5 Stocks That Beat Quarterly Expectations

In this article, we discuss the 5 stocks that beat the quarterly expectations. If you want to read our detailed analysis of these companies, go directly to the 10 Stocks That Beat the Quarterly Expectations.

5. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 60

Shares of Tesla, Inc. (NASDAQ:TSLA) slightly moved down in the pre-market trading session on Thursday, January 27, 2022, even after posting record financial results for the fourth quarter. The electric vehicle giant reported adjusted earnings of $2.54 per share, substantially higher than 80 cents per share in the fourth quarter of 2020.

Revenue for the quarter jumped 65 percent versus last year to $17.7 billion. Analysts were expecting Tesla, Inc. (NASDAQ:TSLA) to post earnings of $2.26 per share on revenue of $16.35 billion.

The latest quarterly performance was mainly driven by record deliveries during the fourth quarter. Tesla, Inc. (NASDAQ:TSLA) delivered 308,600 electric vehicles in Q4 versus 305,840 in the comparable period of 2020.

The company also issued its vehicles deliveries guidance for 2022. Tesla, Inc. (NASDAQ:TSLA) expects its vehicle deliveries to increase by at least 50 percent on a year-over-year basis.

4. Xilinx, Inc. (NASDAQ:XLNX)

Number of Hedge Fund Holders: 62

Shares of Xilinx, Inc. (NASDAQ:XLNX) jumped more than seven percent in the pre-market trading session on Thursday, January 27, 2022, after posting a solid profit for its fiscal third quarter.

Xilinx, Inc. (NASDAQ:XLNX) earned $1.29 per share on an adjusted basis, compared to 78 cents per share in the year-ago quarter and above expectations of 98 cents per share. In addition, its quarterly revenue jumped 26 percent on a year-over-year basis to $1.01 billion despite supply chain disruptions.

Speaking on the results, CEO of Xilinx, Inc. (NASDAQ:XLNX), Victor Peng, said:

“Xilinx achieved another record quarter and surpassed $1 billion in quarterly sales for the first time in the company’s history. While we were unable to fully satisfy customer needs, our results demonstrate our team’s relentless focus and execution in supporting our customers as well as possible given the extremely tight supply conditions.”

3. Abbott Laboratories (NYSE:ABT)

Number of Hedge Fund Holders: 63

Abbott Laboratories (NYSE:ABT) recently announced better-than-expected financial results for the fourth quarter. However, its profit outlook for the fourth quarter missed expectations, sending its shares down nearly three percent on Wednesday, January 26, 2022.

The medical devices and health care company earned $1.32 per share on an adjusted basis, above expectations of $1.21 per share. Revenue came in at $11.47 billion, while analysts were expecting Abbott Laboratories (NYSE:ABT) to generate revenue of $10.71 billion.

Looking at the performance of key segments, nutrition revenue rose 5.5 percent, diagnostic revenue increased 2.9 percent, pharmaceuticals revenue increased 4.9 percent and medical devices revenue climbed 15.1 percent in the quarter.

Moving forward, Abbott Laboratories (NYSE:ABT) expects an adjusted profit of at least $4.70 per share for 2022, below analysts’ average forecast of $4.78 per share.

Discussing the results, CEO Robert Ford said:

“We achieved more than 40 percent EPS growth, exceeding the baseline EPS guidance we set at the beginning of last year and, importantly, continued to advance our new product pipeline across the portfolio.”

2. Intel Corporation (NASDAQ:INTC)

Number of Hedge Fund Holders: 66

Shares of Intel Corporation (NASDAQ:INTC) turned red in the pre-market trading session on Thursday, January 27, 2022, despite beating financial expectations for the fourth quarter. The chip giant earned $1.09 per share, down from $1.48 per share last year but above expectations of 90 cents per share.

In addition, Intel Corporation (NASDAQ:INTC) posted revenue of $20.53 billion, up 3 percent versus last year and above analysts’ average estimate of $18.33 billion. Revenue from Intel’s largest segment, the client computing group, fell seven percent on a year-over-year basis to $10.1 billion. On the bright side, revenue from the data center group jumped 20 percent to $7.3 billion.

Intel Corporation (NASDAQ:INTC) also issued its financial outlook for the first quarter. It expects adjusted earnings of around 80 cents per share on revenue of approx. $18.3 billion for the current quarter.

Commenting on the results, CEO of Intel Corporation (NASDAQ:INTC), Pat Gelsinger, said:

“Q4 represented a great finish to a great year. We exceeded top-line quarterly guidance by over $1 billion and delivered the best quarterly and full-year revenue in the company’s history. Our disciplined focus on execution across technology development, manufacturing, and our traditional and emerging businesses is reflected in our results.”

1. ServiceNow, Inc. (NYSE:NOW)

Number of Hedge Fund Holders: 87

ServiceNow, Inc. (NYSE:NOW) is best known for its cloud-based solutions that help enterprises manage digital workflows. Its cloud-based platform manages and automates services for day-to-day operations. In short, the company’s solutions enable more intelligent and faster ways to make a workflow.

Shares of ServiceNow, Inc. (NYSE:NOW) jumped more than 14 percent in the pre-market trading session on Thursday, January 27, 2022, after delivering impressive profit and sales for the fourth quarter.

ServiceNow, Inc. (NYSE:NOW) reported adjusted earnings of $1.46 per share for the three months ended December 31, compared to $1.17 per share in the same period of 2020. Revenue for the quarter increased to $1.61 billion, up from $1.25 billion in the comparable period last year.

Subscription revenue accounted for most of the quarterly sales, climbing 29 percent on a year-over-year basis to $1.52 billion. The results easily exceeded analysts’ average forecast of $1.43 per share for earnings and $1.6 billion for revenue.

Looking forward, ServiceNow, Inc. (NYSE:NOW) expects subscription revenue in the range of $1.61 to $1.615 billion for the first quarter. For the full year, it expects subscription revenue between $7.02 – $7.04 billion, compared to expectations of $7.02 billion.

Speaking on the results, CFO of ServiceNow, Inc. (NYSE:NOW), Gina Mastantuono, said:

“Q4 was an outstanding quarter closing out an already phenomenal year of outperformance. The company is firing on all cylinders and we enter 2022 with tremendous momentum. We expect constant currency subscription revenue growth to accelerate year‑over‑year in Q1, setting us up for another strong year and putting us well on our way to becoming a $15 billion plus revenue company.”

You can also take a peek at Billionaire Michael Hintze Portfolio: Top 10 Stock Picks and Top 10 Stock Picks of Thomas Bancroft’s Makaira Partners.

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