mohd izzuan
The upcoming week, starting with Cyber Monday, will see the calendar flip to December with a set of earnings reports from key grocery and discount chains. While the overall pace of releases will be relatively light, there are also significant quarterly updates expected from notable players in the cloud, cybersecurity, and semiconductor sectors.
The list of companies reporting financial figures during the week include Zscaler (NASDAQ:ZS), CrowdStrike (NASDAQ:CRWD), Hewlett Packard Enterprise (NYSE:HPE), Splunk (NASDAQ:SPLK), Workday (NASDAQ:WDAY), Salesforce (NYSE:CRM), Kroger Co. (NYSE:KR), Dollar Tree (NASDAQ:DLTR), Marvell Technology (NASDAQ:MRVL), Intuit (NASDAQ:INTU), Okta (NASDAQ:OKTA), Snowflake (NYSE:SNOW), Toronto-Dominion Bank (NYSE:TD), Royal Bank of Canada (NYSE:RY) and Five Below (NASDAQ:FIVE).
Below is a rundown of the major quarterly updates anticipated in the week of November 27 to December 1:
Monday, November 27
Zscaler (ZS)
Zscaler (ZS) is slated to report its Q1 results after the market closes on Monday. The stock, which has risen 73% so far this year, attracts a Strong Buy rating from Seeking Alpha’s Quant Rating system and a consensus Buy recommendation from Wall Street analysts.
Amid this optimism, some cautious sentiment still exists. With a bearish view on the stock, Seeking Alpha contributor Richard Durant writes, “Zscaler’s valuation is reasonable given the company’s growth and margin profile, but further gains may be difficult if growth continues to moderate.”
- Consensus EPS Estimates: $0.49
- Consensus Revenue Estimates: $473.43M
- Earnings Insight: Zscaler has consistently outperformed EPS and revenue expectations in the past 8 quarters.
Also reporting: UP Fintech Holding Limited (TIGR), Smart Share Global Limited (EM), Cerence (CRNC), Ituran Location and Control (ITRN), Natuzzi S.p.A. (NTZ), Banco Macro S.A. (BMA), Cango (CANG), Seadrill (SDRL) and more.
Tuesday, November 28
CrowdStrike (CRWD)
Austin-based cybersecurity company CrowdStrike (CRWD) is due to post its Q3 financial update after the bell on Tuesday. Wall Street analysts’ rating as well as Seeking Alpha’s Quant Rating stand as Strong Buy for CRWD stock, which has more than doubled in 2023.
In mid-November, Stifel upgraded its rating on CrowdStrike (CRWD) from Hold to Buy and raised its price target from $153 to $225. In a fiercely competitive environment, the Stifel team, led by Adam C. Borg, argued that CrowdStrike sets itself apart with its high-efficacy cloud-based endpoint technology, lightweight single-agent architecture, and substantial scale, analyzing over 1 trillion events daily.
- Consensus EPS Estimates: $0.74
- Consensus Revenue Estimates: $777.38M
- Earnings Insight: The company has outperformed EPS and revenue expectations in 8 consecutive quarters.
Also reporting: Bank of Montreal (BMO), Bank of Nova Scotia (BNS), Pinduoduo (NASDAQ:PDD), AZEK (AZEK), Fluence (FLNC), Hewlett Packard Enterprise (HPE), Intuit (INTU), Leslie’s (LESL), NetApp (NTAP), Splunk (SPLK), Workday (WDAY) and more.
Wednesday, November 29
Salesforce (CRM)
San Francisco-based software giant Salesforce (CRM) is due to post Q3 results after the market closes on Wednesday.
The stock, which has advaned by more than 66% YTD, is on Nasdaq’s list of top-quality stocks with the best return on capital. Seeking Alpha’s Quant Rating system has classified the stock as a Strong Buy while Wall Street analysts have a consensus Buy recommendation.
Seeking Alpha author Luca Socci writes, “Salesforce, a leading provider of customer relationship management software, is focusing on profitability and transforming its financial metrics. Despite its strong market position, investors have differing valuation views, causing volatility in the stock price. The upcoming earnings report could influence investors’ expectations of Salesforce’s cash-making potential.”
- Consensus EPS Estimates: $2.06
- Consensus Revenue Estimates: $8.72B
- Earnings Insight: CRM has exceeded EPS and revenue expectations in 8 straight quarters.
Also reporting: Bilibili (BILI), Construction Partners (ROAD), Dollar Tree (DLTR), Donaldson (DCI), Farfetch (FTCH), Foot Locker (FL), Hormel Foods (HRL), Patterson Companies (PDCO), Petco Health and Wellness (WOOF), Vestis (VSTS), Arrowhead (ARWR), Credo Technology Group (CRDO), Five Below (FIVE), La-Z-Boy (LZB), nCino (NCNO), Nutanix (NTNX), Okta (OKTA), PVH (PVH), Snowflake (SNOW), Synopsys (SNPS), Victoria’s Secret (VSCO), Zuora (ZUO) and more.
Thursday, November 30
Kroger (KR)
Kroger Co. (KR) is set to release Q3 financial results before the bell on Thursday. Kroger is currently rated as a Buy by Wall Street, while Seeking Alpha’s rating system suggests a Hold.
In October 2022, Kroger revealed plans to merge with Albertsons, a move likely to face challenges from the FTC. SA author Daniel Schönberger expressed skepticism about the deal, citing concerns about the business’s relatively high debt levels. Despite this, he notes that Kroger, on its own, is undervalued and currently trading at a robust support level.
As per the recent reports, Albertsons (ACI) and Kroger (KR) announced they would submit substantial compliance with the Federal Trade Commission’s second request for their mega supermarket deal. FTC Chair Lina Khan anticipates a decision in the following year for Kroger’s $25 billion purchase of Albertsons. The deal has a termination date of Jan. 13, extendable until Oct. 9 in 30-day increments. Kroger has been working to appease the FTC to approve the deal, including a plan to sell 413 stores for $1.9 billion to C&S Wholesale Grocers.
- Consensus EPS Estimates: $0.91
- Consensus Revenue Estimates: $33.89B
- Earnings Insight: Kroger has exceeded EPS expectations in 8 consecutive quarters, missing revenue estimates 3 times in that span.
Also reporting: Academy Sports + Outdoors (ASO), American Woodmark (AMWD), Big Lots (BIG), CIBC (CM), Cracker Barrel (CBRL), Frontline (FRO), Royal Bank of Canada (RY), Titan Machinery (TITN), Toronto-Dominion Bank (TD), UBS AG (UBS), Ambarella (AMBA), Dell (DELL), Domo (DOMO), Elastic (ESTC), PagerDuty (PD), Samsara (IOT), UiPath (PATH), Ulta Beauty (ULTA), Zumiez (ZUMZ), Marvell Technology (MRVL) and more.
Friday, December 1
Genesco (NYSE:GCO)
Genesco (GCO) will be releasing its Q3 results before the bell on Friday. Genesco is rated as a Buy by Wall Street, while Seeking Alpha’s Quant Rating system suggests a Hold, noting growth concerns.
- Consensus EPS Estimates: $0.83
- Consensus Revenue Estimates: $582.98M
- Earnings Insight: The company has exceeded EPS expectations in 7 of the past 8 quarters, revenue estimates in 5 of those reports.