Tech Earnings Bonanza on Deck
With IntelandGooglenow in the books, we can start to focus on the busiest single week of tech earnings that I can remember in recent history.
Come Monday, we'll hear from IBM and Texas Instruments; Tuesday brings AMD, Yahoo; Wednesday, Apple, eBay; Thurs, Microsoft, Amazon. Wow!
More detailed earnings previews to come but here are some of the highlights I'll be tracking: for IBM, it's all about services, and any update about Sun Microsystems; for Texas Instruments, some glimmers of hope in the wireless world could mean a healthier outlook, but its earnings will likely still feel some pressure, even though TI raised the mid-point of guidance on its mid-quarter call.
For AMD, it's gonna be brutal, again, with Wall Street anticipating an even deeper year-over-year profit decline as well as deflating sales. This will mark AMD's tenth consecutive quarterly loss and the company continues to cede market share to Intel. Not much better news expected at Yahoowhere the Street expects another round of layoffs, another reorganization, and maybe some update on the off-again, on-again, off-again talks with Microsoft.
Wednesday, we'll hear from eBay, where revenue should be down 14 percent from the same period last year and 34 cents a share. Analysts I'm talking to anticipate a slight beat, but eBay's deeper systemic issues will still overshadow any earnings news. Apple will be the big story of the day: lots of optimism around these shares right now, with iPhone and Mac sales surging, according to some recent market research, and a stock that has soared since Steve Jobs' decision to take medical leave.
Then we'll set our sights on Microsoft, which has also enjoyed a stock renaissance of sorts these last few weeks. Microsoft is mired in consolidation, but the balance of the year, with Windows 7 on the way, seems promising. And if you believe Intel's Paul Otellini, the PC industry has finally bottomed, and that bodes well for Microsoft too. Amazon continues to eat eBay for lunch, but analysts expect a year-over-year profit decline on slightly higher revs. Like Google, Amazon dominates its space, and like Google, Amazon should feel the effects of the recession. And like Google, Amazon has largely been able to weather the storm.
So rest up and get ready for what will certainly be an incredibly busy week. Let me know your thoughts on the earnings to come. And whether now is the right time to jump in, sit tight, or run for the exits!
Have a great weekend!
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