Earnings Previews: What to Expect From Amazon, Alphabet, Alibaba

Technology

Published: February 1, 2021 10:36 am

Earnings season continues, and with big names like Apple, Facebook and Tesla already in the books, we’re due for the next round of heavy hitters. The markets survived the Reddit raid last week, and while it did raise many questions, analysts across the board agreed that fundamentals, like earnings, would eventually bring those Reddit stocks back down to earth.

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Fundamentals are key for understanding a stock’s valuation in relation to the market as a whole. Here, 24/7 Wall St. has put together a preview of a few of the biggest names that are reporting their quarterly results on Tuesday. We have included the consensus earnings estimates, as well as the stock price and trading history.

Alibaba Group Holding Ltd.’s (NYSE: BABA) fiscal third-quarter report is expected early on Tuesday. Analysts on average are looking for earnings per share (EPS) of $3.25, as well as $33.2 billion in revenue. Excluding Monday’s move, Alibaba stock had outperformed the markets with a rise of about 22% in the past 52 weeks. The stock traded above $257 on Monday, in a 52-week trading range of $169.95 and $319.32. It has a $325.95 mean target price.

Amazon.com Inc. (NASDAQ: AMZN) will share its fourth-quarter numbers later in the day. The consensus estimates call for $7.19 in EPS and revenue of $119.66 billion. The same period of last year reportedly had $6.47 in EPS on $87.44 billion in revenue.

This quarter should be especially interesting for Amazon as its Prime Day sales topped $10 billion. Note that Amazon shares are up about 71% in the past 52 weeks, and down about 1% year to date.

Shares traded above $3,275 apiece on Monday, with the consensus price target of $3,831.77. The 52-week trading range is $1,626.03 to $3,552.25.

Alphabet Inc. (NASDAQ: GOOGL) is the last major company here, with numbers coming out on Tuesday afternoon. The consensus forecast calls for $15.93 in EPS and $53.1 billion in revenue for the fourth quarter. In the same period of last year, it posted $15.35 in EPS on $46.08 billion in revenue.

The share price was near $1,855 on Friday. The consensus price target is $1,983.93, and shares have traded between $1,008.87 and $1,932.08 in the past 52 weeks.