Tech giants Taiwan Semi and Netflix are expected to deliver impressive earnings for Q3.

From Nasdaq: 2024-10-04 08:00:00

In today’s episode of Full Court Finance, Zacks discusses the stock market’s position as third-quarter earnings season approaches, focusing on tech giants Taiwan Semi and Netflix. The wait on Wall Street continues for updates on the Israel-Iran conflict and dockworkers’ strike. Market volatility could increase as the election nears, but history shows similar returns under different administrations. Tech and Finance sectors lead in positive estimates, putting the pressure on big tech companies to deliver impressive earnings.

Taiwan Semiconductor (TSM) reports its Q3 earnings on October 17. With a strong market presence in technology and AI, Taiwan Semi has a growing client base and production capability. Sales projections show a 24% growth in FY24 and FY25, with estimated earnings rising by 25% and 28%. Offering a promising investment opportunity, TSM stock remains below its average Zacks price target and the Tech sector, trading at a discount to historic highs at 22.4X forward earnings.

Netflix (NFLX) prepares to report Q3 results on the same day. The streaming giant added 8.1 million subscribers in Q2 FY24. Projections show a 14% growth in subscriber base and a 15% revenue increase for 2024. Expected earnings growth of 59% in 2024 and 19% in 2025 presents a positive outlook for Netflix. With shares soaring over the last decade, Netflix stock is trading at a discount to its all-time highs and 50% below its 10-year median forward earnings.



Read more at Nasdaq: Tech Stocks to Buy in October Before Q3 Earnings and Hold