Cavalcade of Earnings: AAPL, AMZN, GOOGL & More

Following another strong day on the Nasdaq, led by Meta’s META best trading day in 10 years, after-market activity is rife with Q4 earnings results. The Dow failed to make it into the green all session, finishing -0.17%, while the S&P 500 grew +1.48%. The Nasdaq closed up +386 points, +3.27%, and the Russell 2000 was +1.76% on the day.

Apple AAPL posted its first earnings miss since its fiscal Q2 in 2016, sending shares -5% lower in late trading. Earnings of $1.88 per share came in 5 cents light of estimates on revenues of $117.15 billion in its fiscal Q1, with iPhone sales falling -8% in the quarter and missing sales estimates by around $2.5 billion. iPad and Services were the only segments that didn’t come in lighter than anticipated, likely based on the continued difficulties in its crucial Chinese market. Gross margins were in-line with estimates at 42.96%.

Amazon AMZN shares are giving back around -5% of its +7% gains ahead of its Q4 report this afternoon, with earnings of 21 cents per share on revenues of $149.2 billion outpacing the $145.37 billion expected. Q4 subscriber numbers raised $9.19 billion, above the $8.84 billion anticipated, though its AWS business came in at $21.4 billion, slightly below the $21.9 billion analysts were expecting. Ad services were slightly ahead at $11.56 billion, but the stock — after initially trading +3% on the news — is now selling -5%.

Alphabet GOOGL shares are also selling off by -3% following its Q4 earnings release after the close, with an earnings miss of 9 cents to $1.05 per share in the quarter. Revenues — minus traffic acquisition costs (TAC), which the company does not subtract in its statement — reached $63.12 billion, generally in-line with estimates. The standout number was the softness in its YouTube segment, contributing to ad revenues that fell more than $2 billion year over year.

Qualcomm QCOM was mixed in its fiscal Q1 earnings report this afternoon, beating on the bottom line by 2 cents per share to $2.37 on sales of $9.46 billion, which came up short of the $9.56 billion in the Zacks consensus. Guidance for next quarter was also lowered, even as the top-end of the range in revenue forecasts are still within the analysts’ estimates. Shares initially grew +4% on the release, but have since slid -1.4% in after-market trading.

Ford F also posted mixed results in its Q4 release after the bell, missing on the bottom line to 51 cents per share from the expected 60 cents, while revenues solidly outperformed estimates: $41.8 billion versus $39.34 billion anticipated. Execution issues and higher costs led to increased volumes in the quarter, with North American EBITDA margins coming is slightly below projections: +9.7% versus +10%. This is now Ford’s fourth earnings miss in its past five quarters.

Starbucks SBUX came in light of expectations on both sales and earnings this afternoon, with 75 cents per share missing targets by 2 cents on revenues of $8.71 billion, which was shy of the $8.81 billion estimated. Global same-store sales grew +5%, below the +6.7% expected, on International sales that fell -13% for the quarter. Shares are selling -3.25% in the late session; it’s Starbucks’ third miss in its last five quarters.

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