5 Stocks in Focus After Releasing Their Financial Results

In this article, we discuss the 5 stocks in focus after releasing their financial results. If you want to read our detailed analysis of these companies, go directly to the 10 Stocks in Focus After Releasing Their Financial Results.

5. Duck Creek Technologies, Inc. (NASDAQ:DCT)

Number of Hedge Fund Holders: 17

Shares of Duck Creek Technologies, Inc. (NASDAQ:DCT) jumped more than 11 percent in the pre-market trading session on Friday, January 7, 2022, after announcing better-than-expected financial results for its fiscal first quarter.

Duck Creek Technologies, Inc. (NASDAQ:DCT) reported adjusted earnings of 4 cents per share, easily surpassing the consensus forecast of 1 cent per share. Revenue for the quarter jumped 25 percent on a year-over-year basis to $73.4 million, ahead of analysts’ average estimate of $69 million.

If we break down the total revenue by segments, subscription revenue rose 28 percent to $35.7 million, while professional services revenue jumped 26 percent to $29.5 million. In comparison, license revenue climbed 42 percent to $1.9 million, while maintenance and support revenue inched up just 1 percent to $6.3 million.

Looking forward, Duck Creek Technologies, Inc. (NASDAQ:DCT) expects revenue in the range of $71.5 – $73.5 million for its fiscal second quarter and between $298 – $304 million for its FY 2022.

Speaking on the results, CEO of Duck Creek Technologies, Inc. (NASDAQ:DCT), Michael Jackowski, said:

“Duck Creek’s first quarter results were a good start to fiscal 2022, with 40% SaaS ARR growth and profitability that was well ahead of expectations.  We continue to see strong demand activity amongst new and existing customers that are making meaningful investments in their core systems to drive better, more profitable performance across their businesses.”

4. RPM International Inc. (NYSE:RPM)

Number of Hedge Fund Holders: 20

RPM International Inc. (NYSE:RPM) recently announced better-than-expected sales for its fiscal second quarter. However, its adjusted profit for the quarter fell slightly short of expectations.

The company earned 79 cents per share on an adjusted basis, down 25.5 percent versus the year-ago quarter and below the consensus forecast of 81 cents per share. Revenue for the quarter jumped 10.3 percent versus last year to $1.64 billion, beating expectations of $1.55 billion.

Looking at the performance of key segments of RPM International Inc. (NYSE:RPM), revenue from the construction products group jumped 22 percent to $614.2 million, while revenue from the performance coatings group rose 16.9 percent to $302.5 million in the quarter.

In comparison, revenue from the specialty products group rose 10 percent to $193.6 million, while consumer group revenue slipped 3.3 percent to $529.2 million.

Discussing the results, CEO of RPM International Inc. (NYSE:RPM), Frank C. Sullivan, said:

“Robust demand for our paints, coatings, sealants and other building materials led to strong double-digit sales growth at three of our four operating segments and drove consolidated top-line performance that was ahead of our projections.”

3. Conagra Brands, Inc. (NYSE:CAG)

Number of Hedge Fund Holders: 20

Shares of Conagra Brands, Inc. (NYSE:CAG) slipped nearly two percent on Thursday, January 6, 2022, after posting mixed financial results for its fiscal second quarter. The consumer-packaged goods company’s adjusted earnings fell 21 percent on a year-over-year basis to 64 cents per share, missing the consensus forecast of 68 cents per share.

Revenue came in at $3.059 billion, up from $2.995 billion in the year-ago quarter. Analysts were expecting Conagra Brands, Inc. (NYSE:CAG) to post revenue of $3.015 billion.

Looking forward, Conagra Brands, Inc. (NYSE:CAG) now expects sales growth of around 3 percent for its FY 2022 versus its earlier guidance of 1 percent growth. Moreover, it continues to expect adjusted earnings of about $2.50 per share for the full year, compared to expectations of $2.46 per share.

Speaking on the results, CEO of Conagra Brands, Inc. (NYSE:CAG), Sean Connolly, said:

“Looking ahead, we expect to continue experiencing cost pressures above original expectations in the second half of fiscal 2022. However, we believe the sustained elevated consumer demand coupled with the mitigating actions we have successfully executed, and will continue executing, put us on track to overcome these near-term challenges, improve margins in the back half of the fiscal year, and deliver on our profit plan.”

2. Acuity Brands, Inc. (NYSE:AYI)

Number of Hedge Fund Holders: 26

Shares of Acuity Brands, Inc. (NYSE:AYI) rose nearly four percent in the pre-market trading session on Friday, January 7, 2022, after beating profit and sales expectations for its fiscal first quarter.

Acuity Brands, Inc. (NYSE:AYI) reported adjusted earnings of $2.85 per share, ahead of analysts’ average estimate of $2.41 per share. Revenue for the quarter climbed 16.9 percent on a year-over-year basis to $926.1 million, easily surpassing the consensus forecast of $880.7 million.

Commenting on the quarter, CEO of Acuity Brands, Inc. (NYSE:AYI), Neil Ashe, said:

“Our performance demonstrates that by prioritizing customers we are driving sales growth and turning that into operating income while continuing to invest in the long-term growth and transformation of the Company.”

1. Lamb Weston Holdings, Inc. (NYSE:LW)

Number of Hedge Fund Holders: 31

Shares of Lamb Weston Holdings, Inc. (NYSE:LW) touched a nearly six-month high on Thursday, January 7, 2022, after announcing better-than-expected financial results for its fiscal second quarter.

Lamb Weston Holdings, Inc. (NYSE:LW) reported adjusted earnings of 50 cents per share, down from 66 cents per share in the year-ago quarter. Revenue came in at $1 billion, compared to $896.1 million in the same period last year. The results exceeded the consensus forecast of 33 cents per share for earnings and $997.8 million for revenue.

Looking forward, Lamb Weston Holdings, Inc. (NYSE:LW) expects sales growth in the range of low-to-mid single digit for its FY 2022, compared to sales growth of 10.4 percent projected by analysts.

Discussing the results, CEO of Lamb Weston Holdings, Inc. (NYSE:LW), Tom Werner, said in a statement:

“We are pleased with our financial and operating progress in the quarter as we continue to navigate through a difficult and volatile macro environment defined by cost inflation, supply chain disruptions and production challenges due primarily to a tight labor market.”

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