Mid-October introduced a flurry of earnings outcomes from main semiconductor companies like Taiwan Semiconductor Manufacturing Co. NYSE: TSM and ASML Holding N.V. NASDAQ: ASML, plus studies from a number of massive banks, Netflix Inc. NASDAQ: NFLX, American Categorical Co. NYSE: AXP, and plenty of others. This quarterly check-in permits traders to gauge how these and different companies have carried out during the last a number of months. As all the time, traders have watched to see whether or not there are any surprises, together with top- or bottom-line efficiency that is available in above or beneath analyst predictions. Listed here are a couple of of probably the most notable earnings updates for the week of October 14, 2024.
NFLX Beats Expectations Amid Subscriber Development
Netflix Inventory Forecast Today12-Month Inventory Value Forecast:$747.70-2.12% DownsideModerate BuyBased on 35 Analyst RatingsHigh Forecast$925.00Average Forecast$747.70Low Forecast$545.00Netflix Inventory Forecast Particulars
Netflix beat analyst predictions on income with $9.83 billion for the third quarter, up 15% year-over-year. Web revenue of $2.36 billion and EPS of $5.40 per share additionally topped expectations and have been up considerably from $1.68 billion and $3.73 for internet revenue and EPS, respectively, final yr presently. Serving to to drive each top- and bottom-line development was a 14% year-over-year enhance in whole energetic subscribers, bringing the streaming large to just about 283 million. This tempo of development slowed barely in comparison with current quarters. Nonetheless, analysts count on shares to proceed to rise.
Notably, traders should gauge Netflix’s efficiency based mostly solely on its financials very quickly, as the corporate has only one extra quarter of subscriber information to share publicly. Starting in 2025 the agency has mentioned it’s going to cease reporting subscriber numbers.
TSM Spikes on Robust Earnings and Outlook

Taiwan Semiconductor Manufacturing, the second-largest semiconductor producer on the planet based mostly on market capitalization, reported important development in each income and revenue for the third quarter. Income jumped by 39% to about $23.6 billion, whereas internet revenue soared 54% year-over-year to about $10.1 billion after foreign money conversion. Each of those figures topped analyst expectations.
TSM attributed the efficiency to a spike in demand for {hardware} associated to AI purposes, and the agency expects this development to proceed via the tip of the yr. Shares of TSM inventory rose by about 9% instantly following the earnings report and have since shifted barely downward from that degree.
ASML Disappoints With Early Outcomes
ASML Inventory Forecast Today12-Month Inventory Value Forecast:$1,018.0040.75% UpsideModerate BuyBased on 14 Analyst RatingsHigh Forecast$1,148.00Average Forecast$1,018.00Low Forecast$790.00ASML Inventory Forecast Particulars
Dutch semiconductor maker ASML, in contrast to TSMC, fell wanting analyst predictions in some areas. Web gross sales of €7.5 billion (roughly $8.1 billion) have been a vibrant spot, as they exceeded expectations. Nonetheless, internet bookings of €2.6 billion (round $2.81 billion) have been lower than half of what analysts had forecast.ASML executives cautioned {that a} restoration within the semiconductor area could be slower than anticipated, issuing a brand new internet gross sales outlook for 2025 between €30 billion and €35 billion (roughly $32.4 billion to $37.8 billion). This forecast lands on the decrease finish of the corporate’s earlier estimates and falls wanting analysts’ expectations for the approaching yr.
One other shock was the discharge of ASML’s earnings, which occurred a day forward of schedule on account of a technical error. ASML shares have dropped by greater than 15% within the final 5 days, primarily because of the earnings outcomes and steering.
AXP, JPM, WFC, and Different Monetary Firms Publish Largely Optimistic Outcomes
American Categorical topped revenue expectations with internet revenue of $2.5 billion or $3.49 per share. It narrowly missed on income however beat forecasts for internet curiosity revenue. On high of that, the bank card and providers firm boosted its full-year EPS steering to a variety of $13.75 to $14.05 when it was beforehand $13.30 to $13.80.
Huge banks, together with JPMorgan Chase & Co. NYSE: JPM and Wells Fargo & Co. NYSE: WFC, additionally posted quarterly outcomes this week. A lot of the studies have been optimistic, with these and several other different banks topping predicted earnings ranges. Nonetheless, whereas JPMorgan noticed internet curiosity revenue rise by 3% year-over-year, Wells Fargo’s dropped by nearly 11%. Larger spending charges to take care of deposits have damage internet curiosity margins, though the outcomes reported this week don’t replicate the complete impression of the Federal Reserve’s September price reduce. A number of banks additionally considerably elevated the funds put aside to cowl potential credit score losses. A vibrant spot for a lot of banks was funding banking and wealth administration income, pushed by the extended rally in U.S. markets.Earlier than you take into account ASML, you may wish to hear this.MarketBeat retains monitor of Wall Avenue’s top-rated and greatest performing analysis analysts and the shares they advocate to their shoppers each day. MarketBeat has recognized the 5 shares that high analysts are quietly whispering to their shoppers to purchase now earlier than the broader market catches on… and ASML wasn’t on the checklist.View The 5 Shares Right here MarketBeat simply launched its checklist of 10 low-cost shares which were neglected by the market and could also be severely undervalued. Click on the hyperlink beneath to see which corporations made the checklist.Get This Free Report

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