Earnings Beats & After-Market Surges: FB, QCOM, PINS & More
Market indices closed within their session highs and lows today, which although volatile were completely encapsulated within yesterday’s volatile trading range. Perhaps we’re showing signs of cooling a bit, but it’s a long way from the tepid markets of yesteryear. The Dow finished the day +0.19% and the S&P 500 was +0.21%; the Nasdaq was flat (-0.01%) and the small-cap Russell 200 came in -0.12%.
Meta Platforms FB put up mixed results in its Q1 earnings report after Wednesday’s closing bell, with earnings of $2.72 per share eclipsing the $2.54 per share expected or quarterly revenues of $27.91 billion, which missed the $28.21 billion of the Zacks consensus. Sales guidance for next quarter were ratcheted down a bit: $28-30 billion versus $30.54 billion estimated.
Yet shares began climbing on the news, and are currently +15% from the Facebook and Instagram parent’s closing price. Why? A notable rise in Daily Active Users (DAU), to 1.96 billion in the quarter, followed its first ever negative DAU print in Q4 2021. Even though Monthly Active Users (MAU) slipped a tad from expectations and the company sees softness arising from the ongoing war in Ukraine, the share price is buoying on those positive DAU numbers — especially considering FB shares had been down close to -50% year to date.
Qualcomm QCOM, on the other hand, beat expectations on both top and bottom lines in its fiscal Q2 report after the bell: earnings of $3.21 per share on quarterly sales of $11.16 billion easily surpassed the $2.91 per share and $10.58 billion estimated. The major chip-maker also upped guidance to earnings of $2.85 per share on $10.8 billion, from $2.55 per share and $9.9 billion in the Zacks consensus. Beating earnings estimates is nothing new for Qualcomm; the company last missed in fiscal Q1 of 2015. Shares are up more than +4% in late trading.
PayPal PYPL bounced back in its fiscal Q2 performance from the previous quarter, but only came in-line with the 88 cents per share expected, while revenues of $6.48 billion topped the $6.42 billion expected, +7% year over year. Yet guidance for growth of 11-13% is down from the previous expectation of +15-17%. Shares are +6% in late trading, but consider this stock is down nearly -70% over the past year.
Finally, Pinterest PINS put up notable beats on both top and bottom lines this afternoon, with earnings of 10 cents per share more than doubling the 4 cents per share expected, on $575 million in sales which improved on the $568 million in the Zacks consensus. This is another company that has hit the skids year to date, -48%, but shares are up +7% on today’s earnings beat.
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QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report
Meta Platforms, Inc. (FB) : Free Stock Analysis Report
PayPal Holdings, Inc. (PYPL) : Free Stock Analysis Report
Pinterest, Inc. (PINS) : Free Stock Analysis Report
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