Earnings season is in full swing and many big players are posting their financial results this week. What should investors look for in the following three big players’ earnings reports?
Intel Corporation (NASDAQ:INTC):
Intel is slated to announce its first quarter 2015 earnings results on Tuesday, April 14th after market close. Analysts expect the company to post earnings of $0.41 a share and $12.90 billion in revenue, up from $0.38 a share and $12.8 billion in revenue the same quarter a year prior.
On March 12, Intel cut its first quarter revenue outlook by almost $1 billion from $13.7 billion to $12.8 billion. Intel supplies chips for PCs and the outlook decrease represents a weakening demand in the market. Intel has felt the heat as consumers have shifted from PCs to smartphones.
The company is also changing the way it presents its operating segments by combining its PC Client and Mobile and Communications groups to form the Client Computing Group.
While Intel has prevailed in the PC market, its mobile department has been losing money. Management is expected to give an update on how they plan to boost mobile sales.
In other Intel news, the chip maker has been banned from selling chips to four Chinese supercomputer centers due to the U.S Government’s conclusion that they are being used for “nuclear explosive activities” and were “acting contrary to the national security… interests of the United States.”
On average, the top analyst consensus for Intel on TipRanks is Hold.
SanDisk Corporation (NASDAQ:SNDK):
SanDisk is set to announce its first quarter 2015 financial report on Wednesday, April 15th after market close. Wall Street expects the company to post earnings of $0.59 a share, down from $1.32 earnings per share the same quarter last year.
SanDisk also slashed its revenue forecast for the first quarter to $1.3 billion, down from a range of $1.4 to $1.45 billion. SanDisk blamed the guidance cut on “product qualification delays, lower than expected sales of enterprise products, and lower pricing in some areas of the business.”
SanDisk has faced a few setbacks this year from the strength of the U.S. dollar to fluctuations in chip supply. However, analysts are skeptical if the strong currency headwinds significantly affected SanDisk’s finances because competitor Micron Technology beat estimates in second quarter earnings results despite these headwinds.
SanDisk’s stock has fallen almost 26% since the end of March to its 52-week low of $63 as a result of the company’s weak Q1 outlook.
On average, the top analyst consensus for SanDisk Corp on TipRanks is Hold.
General Electric Company (NYSE:GE):
General Electric is scheduled to post its first quarter 2015 earnings results on Friday, April 17th before the market opens. Analysts expect the company to post earnings of $0.30 a share on $34.27 billion in revenue, down from $0.33 earnings per share and $34.2 billion in revenue year-over-year.
General Electric recently announced on April 10th that is selling the majority of its GE Capital assets for roughly $26 billion. The company also announced restructuring plans and will buy back about $50 billion worth of shares. GE stock shot up as much as 11% on the day of the announcement as a result.
General Electric is hoping its restructuring transactions will help is industrial business transition from raking in about 58% of the company’s revenue to 90% by 2018.
The company already announced that an after tax charge of $16 billion that will largely affect its Q1 report. However, analysts believe the company’s current estimates are in line with its 2014 results.
On average, the top analyst consensus for General Electric on TipRanks is Moderate Buy.