In this article, we will take a look at the 10 stocks gaining attention after posting their quarterly results. You can skip our detailed analysis of these companies, and go directly to the 5 Stocks Gaining Attention After Posting Their Quarterly Results.
All major U.S. indexes turned green as investors cheered impressive results from several big-cap stocks, such as Facebook, Inc. (NASDAQ:FB) and United Parcel Service, Inc. (NYSE:UPS). At 08:00 AM ET on Tuesday, 26 October 2021, the S&P 500 rose 0.38 percent, the Nasdaq Composite surged 0.46 percent, while the Dow Jones increased 0.32 percent.
However, there were some stocks that fell after missing profit expectations. For instance, Shares of Kimberly-Clark Corporation (NYSE:KMB), Universal Health Services, Inc. (NYSE:UHS), and Lennox International Inc. (NYSE:LII) dropped after posting lower-than-expected earnings.
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We will review the detailed performance of these companies in the remaining article.
Stocks Gaining Attention After Posting Their Quarterly Results
10. Restaurant Brands International Inc. (NYSE:QSR)
Number of Hedge Fund Holders: 22
Shares of Restaurant Brands International Inc. (NYSE:QSR) fell more than five percent on Monday, 25 October 2021, after its third-quarter sales missed expectations. The company blamed the Covid-19 pandemic for affecting its revenue.
Restaurant Brands International Inc. (NYSE:QSR) posted revenue of $1.495 billion, up 11.8 percent versus the year-ago quarter. However, analysts were looking for revenue of $1.522 billion.
On the bright side, the adjusted earnings of 76 cents per share for the quarter surpassed the consensus forecast of 74 cents per share. Restaurant Brands International Inc. (NYSE:QSR) had reported earnings of 68 cents per share for the comparable period of 2020.
Like Restaurant Brands International Inc. (NYSE:QSR), Kimberly-Clark Corporation (NYSE:KMB), Universal Health Services, Inc. (NYSE:UHS), United Parcel Service, Inc. (NYSE:UPS), and Facebook, Inc. (NASDAQ:FB) also came into the limelight after posting their financial results.
9. Medpace Holdings, Inc. (NASDAQ:MEDP)
Number of Hedge Fund Holders: 24
Shares of Medpace Holdings, Inc. (NASDAQ:MEDP) advanced about four percent in the after-hours trading session on Monday, 25 October 2021, after the company posted better-than-expected results for the third quarter.
Medpace Holdings, Inc. (NASDAQ:MEDP) earned $1.29 per share in the quarter, up from $1.09 per share in the same period last year. Revenue came in at $295.6 million, up 28.3 percent on a year-over-year basis. The results exceeded the consensus forecast of $1.07 per share for earnings and $291.56 million for revenue.
Looking forward, Medpace Holdings, Inc. (NASDAQ:MEDP) expects earnings in the range of $4.66 – $4.77 per share for the full year. In addition, revenue for the same period is expected to come between $1.135 billion – $1.145 billion, translating to a year-over-year surge of 22.6 – 23.7 percent.
8. Lennox International Inc. (NYSE:LII)
Number of Hedge Fund Holders: 26
Shares of Lennox International Inc. (NYSE:LII) turned red after the provider of climate-control solutions announced disappointing financial results for the third quarter on Monday, 25 October 2021. The company blamed supply chain and production disruptions for the weak results.
Lennox International Inc. (NYSE:LII) reported adjusted earnings of $3.40 per share, missing the consensus forecast of $3.64 per share. Revenue came in at $1.06 billion, below analysts’ average estimate of $1.13 billion. The company had reported adjusted earnings of $3.53 per share on revenue of $1.055 billion for the same period last year.
If we look at the performance of key businesses, revenue from the residential heating and cooling business segment slipped two percent to $711 million, while revenue from the commercial heating and cooling business segment rose two percent to $212 million. In comparison, revenue from the refrigeration business segment jumped 10 percent to $137 million.
Speaking on the results, CEO Todd Bluedorn said in a statement:
“Demand remained strong across all our end markets in the third quarter, but global supply chain and Covid-19 disruptions to production and our labor force materially impacted financial performance. The company had negative impact of approximately $75 million to revenue and $25 million to operating profit from these constraints in the third quarter, and we currently expect a similar level in the fourth quarter.”
Lennox International Inc. (NYSE:LII) also cut its financial outlook for the full year. It now expects adjusted earnings in the range of $12.10 – $12.30 per share, versus its previous guidance between $12.10 – $12.70 per share. Moreover, revenue for the full year is now expected to grow between 13 – 15 percent versus the previous growth forecast of 12 – 16 percent.
7. Packaging Corporation of America (NYSE:PKG)
Number of Hedge Fund Holders: 31
Shares of Packaging Corporation of America (NYSE:PKG) slightly moved up in the after-hours trading session on Monday, 25 October 2021, after the company announced its third-quarter profit and sales above expectations.
The Illinois-based maker of packaging products reported adjusted earnings of $2.69 per share for the quarter, up from $1.57 per share in the comparable period of 2020. Revenue for the quarter came in at $2 billion, up 18 percent from the same period last year.
Analysts were expecting Packaging Corporation of America (NYSE:PKG) to report earnings of $1.57 per share on revenue of $1.93 billion in revenue. Looking forward, the company expects to report earnings of $2.04 per share for the fourth quarter.
Discussing the results, CEO Mark Kowlzan said in a statement:
“Packaging segment demand remained strong and our teams did a tremendous job of implementing our previously announced containerboard and corrugated products price increases. The containerboard mills set an all-time quarterly sales volume record, and our box plants set new third quarter records for total corrugated products shipments as well as shipments per day.”
Like Packaging Corporation of America (NYSE:PKG), analysts are also paying attention to Kimberly-Clark Corporation (NYSE:KMB), Universal Health Services, Inc. (NYSE:UHS), United Parcel Service, Inc. (NYSE:UPS), and Facebook, Inc. (NASDAQ:FB) after their earnings reports.
6. Cadence Design Systems, Inc. (NASDAQ:CDNS)
Number of Hedge Fund Holders: 33
Cadence Design Systems, Inc. (NASDAQ:CDNS) recently announced better-than-expected financial results for the third quarter. The company reported adjusted earnings of 80 cents per share, beating the consensus forecast of 75 cents per share.
Revenue came in at $751 million, ahead of analysts’ average estimate of $743.65 million. Cadence Design Systems, Inc. (NASDAQ:CDNS) had reported adjusted earnings of 70 cents per share on revenue of $743.65 million for the comparable period of 2020.
Looking forward, Cadence Design Systems, Inc. (NASDAQ:CDNS) expects adjusted earnings in the range of 76 per share – 80 cents per share and revenue between $745 million – $765 million for the fourth quarter.
Commenting on the quarter, CEO Lip-Bu Tan said:
“Cadence delivered stronger than expected financial results for the third quarter, fueled by accelerating demand for our highly differentiated solutions. Design activity remains robust and the Cadence team continues to execute exceedingly well to our Intelligent System Design strategy.”
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Disclosure: None. 10 Stocks Gaining Attention After Posting Their Quarterly Results is originally published on Insider Monkey.
