Earnings playbook: Your guide to trading a huge week of reports, including Meta Platforms

Published Sun, Apr 21 20247:57 AM EDT

A big week of earnings looms, featuring some of the largest companies in the world. Roughly 30% of the S & P 500 is slated to report. So far, the reporting period has been mixed. While more than 73% of the companies that have reported have beaten estimates, overall Q1 growth is on pace to remain flat year on year, FactSet data shows. Analysts expected growth of more than 3% heading into the season. Among the companies on deck to post results are Meta Platforms, Tesla and General Motors. Take a look at CNBC Pro's breakdown of what's expected from some of this week's key reports. All times are Eastern. Tuesday General Motors is set to report earnings in the premarket, followed by a call at 8:30 a.m. Last quarter: GM beat Wall Street earnings and issued strong 2024 guidance . This quarter: Analysts expect a slight year-over-year earnings decline, LSEG data shows. What CNBC autos reporter Michael Wayland is watching: "Wall Street expects General Motors to report solid, if not 'resilient,' results for the first quarter of this year, largely driven by expectations that vehicle pricing remained higher than anticipated to begin the year, according to recent analyst notes. FactSet reports the company has beat Wall Street's earnings estimates 35 of the last 36 quarters, leading several analysts to make GM their top automotive pick. Aside from the results, some investors expect the company to raise its annual guidance or, at the very least, guide toward the top of its previously announced targets. Other than earnings, any updates to its electric vehicle plans, Cruise autonomous car unit or stock buyback program will be closely watched by investors." What history shows: GM tops earnings expectations 87% of the time, according to data from Bespoke Investment Group. However, shares have fallen in three of the last four earnings days. Tesla is set to report earnings after the bell. A call with management is slated for 5:30 p.m. Last quarter: TSLA posted weak auto revenue and warned of slower revenue growth for 2024 . Shares dipped on the back of the report. This quarter: Tesla earnings are expected to have fallen nearly 40% year on year, per LSEG. What CNBC is watching: Tesla will go into its earnings report struggling, with the stock down more than 40% year to date. The company also got a downgrade from Deutsche Bank analyst Emmanuel Rosner to hold from buy due to concerns over the EV maker's possible pivot away from a low-cost entry vehicle in favor of a robotaxi. What history shows: Bespoke data shows Tesla beats earnings estimates 63% of the time. That said, the stock has dropped after the last four earnings releases. Wednesday Boeing is set to report earnings in the premarket. A call with management is slated for 10:30 a.m. Last quarter: BA held off on issuing 2024 guidance as the CEO said "we caused" the 737 Max 9 midair blowout. This quarter: Boeing revenue is forecast to have fallen more than 8% year on year, LSEG data shows. What CNBC is watching: The problems for Boeing won't stop. Shares are down 35% for the year, a whistleblower said last week the company should halt production of the 787 Dreamliner due to safety concerns, and CEO Dave Calhoun said last month he would step down at the end of 2024. Can the aerospace giant's Q1 numbers mark the start of a turnaround? What history shows: Boeing shares have risen in four of the past five earnings days, Bespoke data shows. The company also exceeds earnings forecasts 69% of the time. Chipotle Mexican Grill is set to report earnings after the bell, followed by a call with corporate leadership at 4:30 p.m. Last quarter: CMG easily beat earnings estimates thanks to strong restaurant traffic. This quarter: The fast-casual chain is expected to report double-digit earnings and revenue growth, according to LSEG. What CNBC is watching: Chipotle investors go into the the company's earnings report liking what they see from the Mexican food chain. Year to date, shares are up about 25%. Can the stock maintain its momentum? Peter Saleh, an analyst at BTIG, is still bullish with his $3,250 price target and buy rating. "Same-store sales should accelerate into the seasonally strong spring season, as the company benefits from faster throughput, the Easter shift, and higher pricing in California," Saleh wrote last month. What history shows: Chipotle has beaten earnings expectations for four straight quarters, per Bespoke. Ford Motor is set to report earnings after the close. Management is slated to hold a call at 5 p.m. Last quarter: F topped earnings estimates and issued solid guidance for the year. This quarter: The automaker's earnings are expected to have fallen more than 33% from the year-earlier period, LSEG data shows. What CNBC autos reporter Michael Wayland is watching: "There's less consensus around Ford Motor than there is its crosstown rival General Motors. While the Detroit automaker is Morgan Stanley's 'top pick'" many others on Wall Street are less bullish on the company. Ford has faced years of unexpected warranty and recall issues, which have impacted its earnings, and continues to lose billions on sales of its all-electric vehicles. Investors will be watching for improvements in both of those areas as well as progress in CEO Jim Farley's 'Ford+' restructuring plan, which was first announced in 2021. Investors also will be interested in any additional changes to its vehicle lineup, including EVs and hybrids, and future production plans." What history shows: Ford has beaten earnings estimates in three of the last four quarters, according to Bespoke. However, shares are down four of the last five earnings days. Meta Platforms is set to report earnings after the closing bell. A conference call is also slated for 5 p.m. Last quarter: META profit tripled year on year , and the company issued its first-ever dividend. This quarter: Analysts are upbeat on the tech giant, expecting earnings per share growth of nearly 100%, per LSEG. What CNBC is watching: Meta shares have been on a tear this year, surging about 36%. Can the tech giant maintain this momentum? Citi analyst Ronald Josey recently raised his price target on the stock to $590, noting: "We believe Meta is benefiting from greater engagement and Reels ad load and launching newer ad formats & features (including Adv.+ Creative & Catalog updates, Reminder Ads, and longer Reels) as our checks suggest advertisers increasingly utilize Reels and its lo-fi video ads for campaigns." What history shows: Meta has a strong earnings record, beating estimates 87% of the time, according to Bespoke. Shares also average a 2.3% gain on earnings days. Thursday Alphabet is set to report earnings after the bell. Management is scheduled to hold a conference call at 4:30 p.m. Last quarter: GOOGL shares fell on the back of disappointing ad revenue . This quarter: The Google parent is forecast to post earnings growth of about 30%, LSEG data shows. What CNBC is watching: Alphabet investors will look for updates on the AI front from the tech giant. Last month , Bloomberg News reported the company was in talks with Apple to license its Gemini AI tools for the iPhone. What history shows: Shares of the Google parent average a 1.3% gain on earnings days, per Bespoke. However, the stock fell in the last two earnings days, including a 9.6% drop. Microsoft is set to report earnings after the close, followed by a call at 5:30 p.m. Last quarter: MSFT issued light guidance despite strong Azure growth. This quarter: The tech giant is expected to report earnings and revenue growth of more than 10% from the year-earlier period, according to LSEG. What CNBC tech reporter Jordan Novet is watching: "Microsoft stock has been helping the S & P stay in positive territory this year thanks to growth from artificial intelligence. Now investors want to see fresh progress. When Microsoft reports on Thursday, it will talk about the first full quarter of impact from the introduction of its Copilot AI assistant for commercial clients of Microsoft 365 productivity software. Indications about adoption and value would be welcome. Analysts will be listening for a higher share of Azure cloud growth that's tied to AI workloads, along with any new comments about organizations trying to optimize cloud spending. A recovering PC market should provide a boost to sales of Windows licenses." What history shows: Microsoft earnings have beaten earnings estimates in six straight quarters, Bespoke data shows. That said, the stock has dropped after the release of those four reports.