Earnings preview for 10/22
Intel Corp Q3 2020 earnings preview
$Intel Corp(INTC.US)$ is scheduled to announce its Q3 2020 earnings result postmarket on Thursday, October 22.
Intel Corporationis an American multinational corporation and technology company. It is the world’s largest and highest valued semiconductor chip manufacturer on the basis of revenue and is the developer of the x86series of microprocessors, the processors found in most personal computers (PCs).
- According to Bloomberg, analysts are forecasting earnings per share of $1.10 (-22.5% YoY), on revenue of $18.22 billion (-5.0% YoY).
- In the past 2 years, Intel has beaten EPS estimates 100% of the time and revenue estimates 75% of the time.
- 13 of 44 analysts have Buy ratings on Intel, while 20 analysts have a Hold or the equivalent rating. And 11 analyst rates Intel as a sell. The average analyst price target is $56.45 implying a 5.7% upside.
Stronger-than-expected laptop shipments, particularly Chromebooks, to the consumer and education markets may expand Intel’s Client segment revenue even into 4Q. Data-center sales may be slightly weaker due to the combination of milder public cloud demand and share losses to AMD. Margins may be sharply lower, hurt by a weaker PC mix and unfavorable pricing in server CPUs and in NAND memory. We calculate about $17.1 billion of shares may be repurchased in 3Q and 4Q, which could amplify EPS.
Our scenario analysis for $18.2 billion in 3Q sales and $17.7 billion in 4Q closely matches consensus and management guidance. Gross margin about 200 bps below guidance pushes our scenario EPS to a consensus-trailing $1.02 in 3Q, even when considering buybacks
-Anand Srinivasan, Bloomberg Analyst
- Intel will hold the conference call at 2:00 PM PDT Thursday, October 22.
Coca-Cola Company Q3 2020 earnings preview
$Coca-Cola Company(KO.US)$ is scheduled to announce its Q3 2020 earnings result premarket on Thursday, October 22.
The Coca-Cola Company is an American multinational beverage corporation. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.
- According to Bloomberg, analysts are forecasting earnings per share of $0.47 (-16.9% YoY), on revenue of $8.37 billion (-11.9% YoY).
- In the past 2 years, Coca-Cola Company has beaten EPS estimates 88% of the time and has beaten revenue estimates 75% of the time.
- 19 of 23 analysts have Buy ratings on Coca-Cola Company, while 4 analysts have a Hold or the equivalent rating. The average analyst price target is $54.59 implying a 8.6% upside.
Coca-Cola may report about an 18% drop in 3Q EPS, based on consensus, hurt by 12% lower net revenue, a narrowed operating margin and higher effective tax rate. We expect net revenue to mainly reflect a 7% decline in concentrate volume due to reduced beverage demand in away-from-home venues as the pandemic affected most of the company’s markets worldwide. An unfavorable effect from currency-exchange translation is also likely, particularly from Latin American sales.
Profitability may be further pressured by higher acquisition-related net interest expense.
-Kenneth Shea, Bloomberg Analyst
- Coca-Cola Company will hold the conference call at 8:30 AM EDT Thursday, October 22.
AT&T Q3 2020 earnings preview
$AT&T Inc(T.US)$ is scheduled to announce its Q3 2020 earnings result premarket on Thursday, October 22.
AT&T Inc.is an American multinational conglomerate holding company, Delaware-registered but headquartered at Whitacre Tower in Dallas, Texas.
- According to Bloomberg, analysts are forecasting earnings per share of $0.75 (-20.7% YoY), on revenue of $41.66 million (-6.6% YoY).
- In the past 2 years, AT&T has beaten EPS estimates 50% of the time and has beaten revenue estimates 25% of the time.
- 10 of 31 analysts have Buy ratings on AT&T, while 16 analysts have a Hold or the equivalent rating. And only 5 analyst rates AT&T as a sell. The average analyst price target is $32.19 implying a 20.3% upside.
AT&T’s 3Q results are likely to be mixed, with the wireless business showing better growth vs. 2Q now that its retail stores have reopened, while the WarnerMedia, Turner and satellite-TV businesses could be down on lower ad revenue, minimal box-office receipts and DirecTV subscriber losses. In wireless, the reopening of AT&T’s retail stores during 3Q may have helped to drive a rebound in handset sales, while positive postpaid net subscriber additions likely led to improved wireless services growth.
The company’s progress in expanding its 5G coverage could be in focus on the 3Q call, given T-Mobile leads in this new market, with AT&T close behind. CEO John Stankey’s recently reported move to sell DirecTV and restructure WarnerMedia could also be topics of discussion.
-John Butler and Boyoung Kim, Bloomberg Analyst
- AT&T will hold the conference call at 8:30 AM EDT Thursday, October 22.
TAL Education Group Q2 2021 earnings preview
$TAL Education Group(TAL.US)$ is scheduled to announce its Q3 2020 earnings result premarket on Thursday, October 22.
TAL Education Group is a Chinese holding company that offers after-school education for students in primary and secondary school.
- According to Bloomberg, analysts are forecasting earnings per share of $0.12 (510.0% YoY), on revenue of $1.13 billion (20.5% YoY).
- In the past 2 years, TAL has beaten EPS estimates 50% of the time and has beaten revenue estimates 75% of the time.
- 33 of 37 analysts have Buy ratings on TAL, while 4 analysts have a Hold or the equivalent rating. The average analyst price target is $87.16 implying an 8.5% upside.
TAL’s 2Q operating margin, excluding share-based expenses, may have slid to a five-year low, we calculate. This would have resulted as hikes in teaching and operating expenses, which led to a 40% year-over-year surge in 1Q’s total costs, persisted over June-August even as revenue gains moderated during the three-month period. TAL projected on July 30 that 2Q revenue could rise 18–21% vs. an increase of 35% the prior quarter. Increased promotional and marketing spending to help attract and retain students during this year’s summer semester may have also added to costs.
-Catherine Lim and Sheng Tan Zhu, Bloomberg Analyst
- TAL Education Group will hold the conference call at 8:00 AM EDT Thursday, October 22.
