Mr. Umpleby has learned a valuable lesson about what to say (or what NOT to say) in his company’s conference call, but Caterpillar remains within a strong cycle overall. The stock currently carries a Zacks Rank #2 (Buy) rating and a Zacks Style Score (Value, Growth, Momentum) of B.
What we caution investors to learn from this is something akin to “all that glitters is not gold.” Meaning although a company may provide excellent top and bottom-line quarterly numbers, market sentiment — especially when economic realities are making traders a bit more sensitive these days, such as a 3% 10-year bond yield pointing toward higher interest rates in the future — may turn on a dime. And what we should take away is the understanding that jumpiness among market participants is a reality; stick with your strategy to find light at the end of the tunnel, and don’t give into hysteria.
So, with that in mind, here are some highlights from a few of the big names reporting earnings results ahead of Wednesday’s opening bell:
The Boeing Company (BA - Free Report) is trading up 2.74% in today’s pre-market on solid top and bottom-line beats this morning. Earnings of $3.64 per share outpaced the $2.59 in the Zacks consensus, and revenues in the quarter of $23.38 billion surpassed the $22.32 billion analysts were expecting. Beating estimates is nothing new for Boeing: its trailing 4-quarter earnings beat average is above 20%. Also in the quarter, Boeing bought back $3 billion worth of company shares and paid out a total of $1 billion in dividends. For more on BA’s earnings, click here.
Keeping in the Aerospace arena a moment, Northrop Grumman (NOC - Free Report) also easily topped earnings and revenue estimates in its Q1: $4.21 per share on $6.74 billion in revenues beat the $3.63 per share and $6.58 billion, respectively. Its Aerospace division rose 10% year over year, and this marks at least the fifth straight earnings beat for the Zacks Rank #2, Style Score B-rated company. For more on NOC’s earnings, click here.
One more from this sector: General Dynamics (GD - Free Report) , a Zacks Rank #1 (Strong Buy) company, posted a 7% beat on the bottom line to $2.65 per share. Revenues of $7,535 million was a smidge under Zacks consensus — so call this a mixed earnings report — on revenue growth of 1.3% year over year. For more on GD’s earnings, click here.
Also, Comcast (CMCSA - Free Report) reported earnings ahead of the opening bell today, with 62 cents per share and $22.79 billion in the quarter outperforming the 59 cents per share and $22.72 billion expected, up 10.7% on the company’s top line. Internet customer net adds grew 379K, partially augmented by a loss of 96K Video customers. The company also formally announced its big for the 61% of Sky Communications it doesn’t already own. For more on CMCSA’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 >>
A day ago, after Caterpillar (CAT - Free Report) ushered in a stellar Q1 earnings report, pre-market futures were zooming up. Q1 earnings season in general was going along swimmingly, and it looked like Tuesday trading was off to the races.
Well, a funny thing happened in CAT’s Q1 conference call — CEO Jim Umpleby was quoted as saying Q1 represented a “high water mark” for Caterpillar’s 2018 earnings, which caused a hasty reassessment among market participants, and trading in the markets, the Dow in particular, sank like a stone.
For sure, Mr. Umpleby has learned a valuable lesson about what to say (or what NOT to say) in his company’s conference call, but Caterpillar remains within a strong cycle overall. The stock currently carries a Zacks Rank #2 (Buy) rating and a Zacks Style Score (Value, Growth, Momentum) of B.
What we caution investors to learn from this is something akin to “all that glitters is not gold.” Meaning although a company may provide excellent top and bottom-line quarterly numbers, market sentiment — especially when economic realities are making traders a bit more sensitive these days, such as a 3% 10-year bond yield pointing toward higher interest rates in the future — may turn on a dime. And what we should take away is the understanding that jumpiness among market participants is a reality; stick with your strategy to find light at the end of the tunnel, and don’t give into hysteria.
So, with that in mind, here are some highlights from a few of the big names reporting earnings results ahead of Wednesday’s opening bell:
The Boeing Company (BA - Free Report) is trading up 2.74% in today’s pre-market on solid top and bottom-line beats this morning. Earnings of $3.64 per share outpaced the $2.59 in the Zacks consensus, and revenues in the quarter of $23.38 billion surpassed the $22.32 billion analysts were expecting. Beating estimates is nothing new for Boeing: its trailing 4-quarter earnings beat average is above 20%. Also in the quarter, Boeing bought back $3 billion worth of company shares and paid out a total of $1 billion in dividends. For more on BA’s earnings, click here.
Keeping in the Aerospace arena a moment, Northrop Grumman (NOC - Free Report) also easily topped earnings and revenue estimates in its Q1: $4.21 per share on $6.74 billion in revenues beat the $3.63 per share and $6.58 billion, respectively. Its Aerospace division rose 10% year over year, and this marks at least the fifth straight earnings beat for the Zacks Rank #2, Style Score B-rated company. For more on NOC’s earnings, click here.
One more from this sector: General Dynamics (GD - Free Report) , a Zacks Rank #1 (Strong Buy) company, posted a 7% beat on the bottom line to $2.65 per share. Revenues of $7,535 million was a smidge under Zacks consensus — so call this a mixed earnings report — on revenue growth of 1.3% year over year. For more on GD’s earnings, click here.
Also, Comcast (CMCSA - Free Report) reported earnings ahead of the opening bell today, with 62 cents per share and $22.79 billion in the quarter outperforming the 59 cents per share and $22.72 billion expected, up 10.7% on the company’s top line. Internet customer net adds grew 379K, partially augmented by a loss of 96K Video customers. The company also formally announced its big for the 61% of Sky Communications it doesn’t already own. For more on CMCSA’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 >>
Get the latest research report on BA - FREE
Get the latest research report on NOC - FREE
Get the latest research report on GD - FREE
Get the latest research report on CAT - FREE
Get the latest research report on CMCSA - FREE