Income releases in the coming week from some of the largest U.S. companies could help give investors direction at a time when the Federal Reserve's shift to higher interest rates is hurting sentiment, sparking wild swings in major indices.
Jerome Powell, chairman of the central bank, made markets nervous when he told the media that the Fed could trade even faster than the four rate hikes the markets had expected for this year as the Federal Reserve tries to tame, which in four decades to a peak of four decades. 2021. At the end of Friday, the price is 8% lower than its all-time high, down 7% for the month of January. It's 15% down from its high and down 12% for the month. During this upcoming pivotal week for Q4 earnings season, we'll focus on three key mega-cap tech stocks whose gains could help clarify whether they're still benefiting from the pandemic-driven surge in demand that's driving their shares. to record high prices in recent months:
1. Advanced Micro Devices
Advanced Micro Devices (NASDAQ:) will report its latest quarterly results after market close on Tuesday, Feb. 1. Analysts expect the Santa Clara, California-based chipmaker to report $0.75 and a share gain of $4.47 billion.
After the stock has seen a strong rally over the past year, AMD stocks are now underperforming amid widespread sell-offs of growth names. The stock is down about 27% year-to-date, at a time when the benchmark has weakened by about 16%. Shares closed at $105.24 Friday.
In October, AMD delivered another blockbuster, along with a strong fourth-quarter forecast, suggesting that the pandemic-driven boom for electronic products is far from over.
]Consensus on AMD expects it to report $4.5 billion in quarterly revenue, fueled by the company's computing and graphics segments. That is a growth of 39% compared to the same period a year ago. If the semiconductor company can deliver on this expansion, revenue for the current fiscal year will grow by more than 50%.
2. Alphabet
Alphabet (NASDAQ:), parent company of Google, will also report its results for the fourth quarter of 2021 after the market closes on Tuesday. On average, earnings per share are expected of $27.80 on sales of $72.23 billion.
Google shares have outperformed other tech giants in the current downturn. That's because investors believe the search engine giant is on a , aided by ad spend. following the pandemic-induced delay two years ago.
Google shares, which closed Friday at $2,667.02, are down just 8% this year after making 65% gains in the past year, making the company one of the best-performing technology stocks in the past 12 months.
3. Amazon
Online retail giant Amazon (NASDAQ:) will report fourth quarter results after the market closes on Thursday, Feb. 3. The consensus is that the world's largest e-commerce company will report revenue of $137.73 billion, with earnings per share of $3.72.
Amazon stocks have suffered over the past six months from rising wage inflation and supply chain constraints. The Seattle, Washington-based technology company has attempted to address these challenges by spending a lot of money on its fulfillment centers.
Online sales have skyrocketed since the start of the COVID-19 pandemic, pushing Amazon's profits up but slowing down, while labor shortages and supply chains make it harder to meet demand . The company warned investors in October that it could have revenues of up to $140 billion in the busy holiday quarter without turning a profit. Amazon shares are down 14% this year, closing at $2,879.56 on Friday.
