Top companies to watch as earning season continues (Q2 2019)

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Earnings Season’s Stocks to watch: Apple, gaming companies, General Electric

Last week, hundreds of companies in the S&P 500 released their earnings. While most companies released positive earnings, there were others like Boeing, Tesla, and Caterpillar that released weak earnings.

Boeing blamed the weak earnings on the woes surrounding its 737-Max jet (we just told you some weeks ago) while Caterpillar blamed tariffs and the surging material costs. While Tesla delivered record number of cars in the quarter, the company still made a loss.

→ How to Invest in Electric Cars By Avoiding Tesla

This week, hundreds of companies will release their reports. Here are the top companies to watch (maybe you just read something in our #Ringthebell n°30).

Apple

Apple is the second-largest company in the world with a market capitalization of more than $955 billion. The company will release its Q3 earnings on Tuesday after the market closes.

In these earnings, investors will look at the growth in the service segment, the recent decision to acquire Intel mobile modems for more than a billion dollars, and the progress the company is making in launching its streaming service.

Investors will also want to know more about how the company plans to spend its cash hoard of more than $200 billion.

Electronic Arts

EA Sports is the second-biggest gaming company in the world with a market cap of $30 billion. The company is known for its gaming products like Madden, FIFA, NHF, NBA Live, and UFC. The company is also one of the most-hated in the US.

It will release its second quarter earnings on Tuesday after the market closes. Investors expect the company to announce revenue of $779 million and earnings per share of $0.01. In the earnings release, investors will be watching for the progress that its game, Apex Legends. This is a game that was developed to compete with other popular Battle-Royale game.

Investors will want to know the number of people who are playing the game and the amount of money it is making.

Activision Blizzard

On Wednesday, the biggest gaming company in the world will release its earnings. Activision Blizzard, which has a market value of more than $36 billion will release before the market opens. Investors expect the company to deliver revenue of more than $1.1 billion.

The company is known for its leading games like Call of Duty and Skylanders. As with Electronic Arts, investors will want to see how the company is positioning itself to compete in the current age of Fortnite.

General Electric

For decades, General Electric was the biggest company in the world. It was beloved for its quality of products and the corporate culture. However, in recent years, the company has been in a decline, and is today valued at just $94 billion.

The company is currently in a turnaround phase and the management believes that it will succeed. Other analysts believe that the company will ultimately be broken down. In this week’s earnings, investors expect the company to generate revenue of more than $28 billion.

Herbalife

Herbalife is a controversial stock that recently pitted two famous investors – Bill Ackman and Carl Icahn – against one another. The company will release its quarterly earnings on Thursday after the market closes.

In this report, investors will be focusing on the company’s business in China, which recorded negative growth in the last quarter. Investors will want to know whether the company has started to grow again in the country.

Other Companies

Other companies that investors will be paying closely as they release this week will be Twilio, Qualcomm, RealPage, Spotify, Teradata, Infineon, MSCI, Shopify, Thomson Reuters, BT Group and Fortune Brands among others.

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