Big Tech’s Earnings Results in Focus

We expect an eventful week in the markets, with Q2 earnings season hitting high gear, a slew of new economic reports hitting the tape starting tomorrow, and a meeting of the Federal Open Market Committee (FOMC) deciding new monetary policy, capped with a press conference from Fed Chair Jay Powell on Wednesday. Currently, market indexes are starting off slowly: the Dow -100 points, the S&P -15 and the Nasdaq -40.

This week brings us not the most amount of new earnings reports overall, but some of the biggest companies in the world will be reporting:

Microsoft


MSFT

,

Alphabet


GOOGL

,

Apple


AAPL

,

Facebook


FB

and

Amazon


AMZN

. After the closing bell today, we’ll hear from

Tesla


TSLA

, which has already reported Q2 deliveries of just over 200K vehicles in the quarter, +8% quarter over quarter.

We expect the Zacks Rank #3 (Hold)-rated Tesla to make 90 cents per share (+104.55% year over year) on revenues of $11.39 billion (+89% yoy). The company has only missed once over its last seven quarters, but underperformed in 10 of 15 quarters previously. Shares are down 11.8% year to date, and have flagged from their all-time highs posted in January, but +109% from a year ago.

Ahead of today’s opening bell,

Lockheed Martin


LMT

put out modest beats on both top and bottom lines this morning in its Q2 earnings report: $6.52 per share beat the Zacks consensus by a penny on $17.03 billion, which outpaced the $16.94 billion estimate. Aeronautics grew 3% in the quarter while Missiles and Fire Control grew 5%. Full-year guidance was in-line with estimates, but shares dropped 1.25% on the news.

Toymaker

Hasbro


HAS

posted a big beat in its Q2 earnings report this morning, more than doubling earnings expectations to $1.05 per share on $1.32 billion in sales, easily surpassing the estimated $1.19 billion. This represents 54% earnings growth year over year, and roughly +5000% on the earnings side. Its Entertainment division grew 47% in the quarter.

Once regular trading commences today, we expect a fresh New Home Sales report for June, where 795K seasonally adjusted, annualized units are estimated to have been sold last month. This is down a smidge from the even 800K new home sales reported in May. Last week, Existing Home Sales fell slightly short of estimates to 5.86 million, but improved from the previous month’s 5.78 million.


Time to Invest in Legal Marijuana

If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027.

After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%.

You’re invited to check out

Zacks’ Marijuana Moneymakers

:

An Investor’s Guide

. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.


Today, Download Marijuana Moneymakers FREE >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.

Click to get this free report


To read this article on Zacks.com click here.


Zacks Investment Research