From Nasdaq:

A number of leading companies reported their earnings this week, with Microsoft and Alphabet on Tuesday, followed by Amazon, Apple, and Meta Platforms. This article summarizes each company’s earnings, valuations, and future prospects.

Microsoft’s Q2 2024 earnings soared past expectations with 18% revenue growth and a 33% EPS jump driven by cloud product Azure. Further, Microsoft has a Zacks Rank #2 (Buy).

Alphabet’s Q4 2023 earnings came out on top of EPS estimates by 2% but ad revenue slightly missed, resulting in a Zacks Rank 3 (Hold) rating.

Amazon fared well with Q4 2023 earnings significantly exceeding estimates, leading to a stock price rise and a Zacks Rank #2 (Buy) rating.

Apple beat expectations for Q1 2024 earnings, achieving a record number of active devices, earning a Zacks Rank #3 (Hold).

Meta Platforms, Inc.’s Q4 2023 earnings surpassed expectations, growing 25% YoY, and also introduced a dividend and buyback plan, giving it a Zacks Rank #2 (Buy).

As for valuations, forward earnings multiples of these stocks were varied, with Alphabet and Meta Platforms having the lowest at 20x, and Amazon the highest at 43.5x. Apple and Microsoft came in the middle at 28.4x and 36.2x, respectively.

Looking towards future prospects, the author favors Amazon and Meta Platforms for their promising developments and good value for investors. Alphabet, Apple, and Microsoft are also highlighted for their respective pros and cons.

Finally, the author acknowledges the performance of these leading companies as a sign of the U.S. economy’s steady performance.



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