Positive

From NASDAQ.: 2024-07-25 08:09:00

Companies in the Zacks Internet – Services industry are expected to have strong financial performance in the second quarter of 2024 due to the increased demand for digital transformation solutions. Alphabet Inc. reported impressive Q2 results, with revenues up 14% and non-GAAP EPS up 31% year-over-year.

The industry is benefiting from the rise in demand for SaaS, tools supporting hybrid work, educational software, diagnostic tools, and cybersecurity applications. Businesses are investing in web-based infrastructure, video content, applications, and security software to cater to the growing need for digital services.

Upcoming earnings reports from internet services companies present investment opportunities. Stocks with a Zacks Rank of 1, 2, or 3 and a positive Earnings ESP have a higher chance of beating earnings estimates. Potential top bets in this reporting cycle include Shopify Inc. with an Earnings ESP of +11.37%, Uber Technologies, Inc. with an ESP of +4.19%, and VNET Group, Inc. with an ESP of +60.00%.

Clean hydrogen energy demand is expected to reach $500 billion by 2030. Zacks has identified 3 hydrogen stocks that could lead the way in this market. One has shown significant growth over the past 25 years, another has $15 billion in capital commitments for low carbon hydrogen products through 2027, and the third has seen a rise in stock price and dividend payouts.

Investors can take advantage of the growth potential in the internet services sector by considering stocks with strong earnings potential and positive industry outlook, especially those with a combination of a Zacks Rank #1, 2, or 3 and a positive Earnings ESP. Stocks like Shopify Inc., Uber Technologies, Inc., and VNET Group, Inc. show promise in beating earnings estimates in the upcoming reporting cycle.



Read more at NASDAQ.:: 3 Internet Services Stocks to Beat Earnings Estimates in Q2