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The Zacks Analyst Blog Highlights Pinterest, On Semiconductor, Intel, Alphabet and Meta Platforms
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For Immediate Release
Chicago, IL – October 18, 2023 – 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: Pinterest (PINS - Free Report) , On Semiconductor (ON - Free Report) , Intel (INTC - Free Report) , Alphabet (GOOGL - Free Report) and Meta Platforms (META - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
5 Technology Stocks Poised to Beat Earnings Estimates in Q3
The technology sector had a strong third-quarter 2023, driven by an improving global macro-economic environment, eased inflation and strong adoption of Artificial Intelligence (AI) and machine learning.
However, the AI mania faded somewhat due to the U.S. Federal Reserve’s hawkish stance. The Federal Reserve enacted one rate hike worth 25 bps in July and kept interest rates steady (Sep 19-20 meeting) at a 22-year high of 5.25-5.5% but signaled one more hike this year.
Nevertheless, the technology sector is expected to have benefited from ongoing digitalization. The rapid adoption of cloud computing, big data, the Internet of Things, wearables, VR headsets, drones, virtual reality, machine learning, digital communication, blockchain and 5G technology is expected to have aided sector participants.
Higher spending across Software, IT Services and Communications Services is likely to have benefited the technology sector. However, PC and Smartphone segments remained under the weather in the to-be-reported quarter.
Per Gartner’s latest report, 64.3 million PCs were shipped in the third quarter (ended in September) of 2023, down 9% from the year-ago period. Lenovo and Dell Technologies witnessed a decline of 4.4% and 14.2%, respectively, while HP gained 6.4%. Apple witnessed a 24.2% decline, much worse than HP and Dell.
According to Counterpoint’s latest update, global smartphone sales declined 8% year over year but increased 2% sequentially in the third quarter of 2023. Samsung remained the leader in market share, followed by Apple.
Upcoming Earnings to Watch
A chunk of technology companies are set to report their earnings results over the next couple of weeks. We believe that several are well-poised to beat earnings estimates due to a strong product portfolio powered by increasing usage of AI.
Hence, finding technology stocks with the potential to beat earnings estimates can be daunting. Our proprietary methodology, however, makes it fairly simple.
You could narrow down the list of choices by looking at stocks that have the combination of a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) and a positive Earnings ESP. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP is our proprietary methodology for determining stocks that have the best chances to surprise with their next earnings announcement. It is the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate.
Our research shows that for stocks with this combination of ingredients, the odds of a positive earnings surprise are as high as 70%.
Top Bets
Five technology stocks mentioned below have the right combination of elements to beat on earnings this reporting cycle:
The company is scheduled to report its third-quarter 2023 results on Oct 30. The Zacks Consensus Estimate for earnings has been steady at 21 cents per share over the past 30 days.
Plano, TX-based Intel has an Earnings ESP of +8.98% and has a Zacks Rank of 2. The company is scheduled to report its third-quarter 2023 results on Oct 26.
The Zacks Consensus Estimate for earnings has increased by a penny to 21 cents per share over the past 30 days.
Mountain View, CA-based Alphabet currently has an Earnings ESP of +3.06% and a Zacks Rank #3.
The company is set to report third-quarter 2023 results on Oct 24. The consensus mark for earnings has been steady at $1.45 per share over the past 30 days.
Menlo Park, CA-based Meta Platforms is set to report third-quarter 2023 results on Oct 25. The company has an Earnings ESP of +1.24% and a Zacks Rank of 3.
The consensus estimate for its earnings has moved up by 1.1% to $3.57 per share over the past 30 days.
Why Haven’t You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation.
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.
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The Zacks Analyst Blog Highlights Pinterest, On Semiconductor, Intel, Alphabet and Meta Platforms
For Immediate Release
Chicago, IL – October 18, 2023 – 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: Pinterest (PINS - Free Report) , On Semiconductor (ON - Free Report) , Intel (INTC - Free Report) , Alphabet (GOOGL - Free Report) and Meta Platforms (META - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
5 Technology Stocks Poised to Beat Earnings Estimates in Q3
The technology sector had a strong third-quarter 2023, driven by an improving global macro-economic environment, eased inflation and strong adoption of Artificial Intelligence (AI) and machine learning.
However, the AI mania faded somewhat due to the U.S. Federal Reserve’s hawkish stance. The Federal Reserve enacted one rate hike worth 25 bps in July and kept interest rates steady (Sep 19-20 meeting) at a 22-year high of 5.25-5.5% but signaled one more hike this year.
Nevertheless, the technology sector is expected to have benefited from ongoing digitalization. The rapid adoption of cloud computing, big data, the Internet of Things, wearables, VR headsets, drones, virtual reality, machine learning, digital communication, blockchain and 5G technology is expected to have aided sector participants.
Higher spending across Software, IT Services and Communications Services is likely to have benefited the technology sector. However, PC and Smartphone segments remained under the weather in the to-be-reported quarter.
Per Gartner’s latest report, 64.3 million PCs were shipped in the third quarter (ended in September) of 2023, down 9% from the year-ago period. Lenovo and Dell Technologies witnessed a decline of 4.4% and 14.2%, respectively, while HP gained 6.4%. Apple witnessed a 24.2% decline, much worse than HP and Dell.
According to Counterpoint’s latest update, global smartphone sales declined 8% year over year but increased 2% sequentially in the third quarter of 2023. Samsung remained the leader in market share, followed by Apple.
Upcoming Earnings to Watch
A chunk of technology companies are set to report their earnings results over the next couple of weeks. We believe that several are well-poised to beat earnings estimates due to a strong product portfolio powered by increasing usage of AI.
Hence, finding technology stocks with the potential to beat earnings estimates can be daunting. Our proprietary methodology, however, makes it fairly simple.
You could narrow down the list of choices by looking at stocks that have the combination of a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) and a positive Earnings ESP. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP is our proprietary methodology for determining stocks that have the best chances to surprise with their next earnings announcement. It is the percentage difference between the Most Accurate Estimate and the Zacks Consensus Estimate.
Our research shows that for stocks with this combination of ingredients, the odds of a positive earnings surprise are as high as 70%.
Top Bets
Five technology stocks mentioned below have the right combination of elements to beat on earnings this reporting cycle:
San Francisco-based Pinterest has an Earnings ESP of +4.76% and currently flaunts a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is scheduled to report its third-quarter 2023 results on Oct 30. The Zacks Consensus Estimate for earnings has been steady at 21 cents per share over the past 30 days.
Pinterest, Inc. price-eps-surprise | Pinterest, Inc. Quote
Phoenix, AZ-based On Semiconductor, also called onsemi, is scheduled to report its third-quarter 2023 results on Oct 30.
The company has an Earnings ESP of +1.00% and a Zacks Rank #2.
The Zacks Consensus Estimate for earnings has remained unchanged at $1.35 per share over the past month.
ON Semiconductor Corporation Price and EPS Surprise
ON Semiconductor Corporation price-eps-surprise | ON Semiconductor Corporation Quote
Plano, TX-based Intel has an Earnings ESP of +8.98% and has a Zacks Rank of 2. The company is scheduled to report its third-quarter 2023 results on Oct 26.
The Zacks Consensus Estimate for earnings has increased by a penny to 21 cents per share over the past 30 days.
Intel Corporation price-eps-surprise | Intel Corporation Quote
Mountain View, CA-based Alphabet currently has an Earnings ESP of +3.06% and a Zacks Rank #3.
The company is set to report third-quarter 2023 results on Oct 24. The consensus mark for earnings has been steady at $1.45 per share over the past 30 days.
Alphabet Inc. price-eps-surprise | Alphabet Inc. Quote
Menlo Park, CA-based Meta Platforms is set to report third-quarter 2023 results on Oct 25. The company has an Earnings ESP of +1.24% and a Zacks Rank of 3.
Meta Platforms, Inc. price-eps-surprise | Meta Platforms, Inc. Quote
The consensus estimate for its earnings has moved up by 1.1% to $3.57 per share over the past 30 days.
Why Haven’t You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation.
See Stocks Free >>
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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.