5 Earnings Reports Grabbing Everyone’s Attention

In this article, we discuss the 5 earnings reports grabbing everyone’s attention. If you want to read our detailed analysis of these companies, go directly to the 10 Earnings Reports Grabbing Everyone’s Attention.

5. Morgan Stanley (NYSE:MS)

Number of Hedge Fund Holders: 65

Shares of Morgan Stanley (NYSE:MS) slightly moved up on Thursday, April 14, 2022, after beating expectations for the first quarter. The Manhattan-based investment bank reported earnings of $2.02 per share, compared to $2.19 per share in the year-ago period.

In addition, Morgan Stanley (NYSE:MS) posted revenue of $14.8 billion versus $15.7 billion in the same period of 2021. The result surpassed the consensus of $1.68 per share for earnings and $14.2 billion for revenue.

Morgan Stanley (NYSE:MS) also released its segment-wise sales performance. Revenue from the Institutional Securities segment decreased to $7.7 billion, from $8.6 billion in the year-ago quarter. In comparison, Investment Management’s revenue of $1.3 billion and Wealth Management’s revenue of $5.9 billion remained nearly flat versus the comparable period of 2021.

Among other updates, Morgan Stanley (NYSE:MS) reported that it repurchased $2.9 billion worth of its common stock during the quarter.

Speaking on the results, CEO James Gorman said in a statement:

“The Firm delivered a strong ROTCE of 20% in the face of market volatility and economic uncertainty, demonstrating the resilience of our global diversified business. Institutional Securities navigated volatility on behalf of clients extraordinarily well, Wealth Management’s margin proved resilient and the business added $142 billion net new assets in the quarter, and Investment Management benefited from its diversification.”

4. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

Number of Hedge Fund Holders: 72

Shares of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) fell over three percent on Thursday, April 14, 2022, despite posting solid profit and sales for the first quarter.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) reported earnings of $1.40 per ADS, beating expectations of $1.33. Revenue for the quarter climbed 36 percent versus last year to $17.57 billion, helped by strong demand from big clients, including Apple and Qualcomm. Analysts were looking for revenue of $17.31 billion.

Looking forward, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) expects revenue in the range of $17.6 billion to $18.2 billion for the current quarter, significantly higher than $13.29 billion in the comparable period of 2021.

Discussing the results, CFO Wendell Huang said:

“Our first quarter business was supported by strong HPC and Automotive-related demand. “Moving into second quarter 2022, we expect our business to continue to be supported by HPC and Automotive-related demand, partially offset by smartphone seasonality.”

3. The Goldman Sachs Group, Inc. (NYSE:GS)

Number of Hedge Fund Holders: 75

Shares of The Goldman Sachs Group, Inc. (NYSE:GS) turned red on Thursday, April 14, 2022, after the global investment bank reported a substantial drop in profit and revenue for the first quarter.

The Goldman Sachs Group, Inc. (NYSE:GS) reported earnings of $10.76 per share, well below $18.60 per share in the first quarter of 2021. Revenue also plummeted 27 percent on a year-over-year basis to $12.93 billion. Nevertheless, the results were better than the consensus of $8.89 per share for earnings and $11.83 billion for revenue.

If we look at Goldman Sachs’ segment-wise sales performance, investment banking revenue fell 36 percent to $2.41 billion, while asset management revenue plunged 88 percent to $546 million in the quarter.

On the bright side, The Goldman Sachs Group, Inc. (NYSE:GS) reported that revenue from its consumer & wealth management segment jumped 21 percent to $2.10 billion. In addition, global markets revenue also rose 4 percent to $7.87 billion in the quarter.

Commenting on the results, CEO David Solomon said in a statement:

“It was a turbulent quarter dominated by the devastating invasion of Ukraine. The rapidly evolving market environment had a significant effect on client activity as risk intermediation came to the fore and equity issuance came to a near standstill.”

2. UnitedHealth Group Incorporated (NYSE:UNH)

Number of Hedge Fund Holders: 96

UnitedHealth Group Incorporated (NYSE:UNH) is one of America’s largest healthcare and insurance companies. It recently came into the spotlight after delivering better-than-expected financial results for the first quarter.

The Minnesota-based healthcare giant reported adjusted earnings of $5.49 per share, up from $5.31 per share in the comparable period of 2021. Revenue for the quarter also rose 14.2 percent on a year-over-year basis to $80.1 billion, led by double-digit growth across its flagship segments. Analysts were expecting UnitedHealth Group Incorporated (NYSE:UNH) to report earnings of $5.37 per share on revenue of $78.76 billion.

UnitedHealth Group Incorporated (NYSE:UNH) also raised its profit outlook for 2022. The company is now looking for adjusted earnings in the range of $21.20 – $21.70 per share, compared to its earlier guidance between $21.10 – $21.60 per share.

Speaking on the results, CEO Andrew Witty said:

“Disciplined execution of our long-term strategy, with a sharp focus on ensuring access to care for the people we serve, enabled us to deliver high-quality, diversified growth across Optum and UnitedHealthcare during this first quarter of 2022.”

1. Citigroup Inc. (NYSE:C)

Number of Hedge Fund Holders: 97

Citigroup Inc. (NYSE:C), one of the largest U.S. banks with operations in over 100 countries, recently posted its first-quarter profit and revenue above expectations. The better-than-expected results sent its shares up 1.56 percent on Thursday, April 14, 2022.

The New York-based bank reported earnings of $2.02 per share, compared to $3.62 per share in the year-ago period but above expectations of $1.55 per share. In addition, Citigroup Inc. (NYSE:C) posted revenue of $19.2 billion, down 2 percent on a year-over-year basis. However, it was above analysts’ average estimate of $18.15 billion.

Citigroup Inc. (NYSE:C) also released its segment-wise sales results. Revenue from its institutional clients group slipped 2 percent to $11.16 billion, while investment banking revenue plummeted 32 percent to $1.7 billion in the quarter. In comparison, revenue from its personal banking and wealth management segment inched down 1 percent to $5.91 billion.

You can also take a peek at 10 Best Micro-Cap Stocks to Buy According to Hedge Funds and 10 Undervalued Dividend Kings To Buy In 2022.

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