Robust profits, sales figures from Alphabet, Apple, Microsoft After-Bell don’t make NASDAQ futures green
The major US stock index futures are trading lower after the release of the earnings numbers of Google parent Alphabet, Microsoft and Apple after the bell. The tech heavyweights trio had come under pressure during the cash market session, giving in about 1% before their numbers each.
In the futures markets, the E-mini S&P 500 index was trading at 4394.75 at 20:00 GMT in September. At 20:36 GMT, 4389.75 was trading.
At 20:00 GMT, the E-mini Dow Jones Industrial Average was trading for September 34952. At 20:36 GMT, 34886 was trading, and at 20:00 GMT, the September E-min NASDAQ-100 index was trading at 14950.50. At 20:37 GMT, it was 14911.00.
On Tuesday, the S&P 500 benchmark index closed at 4396.48, down 25.82 or -0.58%, and the blue chip Dow Jones Industrial Average closed at 35,047.32, down 96.99 or -0 .28% and the technology-oriented NASDAQ Composite closed at 14638.77, down 201.94 or -1.36%.
The revenue is out and here are the numbers.
Alphabet is up 3% in after-hours trading after hitting profits
Alphabet Earnings per Share (EPS) was estimated by Refinitiv to be $ 27.26 versus $ 19.34 per share. Revenues were $ 61.88 billion versus $ 56.16 billion, according to Refinitiv.
YouTube’s advertising revenue was $ 7.00 billion, up from $ 6.37 billion, according to StreetAccount estimates. Street Account estimates Google Cloud revenue was $ 4.63 billion versus an expected $ 4.40 billion.
Traffic Acquisition Costs (TAC) revenue was estimated by Street Account to be $ 10.93 billion versus $ 9.74 billion.
Microsoft exceeded expectations in terms of top and bottom line results
Microsoft stock fell 3% in expanded trading on Tuesday after the software and hardware company announced fourth quarter results.
The report showed adjusted earnings of $ 2.17 per share versus $ 1.92 per share as analysts expected, Refinitiv said. Revenue was $ 46.15 billion, according to Refinitiv, versus $ 44.24 billion as analysts expected.
Revenue increased 21% year over year for the quarter ended June 30, according to a statement. In the previous quarter, sales had increased by 19%.
Apple Profit Blow Away Forecasts
Apple reported strong financial results for the third quarter on Tuesday, according to CNBC, shattering Wall Street expectations. Additionally, each of Apple’s major product lines grew by over 12% annually.
Overall, Apple’s revenue grew 36% from the June quarter of last year. Sales of iPhones rose nearly 50% on an annual basis.
Apple’s earnings per share (EPS) were $ 1.30 versus an estimated $ 1.01. Revenue was $ 81.40 billion versus an estimated $ 73.30 billion.
Starbucks expects strong cold beverage sales in the US to boost profit margins
In other non-tech earnings news, Starbucks outperformed Wall Street’s estimates for third-quarter fiscal year results and revenue. The company also tightened its forecast for revenue growth in the same business in fiscal 2021.
Starbucks reported rising cold beverage sales in the US on Tuesday, which fueled a blow to profits and sales for the company. The company has also narrowed its forecast for revenue growth in the same business for Rascal 2021.
Here’s a comparison between the company’s numbers and Wall Street analysts’ expectations.
Adjusted earnings per share were $ 1.01 versus the expected 78 cents. Revenue was $ 7.50 billion versus an expected $ 7.29 billion.