Two of the Magnificent Seven companies will report quarterly results this week. In the communications sector, Meta Platforms (META) will post results.
In its last quarterly earnings report, META stock slumped from around $600 to the low $520s. Fortunately, the stock erased that drop within a few sessions in August. Investors punished the company for its large capital expenditures related to AI hardware.
In September, META stock rose from $560 to as high as $780. Muse AI, an assistant, along with virtual reality headset announcements, lifted the stock.
Tesla (TSLA) will report quarterly results this week. Investors are complacent about weakening EV sales in the U.S. and in global markets. China’s EV firms, including BYD (BYDDF), Nio, and XPeng (XPEV), are putting pressure on Tesla EV sales.
IBM (IBM) is trading in a tight range of $220 - $235 ahead of the earnings report.
Shareholders have low expectations for IBM’s growth rates. Customers are spending on AI hardware providers instead of IBM solutions.
General Motors (GM) will post results. The stock does not trade too far from its high for this year. The stock is outperforming its peer, Ford Motor (F).
Netflix (NFLX) will give investors insight into its growth rate. Streaming revenue might disappoint investors. Consumers have many alternative streaming service options available.
