Third quarter earnings season is wrapping up, with reports out from nearly all of the S&P 500 members. With that said, we are still waiting on some potentially significant results from some major tech companies. So let’s see what to expect from Salesforce (CRM - Free Report) , VMware, Inc. (VMW - Free Report) , and HP Inc. (HPQ - Free Report) .
At this point, 484 S&P 500 members, or 96.8% of the index’s total membership, have reported their quarterly financial results. Total earnings for these companies are up 25.6% from the same period last year on the back of 8.4% higher revenues. Plus, 78.9% have topped EPS estimates and 64.7% have come in above revenue estimates. Despite these strong results and solid reports from the likes of Walmart (WMT - Free Report) , Macy’s (M - Free Report) , and other retailers recently, tech stocks have continued to drag down the market as a whole, fueled by Apple (AAPL - Free Report) , Amazon (AMZN - Free Report) , and other FAANG stock selloffs.
Therefore, understanding what to expect from some tech companies during the week of November 26 is vital as they could help bring about a small turnaround. With some help from the Zacks Earnings Calendar let’s take a closer look at a few important tech stocks and what to expect from their earnings announcements.
Salesforce boasts over 150,000 business clients, including giants like U.S. Bancorp (USB - Free Report) . The cloud-based customer relationship management firm’s stock had been cruising along until the recent selloff. In fact, CRM stock was down roughly 1% through mid-morning trading Friday to $122.40 per share, which marked a roughly 24% downturn from its 52-week high of $161.19.
Looking ahead, Salesforce’s third-quarter revenues are projected to jump 25.6% to reach $3.37 billion, based on our current Zacks Consensus Estimate. The company’s revenues grew 27% in Q2 and 25% in the year-ago quarter. Meanwhile, Salesforce’s adjusted quarterly earnings are projected to climb by 28.2% to hit $0.50 per share.
Salesforce is currently a Zacks Rank #3 (Hold) based on its earnings estimate revision trends. The company is scheduled to release its Q3 financial results on Tuesday, November 27.
VMware stock has trended upward over the last month amid the broader market downturn. The cloud computing company’s shares were up 1.7% through morning trading Friday at $152.10 per share. Still, VMW stock is down 8% from its year-long high of $165.00 per share.
The Palo Alto-based tech firm is expected to post adjusted quarterly earnings of $1.50 per share, which would mark a nearly 12% jump from the year-prior quarter. VMware’s revenues are projected to climb 9.7% to reach $2.17 billion. We should also note that the company hasn’t seen any earnings estimate revisions over the last 90 days and it is currently a Zacks Rank 3# (Hold).
VMware plans to release its third quarter financial results after the market closes on Thursday, November 29.
Shares of HPQ hovered at around $22.60 per share through morning trading Friday, down roughly 16% from their 52-week high of $27.08. We should note that HP stock has been hit relatively hard since early November. HP, which sells printers, PCs, and mobile devices, is expected to see its quarterly revenues surge 9.3% from the year-ago quarter to reach $15.22 billion.
At the bottom end of the income statement, HP is projected to report adjusted quarterly earnings of $0.54 per share, which would represent a 22.7% climb. HPE, like its fellow tech firms that we have discussed, is currently a Zacks Rank #3 (Hold) that sports an “A” VGM score.
HP is scheduled to report its fiscal Q4 results on after the closing bell on Thursday, November 29.
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