Home Depot is scheduled to report their quarterly earnings before the bell. Last quarter, the company exceeded expectations despite a trend towards smaller home improvement projects. However, this quarter, forecasts indicate a more than 5% decrease in earnings compared to the same period last year. Analysts are keeping an eye on Home Depot’s performance, especially as the company has faced challenges this year and its stock has been relatively stagnant. Historically, Home Depot has typically surpassed earnings estimates, with the stock rising in three out of the last four earnings days.
Cisco Systems will be announcing their earnings after the market closes. In the previous quarter, Cisco outperformed expectations but also announced layoffs affecting 5% of its workforce. Analysts predict significant decreases in both earnings and revenue for the current quarter. Despite a 5% decline in shares year-to-date, JPMorgan considers Cisco’s valuation to be “inexpensive” in the short term. However, the medium-to-long term earnings outlook appears muted, potentially leading to reflected results in the upcoming report. Historically, Cisco shares have shown a trend of increasing after the last six earnings releases.
Walmart is set to release its earnings in the premarket, followed by an early morning call. In the previous quarter, Walmart exceeded analysts’ projections, driven by a surge in e-commerce sales. Analysts are expecting mid-single digits growth in both earnings and revenue for this quarter. The retail giant’s momentum is anticipated to have continued into the fiscal first quarter, with continued gross margin expansion predicted. Historically, Walmart has beaten bottom-line forecasts 71% of the time. However, shares have fallen in two out of the last three earnings days.
The remaining earnings reports from key companies such as Home Depot, Cisco Systems, and Walmart provide valuable insights into the health of the consumer market. These reports come at a crucial time as the consumer spending patterns continue to evolve in response to changing economic conditions and market dynamics. As investors and analysts eagerly anticipate these earnings releases, they will be closely monitoring the performance of these companies to gauge the overall health of the consumer sector.
The upcoming earnings reports from Home Depot, Cisco Systems, and Walmart will offer valuable information on the current state of the consumer market. Analysts and investors will be paying close attention to the performance of these companies and how their results may reflect broader trends in consumer spending and economic health. It is essential to consider the implications of these reports not only for individual companies but also for the overall market outlook and investor sentiment.