From Nasdaq: 2025-03-07 19:27:00

Costco and AutoZone recently released their quarterly earnings, marking the start of the 2025 Q1 earnings season. Oracle and Adobe are set to report this week, with an expectation of +6.2% earnings growth and +3.8% revenue increase for Q1 compared to last year. Earnings growth has been on an upward trend, reaching its highest level in three years.

Earnings growth is expected to remain positive in the current and coming quarters, with the Tech sector playing a significant role. However, negative macroeconomic effects like policy uncertainty have started to impact sentiment and earnings estimates, with some sectors experiencing downgrades in guidance. Despite this, overall growth momentum is expected to continue.

Oracle is expected to report $1.48 per share in earnings on $14.36 billion in revenues, with +5% and +8.1% year-over-year changes, respectively. Estimates have been relatively stable over the past month, but have declined compared to previous periods. Adobe shares have held up better in the market pullback, but have been laggards over the past year.

The Tech sector is expected to see +12.5% earnings growth in Q1 on +10% higher revenues, following a strong performance in the preceding period. However, negative revisions to estimates since January have impacted several sectors, with Tech also facing downward revisions due to market sentiment shifts. The evolving earnings expectations for the Tech sector will be crucial in the coming quarters.



Read more at Nasdaq:: Previewing the 2025 Q1 Earnings Season