Big Tech Earnings Preview: Meta, Microsoft, Nvidia and More
The earnings season for major tech companies is underway, with key players on the Nasdaq, such as $Microsoft(MSFT)$ , $Alphabet(GOOGL)$ , and $Amazon.com(AMZN)$ , set to announce their financial results in the coming weeks and months. Big technology-related company earnings are expected to again lead $S&P 500(.SPX)$ profit growth in the upcoming U.S. reporting period, which could refuel optimism for stock market.
The $S&P 500(.SPX)$ has seen a series of record highs since January and is up around 7.4% for the year, despite a slight drop in April.Persistent strong consumer price readings have led some investors to believe that the Federal Reserve may postpone interest rate cuts until September. As higher interest rates typically affect growth stocks more, some investors prefer a strong economy that doesn't rely on Federal Reserve stimulus.
According to data compiled by Bloomberg, the "Magnificent Seven" in the U.S. stock market are expected to see a 38% increase in profits in the first quarter of 2024.
During the earnings season, concerns are expected to grow regarding consumer debt and the sustainability of spending outpacing wage growth. Analysts predict that the first quarter will show the smallest earnings increase of the year, with an overall profit growth of 9.8% expected for 2024. BofA Securities strategists also suggest that operating leverage should improve margins as demand rebounds.
@TigerStars @CaptainTiger @TigerWire @Daily_Discussion @Tiger_chat @Tiger_comments @MillionaireTiger
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments