Earnings playbook: An investor's guide to the reports ahead, including Walmart and Nvidia

Published Sun, Feb 13 20229:03 AM EST

Sara Salinas @in/saracsalinas @saracsalinas

Earnings season starts to thin out this week, with many of the large reports behind us. Corporate earnings have largely outperformed expectations, but it remains to be seen how long the Covid omicron threat and rising inflation will weigh on Wall Street. Restaurant Brands International, Airbnb and Walmart are all due this week and are expected to shed more light on economic headwinds. CNBC runs through what to watch: Tuesday Restaurant Brands International is set to report earnings around 6:30 a.m. ET, followed by an investor call at 8:30 a.m. Last quarter: QSR beat on earnings , despite labor challenges that weighed on sales. This quarter: Analysts expect a roughly 30% earnings pop over last year. What CNBC restaurants reporter Amelia Lucas is watching: "Wall Street has high expectations for same-store sales growth for both Tim Hortons and Burger King, but both chains have been seeing sluggish demand in their home markets in recent quarters. Popeyes, the gem of Restaurant Brands' portfolio, is faring better but facing tough comparisons to last year's strong performance. Also expect an update on the company's acquisition of Firehouse Subs , which it announced in November." What history shows: Restaurant Brands' stock has hit something of a rough patch around earnings as of late, losing ground after 5 of the last 8 quarterly reports, according to Bespoke Investment Group. Airbnb is set to report results shortly after market close, with an investor call set for 5:30 p.m. ET Last quarter: ABNB saw its profit surge 280% as it topped revenue estimates . This quarter: Wall Street is forecasting a per-share profit, after a massive per-share loss during the same quarter a year earlier. What CNBC technology reporter Jessica Bursztynsky is watching: "Analysts widely view Airbnb as one of the most resilient names in travel, but the home-sharing company could have hit a slump due to the omicron variant. Investors will be waiting to see how a surge in cases affected the company and whether it will materially impact the first quarter." What history shows: Airbnb shares have advanced after each of the company's four quarterly reports as a public company, including two moves of more than 10%, according to Bespoke. Wednesday Nvidia will release earnings at 4:20 p.m. ET and host a call with executives at 5:30 p.m. Last quarter: NVDA data center sales grew 55% on demand for artificial intelligence chips. This quarter: The Street is projecting EPS growth of almost 60% year over year. What CNBC technology reporter Kif Leswing is watching: "Nvidia continues to be a company on the rise. Earlier this month, it briefly became the 7th most valuable U.S. company, passing Facebook . Now the pressure is on to show earnings results that can justify its high price, especially in the data center, where its chips are expected to gain market share and power the graphics side of the metaverse. It also won't have the Arm business to power growth after a $66 billion deal was called off when regulators started investigating the transaction. Bombastic CEO Jensen Huang could give some perspective on why the deal didn't close and how Nvidia moves forward." What history shows: Nvidia shares gain ground after an earnings report 57% of the time, for an average rise of nearly 1.7%, according to Bespoke. Thursday Palantir should report quarterly results around 7 a.m. ET, with an analyst call at 8 a.m. Last quarter: PLTR reported 36% revenue growth and projected a strong finish to the year. This quarter: Wall Street is forecasting a per-share profit of just a few cents, similar to the year-ago period. What CNBC technology editor Ari Levy is watching: "Since its stock peaked in January of last year, Palantir has been a bear for investors, losing two-thirds of its value. Analysts expect to see revenue growth dip below 30% for the first time since its market debut in September 2020. Palantir recently announced an expanded technology deal with Ferrari and a partnership with satellite imagery company Satellogic. Co-founder and chairman Peter Thiel may have more time to spend with the company after announcing that he's dropping off the board of Meta , formerly known as Facebook." What history shows: Of the five quarterly reports since Palantir went public, the stock has advanced three times and fallen twice, each time more than 8% in either direction, according to Bespoke. Walmart is due to report earnings at 7 a.m. ET, followed by an investor call at 8 a.m. Last quarter: WMT topped earnings estimates and won back grocery shoppers as inflation heated up. This quarter: Analysts expect modest EPS growth over last year, despite an estimated dip in revenue. What CNBC retail reporter Melissa Repko is watching: "Walmart is expected to report strong sales for the holiday quarter, especially since overall retail sales for November and December in the U.S. hit an all-time record . Investors, however, may be more interested in hearing what's next for the company. They will listen for how it's navigating inflation and if it can use higher food prices to win more value-conscious customers. The company will likely update investors, too, on efforts to make money in new ways, such as growing its ads business and third-party marketplace." What history shows: Walmart shares have fallen in next-day trading 6 of the last 8 quarters, according to Bespoke.

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, January 26, 2022.

Brendan McDermid | Reuters