In this article, we will take a look at the 10 stocks in the limelight after earnings reports. You can skip our detailed analysis of these companies, and go directly to the 5 Stocks in the Limelight After Earnings Reports.
The third-quarter earnings season has officially kicked off, with major financial institutions posting their financial results this week. JPMorgan Chase & Co. (NYSE:JPM), Morgan Stanley (NYSE:MS), First Republic Bank (NYSE:FRC), and BlackRock, Inc. (NYSE:BLK) were among the notable stocks from the financial sector that recently came up with their earnings reports.
Besides financial services companies, stocks from the industrials and technology sectors, such as Delta Air Lines, Inc. (NYSE:DAL) and Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), also released their quarterly reports.
To evaluate the detailed performance of these stocks, let’s start our list of 10 stocks in the limelight after earnings reports.
10 Stocks in the Limelight After Earnings Reports
10. Fastenal Company (NASDAQ:FAST)
Number of Hedge Fund Holders: 25
Fastenal Company (NASDAQ:FAST) recently announced its financial results for the third quarter ended 30 September 2021. The industrial equipment maker reported earnings of 42 cents per share, slightly higher than 38 cents per share in the comparable period of 2020.
Revenue for the quarter came in at $1.55 billion, up 10 percent from the year-ago quarter. Analysts were expecting Fastenal Company (NASDAQ:FAST) to report earnings of 42 cents per share on revenue of $1.54 billion.
Fastenal Company (NASDAQ:FAST) said it experienced solid demand for its manufacturing and construction equipment during the quarter. However, sales of some products were limited by the Covid-19 pandemic in certain end markets, the company added.
9. Domino’s Pizza, Inc. (NYSE:DPZ)
Number of Hedge Fund Holders: 31
Shares of Domino’s Pizza, Inc. (NYSE:DPZ) slipped over three percent in the pre-market trading session Thursday, 14 October 2021, after the company’s fiscal third-quarter sales fell short of expectations.
Domino’s Pizza, Inc. (NYSE:DPZ) posted revenue of $998 million for the three months ended 12 September 2021, missing the consensus forecast of $1.04 billion. The pizza restaurant chain had generated revenue of $967.7 million in the comparable period of 2020.
On the bright side, Domino’s Pizza, Inc. (NYSE:DPZ) reported earnings of $3.24 for the quarter, up from $2.49 per share in the year-ago quarter. Analysts were looking for earnings of $3.11 per share.
Like Domino’s Pizza, Inc. (NYSE:DPZ), analysts are also closely watching BlackRock, Inc. (NYSE:BLK), Delta Air Lines, Inc. (NYSE:DAL), Morgan Stanley (NYSE:MS), and JPMorgan Chase & Co. (NYSE:JPM) after their financial results.
8. First Republic Bank (NYSE:FRC)
Number of Hedge Fund Holders: 34
Shares of First Republic Bank (NYSE:FRC) rose over two percent on Wednesday, 13 October 2021, after announcing better-than-expected profit and sales for the third quarter. The California-based bank and wealth management company reported earnings of $1.91 per share, beating the consensus forecast of $1.84 per share.
Revenue for the quarter jumped 30.1 percent on a year-over-year basis to $1.3 billion, ahead of the consensus forecast of $1.27 billion. In comparison, First Republic Bank (NYSE:FRC) had reported earnings of $1.61 per share on revenue of First Republic Bank (NYSE:FRC) in the comparable quarter of 2020.
If we look at the performance of key indicators, loan originations in the quarter came in at $15.5 billion, translating to a surge of 26.3 percent on a year-over-year basis. Total deposits also climbed 39.2 percent to $145.3 billion. Moreover, total wealth management assets jumped nearly 50 percent to $145.3 billion in the quarter.
Speaking on the results, Co-CEO Jim Herbert said:
“First Republic had another strong quarter of growth in loans, deposits and wealth management assets. Our client-centric business model continues to perform very well across all our segments and markets.”
Like First Republic Bank (NYSE:FRC), BlackRock, Inc. (NYSE:BLK), Delta Air Lines, Inc. (NYSE:DAL), Morgan Stanley (NYSE:MS), and JPMorgan Chase & Co. (NYSE:JPM) also caught investors’ attention after posting their quarterly earnings.
7. Walgreens Boots Alliance, Inc. (NASDAQ:WBA)
Number of Hedge Fund Holders: 41
Shares Walgreens Boots Alliance, Inc. (NASDAQ:WBA) slightly moved up in the pre-market trading session Thursday, 14 October 2021, after the pharmacy store chain delivered impressive results for its fiscal fourth quarter.
Walgreens Boots Alliance, Inc. (NASDAQ:WBA) reported adjusted earnings of $1.17 for the three months ended 31 August 2021, significantly higher than 91 cents per share in the same period last year.
Revenue for the quarter came in at $34.3 billion, up 12.8 percent on a year-over-year basis. The results easily exceeded analysts’ average estimate of $1.02 per share for earnings and $33.03 billion for revenue.
U.S. sales in the quarter rose 6.6 percent to $28.8 billion. U.S. pharmacy sales rose 6.7 percent, while U.S. retail sales increased 6.5 percent versus the comparable period of 2020. In comparison, international sales climbed 61.8 percent to $5.5 billion. Walgreens Boots Alliance, Inc. (NASDAQ:WBA) also reported that it administered over 40 million coronavirus vaccinations during the quarter.
Discussing the results, CEO Roz Brewer said:
“Our fourth quarter and fiscal year results exceeded expectations, driven by strong performance in our core business. Comparable U.S. pharmacy and retail sales both saw robust growth and recovery continued in our UK business as COVID-19 restrictions eased in the quarter.”
6. U.S. Bancorp (NYSE:USB)
Number of Hedge Fund Holders: 41
U.S. Bancorp (NYSE:USB) announced better-than-expected financial results for the third quarter on Thursday, 14 October 2021. The Minneapolis-based bank reported earnings of $1.30 per share, beating the consensus forecast of $1.15 per share. It had reported earnings of 99 cents per share in the same period last year.
Revenue for the quarter came in at $5.89 billion, marginally down from $5.96 billion in the comparable period of 2020. Analysts were expecting U.S. Bancorp (NYSE:USB) to post revenue of $5.76 billion.
In addition, net interest income for the quarter slipped from $3.23 billion to $3.17 billion, missing the consensus forecast of $3.18 billion. Moreover, average total loans for the quarter also fell 4.6 percent on a year-over-year basis to $14.3 billion. On the bright side, average total deposits for the quarter jumped 6.4 percent to $26 billion.
Commenting on the results, CEO Andy Cecere said:
“Our results were supported by continued momentum across our fee businesses, a pick-up in loan growth, and improvement in our efficiency ratio. Credit quality was once again better than expected and for the third straight quarter our net charge-off ratio hit a record low level. We continue to supplement our organic growth by utilizing excess capital for strategically sound, financially attractive acquisitions.”
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Disclosure: None. 10 Stocks in the Limelight After Earnings Reports is originally published on Insider Monkey.
