Tuesday left major stock indexes mixed, with most investors staying in a holding pattern as they wait to hear what comes out of the Federal Reserve's two-day meeting on monetary policy, which is set to wrap up on Wednesday. Market participants are also watching earnings carefully, as some of the biggest companies in the world will announce much-anticipated results that could determine the future direction of the entire stock market for the near term. Despite some concerns, many companies had good earnings news that sent their shares higher, and Corning (NYSE: GLW), Xerox (NYSE: XRX), and Sanmina (NASDAQ: SANM) were among the top performers. Here's why they did so well.
Corning's future looks clear as glass
Shares of Corning jumped 11% following its release of fourth-quarter financial results. The maker of the popular Gorilla Glass display material for mobile devices said that revenue jumped 15% compared to the year-earlier quarter, capping a year of double-digit sales growth. Corning's optical communications segment did particularly well, and other divisions also benefited from favorable trends. CEO Wendell Weeks pointed to the company's ongoing process of seeking growth opportunities and returning capital to shareholders, and investors have high hopes that the glassmaker can keep executing well in 2019.
Image source: Corning.
Xerox is printing money again
Xerox saw its stock climb over 11% after it delivered a favorable financial report for the fourth quarter. Despite falling revenue, the technology solutions provider managed to post bottom-line gains compared to the year-ago period, and Xerox has made considerable progress in trying to foster greater innovation within the business. Some reshuffling of accounts within the company should make Xerox more efficient, and with executives expecting earnings growth of as much as 10% in 2019, shareholders seem optimistic about Xerox's future.
Sanmina builds its case
Finally, shares of Sanmina soared 17%. The electronics manufacturing specialist posted a 25% year-over-year gain in revenue in its fiscal first-quarter financial report, helping to send adjusted earnings per share higher by more than 70%. CEO Michael Clarke pointed to "solid momentum across all of our end-markets" in celebrating the company's results, adding that its customer base and pipeline are both promising. With favorable guidance for the current quarter, Sanmina is taking advantage of strong conditions in technology.
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