Tuesday (June 1)
IN THE SPOTLIGHT: ZOOM
The San Jose, California-based communications know-how firm Zoom is predicted to report its first-quarter earnings of $0.99 per share, which represents year-over-year development of about 395% from $0.20 per share seen in the identical interval a 12 months in the past.
The corporate, which supplies videotelephony and on-line chat providers by way of a cloud-based peer-to-peer software program platform, would submit income development of 175.8% to $905.24 million.
For first-quarter fiscal 2022, Zoom forecasts revenues within the vary of $900 million and $905 million. Non-GAAP earnings from operations is predicted within the vary of $295 million and $300 million. Furthermore, non-GAAP earnings are anticipated within the 95-97 cents-per-share vary.
The cloud video communications supplier forecasts revenues within the vary of $3.760 billion and $3.780 billion for the total fiscal 12 months.
“Sentiment bettering, however nonetheless leans damaging heading into FQ1. Commentary round 2H churn / Cellphone nonetheless doubtless extra incremental to maneuver vs. 1Q print / 2Q information. Profitability potential significant LT, however balanced in NT by churn considerations, preserving us EW into print,” famous Meta A Marshall, an fairness analyst at Morgan Stanley.
“Zoom has established its place because the newly emerged chief in video conferencing, now a development market, largely credible to the corporate itself given an introduction of an answer that workers truly use. The corporate has a significant aggressive moat constructed on extra than simply structure, however a fast uptick in video utilization has attracted vital funding efforts from opponents. Place inside clients makes a lovely alternative to broaden into the broader UC market. Early wins encouraging. Surroundings post-COVID and large-scale WFH, and timing to achieve, much less sure.”
Wednesday (June 2)
IN THE SPOTLIGHT: ADVANCE AUTO PARTS
The main automotive aftermarket components retailer is predicted to report its first-quarter earnings of $3.05 per share, which represents year-over-year development of over 235% from $0.91 per share seen in the identical interval a 12 months in the past. The corporate would submit revenues of $3.31 billion.
“AAP operates in a defensive (recession-resistant) class and has one of many largest long-term EBIT margin growth alternatives in our protection (we estimate 300-400 bps over time). COVID-19 slowed components of AAP’s transformation however gross and EBIT margin upside from inside initiatives remains to be anticipated starting in 2021,” famous Simeon Gutman, fairness analyst at Morgan Stanley.
“Important and bettering FCF technology plus share repurchases more likely to improve EPS development. We predict the mixture of a defensive class, AAP’s progress producing steady top-line development, and vital margin upside all make for a optimistic danger/reward skew.”
Thursday (June 3)
IN THE SPOTLIGHT: LULULEMON ATHLETICA, COOPER COMPANIES
LULULEMON ATHLETICA: The Vancouver-based retailer wholesome lifestyle-inspired athletic retailer is predicted to report its fiscal first-quarter earnings of $0.90 per share, which represents year-over-year development of over 309% from $0.22 per share seen in the identical interval a 12 months in the past.
The attire retailer would submit year-over-year income development of over 70% to $1.12 billion.
“Income & GM upside might yield a 16c 1Q21 EPS beat vs. the Road. Whereas 1Q21 beats & raises haven’t been sufficient to ship most Softline retailers’ shares increased, LULU could also be an exception as traders transfer up the standard curve. Trim PT to $377 on an up to date WACC; elevate 1Q21 EPS on higher gross sales,” famous Kimberly Greenberger, fairness analyst at Morgan Stanley.
COOPER COMPANIES: The worldwide medical system firm is predicted to report its fiscal first-quarter earnings of $3.09 per share, which represents year-over-year development of over 104% from $1.51 per share seen in the identical interval a 12 months in the past.
The San Ramon, California-based firm would submit income development of 31% to $690.73 million.
“Shares of Cooper Companies outperformed the business prior to now six months. The corporate exited the fiscal first quarter on a robust observe, whereby each earnings and revenues beat their respective consensus mark,” famous analysts at ZACKS Analysis.
“The corporate witnessed stable efficiency throughout its core CVI and CSI items through the quarter beneath assessment. Growth in each gross and working margins is a optimistic. Administration at Cooper Companies stays optimistic concerning the Readability, MyDay and Biofinity suite of merchandise and the portfolio of every day silicone hydrogel lenses, which makes it one of many leaders within the comfortable contact lens market.”
Friday (June 4)
There aren’t any main earnings scheduled