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Apple Inc – Up more than 3% at its highs this morning after the tech giant reported sales and profits that beat expectations fueled by 5G iPhone upgrades but also warned a global chip shortage could dent iPads and Mac sales by several billion dollars. The company approved an increase to its dividend by 7% along with adding $90b to its existing share buyback program. Profits doubled since the start of the pandemic leading to record revenue numbers for its latest quarter. The company posted quarterly earnings per diluted share of 1.40 dollars, compared to 0.64 dollar for the same period of fiscal 2020. Its net income for the quarter ended March 27 increased to 23.63 billion dollars from 11.25 billion dollars a year ago.
Facebook Inc – Posted large beats on both earnings and revenue in Q1 sending its shares up more than 7% premarket. The company said its massive revenue growth came down to a 30% increase in the average price per ad sold on its platform, as well as a 12% increase in number of ads shown. It also reduced its forecast for capital expenditures for the year to between $19 billion and $21 billion. Key user numbers included: Daily Active Users of 1.88 billion vs. 1.89 billion forecast, Average Revenue Per User of $9.27 vs. $8.40 forecast. EPS of $3.30 per share easily beat estimates of $2.37 while revenue came in at $26.17 billion vs. $23.67 billion expected.
Qualcomm Inc – The chip maker’s results and outlook both topped Wall Street estimates aftermarket yesterday. QCOM reported fiscal second-quarter net income of $1.76 billion, or $1.53 a share, compared with $468 million, or 41 cents a share, in the year-ago period. Adjusted earnings, which exclude stock-based compensation expenses and other items, were $1.90 a share, compared with 88 cents a share in the year-ago period. Revenue rose to $7.94 billion from $5.21 billion in the year-ago quarter.
Ebay Inc – Multiple analyst downgrades on the stock this morning after the company’s outlook missed expectations, the company reported quarterly adjusted earnings of $1.09 per share for the quarter, slightly topping estimates of $1.07 per share. Revenue rose 27.3% to $3.02 billion from a year agoanalysts expected $2.97 billion. The company reported quarterly net income of $641 million.
Ford Motor Co – Shares are lower this morning after Ford warned that the ongoing global semiconductor shortage may slash Q2 production by as much as half, saying the shortage could ease this summer but may not be fully resolved until 2022. Ford did post a strong Q1 adj profit of 89 cents, beating estimates of 21 cents per share. Q1 revenue jumped 7.1% to $33.55 bln from a year ago vs. analysts expectations of $32.23 bln.
Nokia – The wireless network equipment maker reported substantially improved, better than expected first-quarter results this morning as sales of its new generation 5G equipment soared in both the US and China. The company based in Espoo, Finland, reported net profit of 375 million euros ($454 million) for the January-March period, up from 33 million euros a year earlier. Sales were up 3%, to 5.1 billion euros.
Cruise Operators – Higher as a group premarket after the Centers for Disease Control and Prevention(CDC) said it was committed to a restart of U.S. cruises by mid-summer. Royal Caribbean rose 2.4%, Norwegian added 3% and Carnival jumped 2.8%. NCLH, RCL, CCL
Twitter Inc – Up 3% premarket benefitting from FB’s positive report. Twitter is set to report earnings after the bell tonight, investors will be looking for signs that the company has begun to implement the vision CEO Jack Dorsey and other executives laid out a few months ago. Back in February, Twitter hosted its first analyst day in years, and issued a bold promise at the event: to double annual revenue to $7.5 billion by 2023 from the $3.7 billion it reported last year. Wall Street is expecting its first quarter to be better than usual, as consensus estimates call for adjusted earnings of 14 cents a share on revenue of $1.03 billion.
Merck & Co Inc – Missed estimates for first-quarter profit and forecast a bigger hit to 2021 sales than its previous estimate as the pandemic hurt demand for its drugs that need to be administered in a clinic. Sales of blockbuster cancer drug Keytruda rose 18.7% to $3.90 billion, but missed Wall Street estimates of $3.98 billion. Net earnings fell to $3.18 billion, or $1.25 per share, in the first-quarter ended March 31, from $3.22 billion, or $1.26 per share, a year earlier.
Adverum Biotech – Down sharply premarket after releasing updated trial data from a diabetic macular edema treatment that disappointed.
Galera Therapeutics Inc – Updated data from a recent Randomized, Multicenter, – placebo-controlled trial in patients with pancreatic cancer. Results were better than expected.