The latest round of earnings reports sparked caution on Wall Street, with futures pointing lower in early trading on Wednesday. A lower open would follow a mixed performance the day before. Here Here are some stocks to watch on Wednesday:
- Microsoft (NASDAQ: MSFT) beat past expectations with its fourth-quarter adjusted EPS, which fell year-over-year to $2.32. This exceeded expectations for a pittance. Revenue rose 2% to $52.7 billion, though that missed projections by $450 million. Meanwhile, the software giant suffered a network outage for its Azure cloud platform and its Teams and Outlook services earlier on Wednesday.
- AT&T ( T ) rose in premarket trading after the release of its quarterly results, climbing about 2%. The telecommunications giant beat projections with fourth-quarter profit. The company also revealed that it added 656,000 postpaid phone subscribers.
- Capital One ( COF ) reported fourth-quarter results that fell short of analysts’ expectations. The company reported adjusted EPS of $2.82, down from $5.62 in the same period last year. Experts were looking for a figure of around $3.86.
- Texas Instruments ( TXN ) reported Q4 EPS of $2.13, beating consensus estimates by $0.15. The company’s revenue fell 3% compared to last year and reached $4.67 billion. Looking ahead, the company projected revenue of $4.17 billion to $4.53 billion, compared to the consensus estimate of $4.42 billion.
- Tesla ( TSLA ) is scheduled to report its quarterly results after the closing bell. Elon Musk’s electric vehicle maker is forecast to earn $1.11 per share on revenue of $24.3 billion. Investors will also be looking for guidance on deliveries and potential indications of CEO succession.
- IBM ( IBM ) is also due to release its financial figures in the post-market period. Analysts expect EPS of $3.61, an improvement of nearly 8% over last year. Revenue is expected to fall about 2% to $16.4 billion.
For a look at the broader markets, Seeking Alpha contributor Sandeep Rao takes a deep dive into January’s performance and outlines its impact on the outlook for 2023.