From Nasdaq:

The technology sector had a strong fourth-quarter 2023, driven by an improved global macro-economic environment and strong adoption of AI and machine learning. The sector is expected to have benefited from ongoing digitalization, with strong adoption of cloud computing, big data, IoT, and 5G technology. Generative AI has attracted investments and benefitted various industries including marketing, customer service, and healthcare.

Semiconductor sales in November were $48 billion, up 5.3% from the previous month, with a growing demand for chips due to the proliferation of generative AI. 63.3 million PCs were shipped in the fourth quarter, showing signs of recovery in the PC segment. A number of technology companies are set to report their earnings results over the next couple of weeks, and several are well-poised to beat earnings estimates due to a strong product portfolio powered by increasing usage of AI. Our proprietary methodology makes it fairly simple to narrow down the list of choices.

Apple, Amphenol, ASML Holding, Fortive, and Meta Platforms are expected to have the right combination of elements to beat on earnings this reporting cycle. These companies have a combination of Earnings ESP and Zacks Rank that significantly increase the odds of a positive earnings surprise. Apple, with an EPS of +2.13%, is expected to report its first-quarter fiscal 2024 results on February 1st. Amphenol and ASML Holding are set to report their fourth-quarter 2023 results on January 24th, while Fortive and Meta Platforms are scheduled to report on January 31st and February 1st respectively. The Zacks Consensus Estimate for earnings for these companies have all shown an upward trend over the past 30 days.



Read more: 5 Technology Stocks Poised to Beat Earnings Estimates in Q4