Russ Cohen

Insights into Upcoming Earnings Reports Anticipating Financial Fortunes: A Look into Oracle, Adobe, Broadcom, and More

Profitability and Growth

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With a thin earnings calendar ahead, notable companies are gearing up to unveil their financial standings. These crucial figures have the potential to reshape expectations not just for individual firms but also for pivotal sectors such as consumer staples and enterprise software.

Among the companies that investors are keeping a watchful eye on are Oracle (NYSE:ORCL), Adobe (NASDAQ:ADBE), Broadcom (NASDAQ:AVGO), FuelCell Energy (NASDAQ:FCEL), and Signet Jewelers (NYSE:SIG), among others.

Let’s delve into the anticipated major quarterly updates for the week of June 10 to 14:

Monday, June 10

FuelCell Energy (FCEL)

FuelCell Energy (FCEL) is set to disclose its quarterly earnings before the opening bell on Monday. Analysts predict a drop in revenue from the previous year, with expected growth in EPS.

The stock, having shed over 40% of its value in 2024, receives a Hold rating from both Seeking Alpha’s Quant Rating system and Wall Street analysts.

Offering insight into the company, SA investing group leader The Value Pendulum remarks, “FuelCell Energy’s Q2 FY 2024 results may fall short of expectations. Yet, potential growth avenues in the South Korean market might breathe new life into FuelCell Energy. The stock, as per valuations, appears reasonably priced at the moment.”

  • Consensus EPS Estimates: -$0.08
  • Consensus Revenue Estimates: $21M
  • Earnings Insight: fuelCell has surpassed revenue estimates in 3 out of 8 previous quarters and EPS estimates in 50% of those reports.

Other companies reporting: Yext, Calavo Growers, Skillsoft, Zedge, MIND Technology, and more.

Tuesday, June 11

Oracle (ORCL)

Software titan Oracle (ORCL), headquartered in Texas, is poised to unveil its results after Tuesday’s market close. Analysts anticipate revenue growth compared to the previous year but a minor profit decline.

Ahead of the earnings, Seeking Alpha’s Quant Rating system shifts to a guarded stance on Oracle, marking it as a Hold. Conversely, Wall Street analysts provide a unanimous Buy recommendation.

Author Mike Zaccardi, upgrading Oracle from Hold to Buy just before the earnings call, stresses the need for robust performance from Oracle’s SaaS applications, cloud infrastructure technologies, and products. The focus will be on margins and forward growth trajectory.

  • Consensus EPS Estimates: $1.65
  • Consensus Revenue Estimates: $14.57B
  • Earnings Insight: Oracle has outperformed EPS in 7 of the last 8 quarters and revenue in 4 of those instances.
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Other companies reporting: ZEEKR Intelligent Technology Holding Limited, Rubrik, Mama’s Creations, PetMed Express, and more.

Wednesday, June 12

Broadcom (AVGO)

Semiconductor powerhouse Broadcom (AVGO) is scheduled to announce its quarterly outcomes after Wednesday’s closing bell, with analysts eyeing substantial year-over-year revenue growth.

The California-based company’s stock has surged over 25% in 2024 on the back of AI fervor. Despite Sell-Side analysts maintaining a bullish Buy rating, Seeking Alpha’s Quant Rating system adopts a more cautious Hold approach.

Author Mike Zaccardi, downgrading Broadcom from Buy to Hold before the earnings reveal, cites concerns over the company’s valuation and waning momentum.

Investing leader Jonathan Weber, who rates the stock as Hold, expresses, “Broadcom’s valuation is lofty, and while revenue growth has been steady, it lags behind peers with higher AI exposure. Share buybacks have not fully countered dilution, and the stock price remains above historical averages.”

  • Consensus EPS Estimates: $10.84
  • Consensus Revenue Estimates: $12.01B
  • Earnings Insight: Broadcom has surpassed both EPS and revenue estimates for 8 consecutive quarters.

Other companies reporting: Dave & Buster’s Entertainment, Oxford Industries, Torrid Holdings, and more.

Thursday, June 13

Adobe (ADBE)

Adobe (ADBE) will update stakeholders on its quarterly performance post-market closure on Thursday. Following a strong showing in the last earnings report, the company guides quarterly revenue between $5.25B and $5.30B and adjusted EPS in the range of $4.35 to $4.40. Analysts foresee year-over-year growth in both EPS and revenue.

With Seeking Alpha’s Quant Rating system downgrading the stock from Buy to Hold a week before earnings, Wall Street analysts persist with a Buy sentiment.

Recent analyses by Oppenheimer cut ADBE’s price target to $580 yet maintained an Outperform rating, predicting a potential stock rebound later in 2024. They foresee improved margins, reduced pricing hurdles, and enhanced AI monetization in FY2025.

SA investing expert Best Anchor Stocks, bullish on Adobe, asserts, “Adobe’s strength extends beyond AI, giving it an edge over competitors. Simply addressing the ideation phase, where rivals currently reside, is insufficient to threaten Adobe; monetizable users demand more than just ideas.”

  • Consensus EPS Estimates: $4.39
  • Consensus Revenue Estimates: $5.29B
  • Earnings Insight: Adobe has consistently surpassed EPS expectations in all the preceding 8 quarters and revenue estimates in 6 of those reports.